Published on 10 Nov 2021 on Insider Monkey via Yahoo Finance

Were Hedge Funds Right About Deserting American Airlines Group Inc (AAL)?

After several tireless days we have finished crunching the numbers from nearly 900 13F filings issued by the elite hedge funds and other investment firms that we track at Insider Monkey, which disclosed those firms' equity portfolios as of June 30th. The results of that effort will be put on display in this article, as we share valuable insight into the smart money sentiment towards American Airlines Group Inc (NASDAQ:AAL).

Is American Airlines Group Inc (NASDAQ:AAL) an attractive stock to buy now? Hedge funds were turning less bullish. The number of long hedge fund bets dropped by 7 lately. American Airlines Group Inc (NASDAQ:AAL) was in 25 hedge funds' portfolios at the end of June. The all time high for this statistic is 77. Our calculations also showed that AAL isn't among the 30 most popular stocks among hedge funds (click for Q2 rankings). There were 32 hedge funds in our database with AAL positions at the end of the first quarter.

Why do we pay any attention at all to hedge fund sentiment? Our research has shown that a select group of hedge fund holdings outperformed the S&P 500 ETFs by 79 percentage points since March 2017 (see the details here). That's why we believe hedge fund sentiment is an extremely useful indicator that investors should pay attention to.