American Airlines is U.S.A’s one of the largest airlines. Its headquarters are situated in Forth Worth, Texas. The AAL flies almost 6,800 flights per day to 350 destinations in 48 countries. The company was founded in the year 1926. This company also has more than 129K employees. The current CEO of the company is Robert D. Isom.
The AAL share price has declined by 11.88% in the last one month. Due to certain setbacks, the AAL share price has started to decline. This share’s current market cap is $198.384B. It follows up with 644.282M shares floating in the market. The AAL company does not pay any dividends to its shareholders in the year 2022. The final dividend paid by the company was $0.63 in the year 2019.
The company’s revenue has advanced by 4.7% year-on-year, resulting in $14.06B in Q2 2023. The gross margin of this company has advanced by 36.3% following an advance of 181.1% in the net income.
American Airlines Group Inc. Stock Performance Analysis
Despite a huge debt of $43.69B on the company, the net income stands at 127.00M for the year 2022. The AAL share made a total revenue of $48.97B in 2022. The profit margin of the AAL stock has slightly advanced to 0.26%. Also, the return on asset ratio for the company is 3.92%. It is considered neutral and creates uncertainty in price prediction.
Technical Summary of AAL Stock
The overall technical indicators such as MAs and the oscillators are bearish on the stock on the daily timeframe due to a heavy decline in price. Therefore, the chart of the AAL share is still indicating a downtrend.
AAL Share Technical Analysis
The AAL share price is in a steep downtrend and it spent on the lower levels for a while. It led to the formation of a rising wedge pattern and the price has broken below it too. The price is currently following a bearish market structure.
With the huge decline in price for a very long time the EMAs are following a death cross. The share price is trading below the 50-day and the 200-day EMAs. That indicates a huge dominance of sellers in the market.
The RSI for the American Airlines share is trading in a downtrend as it has broken below the consolidation zone. It represents the dominance of sellers in the market.
Conclusion
As the share price of the AAL stock has been consistently declining due to multiple market factors. The share is following a strong bearish market trend. The EMAs of the share are trading in a bearish cross and the RSI has also slipped below the 50 level. The price is currently making a strong bearish candle on the charts.
Therefore, the AAL share price can decline to further lower levels unless the price breaks above the level of $20.00.
Technical Levels
- Support levels for the AAL share are – $5.00 and $8.30
- Resistance levels for the AAL share are – $26.00 and $34.00
Disclaimer
The information provided in this article, including the views and opinions expressed by the author or any individuals mentioned, is intended for informational purposes only. It is important to note that the article does not provide financial or investment advice. Investing or trading in cryptocurrency assets carries inherent risks and can result in financial loss.
Source: https://www.thecoinrepublic.com/2023/09/26/how-will-u-s-court-decision-impact-the-aal-share-performance/