S&P 500
7,515.60
-0.01%
Dow Jones
52,844.60
-0.15%
Nasdaq 100
29,695.40
-0.04%
Russell 2000
3,001.74
-0.18%
FTSE 100
10,657.20
+0.03%
Nikkei 225
70,019.60
+0.28%

Investing

S&P Downgrades AMR Deeper Into Junk (AMR)

Photo of Jon C. Ogg
By Jon C. Ogg Published
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

AMR Corporation (NYSE: AMR), the parent of American Airlines, is already in trouble and many worry that the air carrier is a potential bankruptcy candidate.  Right before the closing bell came news that S&P is downgrading AMR’s corporate credit rating.  The rating is down to “CCC+” from “B-” today.  To make matters worse, the outlook remains Watch Negative as it has underperformed peers and as its liquidity is declining over the next year. 

AMR shares just closed down 5.5% at $1.72 on the day with more than 13 million shares trading hands.  Unfortunately, this is likely to set a negative tone for Friday morning for AMR traders.

Contact [email protected] for any questions or corrections.

DISCLOSURE:
INVESTMENTS ARE NOT FDIC INSURED • ARE NOT BANK GUARANTEED • MAY LOSE VALUE Brokerage and Active investing products offered through SoFi Securities LLC, member FINRA(www.finra.org)/SIPC(www.sipc.org). Advisory services are offered by SoFi Wealth LLC, an SEC-registered investment adviser. Information about SoFi Wealth’s advisory operations, services, and fees is set forth in SoFi Wealth’s current Form ADV Part 2 (Brochure), a copy of which is available upon request and at www.adviserinfo.sec.gov. Probability of Member receiving $1,000 is a probability of 0.026%; If you don’t make a selection in 30 days, you’ll no longer qualify for the promo. Customer must fund their account with a minimum of $50.00 to qualify. Other fees, such as exchange fees, may apply. Please view our fee disclosure to view a full listing of fees. Investing in alternative investments and/or strategies may not be suitable for all investors and involves unique risks, including the risk of loss. An investor should consider their individual circumstances and any investment information, such as a prospectus, prior to investing. Interval Funds are illiquid instruments, the ability to trade on your timeline may be restricted. Brokerage and Active investing products offered through SoFi Securities LLC, Member FINRA(www.finra.org) /SIPC(www.sipc.org). There are limitations with fractional shares to consider before investing. During market hours fractional share orders are transmitted immediately in the order received. There may be system delays from receipt of your order until execution and market conditions may adversely impact execution prices. Outside of market hours orders are received on a not held basis and will be aggregated for each security then executed in the morning trade window of the next business day at market open. Share will be delivered at an average price received for executing the securities through a single batched order. Fractional shares may not be transferred to another firm. Fractional shares will be sold when a transfer or closure request is initiated. Please consider that selling securities is a taxable event. Options involve risks, including substantial risk of loss and the possibility an investor may lose the entire investment Before trading options please review the Characteristics and Risks of Standardized Options  Investing in an Initial Public Offering (IPO) involves substantial risk, including the risk of loss. Further, there are a variety of risk factors to consider when investing in an IPO, including but not limited to, unproven management, significant debt, and lack of operating history. For a comprehensive discussion of these risks please refer to SoFi Securities’ IPO Risk Disclosure Statement This should not be considered a recommendation to participate in IPOs and investors should carefully read the offering prospectus to determine whether an offering is consistent with their investment objectives, risk tolerance, and financial situation. New offerings generally have high demand and there are a limited number of shares available for distribution to participants. Many customers may not be allocated shares and share allocations may be significantly smaller than the shares requested in the customer’s initial offer (Indication of Interest). For more information on the allocation process please visit IPO Allocation.
Follow 24/7 Wall St. on Google
Photo of Jon C. Ogg
About the Author Jon C. Ogg →

Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.

Featured Reads

Our top personal finance-related articles today. Your wallet will thank you later.

Why A Low-Yield Dividend Portfolio Could Pay More Than A High-Yield Portfolio In Retirement
Drew Wood |

Why A Low-Yield Dividend Portfolio Could Pay More Than A High-Yield Portfolio In Retirement
He Retired to Florida at 70. His Advantage Plan Didn't Cross the State Line With Him.
Drew Wood |

He Retired to Florida at 70. His Advantage Plan Didn't Cross the State Line With Him.

Continue Reading

Jon C. Ogg |

S&P Downgrades All Major Banks, Criteria Changes (WFC, BAC, C, JPM, BK, STT, GS, MS)

Standard & Poor’s is at it again… more downgrades and this time in the ailing banking sector.  While we focused…

Jon C. Ogg |

AK Steel Versus Peers, Downgrade Against Value (AKS, X, CMC, HSC)

After considering the comments made, it its difficult to tell whether Moody’s recent announcement of a pending downgrade of AK…

Douglas A. McIntyre |

Dissing RIM, Blessing Palm (RIMM, PALM)

Research in Motion Ltd. (NASDAQ: RIMM) is not participating in this morning’s rally.  This stock had a good week as…

Douglas A. McIntyre |

More Evidence of Corporate Credit Crunch Continuing (TLI)

LMP Corporate Loan Fund Inc., (NYSE:TLI) is a closed-end fund that makes money off corporate loans participation.  If you think…

Jon C. Ogg |

Quick Blow by Blow of the Moody’s Bank Downgrades, Not So Bad After All

We had been informed that Moody’s was going to finally release its massive downgrade of the banking system today. The Moody’s…

Douglas A. McIntyre |

Level 3 Scores Credit Downgrades (LVLT)

Level 3 Communications Inc. (NASDAQ: LVLT) has just seen another negative development, this time from Standard & Poor’s Ratings Services. …

Jon C. Ogg |

30-Year Bond Offering to Help Start AT&T Financing for DirecTV Buyout

Wikimedia CommonsAT&T Inc. (NYSE: T) had a sale of $2 billion in corporate bonds slated for Tuesday. Investors need to…

Jon C. Ogg |

Alcatel-Lucent Junk Status at S&P May Get Worse (ALU, CSCO)

The focus for networking and communications equipment this week was supposed to be all about Cisco Systems Inc. (NASDAQ: CSCO).…

Paul Ausick |

S&P Thumps Sony

Sony Corp. (NYSE: SNE) has been struggling with losses for the past four years and the ripple effects of those…

Top Gaining Stocks

Genuine Parts
GPC • Vol: 5,088,383
Moderna
MRNA • Vol: 14,112,476
Equifax
EFX • Vol: 2,195,638
Vertex Pharmaceuticals
VRTX • Vol: 1,879,133
S&P Global
SPGI • Vol: 3,749,613

Top Losing Stocks

Teradyne
TER • Vol: 5,938,036
KLA
KLAC • Vol: 23,648,857
Corning
GLW • Vol: 21,192,211
Seagate Technology
STX • Vol: 6,302,838
Lam Research
LRCX • Vol: 18,973,383