Originally Posted by
GreatStory
AA will be in bankruptcy again when the smallest recession hits. Margins are garbage compared to other airlines. Very disturbing.
From NASDAQ -
AA 2016 2017
5% 7% profit margin
10% 13% operating margin
7% 11% pre tax profit margin
UA 6% 6% profit margin
9% 12% operating margin
10% 12% pre tax profit margin
Interesting that AA has produced $95 million in negative cash flow the last two years was UAL has gone through $1.621 billion.
AA has $5.344 billion in cash and s/t investments while UA has $3.798 billion.
It will be interesting to see who does better in an economic downturn.