American Airlines (AAL) is scheduled to announce Q4 earnings results on Tuesday, January 27th, before market opens.
The Street expects EPS of $0.35, a 59.3% Y/Y drop, alongside revenue of $14.03B, growing 2.4% year over year—about half the pace seen last year.
Susquehanna Financial raised the recommendation on American Airlines Group to positive from neutral as the analyst believes its revenue initiatives (e.g., growing premium products and new Citi co-brand deal) and network tactics will help support margin improvement into FY27.
SA analyst Pure Analytics has rated ‘Buy’ due to proactive debt reduction and margin-accretive strategies supporting free cash flow and multiple expansion. AAL trades at an 8.38x EV/EBITDA, a ~29% discount to the peer average, with potential for multiple re-rating as debt declines and margins improve. Implied stock price target is ~$50, suggesting ~233% upside from current levels as debt reduction and premiumization drive valuation.
