What's Going On With American Airlines Stock Thursday?

The Details: Southwest shares started moving higher after the company provided updates to its 2024 fiscal-year third quarter guidance through a filing with the Securities and Exchange Commission and announced a $2.5 billion share repurchase program.

Guidance: Southwest now sees revenue per available seat mile (RASM) rising 2% to 3%. Previously the company expected RASM to be down 2% to flat. In addition, the company now expects economic fuel costs per gallon between $2.50 and $2.60, the company’s earlier estimate was from $2.60 to $2.70.

Share Repurchase: Southwest said the Board of Director’s approval of the $2.5 billion share repurchase program indicates its, “confidence in the strategic plan and new revenue-generating initiatives, and in management’s ability to execute.” Some parts of the strategic plan include balancing its capital allocation priorities to minimize capital expenditures on aircraft and investing in infrastructure that optimizes operations.

Southwest is the largest domestic air carrier in the United States, while American Airlines is the world’s biggest airline based on fleet size, capacity and scheduled revenue passenger miles.

How To Buy American Airlines Stock

Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.

For example, in American Airlines Gr AAL's case, it is in the Industrials sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.