NEW YORK, June 9, 2026, 04:11 EDT
American Airlines Group traded around $13.60, up 10 cents, as higher airline fuel prices offset talk about a possible deal with United Airlines dying down. The Nasdaq company’s market cap was roughly $9 billion.
Rising fuel prices are squeezing airlines as the industry faces a test this summer with costlier fares. U.S. airline fuel bills jumped 78% in April from a year ago, hitting almost $6.5 billion, according to the U.S. Transportation Department on Monday. Airlines paid $4.11 a gallon. Fuel is a major expense for airlines, so even small price swings can damage profits.
The International Air Transport Association trimmed its net profit outlook for the airline industry in 2026, dropping the forecast to $23 billion from $41 billion. Net profit counts what’s left after costs, taxes and interest. “Airlines are bearing the brunt of the fuel price shock,” IATA Director General Willie Walsh said. IATA
American managed to do better than several rivals in late trading. Delta Air Lines dropped around 1.5%. United Airlines lost 0.4%. Southwest Airlines was off 1.2%. The U.S. Global Jets ETF, which holds airline stocks, traded down about 0.8%.
Stocks posted gains Monday, but it was chips that did most of the lifting. Reuters said the Nasdaq added 0.86% and the S&P 500 advanced 0.30% with chipmakers bouncing back. Airline and transport stocks lagged, with the move in oil and jet fuel still the clearest signal for margins.
United Airlines CEO Scott Kirby told Reuters on Sunday that a major merger is probably off the table after American Airlines did not respond. “I think consolidation is unlikely for United,” Kirby said. He pointed out that getting a deal done needs “a willing partner.” Kirby said United could still look at buying airport slots, gates or other assets if weaker rivals start to struggle. Reuters
American is off the table for a takeover, at least for now. The Fort Worth carrier said back in April that merging with United would hurt competition and hurt consumers. Reuters noted then that regulators likely would have pushed back hard on the idea.
American is already feeling the hit from higher fuel. Back in April, it slashed its 2026 profit outlook, warning its jet fuel bill could jump by more than $4 billion this year. The airline now guides for a full-year result anywhere from a 40-cent-per-share loss to a profit of $1.10, down from its previous profit forecast of $1.70 to $2.70.
American Airlines CEO Robert Isom leaned on demand and pricing in the first-quarter release. “American delivered record revenue in the first quarter,” Isom said. The company still posted a $382 million GAAP net loss, with total debt at $34.7 billion. GAAP refers to standard U.S. accounting rules. American Airlines Newsroom
But the risks are clear. If fuel prices hold and travelers don’t accept higher fares, American could end up taking on more of the cost or cutting flights once summer is over. That would hit cash flow, and the shares might not move even if travel demand holds up.
JetBlue Airways got another cut from S&P on Monday, sending its debt rating further into junk. The agency said high jet fuel prices will weigh on JetBlue’s results for at least the next year. The downgrade pushes the airline further below investment grade.
For U.S. investors, focus this week shifts from M&A chatter to pass-through. The market wants to see if fares, fees and tighter capacity will offset higher fuel costs, but not at the expense of demand. That’s harder to prove than chasing a deal headline.
