- American Air’s adjusted earnings per share (EPS) for Q2 was 95 cents, exceeding analyst estimates of 75 cents, but down from $1.09 year-on-year (y/y).
- The company reported an adjusted net income of $628 million, which is a 19% decrease y/y, but was higher than the estimated $507.5 million.
- Passenger revenue slightly decreased by 0.6% y/y to $13.12 billion, closely matching the estimate of $13.11 billion.
- Total operating revenue showed a small increase of 0.4% y/y, reaching $14.39 billion, slightly surpassing the expectation of $14.3 billion.
- Available seat miles increased by 3.2% y/y to 77.64 billion, beating the estimate of 77.44 billion.
- Revenue passenger miles rose by 0.9% y/y to 65.76 billion, but fell short of the 66.23 billion estimate.
- The load factor, which indicates overall capacity utilization, was reported at 84.7%, down from 86.6% y/y, and below the estimated 85.6%.
- Passenger yield saw a decrease of 1.5% y/y, reaching 19.96 cents.
- The cost per available seat mile decreased by 0.8% y/y to 17.08 cents.
- By the end of the period, the total number of aircraft was 1,539, a minor increase of 0.7% y/y.
- The company forecasts a third-quarter 2025 adjusted loss per diluted share ranging from ($0.10) to ($0.60), considering current trends and excluding special items.
- Market analysts have given 14 buy ratings, 11 hold ratings, and 1 sell rating for American Air.
A look at American Airlines Group Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 0 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 2.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
With a strong Growth, Resilience, and Momentum score of 4 each, American Airlines Group shows promise for long-term success. The company’s focus on expansion and adaptability in the face of challenges positions it well for future growth opportunities. Despite a lower score in Dividend and no score in Value, the company’s proactive approach in enhancing its offerings and market presence could drive positive outcomes in the long run.
American Airlines Group Inc., a leading airline operator with an extensive network spanning across North America, the Caribbean, Latin America, Europe, and the Pacific, appears to be resilient, dynamic, and on a growth trajectory. The company’s ability to withstand market fluctuations and maintain steady momentum suggests a positive outlook for its long-term performance in the aviation industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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