Yahoo Finance Alaska Air Group (ALK) Declines More Than Market: Some Information for Investors
The most recent trading session ended with Alaska Air Group (ALK) standing at $40.40, reflecting a -0.88% shift from the previouse trading day's closing. The stock's change was less than the S&P 500's daily loss of 0.41%. Elsewhere, the Dow saw a downswing of 0.12%, while the tech-heavy Nasdaq depreciated by 0.71%.
The airline's shares have seen a decrease of 1.02% over the last month, surpassing the Transportation sector's loss of 2.21% and falling behind the S&P 500's gain of 3.53%.
Investors will be eagerly watching for the performance of Alaska Air Group in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $2.39, marking a 20.33% fall compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $2.97 billion, up 4.66% from the prior-year quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.71 per share and revenue of $10.91 billion, indicating changes of +3.97% and +4.66%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Alaska Air Group. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 0.67% rise in the Zacks Consensus EPS estimate. Alaska Air Group is holding a Zacks Rank of #2 (Buy) right now.
In the context of valuation, Alaska Air Group is at present trading with a Forward P/E ratio of 8.65. For comparison, its industry has an average Forward P/E of 9.01, which means Alaska Air Group is trading at a discount to the group.
We can also see that ALK currently has a PEG ratio of 0.54. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Transportation - Airline industry currently had an average PEG ratio of 0.8 as of yesterday's close.
The Transportation - Airline industry is part of the Transportation sector. At present, this industry carries a Zacks Industry Rank of 72, placing it within the top 29% of over 250 industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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, Inc. (ALK): Free Stock Analysis Report
