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Market Overview

Earnings Preview for American Airlines Group

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American Airlines Group (NASDAQ:AAL) announces its next round of earnings this Thursday, April 22. Here is Benzinga's everything-that-matters guide for this Thursday's Q1 earnings announcement.

Net Income, Earnings, And Earnings Per Share

Earnings and EPS are useful metrics of profitability. Total earnings also known as net income is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

Wall Street expects an EPS loss of $4.3 and sales around $4.04 billion. In the same quarter last year, American Airlines Group reported EPS of $2.65 on revenue of $8.52 billion.

What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?

Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.

If the company were to match the consensus estimate when it reports Thursday, earnings would be down 62.26%. Sales would be down 52.55% from the year-ago period. Here is how the company's reported EPS has compared to analyst estimates in the past:

Quarter Q4 2021 Q3 2020 Q2 2020 Q1 2020
EPS Estimate -4.11 -5.88 -7.70 -2.33
EPS Actual -3.86 -5.54 -7.82 -2.65
Revenue Estimate 3.88 B 2.76 B 1.44 B 8.94 B
Revenue Actual 4.03 B 3.17 B 1.62 B 8.52 B

eps graph

Stock Performance

Shares of American Airlines Group were trading at $20.37 as of April 20. Over the last 52-week period, shares are up 101.07%. Given that these returns are generally positive, long-term shareholders can be satisfied going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. American Airlines Group is scheduled to hold the call at 08:30:00 ET and can be accessed here.

 

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Posted-In: BZI-EPEarnings