American Airlines $AAL Trailing Earnings Yield 14.5%!

At $46.3 last in AAL you are looking at 15% or so in earnings yield using

$1.25 for April 2016
$1.77 for July 2016
$2.80 for October 2016
$0.92 for January 2017
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$6.74 in earnings / $46.3 last for AAL shares
14.55% yield.
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I like how this chart is displaying the earnings at each quarter's "Key Earnings Level" so you can see which earnings are higher or lower, based on seasonality.
Look at the earnings yield of AAL when the stock was at $25 briefly in June 2016 - The trailing earnings were $8.64 which put the EARNINGS YIELD at OVER 30%!!!!

I think you can see what attracted Warren Buffett to the sector and made him accumulate large positions across the sector. You can research which ones he purchased, but even 3 quarters later the earnings yield had you purchased at $25 is well over 20%. The key is knowing what your return requirement is when you go hunting for stocks.

Pretty incredible earnings yields.

Best regards,

Tim

2/9/2017 4:50PM EST 46.30 last AAL

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