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Alaska Air Group (ALK) Stock Drops Despite Market Gains: Important Facts to Note
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In the latest close session, Alaska Air Group (ALK - Free Report) was down 2.62% at $48.67. The stock trailed the S&P 500, which registered a daily gain of 0.16%. Elsewhere, the Dow gained 0.17%, while the tech-heavy Nasdaq added 0.26%.
Shares of the airline witnessed a loss of 2.76% over the previous month, trailing the performance of the Transportation sector with its gain of 4.67%, and the S&P 500's gain of 1.89%.
The investment community will be paying close attention to the earnings performance of Alaska Air Group in its upcoming release. The company is predicted to post an EPS of $0.14, indicating a 85.57% decline compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $3.64 billion, up 3.07% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.17 per share and a revenue of $14.25 billion, signifying shifts of -55.44% and 0%, respectively, from the last year.
Investors should also take note of any recent adjustments to analyst estimates for Alaska Air Group. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.08% increase. At present, Alaska Air Group boasts a Zacks Rank of #3 (Hold).
Investors should also note Alaska Air Group's current valuation metrics, including its Forward P/E ratio of 10.24. This represents a premium compared to its industry average Forward P/E of 9.79.
Meanwhile, ALK's PEG ratio is currently 0.5. 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. The average PEG ratio for the Transportation - Airline industry stood at 0.62 at the close of the market yesterday.
The Transportation - Airline industry is part of the Transportation sector. With its current Zacks Industry Rank of 162, this industry ranks in the bottom 34% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our 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.
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Alaska Air Group (ALK) Stock Drops Despite Market Gains: Important Facts to Note
In the latest close session, Alaska Air Group (ALK - Free Report) was down 2.62% at $48.67. The stock trailed the S&P 500, which registered a daily gain of 0.16%. Elsewhere, the Dow gained 0.17%, while the tech-heavy Nasdaq added 0.26%.
Shares of the airline witnessed a loss of 2.76% over the previous month, trailing the performance of the Transportation sector with its gain of 4.67%, and the S&P 500's gain of 1.89%.
The investment community will be paying close attention to the earnings performance of Alaska Air Group in its upcoming release. The company is predicted to post an EPS of $0.14, indicating a 85.57% decline compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $3.64 billion, up 3.07% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.17 per share and a revenue of $14.25 billion, signifying shifts of -55.44% and 0%, respectively, from the last year.
Investors should also take note of any recent adjustments to analyst estimates for Alaska Air Group. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.08% increase. At present, Alaska Air Group boasts a Zacks Rank of #3 (Hold).
Investors should also note Alaska Air Group's current valuation metrics, including its Forward P/E ratio of 10.24. This represents a premium compared to its industry average Forward P/E of 9.79.
Meanwhile, ALK's PEG ratio is currently 0.5. 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. The average PEG ratio for the Transportation - Airline industry stood at 0.62 at the close of the market yesterday.
The Transportation - Airline industry is part of the Transportation sector. With its current Zacks Industry Rank of 162, this industry ranks in the bottom 34% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our 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.