American Airlines Buy or Sell Recommendation

Macroaxis provides American Airlines Group Inc buy hold or sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding American Airlines positions. The advice algorithm takes into account all of American Airlines Group Inc available fundamental, technical, and predictive indicators you will find on this site. The advice is provided from American Airlines buy-and-hold prospective. Check also American Airlines Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with current analyst consensus

Investment Horizon

  

Risk Tolerance

  
Symbol
Execute Advice
Considering 30-days investment horizon, and your above average risk tolerance our recommendation regarding American Airlines Group Inc is 'Hold'.
For the selected time horizon American Airlines Group Inc has a risk adjusted performance of 0.0982, jensen alpha of 0.3303, total risk alpha of 0.2391, sortino ratio of 0.2704 and treynor ratio of (0.44)
Macroaxis buy, hold, or sell recommendation tool can be used to complement American Airlines buy or sell advice provided by experts. It analyzes the organization potential to grow against your specific risk preferences and investment horizon. To make sure American Airlines is not overpriced, please confirm all American Airlines Group fundamentals including its Current Valuation, Price to Book, Cash and Equivalents, as well as the relationship between Shares Owned by Institutions and Gross Profit . Given that American Airlines Group has Price to Earning of 7.51 times, we suggest you validate American Airlines Group Inc market performance and probability of bankruptcy to make sure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Returns Distribution Density

Mean Return0.33Value At Risk-1.3366
Potential Upside1.8828Standard Deviation1.3958
 Return Density 
      Distribution 

Institutional Investors

Security TypeSharesValue
Chevy Chase Trust Holdings IncCommon Shares424.6 K21.4 M
Gateway Investment Advisers LlcCommon Shares403.6 K20.3 M
Bank Of MontrealCommon Shares382.4 K19.2 M
Oregon Public Employees Retirement FundCommon Shares185.5 K9.3 M
Nisa Investment Advisors LlcCommon Shares132.2 K6.6 M
Davenport Co LlcCommon Shares122.5 K6.2 M
Exxonmobil Investment Management IncCommon Shares94.6 K4.8 M
Simplex Trading LlcCall Options5.7 K2.7 M

American Airlines Greeks

α
Alpha over DOW
= 0.33 
βBeta against DOW=(0.71) 
σ
Overall volatility
= 1.41 
 IrInformation ratio = 0.21 

American Airlines Volatility Alert

American Airlines Group Inc has relatively low volatility with skewness of 0.9 and kurtosis of 1.49. However, we advise all investors to independently investigate American Airlines Group Inc to ensure market all accessible information is consistent with the expectations about its upside potential and future risk-adjusted return.
    
 Better Than Average     
    
 Worse Than Average Compare American Airlines to competition
FundamentalsAmerican AirlinesPeer Average
Return On Equity54.12 % (15.17) %
Return On Asset6.45 % (15.64) %
Profit Margin5.47 % (5.50) %
Operating Margin13.10 % (10.91) %
Current Valuation45.53 B152.14 B
Shares Outstanding492.59 M1.43 B
Shares Owned by Insiders0.26 % 6.91 %
Shares Owned by Institutions73.80 % 18.37 %
Number of Shares Shorted37.24 M3.24 M
Price to Earning7.51 times40.69 times
Price to Book6.49 times14.44 times
Price to Sales0.64 times17.81 times
Revenue40.37 B9.85 B
Gross Profit30.3 B21.75 B
EBITDA7.16 B1.41 B
Net Income2.21 B517.71 M
Cash and Equivalents6.68 B3.89 B
Cash per Share13.55 times5.17 times
Total Debt24.54 B7.36 B
Debt to Equity709.90 times0.72 times
Current Ratio0.69 times3.30 times
Book Value Per Share6.97 times13.64 times
Cash Flow from Operations6.15 B1.25 B
Short Ratio6.26 times2.09 times
Earnings Per Share4.17 times2.30 times
Price to Earnings To Growth5.01 times1.22 times
Number of Employees121.8 K10.67 K
Beta1.330.34
Market Capitalization25.78 B29.78 B
Total Asset48.41 B126.86 B
Retained Earnings1.64 B38.24 B
Working Capital(3.62 B)3.58 B
Current Asset9.98 B36.8 B
SellBuy
Hold

Volatility

Hype Condition

Current Valuation

Odds of Distress

Economic Sensitivity

Analyst Consensus

Piotroski F Score

Financial Leverage

Inapplicable
   Acquisition by Alberto Ibarguen of 602 shares of American Airlines subject to Rule 16b-3 [view details]
Risk Adjusted Performance0.0982
Market Risk Adjusted Performance(0.43)
Mean Deviation1.1
Semi Deviation0.6668
Downside Deviation1.09
Coefficient Of Variation429.33
Standard Deviation1.4
Variance1.95
Information Ratio0.2105
Jensen Alpha0.3303
Total Risk Alpha0.2391
Sortino Ratio0.2704
Treynor Ratio(0.44)
Maximum Drawdown5.58
Value At Risk(1.34)
Potential Upside1.88
Downside Variance1.18
Semi Variance0.4447
Expected Short fall(1.29)
Skewness0.9021
Kurtosis1.49

Current Valuation

American Airlines Current Valuation Analysis
American Airlines Group Inc is rated third in current valuation category among related companies. After adjusting for long-term liabilities, total market size of Airlines industry is presently estimated at about 188.77 Billion. American Airlines totals roughly 45.53 Billion in current valuation claiming about 24% of stocks in Airlines industry.