Seek Returns logo

AAL vs. ACHR: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at AAL and ACHR, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

With AAL at 7.41 billion USD and ACHR at 5.94 billion USD, their market capitalizations sit in the same ballpark.

ACHR carries a higher beta at 3.13, indicating it’s more sensitive to market moves, while AAL remains steadier at 1.32.

SymbolAALACHR
Company NameAmerican Airlines Group Inc.Archer Aviation Inc.
CountryUSUS
SectorIndustrialsIndustrials
IndustryAirlines, Airports & Air ServicesAerospace & Defense
CEOMr. Robert D. Isom Jr.Mr. Adam D. Goldstein
Price11.24 USD10.82 USD
Market Cap7.41 billion USD5.94 billion USD
Beta1.323.13
ExchangeNASDAQNYSE
IPO DateSeptember 27, 2005December 18, 2020
ADRNoNo

Performance Comparison

This chart compares the performance of AAL and ACHR over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

The section examines key financial ratios to assess the valuation of AAL and ACHR based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • ACHR shows a negative P/E of -8.37, highlighting a year of losses, whereas AAL at 10.81 trades on solid profitability.
  • AAL has a negative P/B ratio of -1.64, indicating its liabilities exceed assets (negative equity). ACHR, with a P/B of 4.25, maintains positive shareholder equity.
  • ACHR reports a negative Price-to-Free Cash Flow ratio of -13.16, showing a cash flow shortfall that could threaten its operational sustainability, while AAL at 2.11 maintains positive cash flow.
SymbolAALACHR
Price-to-Earnings Ratio (P/E, TTM)10.81-8.37
Forward PEG Ratio (TTM)0.200.22
Price-to-Sales Ratio (P/S, TTM)0.140.00
Price-to-Book Ratio (P/B, TTM)-1.644.25
Price-to-Free Cash Flow Ratio (P/FCF, TTM)2.11-13.16
EV-to-EBITDA (TTM)10.27-9.88
EV-to-Sales (TTM)0.800.00
EV-to-Free Cash Flow (TTM)12.27-11.05

Dividend Comparison

Neither AAL nor ACHR currently pays a dividend yield; this often indicates they are reinvesting earnings for growth, prioritizing long-term expansion over immediate cash returns to shareholders.

SymbolAALACHR
Dividend Yield (TTM)0.00%0.00%

Financial Strength Metrics Comparison

This section dives into the financial resilience of AAL and ACHR, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • AAL’s current ratio of 0.52 signals a possible liquidity squeeze, while ACHR at 15.80 comfortably covers its short-term obligations.
  • AAL’s quick ratio of 0.42 suggests it may struggle to cover immediate liabilities without selling inventory or raising cash, whereas ACHR at 15.80 maintains a comfortable buffer of liquid assets.
  • AAL has negative equity (debt-to-equity ratio -8.12), an unusual warning sign, while ACHR at 0.08 maintains a conventional debt-to-equity balance.
  • AAL (at 1.25) covers its interest payments, while ACHR shows “--” for minimal debt service.
SymbolAALACHR
Current Ratio (TTM)0.5215.80
Quick Ratio (TTM)0.4215.80
Debt-to-Equity Ratio (TTM)-8.120.08
Debt-to-Assets Ratio (TTM)0.580.06
Interest Coverage Ratio (TTM)1.25--