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American Airlines (AAL) Dips More Than Broader Markets: What You Should Know

In the latest trading session, American Airlines (AAL) closed at $12.04, marking a -1.71% move from the previous day. This change lagged the S&P 500's 1.51% loss on the day. Elsewhere, the Dow lost 1.71%, while the tech-heavy Nasdaq lost 0.02%.

Heading into today, shares of the world's largest airline had lost 5.26% over the past month, outpacing the Transportation sector's loss of 13.7% and the S&P 500's loss of 9.52% in that time.

Investors will be hoping for strength from American Airlines as it approaches its next earnings release. The company is expected to report EPS of $0.50, up 150.51% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $13.35 billion, up 48.81% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of -$0.83 per share and revenue of $48.18 billion. These totals would mark changes of +90.1% and +61.25%, respectively, from last year.

Any recent changes to analyst estimates for American Airlines should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.22% lower. American Airlines currently has a Zacks Rank of #3 (Hold).

The Transportation - Airline industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 145, which puts it in the bottom 43% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow AAL in the coming trading sessions, be sure to utilize

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