American Airlines Group (AAL)vsAllegiant Travel Company (ALGT)
AAL
American Airlines Group
$12.58
-0.24%
INDUSTRIALS · Cap: $8.57B
ALGT
Allegiant Travel Company
$72.26
-1.81%
INDUSTRIALS · Cap: $1.92B
Smart Verdict
WallStSmart Research — data-driven comparison
American Airlines Group generates 1916% more annual revenue ($58.34B vs $2.89B). ALGT leads profitability with a 0.9% profit margin vs -0.6%. AAL appears more attractively valued with a PEG of 0.09. ALGT earns a higher WallStSmart Score of 69/100 (B-).
AAL
Hold46
out of 100
Grade: D+
ALGT
Strong Buy69
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+32.3%
Fair Value
$21.21
Current Price
$12.58
$8.63 discount
Margin of Safety
+21.9%
Fair Value
$139.93
Current Price
$72.26
$67.67 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Conservative balance sheet, low leverage
16.3% revenue growth
Reasonable price relative to book value
Revenue surging 36.9% year-over-year
Growing faster than its price suggests
Earnings expanding 32.6% YoY
Areas to Watch
ROE of 0.0% — below average capital efficiency
Operating margin of 2.8%
Weak financial health signals
Earnings declined 88.2%
Smaller company, higher risk/reward
0.9% margin — thin
Elevated debt levels
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : AAL
The strongest argument for AAL centers on PEG Ratio, Debt/Equity, Revenue Growth. Revenue growth of 16.3% demonstrates continued momentum. PEG of 0.09 suggests the stock is reasonably priced for its growth.
Bull Case : ALGT
The strongest argument for ALGT centers on Price/Book, Revenue Growth, PEG Ratio. Revenue growth of 36.9% demonstrates continued momentum. PEG of 0.85 suggests the stock is reasonably priced for its growth.
Bear Case : AAL
The primary concerns for AAL are Return on Equity, Operating Margin, Piotroski F-Score.
Bear Case : ALGT
The primary concerns for ALGT are Market Cap, Profit Margin, Debt/Equity. A P/E of 61.8x leaves little room for execution misses. Debt-to-equity of 1.60 is elevated, increasing financial risk.
Key Dynamics to Monitor
AAL profiles as a growth stock while ALGT is a hypergrowth play — different risk/reward profiles.
ALGT carries more volatility with a beta of 1.54 — expect wider price swings.
ALGT is growing revenue faster at 36.9% — sustainability is the question.
ALGT generates stronger free cash flow (-75M), providing more financial flexibility.
Bottom Line
ALGT scores higher overall (69/100 vs 46/100) and 36.9% revenue growth. AAL offers better value entry with a 32.3% margin of safety. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
American Airlines Group
INDUSTRIALS · AIRLINES · USA
American Airlines Group Inc. is an American publicly traded airline holding company headquartered in Fort Worth, Texas.
Allegiant Travel Company
INDUSTRIALS · AIRLINES · USA
Allegiant Travel Company, a leisure travel company, provides travel products and services to residents of underserved cities in the United States. The company is headquartered in Las Vegas, Nevada.
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