American Airlines Group Inc., through its subsidiaries, operates as a network air carrier. The company provides scheduled air transportation services for passengers and cargo through its hubs in Charlotte, Chicago, Dallas/Fort Worth, Los Angeles, Miami, New York, Philadelphia, Phoenix, and Washington, D.C., as well as through partner gateways in London, Doha, Madrid, Seattle/Tacoma, Sydney, and Tokyo. It operates a mainline fleet of 965 aircraft. The company was formerly known as AMR Corporation and changed its name to American Airlines Group Inc. in December 2013. American Airlines Group Inc. was founded in 1926 and is headquartered in Fort Worth, Texas.

American Airlines Group, Inc.

Investors seeking to establish meaningful stock positions in valuable companies may be considering American Airlines AAL and Ford Motor F after exceeding their Q3 expectations last Thursday.
Of course, the backdrop to why American Airlines and Ford stock could be enticing after their favorable Q3 results is that both are still trading under $15 a share.
With their “cheap” stock prices reflecting perceived discounts to other major airliners and automakers, let’s see which may be the better investment, or if they are presenting the remnants of a value trap.
American Airlines' Narrower Q3 Loss & Improved Outlook
Although rising fuel prices and labor costs have weighed on American Airlines' profitability, Q3 net income came in at a narrower-than-expected loss of $114 million or -$0.17 a share compared to expectations of -$0.27 per share.
Delivering on a projection that Q3 would mark a turnaround, American Airlines' operating income surged 70% year over year to $151 million. Furthermore, Q3 sales of $13.69 billion topped estimates of $13.62 billion and were pleasantly up from $13.64 billion in the comparative quarter.
American Airlines also raised its full-year guidance, reflecting confidence in a continued recovery, strong cost management, and stable travel demand despite industry and tariff-related headwinds. Notably, American Airlines now expects full-year adjusted EPS between $0.65-$0.95, which came in well above expectations of $0.33 per share. Additionally, American Airlines projects its full-year free cash flow will now exceed $1 billion.
Ford Motors’ Record Q3 Revenue but Lowered Guidance
Overcoming $700 million in tariff costs and a fire at a key supplier's (Novelis) aluminum plant, Ford went on to post record Q3 sales of $47.18 billion. Thanks to strong demand across its vehicle lineup, particularly in trucks and SUVs, including electrified models, Ford’s top line stretched over 9% from $43.06 billion a year ago and impressively surpassed estimates of $42.65 billion by 10%.
Ford’s EPS of $0.45 dipped from $0.49 in the prior year quarter, but this was attributed to a higher share count, as net income of $2.4 billion was up from $1.6 billion in Q3 2024. Plus, Ford comfortably exceeded Q3 EPS expectations of $0.38.
However, the recent disruption at the Novelis aluminum plant led to Ford lowering its full-year guidance amid reduced production of its high-margin trucks like the F-150. As a result, Ford cut its full-year adjusted EBIT guidance to $6-$6.5 billion from a previous range of $10-$10.5 billion. Ford also trimmed its free cash flow forecast from $6 billion to a range of $2-$3 billion.
Performance & Valuation Comparison
Ironically, American Airlines' stock is down over 20% in 2025, stemming from previous fears of a continued decline in its outlook. Meanwhile, Ford shares are still up over +30% YTD, driven by improved operational efficiencies and expanded margins.
Taking a longer view, Ford stock is sitting on gains of +70% in the last five years, which has topped American Airlines' +20% although both have lagged the benchmark S&P 500’s return of more than +100%.
Image Source: Zacks Investment Research
At current levels, American Airlines and Ford stock trade well under the preferred level of less than 2X forward sales, and have the robust top lines that echo their valuations are overlooked in this regard.
Ford’s 12X forward earnings multiple also stands out at a slight discount to its auto peers and is well below the benchmark’s 26X. American Airlines, on the other hand, trades at 41X forward earnings, an elevated premium to the broader market and its Zacks Transportation-Airline Industry average of 10X. Still, American Airlines’ raised EPS guidance should start to rectify its inflated P/E valuation.
Image Source: Zacks Investment Research
Conclusion & Strategic Thoughts
Ford’s price performance has shown why it has been beneficial to add positions, especially on the dip, considering the automaker's valuation is still attractive. As for American Airlines, it could start to shake off the notion that AAL has had some remnants of a value trap in recent years.
Given their guidance, it wouldn’t be surprising if American Airlines’ stock starts to outperform going forward, and Ford shares begin to lose steam. That said, Ford is currently offering a generous 4.34% annual dividend yield to reward patient investors, while American Airlines doesn’t offer a payout.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
See "2nd Wave" AI stocks now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

American Airlines Vs. Ford Motors: Which is the Better Value Stock After Q3 Earnings?

Fintel reports that on October 24, 2025, UBS maintained coverage of American Airlines Group (NasdaqGS:AAL) with a Neutral recommendation.
Analyst Price Forecast Suggests 7.72% Upside
As of September 29, 2025, the average one-year price target for American Airlines Group is $13.76/share. The forecasts range from a low of $10.10 to a high of $21.00. The average price target represents an increase of 7.72% from its latest reported closing price of $12.77 / share.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for American Airlines Group is 53,927MM, a decrease of 0.68%. The projected annual non-GAAP EPS is 6.14.
What is the Fund Sentiment?
There are 940 funds or institutions reporting positions in American Airlines Group. This is an decrease of 25 owner(s) or 2.59% in the last quarter. Average portfolio weight of all funds dedicated to AAL is 0.12%, an increase of 12.80%. Total shares owned by institutions decreased in the last three months by 2.69% to 500,220K shares. The put/call ratio of AAL is 1.99, indicating a bearish outlook.
What are Other Shareholders Doing?
Primecap Management holds 53,472K shares representing 8.10% ownership of the company. In its prior filing, the firm reported owning 60,445K shares , representing a decrease of 13.04%. The firm decreased its portfolio allocation in AAL by 9.82% over the last quarter.
UBS Group holds 24,838K shares representing 3.76% ownership of the company. In its prior filing, the firm reported owning 20,877K shares , representing an increase of 15.95%. The firm increased its portfolio allocation in AAL by 19.16% over the last quarter.
VPMCX - Vanguard PRIMECAP Fund Investor Shares holds 24,238K shares representing 3.67% ownership of the company. In its prior filing, the firm reported owning 28,927K shares , representing a decrease of 19.35%. The firm decreased its portfolio allocation in AAL by 14.80% over the last quarter.
IJH - iShares Core S&P Mid-Cap ETF holds 21,483K shares representing 3.26% ownership of the company. In its prior filing, the firm reported owning 21,440K shares , representing an increase of 0.20%. The firm increased its portfolio allocation in AAL by 0.46% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 21,283K shares representing 3.23% ownership of the company. In its prior filing, the firm reported owning 20,945K shares , representing an increase of 1.59%. The firm decreased its portfolio allocation in AAL by 3.58% over the last quarter.
Fintel is one of the most comprehensive investing research platforms available to individual investors, traders, financial advisors, and small hedge funds.
Our data covers the world, and includes fundamentals, analyst reports, ownership data and fund sentiment, options sentiment, insider trading, options flow, unusual options trades, and much more. Additionally, our exclusive stock picks are powered by advanced, backtested quantitative models for improved profits.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

UBS Maintains American Airlines Group (AAL) Neutral Recommendation

The third-quarter earnings season is in its nascent stage. However, the start has been highly impressive, led by players from the Finance sector. The rosy beginning has propelled equity markets northward despite tariff-related woes and the prolonged government shutdown. Moreover, a weak labor market has raised expectations that the Fed will continue to reduce the benchmark lending rate during the rest of 2025, adding to investor enthusiasm.
Investors may aim to capitalize on this upward trend by creating a portfolio geared toward generating solid returns. However, with an overwhelming number of stocks available in the market at any given time, building a successful portfolio can be a challenging task for individual investors. One effective approach is to rely on broker recommendations, as brokers are considered industry experts with in-depth knowledge of market dynamics and intricacies. Following this route, broker-friendly stocks like Par Pacific Holdings PARR, Cooper-Standard CPS, Bread Financial BFH, American Airlines AAL and CVR Energy CVI should be monitored for healthy returns.
We have designed a screen to shortlist stocks based on improving broker recommendations and upward revisions in earnings estimates over the past four weeks. Also, since the price/sales ratio is a strong complementary valuation metric in the presence of broker information, it has been included. The price/sales ratio takes care of the company’s top line, making the strategy a well-rounded one.
Screening Criteria
# (Up- Down Rating)/ Total (4 weeks) =Top #75: This gives the list of top 75 companies that have witnessed net upgrades over the last 4 weeks.
% change in Q (1) est. (4 weeks) = Top #10: This gives the top 10 stocks that have witnessed earnings estimate revisions over the past 4 weeks for the upcoming quarter.
To ensure that the strategy is a winning one, covering all bases, we have added the following screening parameters:
Price-to-Sales = Bot%10: The lower the ratio, the better, companies meeting this criteria are in the bottom 10% of our universe of over 7,700 stocks with respect to this ratio.
Price greater than 5: A stock trading below $5 will not likely create significant interest for most investors.
Average Daily Volume greater than 100,000 shares over the last 20 trading days: Volume has to be significant to ensure that these are easily traded.
Market value ($ mil) = Top #3000: This gives us stocks that are the top 3000 if one judges by market capitalization.
Com/ADR/Canadian= Com: This takes out the ADR and Canadian stocks.
Here are five of the 10 stocks that made it through the screen:
Based in Houston, Par Pacific operates an integrated energy platform spanning refining, retail, and logistics. With 219,000 barrels per day of refining capacity, extensive storage and transportation assets, and over 100 fuel and convenience store locations, the company serves key western U.S. markets.
PARR beat the Zacks Consensus Estimate for earnings in three of the trailing four quarters and missed on the other occasion. The company, which balances conventional fuel supply with emerging decarbonization initiatives, while also holding a significant interest in natural gas production, currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here
Cooper-Standard’s continued progress in margin expansion underscores the effectiveness of its lean manufacturing, restructuring and cost discipline initiatives. CPS is capitalizing on the rising complexity of hybrid and battery electric vehicles, which require more advanced thermal and fluid management systems.
Cooper-Standard’s current-year earnings are expected to soar 137.8% from the year-ago actuals. CPS currently sports a Zacks Rank #1.
Bread Financial is based in Columbus, OH. The company continues to benefit from data-driven marketing strategies. Solid receivables growth in Card Services should drive its top line. Acquisitions and divestitures will aid the company in growing inorganically and expanding its international footprint.
BFH has outpaced the Zacks Consensus Estimate for earnings in three of the last four quarters, missing the mark on the other occasion. The average beat is 32%. Bread Financial currently carries a Zacks Rank #3 (Hold).
American Airlines is based in Fort Worth, TX. The gradual increase in air travel demand (particularly leisure) has been aiding AAL. Low fuel costs are driving the bottom line. American Airlines is constantly looking to add routes and broaden its network.
American Airlines is expected to report a 0.5% increase in 2025 revenues from 2024’s actuals. AAL currently carries a Zacks Rank #3.
Established in 2006, CVR Energy is a holding company primarily involved in renewable energy, petroleum refining, marketing and nitrogen fertilizer manufacturing through its stake in CVR Partners. It is committed to developing renewable biofuels and actively participating in the energy transition to reduce carbon emissions.
CVI beat the Zacks Consensus Estimate for earnings in two of the trailing four quarters and missed on the other occasions. The oil and gas refining and marketing company currently carries a Zacks Rank #3.
You can get the rest of the stocks on this list by signing up now for your 2-week free trial to the Research Wizard and start using this screen in your own trading. Further, you can also create your own strategies and test them first before taking the investment plunge.
The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.
Click here to sign up for a free trial to the Research Wizard today.
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
Disclosure: Performance information for Zacks’ portfolios and strategies are available at: https://www.zacks.com/performance.
Zacks Names #1 Semiconductor Stock
This under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.
See This Stock Now for Free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

5 Broker-Liked Stocks to Watch Amid Impressive Start to Q3 Earnings

Investors in American Airlines Group Inc (Symbol: AAL) saw new options begin trading today, for the December 5th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAL options chain for the new December 5th contracts and identified the following call contract of particular interest.
The call contract at the $14.00 strike price has a current bid of 25 cents. If an investor was to purchase shares of AAL stock at the current price level of $12.48/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $14.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 14.18% if the stock gets called away at the December 5th expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if AAL shares really soar, which is why looking at the trailing twelve month trading history for American Airlines Group Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAL's trailing twelve month trading history, with the $14.00 strike highlighted in red:
Considering the fact that the $14.00 strike represents an approximate 12% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 55%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 2.00% boost of extra return to the investor, or 16.99% annualized, which we refer to as the YieldBoost.
The implied volatility in the call contract example above is 67%.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 250 trading day closing values as well as today's price of $12.48) to be 54%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
Also see:
SWVL market cap history
Funds Holding DTRT
HRS Split History
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

AAL December 5th Options Begin Trading

American Airlines (AAL) came out with a quarterly loss of $0.17 per share versus the Zacks Consensus Estimate of a loss of $0.27. This compares to earnings of $0.3 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +37.04%. A quarter ago, it was expected that this world's largest airline would post earnings of $0.79 per share when it actually produced earnings of $0.95, delivering a surprise of +20.25%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
American Airlines, which belongs to the Zacks Transportation - Airline industry, posted revenues of $13.69 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 0.45%. This compares to year-ago revenues of $13.65 billion. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
American Airlines shares have lost about 30.6% since the beginning of the year versus the S&P 500's gain of 13.9%.
What's Next for American Airlines?
While American Airlines has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for American Airlines was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.30 on $13.93 billion in revenues for the coming quarter and $0.35 on $54.49 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Transportation - Airline is currently in the bottom 37% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, SkyWest (SKYW), has yet to report results for the quarter ended September 2025. The results are expected to be released on October 30.
This regional airline is expected to post quarterly earnings of $2.56 per share in its upcoming report, which represents a year-over-year change of +18.5%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
SkyWest's revenues are expected to be $1.01 billion, up 11.1% from the year-ago quarter.
Should You Invest in American Airlines Group Inc. (AAL)?
Before you invest in American Airlines Group Inc. (AAL), want to know the best stocks to buy for the next 30 days? Check out Zacks Investment Research for our free report on the 7 best stocks to buy.
Zacks Investment Research has been committed to providing investors with tools and independent research since 1978. For more than a quarter century, the Zacks Rank stock-rating system has more than doubled the S&P 500 with an average gain of +24.08% per year. (These returns cover a period from January 1, 1988 through May 6, 2024.)
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
SkyWest, Inc. (SKYW) : Free Stock Analysis Report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

American Airlines (AAL) Reports Q3 Loss, Beats Revenue Estimates

(RTTNews) - While reporting financial results for the third quarter on Thursday, American Airlines Group, Inc. (AAL) provided adjusted earnings guidance for the fourth quarter and raised its adjusted earnings forecast for the full-year 2025.
For the fourth quarter, the company expects adjusted earnings in a range of $0.45 to $0.75 per share.
On average, 16 analysts polled expect the company to report earnings of $0.32 per share for the quarter. Analysts' estimates typically exclude special items.
Looking ahead to fiscal 2025, the company now projects adjusted earnings in a range of $0.65 to $0.95 per share, up from the prior forecast between adjusted loss of $0.20 and adjusted earnings of $0.80 per share. The Street is looking for earnings of $0.42 per share for the year.
The company said the guidance is based on its current booked revenue, expectations of future demand trends and fuel price, and excluding the impact of special items
For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

American Airlines Boosts FY25 Outlook - Update

(RTTNews) - Below are the earnings highlights for American Airlines Group Inc (AAL):
Earnings: -$545 million in Q3 vs. $483 million in the same period last year. EPS: -$0.83 in Q3 vs. $0.69 in the same period last year. Excluding items, American Airlines Group Inc reported adjusted earnings of $263 million or $0.38 per share for the period.
Analysts projected $0.25 per share Revenue: $13.48 billion in Q3 vs. $13.46 billion in the same period last year.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

American Airlines Group Inc Q3 Earnings Summary

Wednesday, October 22, 2025
That downward bias we spied during today’s pre-market came to pass during the regular trading day, with market indexes paring session lows but still down half a point or more. The Dow, following its all-time closing high Tuesday, slid -334 points, -0.71%, but an improvement from the -454 points at the day’s low. The S&P 500 lost -35 points, -0.53%, and the Nasdaq was -213 points, -0.93%. The small-cap Russell 2000 was down -1.41% on the day.
Static in the trade talks between the U.S. and China have claimed a measure of today’s “risk-off” attitude. Another +100% tariff being slapped onto Chinese imports keeps returning as a talking point, and November 1st is a week from Saturday. Record surges in market indexes over the past several weeks have largely been predicated on some sort of mutual trade agreement between the tow powerhouse nations. But with questions newly arising, we can see how this can have something of an unraveling effect.
Q3 Earnings Roundup: Tesla, IBM & More
Tesla TSLA posted mixed results in its Q3 report after today’s close, with earnings of 50 cents per share missing the Zacks consensus by 3 cents (and down from 72 cents per share reported a year ago) on $28.1 billion in revenues, which outperformed expectations of $26.5 billion for the quarter. EV credits, which expired September 30th, accounted for +40% of profits in the quarter. Shares are trading down slightly in the late session; +7% year to date.
IBM IBM shares are down -4.8% this afternoon, even though the software giant handily beat earnings — $2.65 per share, well above the $2.44 expected — and outpaced on revenues, as well: $16.3 billion versus $16.1 billion anticipated. Infrastructure growth was +17% in the quarter, speaking to its involvement in the AI space, but revenue guidance of +5% for the full year was somewhat lackluster to late traders.
Southwest Airlines LUV also was mixed for its Q3 today, posting a big beat of 10 cents per share on the bottom line but a miss on the top: $6.95 billion versus $6.97 billion expected. The stock, which had been flat year to date, gained +2.5% in late trading on the news. The company expects all-time record-high operating revenues in Q4.
What to Expect from the Stock Market Thursday
No Weekly Jobless Claims, for another week. We will get Existing Home Sales from the private National Association of Realtors tomorrow. Expectations are for a slight uptick to 4.06 million seasonally adjusted, annualized units from 4.0 million the prior month. This would be in keeping with the sub-4.1 million we’ve seen over the last six months.
Also, earnings results from Intel INTC, Ford F, American Airlines AAL and Newmont Mining NEM, among others, are scheduled to report Thursday. So far it’s been a good Q3 earnings season, although we’ll see if those companies more prone to tariff effects are able to post strong numbers and offer robust guidance into 2026.
Questions or comments about this article and/or author? Click here>>
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
See "2nd Wave" AI stocks now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Markets Close Off Session Lows - Q3 Earnings Continue

The widely diversified Zacks Transportation sector continues to navigate through a challenging macroeconomic environment. The sector grapples with multiple headwinds, ranging from escalated expenses, inflation-induced elevated interest rates, a downturn in freight demand and supply-chain woes. Geopolitical uncertainties and tariff-induced economic tensions continue to hurt consumer sentiment and growth expectations.
With inflation remaining a concern, risks associated with an economic slowdown and geopolitical tensions dampen the prospects of stocks belonging to this sector. Sluggish economic growth and inflationary woes are likely to make markets more volatile in the coming days. Due to supply-chain troubles, costs will likely continue to be steep going forward.
On a brighter note, the southward movement of oil prices bodes well for the bottom-line growth of sector participants. This is because fuel expenses are a significant input cost for the transportation companies. Oil prices decreased 4.2% in the July-September 2025 period.
Given this backdrop, investors interested in the Zacks Transportation sector are keenly waiting for the results of Southwest Airlines Co. (LUV), Union Pacific Corporation (UNP), American Airlines Group Inc. (AAL) and Norfolk Southern Corporation (NSC) – all of which are slated to be released this week.
Our quantitative model predicts an earnings beat for a company if it has a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). This combination increases the chances of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Let’s delve deeper.
Southwest Airlines
We expect LUV's performance in the to-be-reported quarter to have been boosted by an uptick in total revenues, driven by high passenger revenues as domestic air-travel demand stabilizes. Our estimate for passenger revenues in the to-be-reported quarter indicates a 1.3% increase from third-quarter 2024 actuals.
The Zacks Consensus Estimate for LUV’s third-quarter 2025 revenues is pegged at $6.97 billion, indicating 1.44% growth year over year. The Zacks Consensus Estimate for LUV’s third-quarter 2025 earnings has been revised upward by more than 100% in the past 60 days to 1 cent per share. However, the consensus mark implies a 93.33% downside from the year-ago actual.
LUV is scheduled to report third-quarter 2025 results on Oct. 22. Our proven model does not conclusively predict an earnings beat for LUV, as it has an Earnings ESP of -268.00% and a Zacks Rank #3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Southwest Airlines Co. Price and EPS Surprise
Union Pacific Corporation
The Zacks Consensus Estimate for third-quarter 2025 revenues is pegged at $6.23 billion, indicating a 2.34% upside from the year-ago actual. Our estimate for freight revenues (which accounts for the majority portion of total revenues) is pegged at $5.86 billion, which indicates an increase of 1.7% from third-quarter 2024 actuals. However, the consensus mark for other revenues is pegged at $311.3 million, implying a 3.6% decrease from third-quarter 2024 actuals.
The Zacks Consensus Estimate for third-quarter 2025 earnings has been revised 0.34% upward in the past 60 days and is pegged at $2.99 per share. Additionally, the consensus mark implies an 8.73% uptick from the year-ago actual.
UNP is scheduled to report third-quarter 2025 results on Oct. 23, before market open. Our proven model does not conclusively predict an earnings beat for UNP, as Union Pacific has an Earnings ESP of -0.16% and a Zacks Rank #3 at present.
Union Pacific Corporation Price and EPS Surprise
American Airlines
The Zacks Consensus Estimate for AAL’s third-quarter 2025 loss has been widened from 25 cents per share to a loss of 27 cents in the past 60 days. The company reported earnings of 30 cents per share in the year-ago quarter. The consensus estimate lies within the company provided guided range of a loss per share of 10-60 cents.
For the third quarter of 2025, management expects total revenues to be either down 2% or increase by up to 1% from year-ago levels. The Zacks Consensus Estimate for AAL’s third-quarter 2025 revenues is pegged at $13.63 billion, indicating a 0.13% decline year over year. The downside is likely to have been partially offset by improving travel demand and lower fuel prices.
AAL is scheduled to report third-quarter 2025 results on Oct. 23, before market open. Our proven model does not conclusively predict an earnings beat for American Airlines this time around, as AAL has an Earnings ESP of -0.68% and a Zacks Rank #3 at present.
American Airlines Group Inc. Price and EPS Surprise
Norfolk Southern
The Zacks Consensus Estimate for NSC’s third-quarter 2025 earnings has been revised downward by 4.50% in the past 60 days to $3.18 per share. Moreover, the consensus mark implies a 2.15% downside from the year-ago actual. The Zacks Consensus Estimate for NSC’s third-quarter 2025 revenues is pegged at $3.09 billion, indicating 1.26% growth year over year.
E-commerce demand has been driving shipment volumes for Norfolk Southern and is likely to boost results. NSC’s robust free cash flow generation also enables it to maintain steady, shareholder-friendly initiatives. On the flip side, softness in the freight market and volumes is a negative for NSC and is likely to have hurt its performance in the to-be-reported quarter. Inflationary pressure, high interest rates, tariff-related uncertainties, weak freight demand and supply-chain disruptions also act as other headwinds for NSC’s prospects.
NSC is scheduled to report third-quarter 2025 results on Oct. 23, after market close. Our proven model does not conclusively predict an earnings beat for Norfolk Southern this time, as it has an Earnings ESP of -0.68% and a Zacks Rank #4 (Sell) at present.
Norfolk Southern Corporation Price and EPS Surprise
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
See "2nd Wave" AI stocks now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Watch These 4 Transportation Stocks for Q3 Earnings: Beat or Miss?

American Airlines Group Inc. (AAL) is scheduled to report third-quarter 2025results on Oct. 23, before market open.
American Airlines has an encouraging earnings surprise history. The company’s earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 49.97%.
Image Source: Zacks Investment Research
Let’s see how things have shaped up for American Airlines this earnings season.
Factors Likely to Have Influenced AAL’s Q3 Performance
The Zacks Consensus Estimate for AAL’s third-quarter 2025 loss has been widened from 25 cents per share to a loss of 27 cents in the past 60 days. The company reported earnings of 30 cents per share in the year-ago quarter. The consensus estimate lies within the company provided guided range of a loss per share of 10-60 cents.
Image Source: Zacks Investment Research
We expect geopolitical uncertainty, tariff-related pressures and persistent inflation to weigh on AAL’s operations. The ongoing economic uncertainties and the resultant reduction in consumer and corporate confidence are likely to have hurt the company’s prospects.
Escalated labor and airport costs are also likely to have been high, which would have hurt the company’s bottom-line performance in the September quarter. Despite costs on aircraft fuel decreasing year over year (down 1.6% in third-quarter 2025, per our model), AAL expects to continue experiencing increased cost pressure from the labor agreements and deals inked with the pilots. We expect operating costs to increase 3.5% in third-quarter 2025 from third-quarter 2024 actuals, led by the 6.8% rise in salaries and related costs.
AAL expects third-quarter 2025 cost per available seat miles (adjusted) to increase in the 2.5-4.5% range from third-quarter 2024 actuals.
For the third quarter of 2025, management expects total revenuesto be either down 2% or increase by up to 1% from year-ago levels. The Zacks Consensus Estimate for AAL’s third-quarter 2025 revenues is pegged at $13.63 billion, indicating a 0.13% decline year over year. The downside is likely to have been partially offset by improving travel demand and lower fuel prices.
The southward movement of oil prices bodes well for the bottom-line growth of industry participants. This is because fuel expenses are a significant input cost for the aviation industry. Oil prices decreased 4.2% in the July-September 2025 period.
What Our Model Says About AAL
Our proven model does not conclusively predict an earnings beat for American Airlines this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
American Airlines has an Earnings ESP of -0.68% and a Zacks Rank #3 at present.
American Airlines Group Inc. Price and EPS Surprise
Highlights of AAL’s Q2 Earnings
American Airlines’ second-quarter 2025 earnings (excluding 4 cents from non-recurring items) of 95 cents per share beat the Zacks Consensus Estimate of 79 cents. In the year-ago quarter, the airline reported earnings per share of $1.09. Operating revenues of $14.4 billion beat the Zacks Consensus Estimate of $14.29 billion and moved past the year-ago number.
Stocks to Consider
Here are a few stocks from the broader Zacks Transportation sector that investors may consider, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.
Wabtec CorporationWAB has an Earnings ESP of +1.32% and a Zacks Rank #2 at present. WAB is scheduled to report third-quarter 2025 earnings on Oct. 22. You can seethe complete list of today’s Zacks #1 Rank stocks here.
Wabtec has an impressive earnings surprise track record, having surpassed the Zacks Consensus Estimate in three of the last four quarters (missed the mark in the remaining quarter), with the average beat being 5.41%. The Zacks Consensus Estimate for WAB’s third-quarter 2025 earnings has been revised 1.60% upward in the past 90 days.
Shares of Wabtec have gained 10.6% over the past year. WAB’s third-quarter 2025 earnings are expected to grow 13.50% year over year.
Expeditors International of Washington, Inc. (EXPD)has an Earnings ESP of +1.43% and a Zacks Rank #3 at present. EXPD is scheduled to report third-quarter 2025 earnings on Nov. 4.
Expeditors has an impressive earnings surprise track record, having surpassed the Zacks Consensus Estimate in each of the last four quarters, with the average beat being 15.30%.
Expeditors’ third-quarter 2025 earnings are expected to decline 14.11% year over year. The Zacks Consensus Estimate for EXPD’s third-quarter 2025 earnings has been revised upward by 2.94% to $1.40 per share in the past 60 days.
#1 Semiconductor Stock to Buy (Not NVDA)
The incredible demand for data is fueling the market's next digital gold rush. As data centers continue to be built and constantly upgraded, the companies that provide the hardware for these behemoths will become the NVIDIAs of tomorrow.
One under-the-radar chipmaker is uniquely positioned to take advantage of the next growth stage of this market. It specializes in semiconductor products that titans like NVIDIA don't build. It's just beginning to enter the spotlight, which is exactly where you want to be.
See This Stock Now for Free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Periodand min./max. price, $	Price change, %		Volatility, %		Volume, $
Periodand min./max. price, $	AAL	Industry	AAL	Industry	Volume, $
Yesterday 13.3 - 13.9	3.20	23.92	3.61	1.10	667.22M
Week 12.0 - 13.9	15.85	22.25	6.15	4.90	3.50B
Month 11.1 - 13.9	24.70	20.83	11.13	10.72	16.21B
3 Months 10.9 - 14.0	22.44	30.22	24.63	17.97	55.42B
6 Months 9.5 - 14.0	45.80	13.67	44.10	26.41	96.16B
Year 8.5 - 19.1	6.24	31.27	55.79	38.33	155.52B
3 years 8.5 - 19.1	1.54	66.31	78.60	66.86	332.28B
5 years 8.5 - 26.1	29.70	47.33	109.64	86.31	657.68B
All time 8.3 - 59.1	-41.42	23.40	—	—	666.16B

American Airlines Group, Inc.

Price and volatility history

Risk ratios