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

Updated

Here’s a clear look at AAL and FTAI, 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

FTAI stands out with 11.74 billion USD in market value—about 1.58× AAL’s market cap of 7.41 billion USD.

With betas of 1.32 for AAL and 1.66 for FTAI, both show similar volatility profiles relative to the overall market.

SymbolAALFTAI
Company NameAmerican Airlines Group Inc.FTAI Aviation Ltd.
CountryUSUS
SectorIndustrialsIndustrials
IndustryAirlines, Airports & Air ServicesRental & Leasing Services
CEOMr. Robert D. Isom Jr.Mr. Joseph P. Adams Jr.
Price11.24 USD114.52 USD
Market Cap7.41 billion USD11.74 billion USD
Beta1.321.66
ExchangeNASDAQNASDAQ
IPO DateSeptember 27, 2005May 14, 2015
ADRNoNo

Performance Comparison

This chart compares the performance of AAL and FTAI 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 FTAI based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • FTAI features a high P/E of 199.04, indicating strong growth expectations, compared to AAL at 10.81, which trades at a more standard valuation based on its current earnings.
  • AAL has a negative P/B ratio of -1.64, indicating its liabilities exceed assets (negative equity). FTAI, with a P/B of 414.51, maintains positive shareholder equity.
  • FTAI reports a negative Price-to-Free Cash Flow ratio of -25.18, showing a cash flow shortfall that could threaten its operational sustainability, while AAL at 2.11 maintains positive cash flow.
SymbolAALFTAI
Price-to-Earnings Ratio (P/E, TTM)10.81199.04
Forward PEG Ratio (TTM)0.208.92
Price-to-Sales Ratio (P/S, TTM)0.146.14
Price-to-Book Ratio (P/B, TTM)-1.64414.51
Price-to-Free Cash Flow Ratio (P/FCF, TTM)2.11-25.18
EV-to-EBITDA (TTM)10.2726.32
EV-to-Sales (TTM)0.806.08
EV-to-Free Cash Flow (TTM)12.27-24.94

Dividend Comparison

AAL offers a 0% dividend yield, suggesting it may be reinvesting available cash back into the business for future growth, while FTAI provides a 0.79% dividend yield, giving investors a steady income stream.

SymbolAALFTAI
Dividend Yield (TTM)0.00%0.79%

Financial Strength Metrics Comparison

This section dives into the financial resilience of AAL and FTAI, 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 FTAI at 3.95 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 FTAI at 2.59 maintains a comfortable buffer of liquid assets.
  • AAL has negative equity (debt-to-equity ratio -8.12), an unusual warning sign, while FTAI at 0.00 maintains a conventional debt-to-equity balance.
SymbolAALFTAI
Current Ratio (TTM)0.523.95
Quick Ratio (TTM)0.422.59
Debt-to-Equity Ratio (TTM)-8.120.00
Debt-to-Assets Ratio (TTM)0.580.00
Interest Coverage Ratio (TTM)1.256.53