American Airlines (AAL) Cuts 2026 Earnings Projections Amid Fuel Surge

AI Summary

American Airlines (AAL) lowered its 2026 earnings forecast, now estimating an adjusted per-share loss of 40 cents to earnings of $1.10, down from earlier projections of $1.70 to $2.70. This adjustment is attributed to a $4 billion increase in fuel costs, which are significant expenses for airlines. Despite this, American expects to grow capacity by up to 6% in the second quarter and forecasts a revenue increase of 13.5% to 16.5% year-over-year. The airline reported a first-quarter revenue of $13.91 billion, exceeding analyst expectations.