Stock Updates

Is this Large Market Cap Stock target price reasonable for Alaska Air Group, Inc. (NYSE:ALK)?

The company in question is, Alaska Air Group, Inc. (NYSE:ALK) currently with a stock price of 72.13 (-1.14% today). The market cap for Alaska Air Group, Inc. is 9109.79, and is in the sector Services, and Regional Airlines industry. The target price for Alaska Air Group, Inc. is 81.11. Currently Alaska Air Group, Inc. is trading with a P/E of 10.12, and a forward P/E of 10.21. Average volume for Alaska Air Group, Inc. is 1349.93 and so far today it is 579645.

Performance in the last year for Alaska Air Group, Inc. has been 0.81%. For EPS growth, Alaska Air Group, Inc. has seen a growth of 48.20%, and is looking to grow in the next year to 1.33%. More long term stats show that EPS growth has been 30.90% over the last five years and could be 3.91% for the next five years. Alaska Air Group, Inc. has seen sales growth quarter over quarter at 4.00%, with EPS growth quarter over quarter at 16.70%. The 20-day simple moving average is 7.18%, with the 200-day simple moving average coming to 4.24%.

Since the IPO date for Alaska Air Group, Inc. on the 01/03/1983, Alaska Air Group, Inc. has seen performance year to date to be -8.27%. With Alaska Air Group, Inc. trading at 72.13, the dividend yield is 1.51%, and the EPS is 7.21.

So could Alaska Air Group, Inc., be undervalued? Well as said before P/E is 10.12. The PEG is 2.59, P/S is 1.59 and the P/B is at 3.42. The P/cash is 5.67, with P/free cash flow at 10.54.

Alaska Air Group, Inc. ability to deal with debt shows that the current ratio is 1, and the quick ratio is 1. This is with long term debt/equity at 0.19, and total debt/equity at 0.24.

In terms of margins, Alaska Air Group, Inc. has a gross margin of 46.30%, an operating margin of 24.40% and a profit margin of 15.90%.Payout ratio for Alaska Air Group, Inc. is 13.10%. Return on assets come to 13.50% with return on investment coming to 26.90%.

Insider ownership for Alaska Air Group, Inc., is at 0.30% and institutional ownership comes to 90.40%. Outstanding shares are at 124.86. While shares float is 122.69. The float short is currently 7.59%, and short ratio is 6.9.

Disclaimer: Remember there is a risk to your investment, this is not a recommendation, nor personal advice, never invest more than you are able too loose.

About the author

Peter Clarke

Leave a Comment