American Airlines Group Stock Alpha and Beta Analysis

AAL Stock  USD 14.11  0.15  1.07%   
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as American Airlines Group. It also helps investors analyze the systematic and unsystematic risks associated with investing in American Airlines over a specified time horizon. Remember, high American Airlines' alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation. Key technical indicators related to American Airlines' market risk premium analysis include:
Beta
1.7
Alpha
(0.19)
Risk
2.88
Sharpe Ratio
0.0194
Expected Return
0.0558
Please note that although American Airlines alpha is a measure of relative return and represented here as a single number, it indicates the percentage above or below your selected benchmark (i.e., NYSE Composite index.) So in this particular case, American Airlines did 0.19  worse than the index. Remember, a high alpha is always good. Beta, on the other hand, measures the volatility (or risk) of an investment. It is an indication of American Airlines Group stock's relative risk over its benchmark. American Airlines has a beta of 1.70  . As the market goes up, the company is expected to outperform it. However, if the market returns are negative, American Airlines will likely underperform. The value of Price Book Value Ratio is estimated to slide to -2. The value of Enterprise Value Multiple is estimated to slide to 6.37.
Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
  
Check out American Airlines Backtesting, American Airlines Valuation, American Airlines Correlation, American Airlines Hype Analysis, American Airlines Volatility, American Airlines History and analyze American Airlines Performance.

American Airlines Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. American Airlines market risk premium is the additional return an investor will receive from holding American Airlines long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in American Airlines. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate American Airlines' performance over market.
α-0.19   β1.70

American Airlines expected buy-and-hold returns

Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of American Airlines' Buy-and-hold return. Our buy-and-hold chart shows how American Airlines performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.

American Airlines Market Price Analysis

Market price analysis indicators help investors to evaluate how American Airlines stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading American Airlines shares will generate the highest return on investment. By understating and applying American Airlines stock market price indicators, traders can identify American Airlines position entry and exit signals to maximize returns.

American Airlines Return and Market Media

The median price of American Airlines for the period between Wed, Dec 20, 2023 and Tue, Mar 19, 2024 is 14.49 with a coefficient of variation of 4.48. The daily time series for the period is distributed with a sample standard deviation of 0.64, arithmetic mean of 14.4, and mean deviation of 0.52. The Stock received substential amount of media coverage during this period.
 Price Growth (%)  
       Timeline  
1
These stocks are bargains even as the SP 500 rallies to record highs
02/23/2024
2
Air Rage What Do You Do About Unruly Passengers Flightmares
02/28/2024
3
The eight ways cabin crew are taught to deal with unruly passengers
03/04/2024
4
Skiing and surfing in California Can you hit both slopes and waves in the same weekend
03/06/2024
5
Resident Sends 36K To Barbra Streisands Son Glenview PD Blotter
03/07/2024
6
Fraud, Vehicle Theft, Assault, More Haverford Crime Blotter
03/08/2024
7
Paradise in March Exciting New Events and Offerings in The Bahamas
03/11/2024
8
American Airlines Stock Falls Due To Jet Fuel Prices
03/12/2024
9
Hudson Bay Capital Management LP Invests 5.12 Million in American Airlines Group Inc. - Defense World
03/15/2024

About American Airlines Beta and Alpha

For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including American or other stocks. Alpha measures the amount that position in American Airlines has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
 2021 2022 2023 2024 (projected)
Dividend Yield1.050.430.490.98
Price To Sales Ratio0.390.170.190.14

American Airlines Upcoming Company Events

As portrayed in its financial statements, the presentation of American Airlines' financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, American Airlines' leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of American Airlines' public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of American Airlines. Please utilize our Beneish M Score to check the likelihood of American Airlines' management manipulating its earnings.
25th of April 2024
Upcoming Quarterly Report
View
18th of July 2024
Next Financial Report
View
31st of March 2024
Next Fiscal Quarter End
View
23rd of January 2025
Next Fiscal Year End
View
31st of December 2023
Last Quarter Report
View
31st of December 2023
Last Financial Announcement
View

Build Portfolio with American Airlines

Your optimized portfolios are the building block of your wealth. We provide an intuitive interface to determine which securities in a portfolio should be removed or rebalanced to achieve better diversification, find the right mix of securities that minimizes portfolio risk for a given return, or maximize portfolio expected return for a given risk level.

Build Diversified Portfolios

Align your risk with return expectations

Fix your portfolio
By capturing your risk tolerance and investment horizon Macroaxis technology of instant portfolio optimization will compute exactly how much risk is acceptable for your desired return expectations
When determining whether American Airlines is a strong investment it is important to analyze American Airlines' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact American Airlines' future performance. For an informed investment choice regarding American Stock, refer to the following important reports:
Check out American Airlines Backtesting, American Airlines Valuation, American Airlines Correlation, American Airlines Hype Analysis, American Airlines Volatility, American Airlines History and analyze American Airlines Performance.
Note that the American Airlines information on this page should be used as a complementary analysis to other American Airlines' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.

Complementary Tools for American Stock analysis

When running American Airlines' price analysis, check to measure American Airlines' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy American Airlines is operating at the current time. Most of American Airlines' value examination focuses on studying past and present price action to predict the probability of American Airlines' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move American Airlines' price. Additionally, you may evaluate how the addition of American Airlines to your portfolios can decrease your overall portfolio volatility.
Content Syndication
Quickly integrate customizable finance content to your own investment portal
Correlation Analysis
Reduce portfolio risk simply by holding instruments which are not perfectly correlated
Stocks Directory
Find actively traded stocks across global markets
Funds Screener
Find actively-traded funds from around the world traded on over 30 global exchanges
Portfolio Comparator
Compare the composition, asset allocations and performance of any two portfolios in your account
Instant Ratings
Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance
American Airlines technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of American Airlines technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of American Airlines trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions. More Info...