AMERICAN AIRLINES GROUP INC (1AAL.MI) Stock Fundamental Analysis
Europe - BIT:1AAL - US02376R1023 - Common Stock
11.564 EUR
+1.12 (+10.72%)
1AAL gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 11 industry peers in the Passenger Airlines industry. 1AAL has a bad profitability rating. Also its financial health evaluation is rather negative. 1AAL is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1AAL was profitable.
In the past year 1AAL had a positive cash flow from operations.
In multiple years 1AAL reported negative net income over the last 5 years.
1AAL had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
1AAL has a worse Return On Assets (0.97%) than 91.67% of its industry peers.
1AAL has a worse Return On Invested Capital (4.48%) than 91.67% of its industry peers.
1AAL had an Average Return On Invested Capital over the past 3 years of 5.54%. This is below the industry average of 10.22%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.97% | ||
| ROE | N/A | ||
| ROIC | 4.48% |
ROA(3y)0.96%
ROA(5y)-2.89%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.54%
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 1.11%, 1AAL is not doing good in the industry: 91.67% of the companies in the same industry are doing better.
In the last couple of years the Profit Margin of 1AAL has declined.
With a Operating Margin value of 4.22%, 1AAL is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of 1AAL has declined.
1AAL has a Gross Margin of 65.01%. This is amongst the best in the industry. 1AAL outperforms 83.33% of its industry peers.
1AAL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.22% | ||
| PM (TTM) | 1.11% | ||
| GM | 65.01% |
OM growth 3YN/A
OM growth 5Y-5.79%
PM growth 3YN/A
PM growth 5Y-15.78%
GM growth 3Y3.63%
GM growth 5Y0.67%
2. Health
2.1 Basic Checks
1AAL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for 1AAL has been increased compared to 1 year ago.
Compared to 5 years ago, 1AAL has more shares outstanding
Compared to 1 year ago, 1AAL has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.70, we must say that 1AAL is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.70, 1AAL is in line with its industry, outperforming 50.00% of the companies in the same industry.
The Debt to FCF ratio of 1AAL is 32.56, which is on the high side as it means it would take 1AAL, 32.56 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 32.56, 1AAL is doing worse than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 32.56 | ||
| Altman-Z | 0.7 |
ROIC/WACC0.67
WACC6.65%
2.3 Liquidity
1AAL has a Current Ratio of 0.54. This is a bad value and indicates that 1AAL is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.54, 1AAL is not doing good in the industry: 91.67% of the companies in the same industry are doing better.
1AAL has a Quick Ratio of 0.54. This is a bad value and indicates that 1AAL is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of 1AAL (0.42) is worse than 91.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.54 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
The earnings per share for 1AAL have decreased strongly by -21.64% in the last year.
Measured over the past years, 1AAL shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -17.21% on average per year.
The Revenue has been growing slightly by 1.27% in the past year.
1AAL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.44% yearly.
EPS 1Y (TTM)-21.64%
EPS 3YN/A
EPS 5Y-17.21%
EPS Q2Q%-156.67%
Revenue 1Y (TTM)1.27%
Revenue growth 3Y21.96%
Revenue growth 5Y3.44%
Sales Q2Q%0.32%
3.2 Future
The Earnings Per Share is expected to grow by 17.02% on average over the next years. This is quite good.
The Revenue is expected to grow by 3.20% on average over the next years.
EPS Next Y-58.72%
EPS Next 2Y-1.37%
EPS Next 3Y8.95%
EPS Next 5Y17.02%
Revenue Next Year1.79%
Revenue Next 2Y3.98%
Revenue Next 3Y4.25%
Revenue Next 5Y3.2%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 12.71, 1AAL is valued correctly.
1AAL's Price/Earnings ratio is rather expensive when compared to the industry. 1AAL is more expensive than 91.67% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.06. 1AAL is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 7.19, which indicates a rather cheap valuation of 1AAL.
1AAL's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of 1AAL to the average of the S&P500 Index (32.73), we can say 1AAL is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.71 | ||
| Fwd PE | 7.19 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1AAL is valued expensively inside the industry as 91.67% of the companies are valued cheaper.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1AAL indicates a slightly more expensive valuation: 1AAL is more expensive than 75.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10 | ||
| EV/EBITDA | 5.15 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-1.37%
EPS Next 3Y8.95%
5. Dividend
5.1 Amount
No dividends for 1AAL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1AAL (10/27/2025, 7:00:00 PM)
11.564
+1.12 (+10.72%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners64.85%
Inst Owner ChangeN/A
Ins Owners1.4%
Ins Owner ChangeN/A
Market Cap7.63B
Revenue(TTM)54.29B
Net Income(TTM)602.00M
Analysts71.85
Price Target13.38 (15.7%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)29.97%
Min EPS beat(2)20.33%
Max EPS beat(2)39.61%
EPS beat(4)4
Avg EPS beat(4)25.7%
Min EPS beat(4)9.67%
Max EPS beat(4)39.61%
EPS beat(8)7
Avg EPS beat(8)44.85%
EPS beat(12)10
Avg EPS beat(12)34.95%
EPS beat(16)13
Avg EPS beat(16)28.07%
Revenue beat(2)0
Avg Revenue beat(2)-0.43%
Min Revenue beat(2)-0.53%
Max Revenue beat(2)-0.33%
Revenue beat(4)1
Avg Revenue beat(4)-0.32%
Min Revenue beat(4)-1.41%
Max Revenue beat(4)0.97%
Revenue beat(8)2
Avg Revenue beat(8)-0.52%
Revenue beat(12)3
Avg Revenue beat(12)-0.53%
Revenue beat(16)3
Avg Revenue beat(16)-0.53%
PT rev (1m)14.61%
PT rev (3m)12.97%
EPS NQ rev (1m)83.95%
EPS NQ rev (3m)66.36%
EPS NY rev (1m)75.28%
EPS NY rev (3m)21.82%
Revenue NQ rev (1m)2.89%
Revenue NQ rev (3m)2.67%
Revenue NY rev (1m)0.83%
Revenue NY rev (3m)0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.71 | ||
| Fwd PE | 7.19 | ||
| P/S | 0.16 | ||
| P/FCF | 10 | ||
| P/OCF | 2.34 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.15 |
EPS(TTM)0.91
EY7.87%
EPS(NY)1.61
Fwd EY13.9%
FCF(TTM)1.16
FCFY10%
OCF(TTM)4.94
OCFY42.75%
SpS71.17
BVpS-5.19
TBVpS-13.23
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.97% | ||
| ROE | N/A | ||
| ROCE | 6.11% | ||
| ROIC | 4.48% | ||
| ROICexc | 5.6% | ||
| ROICexgc | 7.04% | ||
| OM | 4.22% | ||
| PM (TTM) | 1.11% | ||
| GM | 65.01% | ||
| FCFM | 1.62% |
ROA(3y)0.96%
ROA(5y)-2.89%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.54%
ROIC(5y)N/A
ROICexc(3y)6.89%
ROICexc(5y)N/A
ROICexgc(3y)8.52%
ROICexgc(5y)N/A
ROCE(3y)7.55%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y3.25%
ROICexc growth 3YN/A
ROICexc growth 5Y2.18%
OM growth 3YN/A
OM growth 5Y-5.79%
PM growth 3YN/A
PM growth 5Y-15.78%
GM growth 3Y3.63%
GM growth 5Y0.67%
F-Score7
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 32.56 | ||
| Debt/EBITDA | 5.54 | ||
| Cap/Depr | 128.69% | ||
| Cap/Sales | 5.32% | ||
| Interest Coverage | 1.31 | ||
| Cash Conversion | 83.12% | ||
| Profit Quality | 146.51% | ||
| Current Ratio | 0.54 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | 0.7 |
F-Score7
WACC6.65%
ROIC/WACC0.67
Cap/Depr(3y)120.38%
Cap/Depr(5y)92.28%
Cap/Sales(3y)5.27%
Cap/Sales(5y)5.69%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-21.64%
EPS 3YN/A
EPS 5Y-17.21%
EPS Q2Q%-156.67%
EPS Next Y-58.72%
EPS Next 2Y-1.37%
EPS Next 3Y8.95%
EPS Next 5Y17.02%
Revenue 1Y (TTM)1.27%
Revenue growth 3Y21.96%
Revenue growth 5Y3.44%
Sales Q2Q%0.32%
Revenue Next Year1.79%
Revenue Next 2Y3.98%
Revenue Next 3Y4.25%
Revenue Next 5Y3.2%
EBIT growth 1Y-17.23%
EBIT growth 3YN/A
EBIT growth 5Y-2.55%
EBIT Next Year26.07%
EBIT Next 3Y25.43%
EBIT Next 5Y26.85%
FCF growth 1Y-64.31%
FCF growth 3Y64.51%
FCF growth 5YN/A
OCF growth 1Y-24.52%
OCF growth 3Y78.19%
OCF growth 5Y0.87%
AMERICAN AIRLINES GROUP INC / 1AAL.MI FAQ
What is the ChartMill fundamental rating of AMERICAN AIRLINES GROUP INC (1AAL.MI) stock?
ChartMill assigns a fundamental rating of 2 / 10 to 1AAL.MI.
What is the valuation status for 1AAL stock?
ChartMill assigns a valuation rating of 3 / 10 to AMERICAN AIRLINES GROUP INC (1AAL.MI). This can be considered as Overvalued.
What is the profitability of 1AAL stock?
AMERICAN AIRLINES GROUP INC (1AAL.MI) has a profitability rating of 2 / 10.
What is the valuation of AMERICAN AIRLINES GROUP INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for AMERICAN AIRLINES GROUP INC (1AAL.MI) is 12.71 and the Price/Book (PB) ratio is -2.23.
Can you provide the dividend sustainability for 1AAL stock?
The dividend rating of AMERICAN AIRLINES GROUP INC (1AAL.MI) is 0 / 10 and the dividend payout ratio is 0%.