Turbulent Outlook For American Airlines: Analysts Cut Forecasts As Competitive Pressures Mount
American Airlines Group Inc. (NASDAQ:AAL) shares are trading lower after the company lowered its second-quarter adjusted EPS guidance and analysts cut the price target.
Yesterday, the airline lowered its second-quarter adjusted EPS forecast from $1.15-$1.45 to $1.00-$1.15, and the average fuel price is now expected to be approximately $2.70 to $2.80 per gallon of jet fuel.
The company also announced the departure of its Chief Commercial Officer Vasu Raja.
BofA Securities analyst Andrew G. Didora slashed the price target from $12 to $11 while reiterating the Underperform rating.
The analyst says that the guidance cut seems to be a combination of both higher domestic competition (competitor fare sales and higher capacity) and a …
Full story available on Benzinga.com
