Air ticket prices have fallen for four consecutive months! TD Cowen downgrades American Airlines to "Hold"

Air ticket prices have been falling for four consecutive months, and American Airlines' rating has been downgraded to "hold" with a target price of $10. Analysts say that the airline's significant discounts and oversupply in the market have impacted its earnings. In addition, American Airlines is also facing new flight attendant contracts and changes in the chief commercial officer, which may reduce its chances of free cash flow and shareholder returns. Forecasts show that domestic summer airfare prices in the United States are expected to decrease by about 6% year-on-year, reaching $315 per ticket, the first decline since 2020