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

Time Horizon

Risk Tolerance

Symbol
Execute Advice
American Airlines Group Inc -- USA Stock  

USD 51.72  1.26  2.38%

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 0.26, jensen alpha of 0.21, total risk alpha of 0.085737, sortino ratio of 0.0 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 Number of Shares Shorted of 26.36 M, 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 Return0.4Value At Risk5.35
Potential Upside3.29Standard Deviation2.58
 Return Density 
      Distribution 

Institutional Investors

Security TypeSharesValue
Price T Rowe Associates IncCommon Shares68.4 M3.6 B
Primecap Management CoCommon Shares50.9 M2.6 B
Berkshire Hathaway IncCommon Shares46 M2.4 B
Vanguard Group IncCommon Shares28.5 M1.5 B
Blackrock IncCommon Shares24.5 M1.3 B
Fmr LlcCommon Shares19.5 M1 B
State Street CorpCommon Shares15.6 M813.4 M
Pomelo Capital LlcPut Options6.5 M310.1 M
Susquehanna International Group LlpCall Options4.5 M235.6 M

American Airlines Greeks

α
Alpha over DOW
=0.21
β
Beta against DOW=0.93
σ
Overall volatility
=2.31
Ir
Information ratio =0.08

American Airlines Volatility Alert

American Airlines Group Inc exhibits very low volatility with skewness of -0.69 and kurtosis of 0.09. However, we advise investors to further study American Airlines Group Inc technical indicators to make sure all market info is available and is reliable.
    
 Better Than Average     
    
 Worse Than Average Compare American Airlines to competition
FundamentalsAmerican AirlinesPeer Average
Return On Equity49.77 % (15.17) %
Return On Asset5.81 % (15.64) %
Profit Margin4.55 % (5.50) %
Operating Margin16.01 % (10.91) %
Current Valuation44.53 B152.14 B
Shares Outstanding475.5 M1.43 B
Shares Owned by Insiders41.95 % 6.91 %
Shares Owned by Institutions6.85 % 18.37 %
Number of Shares Shorted26.36 M3.24 M
Price to Earning13.23 times40.69 times
Price to Book6.25 times14.44 times
Price to Sales0.58 times17.81 times
Revenue42.21 B9.85 B
Gross Profit30.3 B21.75 B
EBITDA6.76 B1.41 B
Net Income1.92 B517.71 M
Cash and Equivalents5.07 B3.89 B
Cash per Share10.65 times5.17 times
Total Debt25.07 B7.36 B
Debt to Equity638.40 % 0.72 %
Current Ratio0.61 times3.30 times
Book Value Per Share8.26 times13.64 times
Cash Flow from Operations4.93 B1.25 B
Short Ratio6.07 times2.09 times
Earnings Per Share3.90 times2.30 times
Price to Earnings To Growth0.90 times1.22 times
Number of Employees126.6 K10.67 K
Beta1.110.34
Market Capitalization24.53 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

Hype Condition

Current Valuation

Odds of Distress

Economic Sensitivity

Analyst Consensus

Piotroski F Score

Financial Leverage

Inapplicable
   Exercise or conversion by Elise Eberwein of 096 shares of American Airlines subject to Rule 16b-3 [view details]
Risk Adjusted Performance0.26
Market Risk Adjusted Performance0.43
Mean Deviation1.9
Coefficient Of Variation642.35
Standard Deviation2.58
Variance6.64
Information Ratio0.075244
Jensen Alpha0.21
Total Risk Alpha0.085737
Treynor Ratio0.44
Maximum Drawdown8.64
Value At Risk5.35
Potential Upside3.29
Skewness0.69
Kurtosis0.0938

Current Valuation

American Airlines Current Valuation Analysis
American Airlines Group Inc is rated second in current valuation category among related companies. After adjusting for long-term liabilities, total market size of Airlines industry is presently estimated at about 207.6 Billion. American Airlines totals roughly 44.53 Billion in current valuation claiming about 21% of stocks in Airlines industry.