American Airlines shares surged 5.05% during intraday trading on Friday, as investors reacted to positive analyst commentary and the company’s recent earnings call highlights.

The airline has been benefiting from a strategic shift toward premium travelers, with nearly half of its ticketed revenue now coming from premium seats, which account for only about 30% of available seats. During the earnings call, management noted that premium unit revenue increased more than 13% year over year, while managed corporate revenue climbed 26%. Additionally, nearly 60% of ticket revenue comes from households earning more than $150,000 annually, a customer base expected to remain resilient even during economic uncertainty.

Adding to the bullish sentiment, Morgan Stanley maintained a Buy rating on American Airlines with a $24 price target, and JPMorgan raised its target price to $24 from $22, signaling confidence in the airline’s ability to navigate fuel cost headwinds through its premium revenue strategy.