American Airlines (AAL, Financial) generated $12.6 billion in revenue for the first quarter, marking a 0.7% increase in total unit revenue compared to the same period in 2024. This growth was largely fueled by a solid performance in international markets, where unit revenue rose by 2.9% despite a slightly reduced capacity of 0.8% year over year.
The airline also experienced a rise in premium and loyalty revenue, contributing to its improved financial performance. Throughout the quarter, American worked to recover its revenue share from indirect channels and remains optimistic about achieving historical levels by the end of the year.
However, these positive developments were partially offset by challenges such as economic uncertainties that affected domestic leisure travel demand, as well as the unfortunate incident involving American Eagle Flight 5342.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 19 analysts, the average target price for American Airlines Group Inc (AAL, Financial) is $14.66 with a high estimate of $24.00 and a low estimate of $8.00. The average target implies an upside of 57.30% from the current price of $9.32. More detailed estimate data can be found on the American Airlines Group Inc (AAL) Forecast page.
Based on the consensus recommendation from 23 brokerage firms, American Airlines Group Inc's (AAL, Financial) average brokerage recommendation is currently 2.4, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for American Airlines Group Inc (AAL, Financial) in one year is $12.37, suggesting a upside of 32.73% from the current price of $9.32. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the American Airlines Group Inc (AAL) Summary page.
