American said that it expects to report a small profit for the first quarter, but one that could easily be below Wall Street expectations.
JPMorgan analyst Jamie Baker said the slowing is primarily in bookings for travel within the United States, which were running 40% over 2022 levels in late January but flat by early April. They could fall below year-ago levels from here, he wrote. Delta Air Lines will be the first major U.S. airline to report first-quarter results on Thursday, but American’s update might have provided a glimpse of what is to come.
Cowen analyst Helane Becker said, however, that American’s update was better than she expected and that second-quarter revenue should remain strong because demand is solid while the supply of airline seats is still below 2019 levels.
Vi har sammanfattat den här nyheten så att du kan läsa den snabbt. Om du är intresserad av nyheterna kan du läsa hela texten här. Läs mer:
Sverige Senaste nytt, Sverige Rubriker
Similar News:Du kan också läsa nyheter som liknar den här som vi har samlat in från andra nyhetskällor.
Airline stocks sink after American Airlines signals profit hit from rising labor, fuel costsAmerican Airlines first-quarter profit below market expectations, joining rival United Airlines to signal a hit from persistently high labor and fuel costs.
Källa: CNBC - 🏆 12. / 72 Läs mer »
Airline stocks shares fall on American's so-so 1Q outlookShares of airlines are falling after American issued a lackluster first-quarter outlook and said profit could be below Wall Street expectations. American said Wednesday that it expects to earn between a penny and 5 cents per share for the quarter that just ended. That leaves room for American to fall short of analysts' prediction that the airline would earn 5 cents per share. American indicates that demand for travel remains strong despite inflation and economic uncertainty, which is helping airlines charge higher fares. But they also face rising costs for labor and jet fuel. That’s what happens with inflation making prices jump way up.
Källa: AP - 🏆 728. / 51 Läs mer »
Stocks making the biggest moves midday: MongoDB, American Airlines and moreTake a look at some of the stocks making the biggest moves on Wednesday, April 12.
Källa: CNBC - 🏆 12. / 72 Läs mer »