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American Airlines Group Inc
NASDAQ:AAL

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American Airlines Group Inc
NASDAQ:AAL
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Price: 11.77 USD -3.84% Market Closed
Market Cap: $7.8B

EV/EBITDA

16.3
Current
103%
More Expensive
vs 3-y average of 8

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
16.3
=
Enterprise Value
$27B
/
EBITDA
$1.6B

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
16.3
=
Enterprise Value
$27B
/
EBITDA
$1.6B

Valuation Scenarios

American Airlines Group Inc is trading above its 3-year average

If EV/EBITDA returns to its 3-Year Average (8), the stock would be worth $5.8 (51% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-65%
Maximum Upside
No Upside Scenarios
Average Downside
44%
Scenario EV/EBITDA Value Implied Price Upside/Downside
Current Multiple 16.3 $11.77
0%
3-Year Average 8 $5.8
-51%
5-Year Average 5.6 $4.07
-65%
Industry Average 8.6 $6.18
-47%
Country Average 14.4 $10.37
-12%

Forward EV/EBITDA
Today’s price vs future ebitda

Today's Enterprise Value EBITDA Forward EV/EBITDA
$27B
/
Jan 2026
$1.6B
=
16.3
Current
$27B
/
Dec 2026
$4.5B
=
6
Forward
$27B
/
Dec 2027
$5.7B
=
4.7
Forward
$27B
/
Dec 2028
$6.5B
=
4.2
Forward

Forward EV/EBITDA shows whether today’s EV/EBITDA still looks high or low once future ebitda are taken into account.

Peer Comparison

All Multiples
EV/EBITDA
P/E
All Countries
Close

Market Distribution

In line with most companies in the United States of America
Percentile
57th
Based on 9 875 companies
57th percentile
16.3
Low
0 — 10
Typical Range
10 — 21.5
High
21.5 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 10
Median 14.4
70th Percentile 21.5
Max 1 767 274.1

American Airlines Group Inc
Glance View

American Airlines Group Inc., a linchpin in the aviation industry, soars across the skies, operating as an emblematic carrier that bridges countless destinations. Born from a legacy of mergers and acquisitions, the most significant being with US Airways in 2013, this entity has navigated the turbulent skies of economic ups and downs to maintain its status as a keystone in international travel. The company's backbone is its extensive fleet, one of the largest in the world, serving over hundreds of locations globally. American Airlines capitalizes on its vast network, creating a web of connections that cater to various travelers, from business professionals to leisure explorers. With hubs in strategic locations like Dallas/Fort Worth, Charlotte, and Miami, American Airlines ensures it remains a pivotal player in the world's travel agenda. The financial engine of American Airlines is driven predominantly by passenger revenues, which account for the lion's share of its income. The airline employs a complex pricing strategy, leveraging data analytics to set dynamic ticket prices based on demand, timing, and competition. Additionally, the loyalty program, AAdvantage, serves as a crucial financial pillar, encouraging repeat business and opening ancillary revenue streams. Through partnerships and alliances such as the oneworld alliance, American Airlines expands its market reach without the need for additional aircraft, thus optimizing operational efficiency. Though competing in a notoriously challenging industry with razor-thin margins, American Airlines navigates this landscape by balancing operational costs and enhancing customer experience, aiming to secure its position as a leading airline globally.

AAL Intrinsic Value
39.75 USD
Undervaluation 70%
Intrinsic Value
Price $11.77
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