(VIANEWS) – Shares of American Airlines (NASDAQ: AAL) jumped by a staggering 27.55% in 21 sessions from $12.56 at 2022-12-22, to $16.02 at 19:57 EST on Tuesday, after two sequential sessions in a row of losses. NASDAQ is falling 0.27% to $11,334.27, following the last session’s downward trend.
American Airlines’s last close was $16.02, 25.21% under its 52-week high of $21.42.
Is American Airlines Stock a Good Investment?
If you want to make a wise investment, you’ll need to know more about American Airlines stock. The company offers air transportation services to passengers, cargo, and people in transit.
Although the company has faced several hurdles over the past few years, it still has a good chance of performing well in the short term. In the long term, though, it will face some tough headwinds. Some of these include higher fuel prices, a weak labor market, and the ongoing challenge to find pilots.
Despite these challenges, the company has a strong track record of earnings surprise. A recent upgrade to Zacks Rank #1 (Strong Buy) reflects its optimistic outlook. However, American Airlines is still battling to recover from recent lows, which have been driven by the coronavirus crisis.
For example, the company expects adjusted non-fuel unit costs to rise in the first quarter, while revenue is forecast to be positive. This, combined with a modest capital expenditure program, could translate into increased shareholder value.
American Airlines is also investing in Universal Hydrogen, which is a new hydrogen distribution system. It’s a major step toward a carbon-neutral future.
However, the company is still trying to manage its jet fuel costs. Fortunately, the price of diesel fuel has decreased recently. As a result, the airline can look forward to some semblance of profitability in the first quarter of the 2022 fiscal year.
Although the company’s financial performance is expected to slow down, management expects the company’s revenue to grow by 10% to 12% for the year.
About American Airlines
American Airlines Group Inc., through its subsidiaries, operates as a network air carrier. The company provides scheduled air transportation services for passengers and cargo through its hubs in Charlotte, Chicago, Dallas/Fort Worth, Los Angeles, Miami, New York, Philadelphia, Phoenix, and Washington, D.C., as well as through partner gateways in London, Madrid, Seattle/Tacoma, Sydney, and Tokyo. As of December 31, 2021, it operated a mainline fleet of 865 aircraft. The company was formerly known as AMR Corporation and changed its name to American Airlines Group Inc. in December 2013. American Airlines Group Inc. was founded in 1930 and is headquartered in Fort Worth, Texas.
Earnings per Share
American Airlines’ trailing 12 months profit per share is $-14.73
Annual Top and Bottom Value
American Airlines stock was valued at $16.02 as of 20:09 EST at 2:09 PM EST. This is way lower than the 52-week high at $21.42 but much higher than the 52-week low at $11.65.
American Airlines’s value has risen to $14.12 per day, and $14.71 in the 200-day average.
Year-on-year quarterly revenue growth grew by 50.1%, now sitting on 45.21B for the twelve trailing months.
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