Scenarios That Can Move American Airlines' Valuation

The US airline industry has been in the limelight lately due to its exceptional performance on plummeting global crude oil prices. As jet fuel costs constitute nearly a third of an airline's total operating expenses, the 50% drop in oil prices over the last ten months has accelerated the earnings of all major US airlines. American Airlines, the world's largest airline by traffic, was among the top gainers from this fall, as the airline recorded a 5% increase in its EBITDA margin in 2014. The air...