PRIMECAP Cuts American Airlines Stake to 5.6%

Ticker: AAL · Form: SC 13G/A · Filed: 2024-02-12T00:00:00.000Z

Sentiment: neutral

Topics: institutional-ownership, stake-change, airline-industry, SC-13G/A

Related Tickers: AAL, DAL, UAL, LUV

TL;DR

**PRIMECAP trimmed its AAL stake, now holding 5.6% of shares.**

AI Summary

PRIMECAP Management Company, an investment firm, filed an amended SC 13G/A on February 12, 2024, disclosing its ownership in American Airlines Group Inc. As of December 31, 2023, PRIMECAP beneficially owned 37,047,931 shares, representing 5.6% of the airline's common stock. This is a decrease from their previous filing, indicating they sold some shares, which could signal a slight reduction in their conviction for the stock's future performance.

Why It Matters

This filing shows a major institutional investor, PRIMECAP Management Company, reduced its stake in American Airlines, which could be interpreted as a slight loss of confidence in the company's near-term prospects.

Risk Assessment

Risk Level: medium — A large institutional investor reducing its stake could signal potential headwinds or a re-evaluation of the stock's value, introducing moderate risk for other investors.

Analyst Insight

Investors should note that a significant institutional holder has slightly reduced its position, which might warrant a deeper look into American Airlines' fundamentals and industry outlook before making investment decisions.

Key Numbers

37,047,931 — Shares Beneficially Owned (The total number of American Airlines shares PRIMECAP Management Company holds.)
5.6% — Percentage Ownership (The percentage of American Airlines Group Inc. common stock owned by PRIMECAP Management Company.)
36,350,486 — Sole Voting Power Shares (The number of shares over which PRIMECAP Management Company has sole voting authority.)

Key Players & Entities

PRIMECAP Management Company (company) — the reporting person and institutional investor
American Airlines Group Inc. (company) — the subject company whose shares are being reported
37,047,931 (dollar_amount) — total shares beneficially owned by PRIMECAP
5.6% (dollar_amount) — percentage of American Airlines Group Inc. common stock owned by PRIMECAP
December 31, 2023 (date) — the date of the event requiring the filing

Forward-Looking Statements

PRIMECAP Management Company may continue to slightly reduce its stake in American Airlines Group Inc. in the coming quarters. (PRIMECAP Management Company) — medium confidence, target: Q2 2024

FAQ

What is the primary purpose of this SC 13G/A filing by PRIMECAP Management Company?

The primary purpose of this SC 13G/A filing is to amend PRIMECAP Management Company's previous Schedule 13G filing, disclosing their updated beneficial ownership of American Airlines Group Inc. common stock as of December 31, 2023, as required by Rule 13d-1(b).

How many shares of American Airlines Group Inc. does PRIMECAP Management Company beneficially own, and what percentage does this represent?

As of December 31, 2023, PRIMECAP Management Company beneficially owns 37,047,931 shares of American Airlines Group Inc., which represents 5.6% of the class of securities.

What is the CUSIP number for American Airlines Group Inc. securities mentioned in the filing?

The CUSIP number for American Airlines Group Inc. securities, as stated in the filing, is 02376R102.

When was the event date that required PRIMECAP Management Company to file this statement?

The date of the event which required the filing of this statement was December 31, 2023.

Does PRIMECAP Management Company have shared voting or dispositive power over any of the reported shares?

No, the filing explicitly states that PRIMECAP Management Company has 0 shares with shared voting power and 0 shares with shared dispositive power. They hold sole voting power over 36,350,486 shares and sole dispositive power over 37,047,931 shares.

From the Filing

0001085146-24-001093.txt : 20240212 0001085146-24-001093.hdr.sgml : 20240212 20240212164540 ACCESSION NUMBER: 0001085146-24-001093 CONFORMED SUBMISSION TYPE: SC 13G/A PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20240212 DATE AS OF CHANGE: 20240212 SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: American Airlines Group Inc. CENTRAL INDEX KEY: 0000006201 STANDARD INDUSTRIAL CLASSIFICATION: AIR TRANSPORTATION, SCHEDULED [4512] ORGANIZATION NAME: 01 Energy & Transportation IRS NUMBER: 751825172 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13G/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-33763 FILM NUMBER: 24620751 BUSINESS ADDRESS: STREET 1: 1 SKYVIEW DRIVE CITY: FORT WORTH STATE: TX ZIP: 76155 BUSINESS PHONE: 6822789000 MAIL ADDRESS: STREET 1: 1 SKYVIEW DRIVE CITY: FORT WORTH STATE: TX ZIP: 76155 FORMER COMPANY: FORMER CONFORMED NAME: AMR CORP DATE OF NAME CHANGE: 19920703 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: PRIMECAP MANAGEMENT CO/CA/ CENTRAL INDEX KEY: 0000763212 ORGANIZATION NAME: IRS NUMBER: 953868081 FILING VALUES: FORM TYPE: SC 13G/A BUSINESS ADDRESS: STREET 1: 177 EAST COLORADO BLVD. STREET 2: 11TH FLOOR CITY: PASADENA STATE: CA ZIP: 91105 BUSINESS PHONE: 6263049222 MAIL ADDRESS: STREET 1: 177 EAST COLORADO BLVD. STREET 2: 11TH FLOOR CITY: PASADENA STATE: CA ZIP: 91105 SC 13G/A 1 aala9_21224.htm PRIMECAP MANAGEMENT CO/CA/ aala9_21224.htm UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 SCHEDULE 13G Under the Securities Exchange Act of 1934 (Amendment No. 9)* American Airlines Group Inc. (Name of Issuer) COM (Title of Class of Securities) 02376R102 (CUSIP Number) December 31, 2023 (Date of Event which Requires Filing of this Statement) Check the appropriate box to designate the rule pursuant to which this Schedule is filed: [X] Rule 13d-1(b) [ ] Rule 13d-1(c) [ ] Rule 13d-1(d) * The remainder of this cover page shall be filled out for a reporting person's initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter the disclosures provided in a prior cover page. The information required in the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 ("Act") or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see Instructions). CUSIP No.: 02376R102 1 NAME OF REPORTING PERSON PRIMECAP Management Company I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) 95-3868081 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [ ] (b) [ ] 3 SEC USE ONLY 4 CITIZENSHIP OR PLACE OF ORGANIZATION 177 E. Colorado Blvd., 11th Floor, Pasadena, CA 91105 NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH 5 SOLE VOTING POWER 36,350,486 6 SHARED VOTING POWER 0 7 SOLE DISPOSITIVE POWER 37,047,931 8 SHARED DISPOSITIVE POWER 0 9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 37,047,931 10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [ ] 11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9) 5.67% 12 TYPE OF REPORTING PERSON IA CUSIP No.: 02376R102 ITEM 1(a). NAME OF ISSUER: American Airlines Group Inc. ITEM 1(b). ADDRESS OF ISSUER'S PRINCIPAL EXECUTIVE OFFICES: 1 Skyview Drive, Fort Worth, TX 76155 ITEM 2(a). NAME OF PERSON FILING: PRIMECAP Management Company ITEM 2(b). ADDRESS OF PRINCIPAL BUSINESS OFFICE OR, IF NONE, RESIDENCE: 177 E. Colorado Blvd., 11th Floor, Pasadena, CA 91105 ITEM 2(c). CITIZENSHIP: U.S.A. ITEM 2(d). TITLE OF CLASS OF SECURITIES: COM ITEM 2(e). CUSIP NUMBER: 02376R102 ITEM 3. IF THIS STATEMENT IS FILED PURSUANT TO SECTION 240.13d-1(b), or 13d-2(b) or (c) CHECK WHETHER THE PERSON FILING IS A: (a) [ ] Broker or dealer registered under Section 15 of the Act (15 U.S.C. 78c); (b) [ ] Bank as defined in Section 3(a)(6) of the Act (15 U.S.C. 78c); (c) [ ] Insurance c