Bank of America analyst Andrew Didora has revised the price target for American Airlines (AAL, Financial), decreasing it from $12 to $10. Despite this adjustment, the analyst maintains a neutral stance on the airline's shares.
During recent earnings discussions, American Airlines' management highlighted strong performance in premium and managed corporate sectors but noted that the main cabin sector remains under pressure. These insights align with trends observed among similar network carriers.
Revising its financial projections, the firm significantly adjusted its 2025 revenue growth forecast for American Airlines. Initially, an increase of 6.5% was expected; however, this has been scaled back to a modest 0.6% growth. Additionally, the earnings per share (EPS) estimate for 2025 has been significantly reduced from $1.54 to 71 cents, reflecting more conservative expectations about the airline's financial performance in the coming years.
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 $14.50 with a high estimate of $24.00 and a low estimate of $8.00. The average target implies an upside of 50.91% from the current price of $9.61. 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 28.72% from the current price of $9.61. 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.
