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American Airlines (AAL) Declines More Than Market: Some Information for Investors
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In the latest market close, American Airlines (AAL - Free Report) reached $11.44, with a -1.55% movement compared to the previous day. This change lagged the S&P 500's 0.6% loss on the day. Elsewhere, the Dow lost 0.86%, while the tech-heavy Nasdaq lost 1.08%.
The world's largest airline's shares have seen a decrease of 14.43% over the last month, not keeping up with the Transportation sector's loss of 3.3% and the S&P 500's gain of 3.15%.
Analysts and investors alike will be keeping a close eye on the performance of American Airlines in its upcoming earnings disclosure. The company's upcoming EPS is projected at $1.28, signifying a 33.33% drop compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $14.69 billion, indicating a 4.49% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $2.57 per share and a revenue of $55.53 billion, demonstrating changes of -3.02% and +5.2%, respectively, from the preceding year.
Investors should also note any recent changes to analyst estimates for American Airlines. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.92% increase. American Airlines currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that American Airlines has a Forward P/E ratio of 4.53 right now. This signifies a discount in comparison to the average Forward P/E of 8.79 for its industry.
Meanwhile, AAL's PEG ratio is currently 0.17. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Transportation - Airline industry had an average PEG ratio of 0.64.
The Transportation - Airline industry is part of the Transportation sector. Currently, this industry holds a Zacks Industry Rank of 186, positioning it in the bottom 27% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow AAL in the coming trading sessions, be sure to utilize Zacks.com.
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American Airlines (AAL) Declines More Than Market: Some Information for Investors
In the latest market close, American Airlines (AAL - Free Report) reached $11.44, with a -1.55% movement compared to the previous day. This change lagged the S&P 500's 0.6% loss on the day. Elsewhere, the Dow lost 0.86%, while the tech-heavy Nasdaq lost 1.08%.
The world's largest airline's shares have seen a decrease of 14.43% over the last month, not keeping up with the Transportation sector's loss of 3.3% and the S&P 500's gain of 3.15%.
Analysts and investors alike will be keeping a close eye on the performance of American Airlines in its upcoming earnings disclosure. The company's upcoming EPS is projected at $1.28, signifying a 33.33% drop compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $14.69 billion, indicating a 4.49% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $2.57 per share and a revenue of $55.53 billion, demonstrating changes of -3.02% and +5.2%, respectively, from the preceding year.
Investors should also note any recent changes to analyst estimates for American Airlines. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.92% increase. American Airlines currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that American Airlines has a Forward P/E ratio of 4.53 right now. This signifies a discount in comparison to the average Forward P/E of 8.79 for its industry.
Meanwhile, AAL's PEG ratio is currently 0.17. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Transportation - Airline industry had an average PEG ratio of 0.64.
The Transportation - Airline industry is part of the Transportation sector. Currently, this industry holds a Zacks Industry Rank of 186, positioning it in the bottom 27% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow AAL in the coming trading sessions, be sure to utilize Zacks.com.