Goldman Sachs Downgrades American Airlines to Sell with a $10 Price Target

Goldman Sachs analyst Catherine O'Brien maintained a Sell rating on American Airlines with a $10 price target, citing a moderate buy consensus and a price target consensus of $14. O'Brien has a 52.14% success rate and an average return of -3.0%. The company has a one-year high of $19.10 and a one-year low of $8.50, with an average volume of 62.19M.

American Airlines Group Inc. (AAL) has seen a flurry of analyst activity in recent weeks, with several prominent firms updating their price targets and ratings for the airline. Goldman Sachs analyst Catherine O'Brien, for instance, has maintained a Sell rating on AAL with a price target of $10.00 [1].

O'Brien's target is notably lower than the median price target of $12.50 set by multiple analysts in the last six months [1]. This discrepancy suggests varying opinions among analysts about AAL's future prospects. Despite O'Brien's Sell rating, the consensus rating for AAL remains "Moderate Buy," with one Sell, seven Hold, nine Buy, and two Strong Buy recommendations [3].

Institutional investors have also shown significant activity in AAL's stock. Over the past six months, 257 institutional investors have added shares to their portfolios, while 362 have decreased their positions [1]. Some of the largest recent moves include Viking Global Investors LP reducing its holdings by 100% in Q1 2025 and Renaissance Technologies LLC decreasing its holdings by 64.1% in Q2 2025 [1].

American Airlines Group reported a quarterly EPS of $0.95, surpassing analyst estimates and demonstrating a slight revenue increase compared to the previous year [3]. However, the company's net margin of 1.05% and negative return on equity of 24.55% indicate ongoing financial challenges [3].

Members of Congress have also been active in trading AAL stock. Representative Tim Moore has traded AAL 15 times in the past six months, with 11 purchases and 4 sales [1]. Representative Lisa C. McClain has traded AAL twice, with one purchase and one sale [1].

Goldman Sachs' O'Brien has a 52.14% success rate and an average return of -3.0%, suggesting that while her ratings and targets have been correct more than half the time, they have not been particularly profitable [1]. AAL's stock has a one-year high of $19.10 and a one-year low of $8.50, with an average volume of 62.19 million shares [3].

References:
[1] Quiver Quantitative. (2025). New Analyst Forecast: $AAL Given $10.0 Price Target. Retrieved from https://www.quiverquant.com/news/New+Analyst+Forecast%3A+%24AAL+Given+%2410.0+Price+Target
[2] Benzinga. (2025). MongoDB to Rally Around $63 Here Are 10 Top Analyst Forecasts for Wednesday. Retrieved from https://www.benzinga.com/analyst-stock-ratings/price-target/25/08/47366884/mongodb-to-rally-around-63-here-are-10-top-analyst-forecasts-for-wednesday
[3] MarketBeat. (2025). American Airlines Group Inc. (NASDAQ:AAL) Given Consensus Rating of Moderate Buy by Analysts. Retrieved from https://www.marketbeat.com/instant-alerts/american-airlines-group-inc-nasdaqaal-given-consensus-rating-of-moderate-buy-by-analysts-2025-08-22/