In the latest market close, American Airlines (AAL) reached $11, with a -0.36% movement compared to the previous day. The stock's change was less than the S&P 500's daily loss of 0.19%. At the same time, the Dow lost 0.7%, and the tech-heavy Nasdaq gained 0.04%.

The the stock of world's largest airline has risen by 8.55% in the past month, leading the Transportation sector's gain of 3.48% and the S&P 500's gain of 1.95%.

The upcoming earnings release of American Airlines will be of great interest to investors. The company is forecasted to report an EPS of $0.04, showcasing an 89.47% downward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $13.47 billion, reflecting a 0.12% fall from the equivalent quarter last year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $1.07 per share and a revenue of $53.55 billion, signifying shifts of -59.62% and +1.44%, respectively, from the last year.

Investors might also notice recent changes to analyst estimates for American Airlines. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 10.89% higher. American Airlines is currently sporting a Zacks Rank of #3 (Hold).

Investors should also note American Airlines's current valuation metrics, including its Forward P/E ratio of 10.27. This valuation marks no noticeable deviation compared to its industry's average Forward P/E of 10.27.

Also, we should mention that AAL has a PEG ratio of 0.27. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Transportation - Airline was holding an average PEG ratio of 0.87 at yesterday's closing price.

The Transportation - Airline industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 91, which puts it in the top 36% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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