NEW YORK (TheStreet) -- The market may have recovered post Brexit but tourism is in trouble as the U.K. makes up "the largest group of overseas travelers to the U.S.," CNBC's Aditi Roy reported on "Closing Bell" Thursday.
According to the U.S. government, U.K. tourists spent $4.6 billion in the U.S. last year, Roy said.
"But with the sterling weakening against the dollar there are concerns that the U.S. may be too expensive for U.K. tourists," she explained.
The travel industry is "mixed" on the impact that the U.K.'s decision to leave the European Union will have on the business. Some CEOs have predicted slow growth due to Brexit and some estimated there will be little change, Roy noted.
Last week, American Airlines (AAL) - Get Report said on its 2016 second quarter earnings call that it has not yet seen any short-term impact from Brexit. However, "they do expect currency fluctuations to have a negative effect on the airlines, saying down the road it's business travelers they will be watching most closely," she stated.
American Airlines stock is higher late this afternoon.
Separately, TheStreet Ratings rated American Airlines as a "hold" with a score of C-.
Among the primary strengths of the company is its respectable return on equity which TheStreet Ratings feels is likely to continue. At the same time, however, TheStreet Ratings also finds weaknesses including unimpressive growth in net income, generally higher debt management risk and poor profit margins.
You can view the full analysis from the report here: AAL
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.