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Are Investors Undervaluing Alaska Air Group (ALK) Right Now?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company value investors might notice is Alaska Air Group (ALK - Free Report) . ALK is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value.
We also note that ALK holds a PEG ratio of 0.51. 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. ALK's industry currently sports an average PEG of 0.64. Over the last 12 months, ALK's PEG has been as high as 6.21 and as low as 0.33, with a median of 0.58.
We should also highlight that ALK has a P/B ratio of 1.99. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 2.49. ALK's P/B has been as high as 2.43 and as low as 1.76, with a median of 2.01, over the past year.
These are just a handful of the figures considered in Alaska Air Group's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that ALK is an impressive value stock right now.
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Are Investors Undervaluing Alaska Air Group (ALK) Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company value investors might notice is Alaska Air Group (ALK - Free Report) . ALK is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value.
We also note that ALK holds a PEG ratio of 0.51. 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. ALK's industry currently sports an average PEG of 0.64. Over the last 12 months, ALK's PEG has been as high as 6.21 and as low as 0.33, with a median of 0.58.
We should also highlight that ALK has a P/B ratio of 1.99. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks attractive against its industry's average P/B of 2.49. ALK's P/B has been as high as 2.43 and as low as 1.76, with a median of 2.01, over the past year.
These are just a handful of the figures considered in Alaska Air Group's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that ALK is an impressive value stock right now.