AAL stock: buy or sell?
October 18th, 2019
Should I buy AAL stock?Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best time to buy them. At Stocks2.com, we use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.
None of our preferred buy setups matches with American Airlines stock situation right now, hence this is not a suitable entry point.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is American Airlines stock a buy?
Everyday, hundreds of stock ratings are published by financial analysts to indicate a particular stock's attractiveness.At Stocks2.com, we gathered 15 ratings published for AAL stock in the last 30 days.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-9-30||National Bank Financial||n/a||Outperform|
|2019-7-8||Credit Suisse Group||Neutral||Underperform|
|2019-5-20||Morgan Stanley||Equal Weight||Underweight|
AAL stock analysis
American Airlines closed on Oct/18 at $28.22 and inched a good 1.04%.
American Airlines shares inched 1.04% to $28.22 on Oct 18th.
After boosting an impressive 5.59% in a week last week, American Airlines closed this week at $28.22 and jumped a shining 3.14%. By mid September AAL collapsed a hair-raising -7.00% in just one week.
The downtrend marked by AAL has left consecutive falling peaks and bottoms. There is a chance to rebound and reverse this situation if price can hold above the level.
AAL stock price history
AAL stock went public on September 27th, 2005 with a price of $19.981. Since then, AAL stock surged a 41.20%, with an average of 2.90% per year. If you had invested right after AAL's IPO a $1,000 in AAL stock in 2005, it would worth $412.00 today.
1: Adjusted price after possible price splits or reverse-splits.
AAL stock historical price chart
AAL stock reached 52-week highs on December at $40.21, and all-time highs 2006-11-24 with a price of 60.06.
AAL stock price target is $36.50Nobody can reliably foresee how stock prices may evolve in the future. However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. For the last 30 days we found 6 price targets for American Airlines stock:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-9-10||Morgan Stanley||Lowers Target||$26.00||$25.00||-3.8%|
|2019-7-11||Buckingham Research||Lowers Target||$45.00||$43.00||-4.4%|
Financials and fundamental analysis
Earnings date and Earnings per ShareAfter publishing its last earnings report on April, American Airlines . As soon as we get its posted EPS from the earnings report, we will update this report.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsIn 2018, American Airlines annual turnover grew a fine 4.51% to $44,530.00 M USD from $42,610.00 marked in 2017. When comparing 2018 vs 2017, slightly worse, profit margin (that is, the net income divided by revenues) remained steady a 0.71% to 3.72%. To have an up to date view of the financial situation of American Airlines, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual American Airlines TTM sales up to March 2019 were $44,713.00 and earnings were $1,656.00 M USD. If we compare this TTM figures with the last reported annuality, we can review American Airlines business evolution since December 2018: Annual sales up to March, compared to lastest yearly report, stayed steady a tight 0.41%. Regarding profit margin, American Airlines remained constant -0.02% to 3.72%
|2013||$26,740 M||-||$-1,830.00 M-6.8%||-|
|2014||$42,650 M||59.50%||$2,882 M6.8%||-257.49%|
|2015||$40,990 M||-3.89%||$7,610 M18.6%||164.05%|
|2016||$40,180 M||-1.98%||$2,676 M6.7%||-64.84%|
|2017||$42,610 M||6.05%||$1,285 M3.0%||-51.98%|
|2018||$44,530 M||4.51%||$1,658 M3.7%||29.03%|
|TTM||$44,713 M||0.41%||$1,656 M3.7%||-0.12%|
Quarterly financial resultsAmerican Airlines posted $10,584.00 M in sales for 2019-Q1, a -3.14% decline compared to previous quarter. Reported quarter income marked $185.00 M with a profit margin of 1.75%. Profit margin slightly fell a -3.41% compared to previous quarter when profit margin was 5.16%. When comparing revenues to same quarter last year, American Airlines sales marked a slightly fine increase and raised a 1.76%. Looking back to recent quarterly results, American Airlines posted 3 negative quarters in a row.
|2017-Q2||$11,110 M||-||$803 M7.2%||-|
|2017-Q3||$10,880 M||-2.07%||$624 M5.7%||-22.29%|
|2017-Q4||$10,196 M||-6.29%||$54 M0.5%||-91.35%|
|2018-Q1||$10,401 M||2.01%||$186 M1.8%||244.44%|
|2018-Q2||$11,643 M||11.94%||$566 M4.9%||204.30%|
|2018-Q3||$11,559 M||-0.72%||$341 M3.0%||-39.75%|
|2018-Q4||$10,927 M||-5.47%||$564 M5.2%||65.40%|
|2019-Q1||$10,584 M||-3.14%||$185 M1.7%||-67.20%|
American Airlines ownershipWhen you are planning to invest in a company, it's worth to overview its ownership structure.
Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For American Airlines, 39.76% of all outstanding shares are owned by its staff.
In case of American Airlines stock, 7.82% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for AAL stock account 0.00%, no big difference from last month.
The following table compares ownership indicators for other stocks related to American Airlines:
|Market cap||$12.6 B||$2.5 B||$8.2 B||$35.0 B||$1.3 B|
|Total shares||445.3 M||16.3 M||123.3 M||650.2 M||47.3 M|
|Float shares||396.1 M||11.4 M||122.8 M||574.5 M||46.1 M|
|- Institutional holdings (%)||7.8%||81.5%||89.7%||0.0%||91.7%|
|- Insider holdings (%)||39.8%||20.8%||0.4%||49.6%||2.5%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Friday, October 18th, 2019|
|Day range||$27.71 - $28.32|
|Average true range||$0.91|
|50d mov avg||$27.14|
|100d mov avg||$29.28|
|200d mov avg||$31.22|
American Airlines performanceTo better understand American Airlines performance you must becnhmark its gains with other related stocks in same sector or industry. We picked Allegiant Travel, Alaska Air, Delta Air Lines, Hawaiian, JetBlue Airways, LATAM Airlines, Southwest Airlines, Spirit Airlines, SkyWest and United Continental as the bechmarking frame for American Airlines stock.
|DALDelta Air Lines||-11.05%||-6.30%||3.44%|
American Airlines competitorsOne check before investing in any stock is to have a look a list of its competitors, in this case for American Airlines. We selected 10 companies as American Airlines competitors as they are in the same industry or have similar market objectives.
- Allegiant Travel (ALGT)
- Alaska Air (ALK)
- Delta Air Lines (DAL)
- Hawaiian (HA)
- JetBlue Airways (JBLU)
- LATAM Airlines (LTM)
- Southwest Airlines (LUV)
- Spirit Airlines (SAVE)
- SkyWest (SKYW)
- United Continental (UAL)
Latest AAL stock news
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- InvestorPlaceSet Yourself up to Profit Off American Airlines’ DeclineMay 31, 2019
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