Investors who purchased American Airlines Group Inc. (NasdaqGS: AAL) securities between July 20, 2023, and May 28, 2024, have a limited time to file lead plaintiff applications in class action lawsuits against the company. According to ClaimsFiler, a free service providing shareholder information, the deadline for these applications is September 16, 2024.
The lawsuits allege that American Airlines and certain of its executives failed to disclose crucial information during the class period, violating federal securities laws. This alleged lack of transparency is claimed to have misled investors.
The catalyst for these lawsuits was American Airlines’ announcement on May 28, 2024, that it was terminating Executive Vice President and Chief Commercial Officer, Vasu S. Raja. The company also issued a downward revision of its short-term guidance, reporting a reduction in operating margin by 1% and a decrease in adjusted earnings per share for the quarter by more than 17%.
These changes were attributed to factors like lower consumer bookings, a supply-demand imbalance, and slower capacity growth. Following this announcement, American Airlines’ stock price plummeted by 13.5%, dropping from $13.44 per share on May 28, 2024, to $11.62 per share on May 29, 2024.
Two lawsuits have been filed in the United States District Court for the Northern District of Texas: Qawasmi v. American Airlines Group Inc., et al., 24-cv-0673 and Thornburg v. American Airlines Group Inc., et al., 24-cv-823. The latter lawsuit expanded the class period.
Investors who purchased American Airlines securities during the specified period are encouraged to contact ClaimsFiler or their legal counsel to explore their options for participation in these class action lawsuits.
