Independent Advisor Alliance Acquires 23,154 Shares in American Airlines Group Inc.

On March 18, 2025, it was reported that Independent Advisor Alliance has made a significant investment in American Airlines Group Inc. (NASDAQ:AAL) during the fourth quarter of the fiscal year. According to their latest Form 13F filing with the Securities and Exchange Commission, the investment firm acquired a total of 23,154 shares, which are estimated to be valued at around $404,000.

This move follows similar actions from various other institutional investors in the airline sector. For instance, Assenagon Asset Management S.A. initiated a new position in shares of American Airlines Group, investing approximately $26,033,000 during the same quarter. Additionally, Point72 DIFC Ltd also bought shares in the third quarter, spending about $16,490,000.

Another notable increase in positions came from Toronto Dominion Bank, which raised its stake in American Airlines by an impressive 379.6%, owning now 1,667,539 shares valued at $18,743,000 after acquiring an additional 1,319,859 shares. Connor Clark & Lunn Investment Management Ltd. saw an even larger increase, with a 10,997.9% rise in shares totaling 1,167,056, which are now worth $13,118,000.

Furthermore, Principal Financial Group Inc. also boosted its position during the fourth quarter, acquiring an additional 1,055,667 shares, bringing its total holdings to 2,575,571, valued at $44,892,000. In entirety, 52.44% of American Airlines Group's stock is currently held by hedge funds and other institutional investors.

Insider Transactions

In related corporate news, several transactions have taken place among the company’s insiders. For instance, on January 27, 2025, Senior Vice President Angela Owens sold 51,906 shares at an average price of $17.15, resulting in a total transaction amount of $890,187.90. After this sale, she retains ownership of 112,412 shares, which are valued at approximately $1,927,865.80. This transaction reflects a 31.59% decrease in her overall holding.

Similarly, CEO Robert D. Isom, Jr. sold 102,441 shares on December 27, 2024, at an average price of $17.21, totaling $1,763,009.61 in proceeds. Post-sale, he personally owns 2,967,984 shares worth around $51,079,004.64, marking a 3.34% reduction in his ownership. Currently, corporate insiders hold about 0.49% of American Airlines Group Inc.

Market Performance

As of Tuesday, NASDAQ:AAL opened at $11.32, after experiencing a gain of 4.1%. The airline has seen a 12-month low and high of $9.07 and $19.10, respectively. Its rolling fifty-day average stands at $15.83, with a 200-day average of $14.46. The company's market capitalization is reported to be $7.44 billion, with a P/E ratio of 9.93 and a PEG ratio of 0.21. The stock has a beta of 1.27, indicating its volatility relative to the overall market.

American Airlines Group released its quarterly earnings data on January 23, 2025. The airline reported earnings of $0.86 per share, exceeding analyst expectations of $0.39. The company also recorded a net margin of 1.56% along with a negative return on equity of 28.56%. Future projections by analysts suggest that American Airlines is expected to post a 2.42 EPS for the current year.

Analyst Ratings and Future Outlook

American Airlines Group has been under the scrutiny of multiple equity research firms recently. Raymond James maintained an “outperform” rating while adjusting its target price to $23.00 from $24.00 as per a report released on January 24, 2025. Scotiabank upgraded the stock from a “neutral” to a “buy” rating with a $20.00 target price on December 5, 2024. Jefferies Financial Group also boosted their rating from “hold” to “buy,” setting a new price target of $20.00, up from $12.00, in a research note on January 6, 2025.

TD Cowen raised their price target to $26.00 while recommending a “buy” on March 13, 2025. Conversely, JPMorgan Chase & Co. adjusted their projections from $30.00 down to $26.00, maintaining an “overweight” rating. Overall, there are seven analysts with a hold rating, twelve having a buy rating, and three assigned a strong buy rating. According to MarketBeat data, the consensus rating for American Airlines Group stands at “Moderate Buy,” with an average target price of $19.37.

Company Overview

American Airlines Group Inc., through its subsidiaries, operates as a major network carrier in the airline industry. The company provides scheduled air transport services catering to both passengers and cargo, supported by their extensive hub networks located in key cities such as Charlotte, Chicago, Dallas/Fort Worth, Los Angeles, Miami, New York, Philadelphia, Phoenix, and Washington, D.C., alongside partner gateways across various international cities including London, Doha, Madrid, Seattle, Sydney, and Tokyo.

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