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Alaska Air Group (ALK) Exceeds Market Returns: Some Facts to Consider
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The latest trading session saw Alaska Air Group (ALK - Free Report) ending at $63.40, denoting a +1.33% adjustment from its last day's close. The stock outperformed the S&P 500, which registered a daily gain of 0.38%. On the other hand, the Dow registered a loss of 0.25%, and the technology-centric Nasdaq increased by 1.24%.
The airline's shares have seen an increase of 15.96% over the last month, surpassing the Transportation sector's loss of 4.05% and the S&P 500's gain of 1.17%.
Investors will be eagerly watching for the performance of Alaska Air Group in its upcoming earnings disclosure. The company's upcoming EPS is projected at $0.45, signifying a 50% increase compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $3.48 billion, up 36.16% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.35 per share and revenue of $11.8 billion, indicating changes of -3.97% and +13.17%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for Alaska Air Group. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.68% increase. Currently, Alaska Air Group is carrying a Zacks Rank of #3 (Hold).
In terms of valuation, Alaska Air Group is presently being traded at a Forward P/E ratio of 14.39. This signifies a premium in comparison to the average Forward P/E of 10.25 for its industry.
We can additionally observe that ALK currently boasts a PEG ratio of 0.84. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Transportation - Airline stocks are, on average, holding a PEG ratio of 1.15 based on yesterday's closing prices.
The Transportation - Airline industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 27, which puts it in the top 11% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Alaska Air Group (ALK) Exceeds Market Returns: Some Facts to Consider
The latest trading session saw Alaska Air Group (ALK - Free Report) ending at $63.40, denoting a +1.33% adjustment from its last day's close. The stock outperformed the S&P 500, which registered a daily gain of 0.38%. On the other hand, the Dow registered a loss of 0.25%, and the technology-centric Nasdaq increased by 1.24%.
The airline's shares have seen an increase of 15.96% over the last month, surpassing the Transportation sector's loss of 4.05% and the S&P 500's gain of 1.17%.
Investors will be eagerly watching for the performance of Alaska Air Group in its upcoming earnings disclosure. The company's upcoming EPS is projected at $0.45, signifying a 50% increase compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $3.48 billion, up 36.16% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.35 per share and revenue of $11.8 billion, indicating changes of -3.97% and +13.17%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for Alaska Air Group. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.68% increase. Currently, Alaska Air Group is carrying a Zacks Rank of #3 (Hold).
In terms of valuation, Alaska Air Group is presently being traded at a Forward P/E ratio of 14.39. This signifies a premium in comparison to the average Forward P/E of 10.25 for its industry.
We can additionally observe that ALK currently boasts a PEG ratio of 0.84. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Transportation - Airline stocks are, on average, holding a PEG ratio of 1.15 based on yesterday's closing prices.
The Transportation - Airline industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 27, which puts it in the top 11% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.