Zacks Investment Research upgraded shares of American Airlines Group (NASDAQ:AAL) from a hold rating to a buy rating in a research report report published on Tuesday morning. They currently have $56.00 price objective on the airline’s stock.
According to Zacks, “Shares of American Airlines have outperformed its industry in the last three months. The company reported better-than-expected earnings per share and revenues in the fourth quarter of 2017. Additionally, both metrics improved on a year-over-year basis. Strong demand for air travel coupled with improving yields also aided results. The company's performance with respect to unit revenues was also encouraging in the quarter. Efforts to modernize its fleet too raise optimism in the stock. The company efforts to reward shareholders through dividends and share buybacks are also impressive. During 2017, the company returned $1.7 billion to shareholders through dividends and buybacks. However, high costs and debt levels are a cause for worry. “
A number of other equities research analysts have also issued reports on AAL. Sanford C. Bernstein upgraded shares of American Airlines Group from a market perform rating to an outperform rating and boosted their price target for the company from $52.59 to $62.00 in a report on Wednesday, January 31st. Morgan Stanley boosted their price target on shares of American Airlines Group from $58.00 to $60.00 and gave the company an equal weight rating in a report on Friday, January 26th. Buckingham Research boosted their price target on shares of American Airlines Group from $71.00 to $75.00 and gave the company a buy rating in a report on Friday, January 26th. Stephens restated a hold rating and set a $61.00 price target on shares of American Airlines Group in a report on Friday, January 26th. Finally, Imperial Capital restated an in-line rating and set a $53.00 price target (up previously from $47.00) on shares of American Airlines Group in a report on Thursday, January 11th. One research analyst has rated the stock with a sell rating, five have given a hold rating, eleven have given a buy rating and two have issued a strong buy rating to the company. The company has an average rating of Buy and a consensus target price of $61.38.
Shares of American Airlines Group (NASDAQ AAL) opened at $51.58 on Tuesday. The company has a quick ratio of 0.52, a current ratio of 0.61 and a debt-to-equity ratio of 5.73. American Airlines Group has a fifty-two week low of $39.21 and a fifty-two week high of $59.08. The company has a market cap of $24,724.05, a P/E ratio of 10.55, a P/E/G ratio of 1.12 and a beta of 0.96.
American Airlines Group (NASDAQ:AAL) last released its earnings results on Thursday, January 25th. The airline reported $0.95 EPS for the quarter, topping analysts’ consensus estimates of $0.92 by $0.03. American Airlines Group had a net margin of 4.55% and a return on equity of 63.78%. The business had revenue of $10.60 billion for the quarter, compared to the consensus estimate of $10.59 billion. During the same period in the previous year, the firm earned $0.92 EPS. The business’s revenue for the quarter was up 8.3% on a year-over-year basis. analysts predict that American Airlines Group will post 5.8 earnings per share for the current fiscal year.
The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, February 20th. Shareholders of record on Tuesday, February 6th will be paid a $0.10 dividend. The ex-dividend date is Monday, February 5th. This represents a $0.40 annualized dividend and a yield of 0.78%. American Airlines Group’s dividend payout ratio is presently 10.23%.
In other American Airlines Group news, VP Derek J. Kerr sold 39,662 shares of the business’s stock in a transaction that occurred on Monday, January 29th. The shares were sold at an average price of $52.77, for a total value of $2,092,963.74. Following the completion of the sale, the vice president now directly owns 429,046 shares of the company’s stock, valued at $22,640,757.42. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO W Douglas Parker sold 224,572 shares of the business’s stock in a transaction that occurred on Tuesday, January 2nd. The stock was sold at an average price of $52.32, for a total transaction of $11,749,607.04. Following the completion of the sale, the chief executive officer now directly owns 1,925,242 shares of the company’s stock, valued at $100,728,661.44. The disclosure for this sale can be found here. In the last quarter, insiders sold 302,416 shares of company stock worth $15,826,647. Company insiders own 0.64% of the company’s stock.
Hedge funds have recently bought and sold shares of the business. Koch Industries Inc. bought a new stake in American Airlines Group in the second quarter worth approximately $265,000. Daiwa Securities Group Inc. grew its position in American Airlines Group by 215.9% in the third quarter. Daiwa Securities Group Inc. now owns 31,428 shares of the airline’s stock worth $1,493,000 after acquiring an additional 21,478 shares in the last quarter. Virtu KCG Holdings LLC bought a new stake in American Airlines Group in the second quarter worth approximately $322,000. Alyeska Investment Group L.P. bought a new stake in American Airlines Group in the third quarter worth approximately $2,409,000. Finally, U S Global Investors Inc. grew its position in American Airlines Group by 1.7% in the third quarter. U S Global Investors Inc. now owns 302,245 shares of the airline’s stock worth $14,354,000 after acquiring an additional 5,014 shares in the last quarter. 80.93% of the stock is owned by institutional investors.
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About American Airlines Group
American Airlines Group Inc is a holding company. The Company’s primary business activity is the operation of a network air carrier, providing scheduled air transportation for passengers and cargo. The Company operates through American segment, which provides air transportation for passengers and cargo.
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