Latest news with #AmericanAirlinesGroup
Business Times
6 days ago
- Business
- Business Times
American Airlines' new Airbus jet grounded by supply chain issue
[TEXAS] American Airlines Group has finally taken possession of its first long-range Airbus A321XLR aircraft, but the plane will remain in Europe because of a supply chain issue that's caused a shortage of seats. The carrier signed paperwork to accept the plane in Hamburg, Germany, on Friday (Jul 25), American said. The company, which ordered 50 of the longer-range aircraft in 2019, plans to initially use this first plane on US transcontinental routes later this year before shifting it to international service. The aircraft is part of American's plan to increase its long-haul fleet to 200 in 2029 from about 125 today. It will also help it capitalise on rising consumer demand for upscale travel options. The aircraft, equipped with 20 suites and 12 premium seats, has the longest range of any single-aisle commercial jet. The plane 'will remain in Europe until ongoing seat supply chain challenges are resolved', the airline said, declining to name the seat manufacturer. Aircraft built in Europe currently get 10 per cent tariffs as part of US President Donald Trump's trade war. The A321XLR delay is not related to those levies, American said. Chief executive officer Robert Isom said in April that the carrier did not plan to absorb extra tariff charges. Delta Air Lines also has new Airbus jets stranded in Europe, because their seats have not yet been certified by regulators, Bloomberg reported earlier this month, citing sources familiar with the matter. The carrier has been cannibalising some of the stranded aircraft by stripping off their US-made engines and using them to get grounded planes in America back into service. BLOOMBERG
Globe and Mail
7 days ago
- Business
- Globe and Mail
Stock Market Today: American Airlines Drops 9.6% After Weak Q3 Guidance
American Airlines Group Inc. (NASDAQ: AAL) plummeted 9.62% to close at $11.46 on Thursday, as management's cautious Q3 outlook overshadowed the carrier's robust second-quarter performance. American's steep decline occurred against modest gains in broader markets, with the S&P 500 rising 0.07% and the Nasdaq Composite advancing 0.18%, underscoring that industry-specific worries rather than systemic pressures drove the sell-off. Airline peers also retreated but to a lesser extent, with Delta Air Lines falling 2.27% to $54.71 amid similar soft travel demand concerns, while United Airlines dropped just 0.77% to $89.73, exhibiting greater resilience due to stronger premium revenue and superior balance sheet positioning. Trading volume surged to approximately 119.4 million shares, indicating aggressive institutional repositioning as traders exited positions ahead of weaker near-term forecasts. The stock opened at $11.79 and traded within a range of $11.33 to $11.84, with the elevated volume combined with the substantial price decline signaling deliberate investor response to forward guidance concerns despite the company's solid quarterly execution. Should you invest $1,000 in American Airlines Group right now? Before you buy stock in American Airlines Group, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and American Airlines Group wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $634,627!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,046,799!* Now, it's worth noting Stock Advisor's total average return is 1,037% — a market-crushing outperformance compared to 182% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 21, 2025
Globe and Mail
24-07-2025
- Business
- Globe and Mail
Why American Airlines Stock Tumbled Today
Key Points American Airlines beat on sales and earnings this morning. Revenues held steady year over year, but profits declined 10%. American Airlines says it will lose money in Q3, and could lose money for the full year as well. 10 stocks we like better than American Airlines Group › American Airlines (NASDAQ: AAL) stock sank 7.2% through 10:55 a.m. ET Thursday despite reporting an earnings beat for Q2 this morning. Analysts forecast the airline company would earn $0.77, adjusted for one-time items, on $14.3 billion in Q2 sales. In fact, the airline earned $0.95 on sales of $14.4 billion. American Airlines Q2 earnings What's bad about that? Combing through the numbers, here's what we find: Earnings as calculated according to generally accepted accounting principles (GAAP) were lower than the adjusted figure of $0.91. This was down 10% from what AA earned a year ago, despite quarterly revenue remaining roughly flat. So obviously, profit margins declined. But why? Well, fuel costs were lower in Q2 2025 than a year ago, but salaries, wages, and benefits cost 11% more, and landing fees grew 7%. Those were among the biggest changes that stand out. Is American Airlines stock a sell? I doubt these costs are what's upset investors today, however. Looming larger are concerns about "macro weaknesses" in the economy that are affecting company guidance. Although American Airlines management says it doesn't necessarily see a reason to worry right now, it worries anyway -- and after reporting its big Q2 profit, told investors it might lose as much as $0.60 per share in Q3, while full-year results could be as good as a $0.80 per-share profit... or as bad as a $0.20 per-share loss. That's a pretty wide range of potential outcomes for the year, and the only thing AA seems certain of is that it will definitely lose money in the current quarter. With a market cap of only $7.8 billion but more than $ 28 billion in debt and losses on the horizon, maybe investors should worry about AAL stock, too. Should you invest $1,000 in American Airlines Group right now? Before you buy stock in American Airlines Group, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and American Airlines Group wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $634,627!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,046,799!* Now, it's worth noting Stock Advisor's total average return is 1,037% — a market-crushing outperformance compared to 182% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 21, 2025
Bloomberg
27-06-2025
- Business
- Bloomberg
American Air Working to Fix Issue Causing Broad Flight Delays
American Airlines Group Inc. said it was working with its partners to resolve a 'technology' issue that was causing flight delays on Friday. The problem, which American didn't detail, was causing connectivity issues among some of its systems, the carrier said in an emailed statement. The issue had not caused any flight cancellations, according to the statement.
Yahoo
01-05-2025
- Business
- Yahoo
Shareholders Can Be Confident That American Airlines Group's (NASDAQ:AAL) Earnings Are High Quality
American Airlines Group Inc.'s (NASDAQ:AAL) strong earnings report was rewarded with a positive stock price move. We have done some analysis, and we found several positive factors beyond the profit numbers. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. To properly understand American Airlines Group's profit results, we need to consider the US$688m expense attributed to unusual items. While deductions due to unusual items are disappointing in the first instance, there is a silver lining. We looked at thousands of listed companies and found that unusual items are very often one-off in nature. And that's hardly a surprise given these line items are considered unusual. Assuming those unusual expenses don't come up again, we'd therefore expect American Airlines Group to produce a higher profit next year, all else being equal. That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates. Because unusual items detracted from American Airlines Group's earnings over the last year, you could argue that we can expect an improved result in the current quarter. Because of this, we think American Airlines Group's earnings potential is at least as good as it seems, and maybe even better! And on top of that, its earnings per share increased by 36% in the last year. The goal of this article has been to assess how well we can rely on the statutory earnings to reflect the company's potential, but there is plenty more to consider. So if you'd like to dive deeper into this stock, it's crucial to consider any risks it's facing. For instance, we've identified 3 warning signs for American Airlines Group (2 don't sit too well with us) you should be familiar with. This note has only looked at a single factor that sheds light on the nature of American Airlines Group's profit. But there are plenty of other ways to inform your opinion of a company. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to 'follow the money' and search out stocks that insiders are buying. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks with significant insider holdings to be useful. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
