American Airlines Shares Gain As Earnings Beat Expectations

Shares of American Airlines rallied 1.3% in premarket trade after the air carrier reported a better-than-expected third-quarter profit. Net earnings came in at $942 million, or $1.28 a share, up from $289 million, or $1.02 a share in the year-earlier period. Excluding non-recurring items, adjusted per-share earnings were $1.66, above the FactSet consensus analyst estimate of $1.63. Revenue rose 63% from last year to $11.14 billion, matching analyst forecasts. Passenger revenue per available seat mile improved 1%, while passenger load factor slipped to 83.4 from 84.7. The stock has surged 47% so far this year, compared to a 16% gain in the NYSE Arca Airline index, and a 4.3% rise in the S&P 500.