Is Selling American Airlines Group Inc Here a Winning Strategy? Option Traders Hate The Stock

 Is Selling American Airlines Group Inc Here a Winning Strategy? Option Traders Hate The Stock

In today’s session American Airlines Group Inc (AAL) recorded an unusually high (2,688) contracts volume of put trades. Someone, most probably a professional was a very active buyer of the November, 2016 put, expecting serious AAL decrease. With 2,688 contracts traded and 20584 open interest for the Nov, 16 contract, it seems this is a quite bearish bet. The option with symbol: AAL161118P00040000 closed last at: $1.58 or 17% up. About 2.75 million shares traded hands. American Airlines Group Inc (NASDAQ:AAL) has risen 2.08% since April 5, 2016 and is uptrending. It has outperformed by 0.12% the S&P500.

American Airlines Group Inc (NASDAQ:AAL) Ratings Coverage

Out of 18 analysts covering American Airlines Group (NASDAQ:AAL), 8 rate it a “Buy”, 4 “Sell”, while 6 “Hold”. This means 44% are positive. $66 is the highest target while $28 is the lowest. The $43.81 average target is 5.85% above today’s ($41.39) stock price. American Airlines Group has been the topic of 30 analyst reports since July 28, 2015 according to StockzIntelligence Inc. Stifel Nicolaus maintained it with “Buy” rating and $55 target price in Thursday, March 24 report. Credit Suisse maintained it with “Outperform” rating and $49 target price in Tuesday, April 12 report. The stock has “Buy” rating given by Stifel Nicolaus on Wednesday, October 12. The firm has “Neutral” rating given on Wednesday, September 30 by Goldman Sachs. Stephens initiated American Airlines Group Inc (NASDAQ:AAL) rating on Tuesday, March 29. Stephens has “Equal-Weight” rating and $43 price target. Credit Suisse upgraded the stock to “Outperform” rating in Thursday, January 7 report. Deutsche Bank maintained the stock with “Buy” rating in Monday, October 12 report. JP Morgan maintained the stock with “Overweight” rating in Thursday, February 4 report. Credit Suisse downgraded American Airlines Group Inc (NASDAQ:AAL) rating on Wednesday, July 6. Credit Suisse has “Underperform” rating and $28 price target. The stock of American Airlines Group Inc (NASDAQ:AAL) has “Mkt Perform” rating given on Wednesday, September 21 by Raymond James.

According to Zacks Investment Research, “American Airlines Group Inc. operates in the airline industry. The company provides scheduled passenger, freight and mail service primarily in North America, the Caribbean, Latin America, Europe and the Pacific. American Airlines Group Inc. is the holding company for American Airlines and US Airways. American Airlines Group Inc. is based in FORT WORTH TX.”

Insitutional Activity: The institutional sentiment decreased to 0.6 in Q2 2016. Its down 0.02, from 0.62 in 2016Q1. The ratio dropped, as 111 funds sold all American Airlines Group Inc shares owned while 206 reduced positions. 40 funds bought stakes while 150 increased positions. They now own 384.56 million shares or 8.83% less from 421.82 million shares in 2016Q1.
Cipher L P holds 0.12% of its portfolio in American Airlines Group Inc (NASDAQ:AAL) for 61,982 shares. Retirement Sys Of Alabama holds 0.07% of its portfolio in American Airlines Group Inc (NASDAQ:AAL) for 424,683 shares. Conning owns 13,650 shares or 0.02% of their US portfolio. The Quebec – Canada-based Caisse De Depot Et Placement Du Quebec has invested 0.03% in American Airlines Group Inc (NASDAQ:AAL). Public Sector Pension Investment Board holds 109,532 shares or 0.03% of its portfolio. Point72 Asia (Hong Kong) Limited owns 2,400 shares or 0.08% of their US portfolio. Teachers Advisors holds 0.04% or 770,116 shares in its portfolio. Stelliam Limited Partnership has 6.15 million shares for 6.02% of their US portfolio. National Bank Of Nova Scotia holds 12,060 shares or 0% of its portfolio. Cognios Capital Lc reported 35,578 shares or 0.32% of all its holdings. Schwab Charles Investment Incorporated reported 1.57 million shares or 0.06% of all its holdings. Ares Management Limited Liability Com owns 1.04 million shares or 2.37% of their US portfolio. Benjamin F Edwards And Inc owns 280 shares or 0% of their US portfolio. Amp Cap Investors Ltd holds 0.01% or 70,183 shares in its portfolio. Moreover, Gam Ag has 0.04% invested in American Airlines Group Inc (NASDAQ:AAL) for 102,392 shares.

Insider Transactions: Since June 13, 2016, the stock had 1 buy, and 6 insider sales for $10.34 million net activity. The insider SCHIFTER RICHARD P bought 3,000 shares worth $96,390. GOULET – BEVERLY K. also sold $1.36M worth of American Airlines Group Inc (NASDAQ:AAL) on Tuesday, July 12. Leibman Maya had sold 10,000 shares worth $363,432 on Wednesday, September 14. Nocella Andrew P had sold 171,383 shares worth $6.97 million.

American Airlines Group Inc. is a holding firm whose primary business activity is the operation of a network air carrier through its subsidiaries, American Airlines, Inc. (American) and its regional subsidiaries, Envoy Aviation Group Inc. (Envoy), Piedmont Airlines, Inc. (Piedmont) and PSA Airlines, Inc. (PSA). The company has a market cap of $21.40 billion. The Firm has hubs in Charlotte, Chicago, Dallas/Fort Worth, Los Angeles, Miami, New York City, Philadelphia, Phoenix and Washington, D.C. It has a 4.45 P/E ratio. Together with its regional airline subsidiaries and third-party regional carriers operating as American Eagle, the Company’s airline operates an average of approximately 6,700 flights per day to over 350 destinations in approximately 50 countries.

AAL Company Profile

American Airlines Group Inc. (AAG), incorporated on February 16, 1982, is a holding firm whose primary business activity is the operation of a network air carrier through its subsidiaries, American Airlines, Inc. (American) and its regional subsidiaries, Envoy Aviation Group Inc. (Envoy), Piedmont Airlines, Inc. (Piedmont) and PSA Airlines, Inc. (PSA) that operate under capacity purchase agreements as American Eagle.

More notable recent American Airlines Group Inc (NASDAQ:AAL) news were published by: Fool.com which released: “Why American Airlines Group, Inc. Stock Rose 10.9% in October” on November 02, 2016, also Wsj.com with their article: “Unusual Failure in American Airlines’ Jet Engine Prompts Investigation” published on October 30, 2016, Reuters.com published: “BRIEF-American Airlines Group Inc & American Airlines Inc entered into a f…” on November 01, 2016. More interesting news about American Airlines Group Inc (NASDAQ:AAL) were released by: Forbes.com and their article: “Ex-Dividend Reminder: Texas Instruments, American Airlines Group and Waste …” published on November 01, 2016 as well as Bloomberg.com‘s news article titled: “American Airlines’ Profit-Margin Outlook Called ‘Uninspiring'” with publication date: October 20, 2016.

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