Alaska Air Group (ALK) Stock Dips While Market Gains: Key Facts

Alaska Air Group (ALK) ended the recent trading session at $54.78, demonstrating a -4.31% change from the preceding day's closing price. The stock fell short of the S&P 500, which registered a gain of 0.44% for the day. At the same time, the Dow added 0.14%, and the tech-heavy Nasdaq gained 0.7%. The airline's shares have seen a decrease of 3.78% over the last month, not keeping up with the Transportation sector's loss of 1.25% and the S&P 500's gain of 4.03%.Investors will be eagerly watching for the performance of Alaska Air Group in its upcoming earnings disclosure. On that day, Alaska Air Group is projected to report earnings of $1.32 per share, which would represent a year-over-year decline of 41.33%. In the meantime, our current consensus estimate forecasts the revenue to be $3.73 billion, indicating a 21.56% growth compared to the corresponding quarter of the prior year. For the annual period, the Zacks Consensus Estimates anticipate earnings of $3.41 per share and a revenue of $14.25 billion, signifying shifts of -29.98% and +21.44%, respectively, from the last year. Investors might also notice recent changes to analyst estimates for Alaska Air Group. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability. Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system. The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.72% higher within the past month. As of now, Alaska Air Group holds a Zacks Rank of #3 (Hold). From a valuation perspective, Alaska Air Group is currently exchanging hands at a Forward P/E ratio of 16.8. This represents a premium compared to its industry average Forward P/E of 10.38. Also, we should mention that ALK has a PEG ratio of 0.62. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Transportation - Airline was holding an average PEG ratio of 0.81 at yesterday's closing price. The Transportation - Airline industry is part of the Transportation sector. With its current Zacks Industry Rank of 56, this industry ranks in the top 23% of all industries, numbering over 250. The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. You can find more information on all of these metrics, and much more, on Zacks.com. Free Report: 3 Software Stocks Poised to SkyrocketSoftware stocks are poised to catapult higher in the coming months (and years) thanks to several factors, especially the explosive growth of AI. Zacks' urgent report reveals 3 top software stocks to own right now.Access the report free today >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Alaska Air Group, Inc. (ALK): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks