Alaska Air Group Inc. (NYSE:ALK) finished Wednesday with a subtraction of -$0.43 to close at $36.41, a downside of -1.17 percent. An average of 1,669,540 shares of common stock have been traded in the last five days. There was a fall of -$2.20 in the past week, and it reached a new high 32 times over the past 12 months. The last 20 days have seen an average of 1,912,925 shares traded, while the 50-day average volume stands at 1,904,512.
ALK stock has decreased by -13.29% in the last month. The company shares reached their 1-month lowest point of $36.15 on 09/27/23. With the stock rallying to its 52-week high on 07/13/23, shares of the company touched a low of $36.74 and a high of $57.18 in 52 weeks. It has reached a new high 20 times so far this year and lost -15.21% or -$6.53 in price. In spite of this, the price is down -36.32% from the 52-week high.
Top 5 AI Stocks to Buy for 2023
The artificial intelligence (AI) revolution is already here. And it's about to change everything we know about everything.
According to Grand View Research, the global AI boom could grow from about $137 billion in 2022 to more than $1.81 trillion by 2030. And investors like you always want to get in on the hottest stocks of tomorrow. Here are five of the best ways to profit from the AI boom.
Click Here to Download the FREE Report.
Sponsored
Insider Transactions
ALK stock investors should be aware that Alaska Air Group Inc. (ALK) stock had its last reported insider trading activity 112 days ago on Jun 08. In this transaction, the insider spent $243,659. Director, THOMPSON J KENNETH, disposed of 3,500 shares at a price of $48.58 on Mar 09. The insider now owns more than $170,017 worth of shares. Prior to that, SVP PEOPLE SCHNEIDER ANDREA L went on to Sale 1,596 shares at $50.81 each on Jan 27. An amount of $81,098 was transacted.
Valuation Metrics
Alaska Air Group Inc. (ALK) has a trailing price-to-earnings (P/E) ratio of 29.58. The stock’s beta is 1.56. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 0.45, the price-to-book (PB) ratio at 1.17.
Financial Health
The quick ratio of Alaska Air Group Inc. for the three months ended June 29 was 0.61, and the current ratio was 0.63, indicating that the company is not able to meet its debt obligations. Further, the company has a long term debt to equity ratio of 0.77 and a total debt to equity ratio of 0.98 for the quarter ending June 29. Alaska Air Group Inc.’s EBITDA margin for the year ending June 29 is 10.08%, while its operating margin for the same period stands at 9.75%. Its gross profit as reported stood at $70.0 million compared to revenue of $9.65 billion.
For investors, determining the potential profitability of the investment also depends on the performance of the company’s management. In the past 12 months, Alaska Air Group Inc.’s return on assets was 1.08%.
Earnings Surprise
For the three-month period that ended June 29, Alaska Air Group Inc. had $1.89 billion in total debt. In the quarter under review, the net income was up than the previous quarter. The company posted a net income of $240.0 million in the quarter, while revenues were grew 42.08%. The analyst consensus anticipated Alaska Air Group Inc.’s latest quarter earnings to come in at $2.7 per share, but it turned out to be $3, a 11.10% surprise. For the quarter, EBITDA amounted to $450.0 million. Shareholders own equity worth $127.22 million.
Technical Picture
From a technical analysis perspective, let’s take a brief look at Alaska Air Group Inc. (ALK) price momentum. RSI 9-day as of the close on 27 September was 12.89%, suggesting the stock is oversold, with historical volatility in this time frame at 9.77%.
As of today, ALK’s price is $37.25 -5.70% or -$2.20 from its 5-day moving average. ALK is currently trading -13.92% lower than its 20-day SMA and -13.49% lower than its 100-day SMA. However, the stock’s current price level is -31.84% below the SMA50 and -17.36% below the SMA200.
The stochastic %K and %D were 7.08% and 6.53%, respectively, and the average true range (ATR) was 0.89. With the 14-day stochastic at 5.49% and the average true range at 0.93, the RSI (14) stands at 17.09%. The stock has reached -1.16 on the 9-day MACD Oscillator while the 14-day reading was at -1.78.
Analyst Ratings
Raymond James upgraded Alaska Air Group Inc. (NYSE: ALK) to a a Strong buy rating in its most recent analyst report. Previously, the stock was rated as an Outperform.
What is ALK’s price target for the next 12 months?
Analysts predict a range of price targets between $50.00 and $75.00, with a median target of $62.00. Taking a look at these predictions, the average price target given by analysts for Alaska Air Group Inc. (ALK) stock is $63.00.
