NEW YORK, May 25, 2026, 17:03 EDT
- American Airlines ended Friday at $13.85, up 12.5% from where it closed the previous Friday. U.S. stock markets were closed Monday for Memorial Day.
- Oil dropped close to 7% Monday as traders looked for signs of movement in U.S.-Iran negotiations, which could ease fuel costs for airlines.
- CEO Robert Isom is slated to speak at Bernstein’s Strategic Decisions Conference on Wednesday, giving investors a new round of company commentary.
American Airlines Group Inc. shares are set to reopen Tuesday with more buyers in the mix, as the stock rallied last week and oil prices eased during the Memorial Day market break.
Timing is key. Airlines are entering the first weeks of summer travel, usually their busiest time, but rising jet fuel prices have investors rethinking the group’s earnings power. NYSE markets recognize Memorial Day, May 25, as a holiday in 2026, and the Nasdaq’s regular cash equities session starts at 9:30 a.m. Eastern on trading days.
American ended Friday at $13.85, up 1.91%. About 99.3 million shares traded, well above its three-month average of 67.8 million. Shares have jumped 12.5% since closing at $12.31 on May 15. The move brought fresh focus to the stock, which traders say still faces fuel and debt worries.
Oil pulled back sharply Monday afternoon. Brent crude dropped $7.24 to $96.30 a barrel at 2:29 p.m. ET, according to Reuters, with traders watching signs of the U.S. and Iran moving closer to a possible deal that might reopen the Strait of Hormuz. American’s stock was not open for trading when the news hit, since cash equities were closed.
Fuel prices are key. American in April cut its full-year outlook to a range between a 40-cent adjusted loss and a $1.10 adjusted profit per share. That’s lower than the earlier $1.70 to $2.70 estimate. Higher jet fuel costs weighed on margins. At the time, Reuters said American saw its fuel bill jumping by more than $4 billion this year.
Demand is still holding up. American turned in record Q1 revenue of $13.9 billion, even as it posted a GAAP net loss of $382 million. Total debt was the lowest since mid-2015. CEO Robert Isom said American delivered “record revenue” for the quarter and is “on track” for another record in Q2. American Airlines Newsroom
American has pitched the summer as a play for big traffic numbers. The airline is forecasting 75 million customers and 750,000 flights between May 21 and Sept. 8. More than 4.2 million customers are expected just over Memorial Day. Chief Operating Officer David Seymour said the carrier was set up for “the summer peak demand.” American Airlines Newsroom
Airline competition is still scattered, Bank of America said in its latest industry note, according to Investing.com. The bank said demand and pricing for airlines stayed strong in May, but that carriers are holding back on capacity since fuel prices are still high. United Airlines has pulled back on domestic growth for the third quarter, the report said. American Airlines, though, is still planning 9.3% growth, which sets it apart.
Regulation is still an issue, though less than fuel. Senator Ed Markey on Friday called on the U.S. Transportation Department to wrap up rules stopping airlines from charging families to seat young children with parents if seats are open. Airlines for America, the group for American, Delta, United, Southwest, and others, didn’t comment, according to Reuters.
Oil’s Monday rally could be temporary. Commodity Context’s Rory Johnston told Reuters that talks have been close in the past and said, “Hormuz remains closed.” UBS’s Giovanni Staunovo said watching physical oil flows is still critical. Reuters said analysts think it could take months for normal flows through the strait, even with a deal. Reuters
Ahead this week, eyes are on two things: Tuesday, American Airlines (AAL) sees its first trading day since the oil move, and then Wednesday, CEO Isom heads to Bernstein’s 42nd Annual Strategic Decisions Conference. The key issue: can cheaper crude and solid bookings push the stock higher, or will fuel swings and thin profit guidance cut the rally short?
