12 Best Nasdaq Stocks Under $20 to Buy Now

3. American Airlines Group Inc. (NASDAQ:AAL)

Current market price: $10.67

Upside Potential: 87%

Number of Hedge Fund Holders: 59

American Airlines Group Inc. (NASDAQ:AAL) is a leading network air carrier that provides scheduled air transportation services for passengers and cargo through its hubs across the U.S. and partner gateways.

On March 11, American Airlines Group Inc. (NASDAQ:AAL) released an updated financial and operational outlook for the first quarter of 2025. The company acknowledged that the revenue environment has been weaker than initially projected in its January guidance, primarily due to the impact of Flight 5342 and a slowdown in the domestic leisure segment, particularly in March. As a result, total revenue for Q1 is now expected to remain roughly flat compared to the same period in 2024—a downward revision from the previously forecasted 3%-5% growth. Additionally, its adjusted loss per diluted share is now estimated to be between $0.60 and $0.80, a more pessimistic outlook compared to the earlier projected loss range of $0.20 to $0.40 per share.

Despite this revision, Citi analyst Stephen Trent reaffirmed a Buy rating on American Airlines Group Inc. (NASDAQ:AAL) on March 12, maintaining a price target of $21.50. While acknowledging the weaker revenue outlook for the first quarter, driven by soft domestic demand and external factors such as tariffs and weather disruptions, he remained optimistic about the airline’s medium-term growth potential. The analyst highlighted strong international premium travel demand, increasing loyalty revenue, and strategic initiatives to re-engage corporate clients as key strengths. He also noted that the company’s minimal fleet renewal needs and expectations of solid co-branded card revenue by 2026 reinforce the bullish stance. Although the stock was recently removed from Citi’s Focus List, its projected 72% upside potential supported the reaffirmed Buy rating.