CHICAGO, August 18, 2026, 04:05 CDT — U.S. cash markets remained shut while premarket activity continued.
- American Airlines ended Monday down 2.7% at $14.43.
- An American Airlines 737-800 experienced two tire failures at O’Hare, with no injuries reported.
- The grounded aircraft accounts for approximately 0.1% of American’s mainline fleet of 1,022 planes.
Shares of American Airlines Group NASDAQ:AAL ended Monday 2.7% lower before a tire issue at O’Hare brought new attention. A Boeing 737-800 arriving from New York experienced the failure of two tires following landing. All 180 passengers disembarked safely at the terminal and no injuries occurred. The airline has grounded the plane as the Federal Aviation Administration begins an investigation.
The impact on capacity appears minimal. One plane represents about 0.10% of American’s mainline fleet, which totaled 1,022 jets at the end of March. This figure is calculated by dividing one by 1,022 and multiplying by 100.
The significance of the event increases if investigators determine a consistent cause. United Airlines Holdings NASDAQ:UAL disclosed another tire incident at O’Hare approximately three hours later. The two events happened on separate runways, and officials have not established any connection between them.
| O’Hare incident | American Flight 386 | United Flight 739 |
|---|---|---|
| Arrival | New York-LaGuardia | Omaha |
| Aircraft | Boeing 737-800 | Airbus A320 |
| Approximate time | 2:00 p.m. CDT | 5:30 p.m. CDT |
| Reported tire damage | Two tires | One main tire |
| Passenger outcome | 180 on board; no injuries reported | No injuries reported |
| Immediate action | Aircraft taken out of service | Passengers transported to terminal by bus |
Monday’s drop in shares does not necessarily indicate a selloff triggered by a specific event. Delta Air Lines NYSE:DAL and Southwest Airlines NYSE:LUV also registered declines alongside an increase in oil prices. The S&P 500 slipped 0.52%.
| Monday close | Price or level | Daily move |
|---|---|---|
| American Airlines | $14.43 | down 2.70% |
| United Airlines | $122.26 | fell 2.46% |
| Delta Air Lines | $87.59 | dropped 1.97% |
| Southwest Airlines | $43.35 | decreased 2.06% |
| S&P 500 | 7,745.06 | slipped 0.52% |
American underperformed the average of its three airline peers by 0.54 percentage point, with the peer group averaging a 2.16% drop. The company also fell behind the S&P 500 by 2.18 points.
Operational reliability continues to have a significant impact on revenue. American Airlines posted record second-quarter revenue of $16.7 billion, an increase of 16.3%. Capacity expanded by 5.4%, with on-time arrival rates advancing by 2.8 percentage points.
Chief Executive Robert Isom stated, “American delivered year-over-year revenue growth of more than 16% in the second quarter.” The company noted that increased demand helped counterbalance almost half of the $2.2 billion jump in fuel costs compared to last year.
| Operating measure | Reported or guided value |
|---|---|
| Q2 revenue | $16.7 billion; up 16.3% from a year ago |
| Q2 GAAP net income | $71 million |
| Q2 adjusted EPS | $0.15 |
| Q3 revenue growth guidance | Growth projected at 16% to 19% |
| Q3 fuel-price assumption | Estimated at about $3.75 a gallon |
| FY adjusted EPS guidance | -$0.65 to +$0.65 |
Analyst price targets still exceed Monday’s closing level, though approaches to recommendations vary. Data from two consensus sources place average targets around $19, suggesting a potential 32% increase from $14.43, assuming earnings estimates are unchanged.
| Analyst recommendations | Coverage | Consensus | Average target | Implied move from $14.43 |
|---|---|---|---|---|
| MarketBeat | 21 analysts | Hold: 9 buy, 10 hold, 2 sell | $19.03 | +31.9% |
| StockAnalysis / S&P Global | 25 analysts | Buy | $19.08 | +32.2% |
| Melius Research, July 7 | Most recent action | Hold / downgrade | $19.00 | +31.7% |
Risks are uneven. A single tire failure is unlikely to significantly impact the entire fleet. However, if maintenance, suppliers or runway issues are found to be the cause, this could necessitate inspections, prompt more cancellations and put additional pressure on Chicago operations. Elevated fuel prices are already causing full-year profit forecasts to range from a loss to a gain.
The upcoming important information will be found in the FAA’s initial conclusions and how American’s fleet reacts. Investors need to distinguish these details from Monday’s airline selloff, which was driven by oil prices.
Related articles: NASDAQ:AAL
