ClaimsFiler, a free shareholder information service, is reminding investors of the approaching deadline to file lead plaintiff applications in the securities class action lawsuit against American Airlines Group Inc. (NasdaqGS: AAL). Investors who purchased American Airlines securities between January 25, 2024, and May 28, 2024, have until September 16, 2024, to submit their applications. The lawsuit, currently pending in the United States District Court for the Northern District of Texas, accuses American Airlines and certain of its executives of failing to disclose crucial information during the Class Period, which constitutes a violation of federal securities laws.
The lawsuit stems from American Airlines’ announcement on May 28, 2024, regarding the sudden termination of its Executive Vice President and Chief Commercial Officer, Vasu S. Raja, and a significant downgrade in its short-term financial outlook. The company reported a reduction in operating margin by a full percentage point and a decrease in adjusted earnings per share for the quarter by over 17%. These changes were attributed to weakened consumer bookings, an imbalance in domestic supply and demand, and a reduction in capacity growth.
Following this announcement, American Airlines’ stock price plummeted by more than 13.5%, dropping from $13.44 per share on May 28, 2024, to $11.62 per share on May 29, 2024.
The lawsuit, titled Qawasmi v. American Airlines Group Inc., et al., bears the case number 24-cv-0673.
ClaimsFiler is dedicated to helping retail investors recover their share of billions of dollars from securities class action settlements. Investors can register for free at ClaimsFiler.com to access information on various securities class action cases, upload portfolio transactional data to receive notifications about relevant cases, and inquire with the law firm Kahn Swick & Foti, LLC for free case evaluations.
