American Airlines Group (NASDAQ:AAL)

CAPS Rating: 2 out of 5


Player Avatar totallyoblivious (31.49) Submitted: 7/18/2011 11:48:35 AM : Outperform Start Price: $7.16 AAL Score: +24.10

This is trading like there's ongoing concerns for the company being able to operate. They've got a solid balance sheet, are cash flow positive, an established business who is a leader (albeit not THE leader) in their field. Their industry may be hurt by over-regulation and high oil prices, but this has been far over-punished recently. Factor in that ~17% of float is short and I think this is a great stock to get in.

This could be a case of trying to catch a falling knife still, but I just can't see this stock staying at such a depressed level forever.

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