olivLaw · US equity research
American Airlines Group Inc. AAL
Air Transportation, Scheduled · SIC 4512 · Vertical: Air Transportation, Scheduled (SIC 4512)
American Airlines Group is the holding company of a major US airline that runs a global network of scheduled passenger and cargo flights through hubs in the United States and partnerships in the oneworld alliance. With fuel prices rising sharply in the third quarter of 2026, the company reported record revenue but a net loss, which makes fuel cost trends the main item to watch. Total operating revenues were 54.6 billion USD in fiscal 2025 and 16.3 billion USD in the third quarter of 2026.
At the close of 02 Nov 2026, American Airlines Group Inc. (AAL) stock was 13.08 USD (+3.81% on the day), with market capitalisation 8.7 bn USD, dividend yield 0.00%, beta 1.76, 52-week range 10.18–18.15 USD. Latest reported quarter (Q2 2026): revenue of 16.7 bn USD (+16.3% YoY), net income of 71.0 m USD (−88.1% YoY), diluted EPS 0.11 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 55.6
- strong (55–70)
- Bollinger (20, 2)
- 11.68 – 13.23
- in the upper half of the band · %B 0.90 · band width 12.5%
- SMA 50 / 200
- 12.94 / 13.53
- mixed trend
- MACD (12, 26, 9)
- -0.11 / -0.23
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +1.1% | −2.3% | +3.4 pp | — |
| 3 months | −18.5% | −0.8% | −17.7 pp | — |
| 6 months | +10.8% | +4.7% | +6.0 pp | — |
| Year to date | −14.7% | +10.2% | −24.8 pp | — |
| 1 year | −0.4% | +10.3% | −10.6 pp | −0.6% |
| 3 years | +9.2% | +73.0% | −63.9 pp | +71.9% |
| 5 years | −36.6% | +61.8% | −98.4 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q2 2026 · 30 Jun 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 13.6 bn | 13.7 bn | 12.6 bn | 14.4 bn | 13.7 bn | 14.0 bn | 13.9 bn | 16.7 bn |
| Operating income | 89.0 m | 1.1 bn | -270.0 m | 1.1 bn | 151.0 m | 452.0 m | -41.0 m | 446.0 m |
| Depreciation & amortisation | 479.0 m | 776.0 m | 468.0 m | 476.0 m | 474.0 m | 782.0 m | 475.0 m | 478.0 m |
| Interest expense | 480.0 m | 470.0 m | 428.0 m | 433.0 m | 432.0 m | 422.0 m | 397.0 m | 409.0 m |
| Pre-tax income | -256.0 m | 795.0 m | -648.0 m | 838.0 m | -142.0 m | 142.0 m | -476.0 m | 107.0 m |
| Income tax | -107.0 m | 205.0 m | -175.0 m | 239.0 m | -28.0 m | 43.0 m | -94.0 m | 36.0 m |
| Net income | -149.0 m | 590.0 m | -473.0 m | 599.0 m | -114.0 m | 99.0 m | -382.0 m | 71.0 m |
| Diluted EPS | -0.23 | 0.65 ≈ | -0.72 | 0.91 | -0.17 | 0.15 ≈ | -0.58 | 0.11 |
| Operating cash flow | 277.0 m ≈ | 398.0 m | 2.5 bn | 963.0 m ≈ | -46.0 m ≈ | -274.0 m | 4.2 bn | 471.0 m ≈ |
| Capex | 468.0 m ≈ | 740.0 m | 824.0 m | 499.0 m ≈ | 826.0 m ≈ | 1.6 bn | 811.0 m | 822.0 m ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 44.5 bn | 45.8 bn | 17.3 bn | 29.9 bn | 49.0 bn | 52.8 bn | 54.2 bn | 54.6 bn |
| Revenue YoY | +4.5% | +2.8% | −62.1% | +72.4% | +63.9% | +7.8% | +2.7% | +0.8% |
| Net income | 1.4 bn | 1.7 bn | -8.9 bn | -2.0 bn | 127.0 m | 822.0 m | 846.0 m | 111.0 m |
| Net income YoY | +10.1% | +19.4% | −627.0% | unavailable | unavailable | +547.2% | +2.9% | −86.9% |
| Diluted EPS | 3.03 | 3.79 | -18.36 | -3.09 | 0.19 | 1.21 | 1.24 | 0.17 |
| Diluted EPS YoY | +16.1% | +25.1% | −584.4% | unavailable | unavailable | +536.8% | +2.5% | −86.3% |
| net % | 3.2% | 3.7% | -51.2% | -6.7% | 0.3% | 1.6% | 1.6% | 0.2% |
| Free cash flow | -212.0 m | -453.0 m | -8.5 bn | 496.0 m | -373.0 m | 1.2 bn | 1.3 bn | -680.0 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 1.1 bn USD
- Financial debt
- 28.3 bn USD
- Net debt
- 27.2 bn USD
- Equity
- -3.7 bn USD
- Total assets
- 61.8 bn USD
- Debt / equity
- unavailable
- Current ratio
- 0.50x
- ROE
- unavailable
- ROA
- 0.2%
- FCF margin
- -1.2%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 17.3 bn | 29.9 bn | 49.0 bn | 52.8 bn | 54.2 bn | 54.6 bn | SEC (XBRL)· 18 Feb 2026verified |
| Operating income | -10.4 bn | -1.1 bn | 1.6 bn | 3.0 bn | 2.6 bn | 1.5 bn | SEC (XBRL)· 18 Feb 2026verified |
| Depreciation & amortisation | 2.4 bn | 2.3 bn | 2.3 bn | 2.3 bn | 2.2 bn | 2.2 bn | SEC (XBRL)· 18 Feb 2026verified |
| EBITDA | -8.0 bn ≈ | 1.2 bn ≈ | 3.9 bn ≈ | 5.3 bn ≈ | 4.8 bn ≈ | 3.7 bn ≈ | SEC (XBRL)· 18 Feb 2026derived |
| Interest expense | 1.2 bn | 1.8 bn | 2.0 bn | 2.1 bn | 1.9 bn | 1.7 bn | SEC (XBRL)· 18 Feb 2026verified |
| Pre-tax income | -11.5 bn | -2.5 bn | 186.0 m | 1.1 bn | 1.2 bn | 190.0 m | SEC (XBRL)· 18 Feb 2026verified |
| Income tax | -2.6 bn | -555.0 m | 59.0 m | 299.0 m | 308.0 m | 79.0 m | SEC (XBRL)· 18 Feb 2026verified |
| Net income | -8.9 bn | -2.0 bn | 127.0 m | 822.0 m | 846.0 m | 111.0 m | SEC (XBRL)· 18 Feb 2026verified |
| Diluted EPS | -18.36 | -3.09 | 0.19 | 1.21 | 1.24 | 0.17 | SEC (XBRL)· 18 Feb 2026verified |
| Weighted average diluted shares | 483.9 m | 644.0 m | 655.1 m | 719.7 m | 721.3 m | 661.1 m | SEC (XBRL)· 18 Feb 2026verified |
| Dividend per share | 0.10 | 0.00 | — | — | — | — | SEC (XBRL)· 22 Feb 2022verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 399.0 m | 408.0 m | 586.0 m | 681.0 m | 902.0 m | 1.1 bn | SEC (XBRL)· 18 Feb 2026verified |
| Receivables | — | — | 2.1 bn | 2.0 bn | 2.0 bn | 2.1 bn | SEC (XBRL)· 18 Feb 2026verified |
| Current assets | 11.1 bn | 17.3 bn | 15.3 bn | 13.6 bn | 13.2 bn | 12.2 bn | SEC (XBRL)· 18 Feb 2026verified |
| Goodwill | 4.1 bn | 4.1 bn | 4.1 bn | 4.1 bn | 4.1 bn | 4.1 bn | SEC (XBRL)· 18 Feb 2026verified |
| Intangibles (excl. goodwill) | 2.0 bn | 2.0 bn | 2.1 bn | 2.1 bn | 2.0 bn | 2.1 bn | SEC (XBRL)· 18 Feb 2026verified |
| Total assets | 62.0 bn | 66.5 bn | 64.7 bn | 63.1 bn | 61.8 bn | 61.8 bn | SEC (XBRL)· 18 Feb 2026verified |
| Accounts payable | 1.2 bn | 1.8 bn | 2.1 bn | 2.4 bn | 2.5 bn | 2.8 bn | SEC (XBRL)· 18 Feb 2026verified |
| Short-term debt | 2.7 bn | 2.3 bn | 3.1 bn | 3.5 bn | 5.2 bn | 3.6 bn | SEC (XBRL)· 18 Feb 2026verified |
| Long-term debt | 29.3 bn | 35.0 bn | 31.8 bn | 28.9 bn | 24.6 bn | 24.6 bn | SEC (XBRL)· 18 Feb 2026verified |
| Current liabilities | 16.6 bn | 19.0 bn | 21.5 bn | 22.1 bn | 24.3 bn | 24.5 bn | SEC (XBRL)· 18 Feb 2026verified |
| Equity | -6.9 bn † | -7.3 bn † | -5.8 bn † | -5.2 bn † | -4.0 bn † | -3.7 bn † | SEC (XBRL)· 18 Feb 2026verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | -6.5 bn | 704.0 m | 2.2 bn | 3.8 bn | 4.0 bn | 3.1 bn | SEC (XBRL)· 18 Feb 2026verified |
| Capex | 2.0 bn | 208.0 m | 2.5 bn | 2.6 bn | 2.7 bn | 3.8 bn | SEC (XBRL)· 18 Feb 2026verified |
| Free cash flow | -8.5 bn ≈ | 496.0 m ≈ | -373.0 m ≈ | 1.2 bn ≈ | 1.3 bn ≈ | -680.0 m ≈ | SEC (XBRL)· 18 Feb 2026derived |
| Investing cash flow | -4.3 bn | -6.0 bn | 636.0 m | -502.0 m | -968.0 m | -1.9 bn | SEC (XBRL)· 18 Feb 2026verified |
| Financing cash flow | 11.0 bn | 5.3 bn | -2.6 bn | -3.2 bn | -2.8 bn | -1.1 bn | SEC (XBRL)· 18 Feb 2026verified |
| Dividends paid | 43.0 m | 0 | 0 | — | — | — | SEC (XBRL)· 22 Feb 2023verified |
| Share repurchases | 173.0 m | 18.0 m | 21.0 m | — | — | — | SEC (XBRL)· 22 Feb 2023verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 21 / 100
A scoring methodology on indicators and valuation, not investment advice.
score < 40
Closing price
02 Nov 2026Source: olivLaw, closing series
Market cap: 8.7 bn USD
Key indicators
Coverage and freshness
Score by group
- Growth15
- Quality25
- Valuation37
- Balance sheet10
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 13.08 – 87.89 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)13.08 – 87.89 (Mid 34.67)WACC 6.0% · starting FCFF 1.7 bn USD · terminal value share of EV 84%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: starting growth implied by the price (fading linearly to terminal growth, everything else fixed): -10.0%
- Peers: EV/EBITDAunavailable · insufficient data
- Peers: P/Eunavailable · the base of the ratio is not positive
- Dividend discount (DDM)unavailable · the base of the ratio is not positive
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Unattractive profile · Score 21/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | unavailable | unavailable | — |
| Net margin · Quality | -0.6% | 25 (vs peers) | 10% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | 3.7% | 31 (on a fixed band) | 13% |
| EPS CAGR 3Y · Growth | -3.6% | 0 (on a fixed band) | 13% |
| Net debt / EBITDA · Balance sheet | 8.4x | 20 (vs peers) | 17% |
| Interest coverage · Balance sheet | 0.6x | 0 (on a fixed band) | 10% |
| Current ratio · Balance sheet | 0.5x | 0 (on a fixed band) | 7% |
| P/E (TTM) · Valuation | unavailable | unavailable | — |
| EV/EBITDA · Valuation | 11.1x | 33 (vs peers) | 17% |
| FCF yield · Valuation | 3.3% | 41 (on a fixed band) | 13% |
| Shareholder yield (distributions) · Returns | unavailable | unavailable | — |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet10/100 · 3/3 factors with a value
- Growth15/100 · 2/2 factors with a value
- Quality· partial25/100 · 1/3 factors with a value
- Returns· partialunavailable · 0/2 factors with a value
- Valuation37/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
American Airlines Group Inc. (AAL). Latest full fiscal year: 2025; data up to 2026-06-30.
Figures computed from the financial statements: revenue 54.6 bn USD in 2025; YoY growth 0.8%; net margin -0.6%; net debt/EBITDA 8.4x.
The estimated value range is 13.08–87.89 USD per share (median of 1 methods, agreement: single method); assumptions are illustrative. Against the central value of 34.67 USD, the price of 13.08 USD leaves a potential of 165.0% (value / price − 1) and a margin of safety of 62.3% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 21/100, methodological classification: unattractive profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: quality, returns. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- The price is below the estimated value range
What contradicts it
- Net margin: -0.6%
- EPS CAGR 3Y: -3.6%
- Net debt / EBITDA: 8.4x
- Interest coverage: 0.6x
- Current ratio: 0.5x
Not assessed (insufficient data or a ratio without meaning): ROIC, FCF conversion, P/E (TTM), Shareholder yield (distributions), Payout ratio (FCF).
Versus the vertical median
Air Transportation, Scheduled (SIC 4512) · same industry (4-digit SIC) · compared with 14 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| LTMLATAM Airlines Group S.A. | 25,661.7 bn | 18,042.0 | 141.1% | 10.2% | +11.2% | −7% / unavailable |
| RYAAYRyanair Holdings plc | 57.7 bn | 38.0 | — | — | +3.8% | −19% / +17% |
| DALDelta Air Lines, Inc. | 54.9 bn | 16.7 | 15.9% | 4.6% | +2.8% | +30% / +126% |
| UALUnited Airlines Holdings, Inc. | 35.5 bn | 10.0 | 22.3% | 5.5% | +3.5% | +7% / +177% |
| LUVSouthwest Airlines Co | 21.5 bn | 21.7 | 13.9% | 3.3% | +2.1% | +26% / +72% |
| AALAmerican Airlines Group Inc. | 8.7 bn | — | — | -0.6% | +0.8% | −0% / +9% |
| CPACopa Holdings, S.A. | 5.6 bn | 8.4 | 26.1% | 18.6% | +5.0% | +13% / +48% |
| ALKAlaska Air Group, Inc. | 4.3 bn | — | -4.6% | -1.2% | +21.3% | −11% / +1% |
| SKYWSkywest Inc | 3.1 bn | 7.9 | 15.1% | 9.7% | +15.0% | −20% / +73% |
| ALGTAllegiant Travel Co | 2.1 bn | 53.3 | 1.8% | 0.9% | +3.7% | +1% / +12% |
| ULCCFrontier Group Holdings, Inc. | 1.7 bn | — | -175.4% | -8.9% | −1.4% | +63% / +90% |
| JBLUJetblue Airways Corp | 1.2 bn | — | -55.4% | -10.0% | −2.3% | −31% / −28% |
| RJETRepublic Airways Holdings Inc. | 918.2 m | 9.2 | 7.5% | 4.6% | +13.7% | −2% / +82% |
| FJETStarfighters Space, Inc. | 45.2 m | — | -94.2% | — | unavailable | unavailable / unavailable |
| AZULAzul SA | — | — | — | 0.6% | +10.8% | unavailable / unavailable |
1- and 3-year price returns: for AAL from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 3 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 5 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
American Airlines Group is the holding company of a major US airline that runs a global network of scheduled passenger and cargo flights through hubs in the United States and partnerships in the oneworld alliance. With fuel prices rising sharply in the third quarter of 2026, the company reported record revenue but a net loss, which makes fuel cost trends the main item to watch. Total operating revenues were 54.6 billion USD in fiscal 2025 1 and 16.3 billion USD in the third quarter of 2026 2.
SWOT
Strengths
- Large global network with important hubs and a founding role in the oneworld alliance, offering customers extensive connections.
- AAdvantage loyalty program generates relatively stable partner revenue, including cash payments from credit card partners.
- Liquidity at the end of the third quarter of 2026 gives flexibility against cost shocks.
Weaknesses
- High debt and obligations, greater than those of many competitors, limit financial flexibility.
- The company has no fuel hedging contracts, leaving it fully exposed to price movements.
- Net result was negative in the third quarter of 2026, and personnel costs have risen significantly.
Opportunities
- Growth in premium and business travel demand could support unit revenue.
- Efficiency and reengineering programs could reduce costs and improve working capital.
- Expanding premium seating and fleet connectivity could attract customers and grow loyalty revenue.
Threats
- Volatile fuel prices, fueled by geopolitical conflicts, could significantly affect results.
- Competition from low-cost and ultra-low-cost carriers can pressure fares on many routes.
- Uncertainty over trade policy and US government funding could affect demand and operations.
Risks
- Exposure to fuel priceshigh
With no active fuel hedging, price increases pass fully into costs, which could affect results and liquidity.
- High indebtednesshigh
Large debt and obligations limit the ability to raise additional financing and could make the company vulnerable to economic downturns.
- Large capital needsmedium
Fleet and other investment plans require substantial financing, and access to capital could become harder if market conditions worsen.
- External and geopolitical eventsmedium
Wars, pandemics, air traffic control disruptions and extreme weather can reduce demand and disrupt operations.
- Litigation over accidentlow
Following the January 2025 accident, lawsuits have been filed against the US government, PSA and the company, and their outcome is uncertain.
Investment thesis
What would need to be true (bull case)
- Revenue reached record levels in the third quarter of 2026, and premium and business demand remain strong, which could support revenue growth.
- If efficiency programs deliver the expected savings, the company could improve margins even with high fuel costs.
- The AAdvantage program and card partnerships generate relatively stable revenue that may reduce reliance on flight demand alone.
What would break the thesis
- Fuel costs have risen sharply and with no hedging the net result could stay negative if prices remain high.
- High debt and obligations may limit flexibility in the face of economic shocks or aggressive competition.
- Rising wages and benefits could compress margins, especially if revenue does not grow enough to offset them.
What to watch
- Fourth-quarter results and fuel prices versus the expected average of 4.70 USD per gallonQ4 2026
- Full-year 2026 guidance on adjusted loss per diluted share and the annual result2026
- Pace of network growth in 2027, which the company said it expects to slow2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
American Airlines Group Inc. (AAG) is a holding company whose principal business is American Airlines, Inc., together with regional subsidiaries Envoy, PSA and Piedmont that operate under the American Eagle brand. Its main activity is operating a major network air carrier that transports passengers and cargo through hubs including Charlotte, Chicago, Dallas/Fort Worth, Los Angeles, Miami, New York, Philadelphia, Phoenix and Washington, D.C. About 224 million passengers boarded its flights in 2025 and it serves over 350 destinations; at 31 December 2025 it operated 1,013 mainline aircraft plus 567 regional aircraft 1.
The company is a founding member of the oneworld alliance, which links the networks of its member carriers, and it has joint business agreements on transatlantic, transpacific and Australia/New Zealand routes. Its 2026 quarterly results show strong revenue growth but heavy cost pressure, especially from fuel 23.
Market context
The macro backdrop is shaped by conflicts in the Middle East and Ukraine, which have fueled oil and gas price volatility, along with US trade policy uncertainty 2. If these tensions intensify or are prolonged, they could further affect the company's costs and travel demand.
Trends
- Rising fuel pricesheadwind
Fuel expense rose sharply in the third quarter of 2026, and the company had no fuel hedging contracts outstanding at 30 September 2026 2. For the fourth quarter it expects an average price of about 4.70 USD per gallon 3. The pressure is significant and its effect on results depends on how prices evolve.
- Rising personnel costsheadwind
Salaries, wages and benefits rose in 2025 due to contractual wage increases and newly ratified labor agreements 1. These costs kept growing in the third quarter of 2026, compressing operating margins.
- Investment in connectivity and fleetmixed
The company is investing in Starlink connectivity across its mainline fleet, in lounges, and in fleet modernization, which could support customer experience and long-term demand 3. These investments bring significant capital spending, and their funding depends on market conditions 1.
Competitive position
On most domestic nonstop routes, American faces competing service from other major airlines, low-cost and ultra-low-cost carriers, while on connecting routes competition between hubs is significant. Pricing is largely driven by the need to meet competition, and many airlines quickly match fare reductions 1.
In international markets it competes with other US airlines, foreign investor-owned airlines and state-owned airlines, and competition from low-cost carriers on long-haul routes has been rising 1. Alliances and joint business agreements are an important tool for staying competitive.
- Delta Air LinesDAL
Major airline competing on domestic nonstop routes and through hubs, named in the company's annual report.
- United AirlinesUAL
Major airline competing on domestic routes and hub connections, named in the company's filings.
- Southwest AirlinesLUV
Low-cost carrier competing on domestic nonstop routes, named in the company's annual report.
- Alaska Airlines
Airline competing on domestic routes that also has a strategic partnership with American.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
Loading the links…
News & filings
In the press
- Preşedintele american Donald Trump a confirmat că SUA au lansat noi atacuri asupra IranuluiFinancial Intelligence (RO) · 03 Nov 2026 · RO
- How American & United Airlines Are Turning 19-Year-Olds With Zero Flight Hours Into Branded Airline PilotsSimple Flying · 03 Nov 2026 · EN
- On American destroyers, avoid a self-inflicted wound in SpainDefense News (US, EN) · 03 Nov 2026 · EN
- /FOTO/ Tragedia aviatică din Florida: Au fost identificate cele nouă victime, printre care un om de afaceri american și familia saTV8 (MD) · 03 Nov 2026 · RO
- American slugger Hilliard delivers key plays with bat, glove in 1st KBO postseason gameYonhap News (KR, EN) · 03 Nov 2026 · EN
- Sfârșitul secolului americanAdevărul · 03 Nov 2026 · RO
- Președintele Donald Trump anunță încetarea oricărui ajutor militar american pentru Israel în valoare de patru miliarde de dolari anualG4Media · 03 Nov 2026 · RO
- Sánchez’s Latin American allies skip Madrid summitEuractiv · 03 Nov 2026 · EN
- Nicușor Dan îl primește la Cotroceni pe Elbridge Colby. Oficialul american ar fi cerut aliaților NATO să tempereze discursul anti-RusiaAdevărul · 03 Nov 2026 · RO
- Korean American candidates vie for congressional, gubernatorial seats in U.S. midtermsYonhap News (KR, EN) · 03 Nov 2026 · EN
- The American Right Must Rediscover Its Soul Through UkraineKyiv Post · 03 Nov 2026 · EN
- Scrutin decisiv pentru viitorul politic al lui Trump. Agenda liderului american ar putea fi blocată în următorii doi ani - Evenimentul ZileiSurge — Google News · 03 Nov 2026 · RO
- Who Is Chris Pappas, the Greek-American Favored to Win a US Senate Seat?To Vima International (GR, EN) · 03 Nov 2026 · EN
- Dolarul american, influențat de războiul din Iran și alegerile din SUA. Australia ridică dobânda la maximul ultimilor 18 aniMediafax · 03 Nov 2026 · RO
- Emisarul american a anunțat data discuțiilor trilaterale cu Rusia și Ucraina. - Vietnam.vnSurge — Google News · 03 Nov 2026 · RO
- Индексы S&P 500 и Nasdaq снизились в понедельник, Dow Jones выросInterfax Russia (RU) · 03 Nov 2026 · RU
- Planul lui Trump: gaz rusesc în Europa, printr-un intermediar americanAdevărul · 03 Nov 2026 · RO
- Not Port-au-Prince: American Airlines Returns To Haiti After 2+ Years With All-Haitian CrewSimple Flying · 03 Nov 2026 · EN
- American Airlines Expected To Nearly Double Size Of Philadelphia Flagship LoungeSimple Flying · 03 Nov 2026 · EN
- Congresmanul american care iubește micii, sarmalele și are o soție româncă. „Cred că România joacă un rol esențial”Antena 3 CNN · 02 Nov 2026 · RO
SEC filings
- Quarterly report22 Oct 2026
- Current report22 Oct 2026Results of operations · Regulation FD disclosure · Financial statements and exhibits
- Quarterly report23 Jul 2026
- Current report23 Jul 2026Results of operations · Regulation FD disclosure · Financial statements and exhibits
- Current report15 Jul 2026Departure or appointment of officers · Regulation FD disclosure · Financial statements and exhibits
- Current report16 Jun 2026Departure or appointment of officers · Regulation FD disclosure · Financial statements and exhibits
- Current report10 Jun 2026Departure or appointment of officers · Shareholder vote · Financial statements and exhibits
- Current report29 May 2026Material agreement · Creation of a direct financial obligation · Financial statements and exhibits
- Proxy statement28 Apr 2026
- Quarterly report23 Apr 2026
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / American Airlines Group Inc. · 18 Feb 2026
- [2] Form 10-Q, quarter ended 2026-09-30 · SEC / American Airlines Group Inc. · 22 Oct 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / American Airlines Group Inc. · 22 Oct 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.