Forecasting The Future: 6 Analyst Projections For Alaska Air Gr

In the preceding three months, 6 analysts have released ratings for Alaska Air Gr ALK, presenting a wide array of perspectives from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Analysts have set 12-month price targets for Alaska Air Gr, revealing an average target of $81.0, a high estimate of $89.00, and a low estimate of $75.00. This upward trend is apparent, with the current average reflecting a 2.11% increase from the previous average price target of $79.33.

Interpreting Analyst Ratings: A Closer Look

A clear picture of Alaska Air Gr's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Alaska Air Gr. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Alaska Air Gr compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Alaska Air Gr's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

To gain a panoramic view of Alaska Air Gr's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Alaska Air Gr analyst ratings.

Get to Know Alaska Air Gr Better

Alaska Air Group Inc operates two airlines, Alaska and Horizon in three operating segments. The Alaska Airlines segment includes scheduled air transportation on Alaska's Boeing and Airbus jet aircraft for passengers and cargo throughout the U.S., and in parts of Mexico, and Costa Rica. The Regional segment includes Horizon's and other third-party carriers' scheduled air transportation for passengers across a shorter distance network within the U.S. and Canada under capacity purchase agreements (CPA). The Hawaiian Airlines segment includes scheduled air transportation on Hawaiian's Boeing and Airbus aircraft for passengers and cargo. It earns revenues from Passenger tickets, including ticket breakage and net of taxes and fees, Passenger ancillary and Mileage Plan passenger revenue.

Breaking Down Alaska Air Gr's Financial Performance

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Revenue Growth: Alaska Air Gr's remarkable performance in 3 months is evident. As of 31 December, 2024, the company achieved an impressive revenue growth rate of 38.43%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Industrials sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 2.01%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 1.6%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): Alaska Air Gr's ROA stands out, surpassing industry averages. With an impressive ROA of 0.36%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: Alaska Air Gr's debt-to-equity ratio is below the industry average. With a ratio of 1.46, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

How Are Analyst Ratings Determined?

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.