The stock price of American Airlines Group Inc (NASDAQ: AAL) has plunged by -0.51 when compared to previous closing price of 13.83, but the company has seen a -10.36% decline in its stock price over the last five trading sessions. Zacks Investment Research reported 2024-04-05 that American Airlines (AAL) concluded the recent trading session at $13.76, signifying a -0.51% move from its prior day’s close.
Is It Worth Investing in American Airlines Group Inc (NASDAQ: AAL) Right Now?
American Airlines Group Inc (NASDAQ: AAL) has a higher price-to-earnings ratio of 12.65x compared to its average ratio, The 36-month beta value for AAL is at 1.58. Analysts have varying views on the stock, with 5 analysts rating it as a “buy,” 4 rating it as “overweight,” 7 as “hold,” and 2 as “sell.”
The public float for AAL is 641.67M, and currently, shorts hold a 7.10% of that float. The average trading volume for AAL on April 08, 2024 was 34.26M shares.
AAL’s Market Performance
AAL stock saw a decrease of -10.36% in the past week, with a monthly decline of -7.53% and a quarterly a decrease of 5.12%. The volatility ratio for the week is 3.24%, and the volatility levels for the last 30 days are 2.53% for American Airlines Group Inc (AAL). The simple moving average for the past 20 days is -5.31% for AAL’s stock, with a -3.90% simple moving average for the past 200 days.
Analysts’ Opinion of AAL
Many brokerage firms have already submitted their reports for AAL stocks, with UBS repeating the rating for AAL by listing it as a “Buy.” The predicted price for AAL in the upcoming period, according to UBS is $19 based on the research report published on March 20, 2024 of the current year 2024.
Citigroup, on the other hand, stated in their research note that they expect to see AAL reach a price target of $20, previously predicting the price at $14. The rating they have provided for AAL stocks is “Buy” according to the report published on January 29th, 2024.
Wolfe Research gave a rating of “Outperform” to AAL, setting the target price at $17 in the report published on January 22nd of the current year.
AAL Trading at -6.69% from the 50-Day Moving Average
After a stumble in the market that brought AAL to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -27.88% of loss for the given period.
Volatility was left at 2.53%, however, over the last 30 days, the volatility rate increased by 3.24%, as shares sank -7.65% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -1.22% lower at present.
During the last 5 trading sessions, AAL fell by -10.36%, which changed the moving average for the period of 200-days by -15.69% in comparison to the 20-day moving average, which settled at $14.48. In addition, American Airlines Group Inc saw 0.15% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at AAL starting from Raja Vasu, who sale 7,545 shares at the price of $14.30 back on Dec 14 ’23. After this action, Raja Vasu now owns 321,608 shares of American Airlines Group Inc, valued at $107,894 using the latest closing price.
Raja Vasu, the EVP Chief Commercial Officer of American Airlines Group Inc, sale 5,121 shares at $12.29 during a trade that took place back on Nov 21 ’23, which means that Raja Vasu is holding 334,049 shares at $62,937 based on the most recent closing price.
Stock Fundamentals for AAL
Current profitability levels for the company are sitting at:
- 0.05 for the present operating margin
- 0.23 for the gross margin
The net margin for American Airlines Group Inc stands at 0.02. The total capital return value is set at 0.07.
Based on American Airlines Group Inc (AAL), the company’s capital structure generated 1.18 points at debt to capital in total, while cash flow to debt ratio is standing at 0.11. The debt to equity ratio resting at -6.58. The interest coverage ratio of the stock is 2.5.
Currently, EBITDA for the company is 6.26 billion with net debt to EBITDA at 11.69. When we switch over and look at the enterprise to sales, we see a ratio of 0.91. The receivables turnover for the company is 26.06for trailing twelve months and the total asset turnover is 0.84. The liquidity ratio also appears to be rather interesting for investors as it stands at 0.62.
Conclusion
In conclusion, American Airlines Group Inc (AAL) has had a mixed performance lately. Opinion on the stock among analysts is mixed, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
