Alaska Air Group (NYSE:ALK) Rating Lowered to Strong Sell at Wall Street Zen

Key Points

• Wall Street Zen downgraded Alaska Air Group to “strong sell” from “sell,” although the broader analyst consensus remains “Moderate Buy” with a $60.12 price target.
• ALK opened at $40.53, up 1.3%, and recently reported a quarterly loss of $0.92 per share—better than estimates—but revenue of $4.07 billion fell slightly short of expectations. Analysts project a full-year loss of $1.74 per share.
• CEO Benito Minicucci bought 25,000 shares worth about $1.0 million, while another executive sold shares; institutional investors own approximately 81.9% of the company.

Alaska Air Group (NYSE:ALK - Get Free Report) was downgraded by equities researchers at Wall Street Zen from a "sell" rating to a "strong sell" rating in a note issued to investors on Saturday, Wall Street Zen reports.

ALK has been the subject of several other research reports. BMO Capital Markets boosted their price target on shares of Alaska Air Group from $55.00 to $62.50 and gave the stock an "outperform" rating in a research note on Thursday, July 2nd. Barclays set a $52.00 target price on Alaska Air Group and gave the company an "overweight" rating in a report on Friday, September 11th. TD Cowen restated a "buy" rating and set a $46.00 price target (down from $59.00) on shares of Alaska Air Group in a report on Monday, August 24th. Susquehanna upped their price target on Alaska Air Group from $50.00 to $70.00 and gave the stock a "positive" rating in a report on Tuesday, July 7th. Finally, Bank of America increased their price target on Alaska Air Group from $60.00 to $65.00 and gave the company a "buy" rating in a research report on Wednesday, July 1st. Ten investment analysts have rated the stock with a Buy rating, one has given a Hold rating and two have given a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $60.12.

Alaska Air Group Stock Up 1.3%

ALK stock opened at $40.53 on Friday. Alaska Air Group has a 12 month low of $33.03 and a 12 month high of $60.63. The company has a current ratio of 0.55, a quick ratio of 0.51 and a debt-to-equity ratio of 1.58. The company has a market cap of $4.52 billion, a price-to-earnings ratio of -25.82 and a beta of 1.28. The firm has a 50-day moving average of $44.46 and a two-hundred day moving average of $43.46.

Alaska Air Group (NYSE:ALK - Get Free Report) last announced its quarterly earnings results on Tuesday, July 21st. The transportation company reported ($0.92) earnings per share for the quarter, beating the consensus estimate of ($0.99) by $0.07. Alaska Air Group had a negative net margin of 1.19% and a negative return on equity of 3.11%. The firm had revenue of $4.07 billion for the quarter, compared to analysts' expectations of $4.09 billion. During the same quarter in the previous year, the company posted $1.42 EPS. The company's revenue was up 9.7% compared to the same quarter last year. Alaska Air Group has set its Q3 2026 guidance at 0.000-1.000 EPS. As a group, analysts forecast that Alaska Air Group will post -1.74 earnings per share for the current fiscal year.

Insider Buying and Selling at Alaska Air Group

In related news, CEO Benito Minicucci bought 25,000 shares of the firm's stock in a transaction dated Thursday, August 20th. The stock was bought at an average price of $40.06 per share, with a total value of $1,001,500.00. Following the completion of the transaction, the chief executive officer directly owned 256,582 shares of the company's stock, valued at approximately $10,278,674.92. This represents a 10.80% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Andrew R. Harrison sold 5,300 shares of the firm's stock in a transaction on Monday, August 3rd. The shares were sold at an average price of $49.67, for a total transaction of $263,251.00. Following the sale, the executive vice president directly owned 25,528 shares of the company's stock, valued at approximately $1,267,975.76. The trade was a 17.19% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders own 1.00% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. Assenagon Asset Management S.A. bought a new stake in shares of Alaska Air Group during the second quarter valued at about $1,407,000. Amundi bought a new position in Alaska Air Group in the 1st quarter valued at about $2,205,000. Public Employees Retirement System of Ohio acquired a new position in Alaska Air Group during the 2nd quarter valued at about $2,230,000. Engineers Gate Manager LP increased its stake in Alaska Air Group by 1,445.3% during the 2nd quarter. Engineers Gate Manager LP now owns 87,187 shares of the transportation company's stock valued at $4,551,000 after buying an additional 81,545 shares during the period. Finally, Thompson Siegel & Walmsley LLC raised its position in shares of Alaska Air Group by 62.3% during the 4th quarter. Thompson Siegel & Walmsley LLC now owns 156,859 shares of the transportation company's stock worth $7,890,000 after buying an additional 60,204 shares in the last quarter. Institutional investors and hedge funds own 81.90% of the company's stock.

About Alaska Air Group

Alaska Air Group, Inc is an airline holding company whose principal subsidiaries include Alaska Airlines, Hawaiian Airlines and regional carrier Horizon Air. The company provides scheduled passenger and air cargo transportation, along with related services such as aircraft maintenance and ground handling through affiliated businesses.

Alaska Airlines serves destinations throughout the United States, Canada, Mexico, Costa Rica and other parts of North America, while Hawaiian Airlines connects the Hawaiian Islands with the U.S.

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