Alaska Air Group
Market Cap
US$6.7b
Last Updated
2021/01/22 23:49 UTC
Data Sources
Company Financials +
Executive Summary
Alaska Air Group, Inc., through its subsidiaries, provides passenger and cargo air transportation services. More Details
Rewards
Risk Analysis
Snowflake Analysis
High growth potential and slightly overvalued.
Similar Companies
Share Price & News
How has Alaska Air Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ALK is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: ALK's weekly volatility (8%) has been stable over the past year.
Market Performance
7 Day Return
1.5%
ALK
0.9%
US Airlines
2.3%
US Market
1 Year Return
-18.4%
ALK
-27.4%
US Airlines
23.7%
US Market
Return vs Industry: ALK exceeded the US Airlines industry which returned -27.4% over the past year.
Return vs Market: ALK underperformed the US Market which returned 23.7% over the past year.
Shareholder returns
| ALK | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.5% | 0.9% | 2.3% |
| 30 Day | 5.1% | 2.0% | 4.7% |
| 90 Day | 31.0% | 17.5% | 14.5% |
| 1 Year | -17.9%-18.4% | -27.1%-27.4% | 26.5%23.7% |
| 3 Year | -11.5%-15.6% | -24.2%-26.0% | 45.0%35.4% |
| 5 Year | -16.3%-22.6% | 6.4%2.8% | 126.2%100.9% |
Long-Term Price Volatility Vs. Market
How volatile is Alaska Air Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall St
Is Alaska Air Group (NYSE:ALK) Weighed On By Its Debt Load?1 month ago | Simply Wall St
Alaska Air Group (NYSE:ALK) Share Prices Have Dropped 41% In The Last Five Years2 months ago | Simply Wall St
This Insider Has Just Sold Shares In Alaska Air Group, Inc. (NYSE:ALK)Valuation
Is Alaska Air Group undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ALK ($54.47) is trading below our estimate of fair value ($312.58)
Significantly Below Fair Value: ALK is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ALK is unprofitable, so we can't compare its PE Ratio to the XN Airlines industry average.
PE vs Market: ALK is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate ALK's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: ALK is overvalued based on its PB Ratio (2x) compared to the US Airlines industry average (1.3x).
Next Steps
Future Growth
How is Alaska Air Group forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
111.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ALK is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).
Earnings vs Market: ALK is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: ALK's is expected to become profitable in the next 3 years.
Revenue vs Market: ALK's revenue (29.7% per year) is forecast to grow faster than the US market (10.6% per year).
High Growth Revenue: ALK's revenue (29.7% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ALK's Return on Equity is forecast to be low in 3 years time (18.1%).
Next Steps
Past Performance
How has Alaska Air Group performed over the past 5 years?
-23.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ALK is currently unprofitable.
Growing Profit Margin: ALK is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: ALK is unprofitable, and losses have increased over the past 5 years at a rate of 23.2% per year.
Accelerating Growth: Unable to compare ALK's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: ALK is unprofitable, making it difficult to compare its past year earnings growth to the Airlines industry (-42.2%).
Return on Equity
High ROE: ALK has a negative Return on Equity (-20.15%), as it is currently unprofitable.
Next Steps
Financial Health
How is Alaska Air Group's financial position?
Financial Position Analysis
Short Term Liabilities: ALK's short term assets ($4.5B) exceed its short term liabilities ($4.2B).
Long Term Liabilities: ALK's short term assets ($4.5B) do not cover its long term liabilities ($7.1B).
Debt to Equity History and Analysis
Debt Level: ALK's debt to equity ratio (110.7%) is considered high.
Reducing Debt: ALK's debt to equity ratio has increased from 30.9% to 110.7% over the past 5 years.
Debt Coverage: ALK's debt is not well covered by operating cash flow (12%).
Interest Coverage: Insufficient data to determine if ALK's interest payments on its debt are well covered by EBIT.
Balance Sheet
Next Steps
Dividend
What is Alaska Air Group current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate ALK's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate ALK's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if ALK's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ALK's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: ALK is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of ALK's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
6.7yrs
Average management tenure
CEO
Brad Tilden (59 yo)
8.67yrs
Tenure
US$5,528,316
Compensation
Mr. Bradley D. Tilden, also known as Brad, has been the Chief Executive Officer and President at Alaska Air Group, Inc. since May 15, 2012. Mr. Tilden has been the Chief Executive Officer of Alaska Airline...
CEO Compensation Analysis
Compensation vs Market: Brad's total compensation ($USD5.53M) is about average for companies of similar size in the US market ($USD6.22M).
Compensation vs Earnings: Brad's compensation has increased whilst the company is unprofitable.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 8.67yrs | US$5.53m | 0.13% $ 9.0m | |
| CFO & EVP of finance | 0.83yr | US$2.12m | 0.0093% $ 625.1k | |
| Independent Director | 7.17yrs | US$192.92k | 0.0060% $ 402.8k | |
| Executive VP & COO | 1.17yrs | no data | 0.0014% $ 97.7k | |
| Managing Director of Accounting Operations | 6.92yrs | no data | no data | |
| Managing Director of Investor Relations | 6.5yrs | no data | no data | |
| Chief Ethics & Compliance Officer | 5yrs | no data | 0.0069% $ 465.5k | |
| Manager of Corporate Communication | no data | no data | no data | |
| Managing Director of Sales & Community Marketing | no data | no data | no data | |
| Managing Director of Taxes | 14.83yrs | no data | no data | |
| Managing Director of Government Affairs | 13.5yrs | no data | no data | |
| Managing Director of Human Capital Strategy | no data | no data | no data |
6.7yrs
Average Tenure
59yo
Average Age
Experienced Management: ALK's management team is seasoned and experienced (6.7 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 8.67yrs | US$5.53m | 0.13% $ 9.0m | |
| Independent Director | 7.17yrs | US$192.92k | 0.0060% $ 402.8k | |
| Independent Director | 22yrs | US$185.80k | 0.013% $ 855.5k | |
| Director | 0.25yr | US$163.23k | 0.0046% $ 309.2k | |
| Independent Director | 8.17yrs | US$218.67k | 0.0096% $ 648.0k | |
| Independent Director | 3.42yrs | US$178.88k | 0.00064% $ 43.1k | |
| Director | 0.67yr | US$3.51m | 0.078% $ 5.2m | |
| Lead Independent Director | 4.67yrs | US$203.99k | 0.020% $ 1.3m | |
| Independent Director | 10.25yrs | US$198.17k | 0.0074% $ 499.8k | |
| Independent Director | 3yrs | US$180.55k | 0.0058% $ 392.7k | |
| Independent Director | 6.25yrs | US$193.43k | 0.0069% $ 464.8k | |
| Independent Director | 2.67yrs | US$180.32k | 0.0055% $ 369.8k |
5.5yrs
Average Tenure
60.5yo
Average Age
Experienced Board: ALK's board of directors are considered experienced (5.5 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ALK insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Alaska Air Group, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Alaska Air Group, Inc.
- Ticker: ALK
- Exchange: NYSE
- Founded: 1932
- Industry: Airlines
- Sector: Transportation
- Market Cap: US$6.736b
- Shares outstanding: 123.66m
- Website: https://www.alaskaair.com
Number of Employees
Location
- Alaska Air Group, Inc.
- 19300 International Boulevard
- Seattle
- Washington
- 98188
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ALK | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1968 |
| ALK | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1968 |
| 0HC3 | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jan 1968 |
| A1LK34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH 1 REPR 1 COM | BR | BRL | Jan 2020 |
Biography
Alaska Air Group, Inc., through its subsidiaries, provides passenger and cargo air transportation services. The company operates through three segments: Mainline, Regional, and Horizon. It has a network of...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/22 23:49 |
| End of Day Share Price | 2021/01/22 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.