American Airlines Valuation

American Airlines Group shows prevailing Real Value of USD48.29 per share. The current price of the firm is USD41.96. At this time the firm appears to be under valued. Macroaxis approximates value of American Airlines Group from analyzing the firm fundamentals such as Profit Margin of 18.57% and Return On Equity of 0.0001% as well as examining its technical indicators and Probability Of Bankruptcy. In general, we favor to go long with undervalued instruments and to trade away overvalued instruments since at some point assets prices and their ongoing real values will blend.

These numbers represent the fourth quarter results and can be found on the 8-K SEC filing. Fourth quarter 2016 pre-tax profit was $500 million, or $773 million excluding net special charges. Also, total revenue per available seat mile was up 1.3 percent year-over-year, which is the first year this has happened since the fourth quarter of 2014. As a potential investor, the idea that consecutive growth is happening shows the company still has the ability to grow and maintain profitability.

Now, let us switch over to the chart and see if price is reacting in a health way. Taking a look at the monthly chart, you can see there is not a whole bunch of historical data, but from what we can tell is that price is in a range and appears to be going back to the downside. For a short position, this could be great, but we’re here for long term growth and want the company’s stock price to rise. Right now, I would wait for the price to catch some support and be sure to watch the latest numbers because that will influence price direction.

Valuation Drivers Correlation

Selected American Airlines Group Inc Valuation Data Over Time

Net Income Per Employee    Earnings before Tax    Average Equity    
Investment Horizon     30 Days    Login   to change

American Airlines Total Value Analsys

American Airlines Group Inc is presently estimated to have company total value of 45.53 B with market capitalization of 26.69 B, debt of 20.56 B, and cash on hands of 1.08 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the American Airlines fundamentals before making security assessment based on the enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
45.53 B26.69 B20.56 B1.08 B

American Airlines Investor Information

About 74.0% of the company shares are held by institutions such as insurance companies. The company recorded earning per share (EPS) of 9.65. American Airlines Group Inc last dividend was issued on 2017-02-09. This company had 0:1 split on December 9, 2013. American Airlines Group Inc., through its subsidiaries, operates in the airline industry. For more info on AAL please contact Seamus French at 817 967-9641 or go to www.aa.com.

American Airlines Asset Utilization

American Airlines Group Inc utilizes its assets nearly 16.5101 percent, earning USD0.1651 for each dollar of assets held by the firm. An expanding assets utilization signifies that the company is being more effective with each dollar of assets it shows. In plain English assets utilization of American Airlines shows how effective it operates for each dollar spent on its assets

American Airlines Ownership Allocation (%)

American Airlines Group retains a total of 630.33 Million outstanding shares. Majority of American Airlines Group Inc outstanding shares are owned by other corporate entities. These outside corporations are referred to non-private investors that are looking to acquire positions in American Airlines Group to benefit from reduced commissions. Consequently, institutional investers are subject to different set of regulations than regular investors in American Airlines. Please pay attention to any change in the institutional holdings of American Airlines Group Inc as this could imply that something significant has changed or about to change at the company. Note that regardless of how profitable the company is, if the true value of the entity is less than the market is willing to pay for it, you may not be able to generate positive returns from it at some point.
 Ownership % 
Benchmark  Embed    Values 

American Airlines Profitability Analysis

The company reported last year revenue of 40.99 B. Total Income to common stockholders was 7.61 B with profit before taxes, overhead, and interest of 23.91 B.
 Profitability 
Benchmark  Embed    Values 
Under Valued
March 30, 2017
41.96
Market Value
Downside upside
48.29
Real Value
Target Price Odds
 Above  Below  
54.2
Upside
Upside upside
American Airlines is not too volatile asset. Calculation of real value of American Airlines Group is based on 1 month time horizon. Increasing American Airlines Group time horizon generally increases accuracy of value calculation and significantly improves predictive power of the methodology used.
Recommendations
American Airlines Analyst Recommendations
Target PriceAdvice# of Analysts
53.82Hold11Odds
American Airlines Group Inc current and past analyst recommendations published by number of research institutions as well as average analyst consensus
American Airlines Analyst Advice  
Tax Efficiency
American Airlines Group Tax Efficiency History
Market Capitalization
American Airlines Market Capitalization Analysis
American Airlines Group Inc is rated third in market capitalization category among related companies. Market capitalization of Airlines industry is presently estimated at about 123.19 Billion. American Airlines totals roughly 26.69 Billion in market capitalization claiming about 22% of stocks in Airlines industry.
Capitalization  Workforce  Total debt  Revenue  Valuation
Revenue
American Airlines Group Revenue
Based on latest financial disclosure American Airlines Group Inc reported 40.99 B of revenue. This is much higher than that of the Transport sector, and significantly higher than that of Airlines industry, The Revenue for all stocks is over 1000% lower than the firm.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can includes product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.