Sizing up American Airlines Group

|About: American Airlines Group (AAL)|By:, SA News Editor

The potential for American Airlines Group (AAL) is under-appreciated by the current equity values of American Airlines (AAMRQ) and U.S. Airways (LCC +1.9%), says JPMorgan's Jamie Baker.

The analyst sees margins for the new carrier which will rival Delta's, although planned capex spending is a bit high compared to peers.

AAL starts trading on December 9 unless a late legal challenge is posed.