AAL vs. ALGT

Last updated Jun 4, 2026

AAL (American Airlines Group Inc.) and ALGT (Allegiant Travel Company) are both stocks. Both operate in the Airlines industry within the Industrials sector. Over the past 10 years, AAL returned -7.51%/yr vs -3.98%/yr for ALGT. A 0.54 correlation means they provide meaningful diversification when combined.

Performance

AAL vs. ALGT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in American Airlines Group Inc. (AAL) and Allegiant Travel Company (ALGT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, AAL achieves a -11.48% return, which is significantly lower than ALGT's -2.69% return. Over the past 10 years, AAL has underperformed ALGT with an annualized return of -7.51%, while ALGT has yielded a comparatively higher -3.98% annualized return.

AAL

• 1D: -2.58%
• 1M: 14.90%
• YTD: -11.48%
• 6M: -6.80%
• 1Y: 18.31%
• 3Y*: -3.00%
• 5Y*: -11.00%
• 10Y*: -7.51%

ALGT

• 1D: -5.35%
• 1M: 15.30%
• YTD: -2.69%
• 6M: 3.84%
• 1Y: 44.41%
• 3Y*: -6.40%
• 5Y*: -16.94%
• 10Y*: -3.98%

*Multi-year figures are annualized to reflect compound growth (CAGR)

AAL vs. ALGT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
AAL American Airlines Group Inc.	-11.48%	-12.05%	26.86%	8.02%	-29.18%	13.89%	-44.81%	-9.57%	-37.69%	12.40%
ALGT Allegiant Travel Company	-2.69%	-9.40%	16.03%	23.44%	-63.65%	-1.16%	9.32%	76.98%	-33.95%	-5.16%

Correlation

The correlation between AAL and ALGT is 0.75, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.75
Correlation (3Y) Calculated over the trailing 3-year period	0.64
Correlation (5Y) Calculated over the trailing 5-year period	0.67
Correlation (10Y) Calculated over the trailing 10-year period	0.63
Correlation (All Time) Calculated using the full available price history since Dec 11, 2006	0.54

Over the past year, AAL and ALGT have become more correlated (0.75) than their long-term average of 0.54, meaning their price movements have been converging.

Fundamentals

Market Cap AAL : $8.97B ALGT : $1.51B
EPS AAL : $0.31 ALGT : -$1.89
PS Ratio AAL : 0.16 ALGT : 0.57
Total Revenue (TTM) AAL : $55.99B ALGT : $2.64B
Gross Profit (TTM) AAL : $12.21B ALGT : $815.04M
EBITDA (TTM) AAL : $4.16B ALGT : $340.03M

Return for Risk

AAL vs. ALGT — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

AAL

AAL Risk / Return Rank: 51
AAL Sharpe Ratio Rank: 53
AAL Sortino Ratio Rank: 51
AAL Omega Ratio Rank: 49
AAL Calmar Ratio Rank: 51
AAL Martin Ratio Rank: 52

ALGT

ALGT Risk / Return Rank: 63
ALGT Sharpe Ratio Rank: 63
ALGT Sortino Ratio Rank: 66
ALGT Omega Ratio Rank: 60
ALGT Calmar Ratio Rank: 64
ALGT Martin Ratio Rank: 64

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

AAL vs. ALGT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for American Airlines Group Inc. (AAL) and Allegiant Travel Company (ALGT). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	AAL	ALGT	Difference
Sharpe ratio: Return per unit of total volatility	0.38	0.69	-0.31
Sortino ratio: Return per unit of downside risk	0.91	1.54	-0.63
Omega ratio: Gain probability vs. loss probability	1.10	1.17	-0.06
Calmar ratio: Return relative to maximum drawdown	0.49	1.14	-0.65
Martin ratio: Return relative to average drawdown	1.16	2.74	-1.58
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

AAL vs. ALGT - Sharpe Ratio Comparison

The current AAL Sharpe Ratio is 0.38, which is lower than the ALGT Sharpe Ratio of 0.69. The chart below compares the historical Sharpe Ratios of AAL and ALGT, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	AAL	ALGT	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.38	0.69	-0.31
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.23	-0.31	+0.08
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	-0.14	-0.08	-0.06
Sharpe Ratio (All Time) Calculated using the full available price history	-0.02	0.15	-0.18

Drawdowns

AAL vs. ALGT - Drawdown Comparison

The maximum AAL drawdown since its inception was -97.20%, which is greater than ALGT's maximum drawdown of -86.01%. Use the drawdown chart below to compare losses from any high point for AAL and ALGT.

Drawdown Indicators

	AAL	ALGT	Difference
Max Drawdown Largest peak-to-trough decline	-97.20%	-86.01%	-11.19%
Max Drawdown (1Y) Largest decline over 1 year	-37.39%	-39.13%	+1.74%
Max Drawdown (3Y) Largest decline over 3 years	-51.76%	-70.95%	+19.19%
Max Drawdown (5Y) Largest decline over 5 years	-62.67%	-82.76%	+20.09%
Max Drawdown (10Y) Largest decline over 10 years	-84.14%	-86.01%	+1.87%
Current Drawdown Current decline from peak	-77.13%	-68.06%	-9.07%
Average Drawdown Average peak-to-trough decline	-60.42%	-31.66%	-28.76%
Ulcer Index Depth and duration of drawdowns from previous peaks	15.87%	16.28%	-0.41%

Volatility

AAL vs. ALGT - Volatility Comparison

The current volatility for American Airlines Group Inc. (AAL) is 15.25%, while Allegiant Travel Company (ALGT) has a volatility of 22.53%. This indicates that AAL experiences smaller price fluctuations and is considered to be less risky than ALGT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	AAL	ALGT	Difference
Volatility (1M) Calculated over the trailing 1-month period	15.25%	22.53%	-7.28%
Volatility (6M) Calculated over the trailing 6-month period	33.88%	43.15%	-9.27%
Volatility (1Y) Calculated over the trailing 1-year period	48.87%	65.12%	-16.25%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	48.04%	54.68%	-6.64%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	52.99%	51.30%	+1.69%

Dividends

AAL vs. ALGT - Dividend Comparison

Neither AAL nor ALGT has paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
AAL American Airlines Group Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.63%	1.39%	1.25%	0.77%	0.86%	0.94%
ALGT Allegiant Travel Company	0.00%	0.00%	1.27%	1.45%	0.00%	0.00%	0.37%	1.61%	2.79%	1.81%	1.44%	1.64%

Financials

AAL vs. ALGT - Profitability Comparison

The chart below illustrates the profitability comparison between American Airlines Group Inc. and Allegiant Travel Company over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

AAL - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, American Airlines Group Inc. reported a gross profit of 3.62B and revenue of 13.91B. Therefore, the gross margin over that period was 26.0%.

ALGT - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Allegiant Travel Company reported a gross profit of 479.13M and revenue of 732.43M. Therefore, the gross margin over that period was 65.4%.

AAL - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, American Airlines Group Inc. reported an operating income of -41.00M and revenue of 13.91B, resulting in an operating margin of -0.3%.

ALGT - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Allegiant Travel Company reported an operating income of 81.10M and revenue of 732.43M, resulting in an operating margin of 11.1%.

AAL - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, American Airlines Group Inc. reported a net income of -382.00M and revenue of 13.91B, resulting in a net margin of -2.8%.

ALGT - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Allegiant Travel Company reported a net income of 42.48M and revenue of 732.43M, resulting in a net margin of 5.8%.

Frequently Asked Questions

Can I hold both AAL and ALGT in my portfolio?

AAL and ALGT have a correlation of 0.75, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, AAL or ALGT?

ALGT has higher volatility (22.53%) compared to AAL (15.25%). In terms of maximum drawdown, AAL dropped -97.20% vs ALGT's -86.01%.

Which has better risk-adjusted returns?

ALGT currently has the higher Sharpe Ratio (0.69 vs 0.38), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.