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American Airlines shares drop on early signs of weakening pricing power

July 20, 2023

Shares of American Airlines (NASDAQ:AAL) fell on Thursday as its outlook for the second half of the year disappointed investors even as the company lifted its full-year profit forecast and posted higher-than-expected quarterly earnings.

American forecast adjusted profit of $3.00 to $3.75 per share for 2023 compared with its prior outlook of $2.50 to $3.50 per share.

But some analysts said the outlook suggested a slowdown in the company’s earnings in the second half compared with the first six months of the year.