Alaska Air Group, Inc. (NYSE:ALK) Sees Large Decrease in Short Interest

Key Points

• Alaska Air Group's short interest decreased by 21.5% in August, dropping from 6,100,000 shares to 4,790,000 shares, indicating increased investor confidence.
• The company reported a $1.78 EPS for the last quarter, exceeding expectations and marking a 27.9% year-over-year revenue increase.
• Analysts have raised their price targets for Alaska Air Group, with an average target price of $68.00, and twelve analysts currently rate the stock as a Buy.

Alaska Air Group, Inc. (NYSE:ALK - Get Free Report) saw a large decline in short interest in the month of August. As of August 15th, there was short interest totaling 4,790,000 shares, a decline of 21.5% from the July 31st total of 6,100,000 shares. Approximately 4.2% of the shares of the company are sold short. Based on an average daily volume of 2,640,000 shares, the short-interest ratio is presently 1.8 days. Based on an average daily volume of 2,640,000 shares, the short-interest ratio is presently 1.8 days. Approximately 4.2% of the shares of the company are sold short.

Alaska Air Group Price Performance

Shares of ALK traded down $0.46 during trading hours on Friday, reaching $63.40. 2,724,943 shares of the company's stock traded hands, compared to its average volume of 2,227,651. The stock has a market cap of $7.31 billion, a PE ratio of 25.77, a price-to-earnings-growth ratio of 0.70 and a beta of 1.45. The company has a current ratio of 0.52, a quick ratio of 0.49 and a debt-to-equity ratio of 1.14. The firm's 50 day simple moving average is $56.32 and its 200-day simple moving average is $52.65. Alaska Air Group has a 12 month low of $39.10 and a 12 month high of $78.08.

Alaska Air Group (NYSE:ALK - Get Free Report) last issued its quarterly earnings results on Wednesday, July 23rd. The transportation company reported $1.78 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.56 by $0.22. The firm had revenue of $3.70 billion during the quarter, compared to the consensus estimate of $3.65 billion. Alaska Air Group had a return on equity of 12.62% and a net margin of 2.33%.The company's revenue for the quarter was up 27.9% on a year-over-year basis. During the same quarter last year, the company posted $2.55 EPS. Alaska Air Group has set its Q3 2025 guidance at 1.000-1.400 EPS. FY 2025 guidance at 3.250- EPS. Equities analysts expect that Alaska Air Group will post 6.03 EPS for the current year.

Analyst Upgrades and Downgrades

Several equities research analysts recently weighed in on ALK shares. UBS Group raised Alaska Air Group from a "neutral" rating to a "buy" rating and lifted their price objective for the stock from $56.00 to $90.00 in a report on Friday. JPMorgan Chase & Co. lifted their price objective on Alaska Air Group from $73.00 to $96.00 and gave the stock an "overweight" rating in a report on Friday. Barclays lifted their price objective on Alaska Air Group from $55.00 to $60.00 and gave the stock an "overweight" rating in a report on Thursday, July 10th. Susquehanna lifted their price objective on Alaska Air Group from $50.00 to $60.00 and gave the stock a "positive" rating in a report on Tuesday, August 5th. Finally, Raymond James Financial raised Alaska Air Group from a "market perform" rating to an "outperform" rating and set a $70.00 price objective for the company in a report on Monday, August 25th. Thirteen research analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, the stock currently has a consensus rating of "Buy" and a consensus price target of $71.15.

Insider Transactions at Alaska Air Group

In other news, SVP Kyle B. Levine sold 5,914 shares of Alaska Air Group stock in a transaction on Monday, August 18th. The stock was sold at an average price of $57.75, for a total transaction of $341,533.50. Following the sale, the senior vice president directly owned 20,917 shares in the company, valued at $1,207,956.75. The trade was a 22.04% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO Shane R. Tackett sold 5,000 shares of Alaska Air Group stock in a transaction on Wednesday, August 13th. The stock was sold at an average price of $57.06, for a total value of $285,300.00. Following the sale, the chief financial officer owned 43,335 shares in the company, valued at $2,472,695.10. The trade was a 10.34% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 18,514 shares of company stock worth $1,031,306 in the last ninety days. Company insiders own 1.00% of the company's stock.

Institutional Trading of Alaska Air Group

A number of hedge funds have recently bought and sold shares of ALK. Brighton Jones LLC lifted its position in Alaska Air Group by 2,046.4% in the fourth quarter. Brighton Jones LLC now owns 96,932 shares of the transportation company's stock valued at $6,276,000 after purchasing an additional 92,416 shares during the last quarter. Mercer Global Advisors Inc. ADV bought a new stake in Alaska Air Group in the fourth quarter valued at approximately $555,000. Ameriprise Financial Inc. lifted its position in Alaska Air Group by 42.7% in the fourth quarter. Ameriprise Financial Inc. now owns 566,955 shares of the transportation company's stock valued at $36,710,000 after purchasing an additional 169,673 shares during the last quarter. Captrust Financial Advisors lifted its position in Alaska Air Group by 28.4% in the fourth quarter. Captrust Financial Advisors now owns 11,213 shares of the transportation company's stock valued at $726,000 after purchasing an additional 2,479 shares during the last quarter. Finally, Deutsche Bank AG lifted its position in Alaska Air Group by 6.5% in the fourth quarter. Deutsche Bank AG now owns 46,882 shares of the transportation company's stock valued at $3,036,000 after purchasing an additional 2,849 shares during the last quarter. Institutional investors own 81.90% of the company's stock.

Alaska Air Group Company Profile

Alaska Air Group, Inc, through its subsidiaries, operates airlines. It operates through three segments: Mainline, Regional, and Horizon. The company offers scheduled air transportation services on Boeing jet aircraft for passengers and cargo in the United States, and in parts of Canada, Mexico, Costa Rica, Belize, Guatemala, and the Bahamas; and for passengers across a shorter distance network within the United States, Canada, and Mexico.