American Airlines Group Inc. (NASDAQ:AAL) is a renowned holding company that offers air transportation for passengers and cargo. The company has recently been rated as “Hold” by eighteen ratings firms, according to Bloomberg reports. While one equities research analyst has recommended selling the stock, twelve have advised holding it, and one has suggested buying it. The average 12-month price target among analysts who have issued a report on the stock in the last year is $17.93.
The firm operates through various geographical segments, which include Department of Transportation Domestic, Department of Transportation Latin America, Department of Transportation Atlantic, and Department of Transportation Pacific. American Airlines Group’s principal wholly-owned mainline operating subsidiary is American.
In recent times, several hedge funds have increased or decreased their stakes in the business. For instance, Vanguard Group Inc. boosted its stake in the company by 2.1% during the 3rd quarter to reach 71,817,952 shares valued at $864,687,000 after purchasing an additional 1,482,592 shares during the period.
U.S Global Investors Inc., on its part, lifted its position in shares of American Airlines Group by 0.9% in the fourth quarter to reach 16,743,035 shares worth $212,971 million after acquiring an extra 152,873 shares during the period.
Geode Capital Management LLC also lifted its position in shares of American Airlines Group by 3.5% in the fourth quarter to reach 13,865918 shares worth $176203 million after acquiring an extra 469371 shares during that time.
Similarly Two Sigma Advisers LP increased its position in shares of American Airlines Group with a margin of around 21%. By the end of Q4 it was reported that they had accumulated up to around10’655200 share w evaluating up to $135’534’000 worth checking every box into excellence.
Finally, Renaissance Technologies LLC lifted its position in shares of American Airlines Group by 17.1% in the third quarter to reach 9’310’200 shares worth $112’095’000 after acquiring an additional 1’361’900 shares during the period.
In conclusion, institutional investors now hold up to around 54.84% of the company’s stock, indicating many financial institutions have confidence thrust on this venture thus boosting its standing in the commercial airlines segment. The continued growth trajectory of American Airlines Group Inc., as evidenced by increased support from analysts and hedge funds, makes it a prime investment opportunity for investors looking for a potential profit-maximizing investment avenue.
American Airlines Group: Divided Opinions and Significant Transactions in the Face of Ongoing Operations
American Airlines Group, Inc has been the subject of much discussion amongst research analysts due to some recent changes in the company. JPMorgan Chase & Co increased their price objective on the airline from $24.00 to $26.00 and gave it a “neutral” rating, while Deutsche Bank Aktiengesellschaft downgraded their price target from $25.00 to $20.00. Redburn Partners upgraded American Airlines Group to a “buy” rating with a price target of $25.00, and Morgan Stanley reduced their price target on the stock from $22.00 to $19.00.
Meanwhile, Citigroup raised their price objective for American Airlines Group to $19.00, indicating that opinions are greatly divided about where this company is headed.
Inside the company itself, there have been significant transactions occurring as well – on January 31st, COO David Seymour sold 74,614 shares of the company’s stock for a total of just over one million dollars.
These events are taking place against the backdrop of American Airlines Group continuing its operations as a network carrier, offering air transportation services for both passengers and cargo across various geographical segments: Department of Transportation Domestic; Department of Transportation Latin America; Department of Transportation Atlantic; and Department of Transportation Pacific.
Despite ongoing activity within the company and fluctuating opinions amongst experts about its future outlook, American Airlines Group’s shares currently trade at around $14.47 and have seen quite extensive movement recently (with highs of up to $21.42), making them an interesting prospect for investors looking for potentially high returns or more conservative strategies alike.
It is worth noting that American Airlines Group recently reported earnings data which surpassed analysts’ estimates – specifically by reporting an EPS figure of $1.17 for Q4 2020 compared to an expected EPS figure of only 1 cent higher ($1.14). Although there was slight disappointment with regards to revenue missing analysts’ estimates marginally, the overall growth of 39.9% YoY is impressive given the pandemic’s implications on travel.
Overall, it remains to be seen how American Airlines Group will fare as we progress further into 2021; however, with price objectives in such an extensive range based on variant sentiments from experts and a market cap of approximately $9.43 billion, there is certainly some potential for significant movement in value in either direction.