Zacks Research Has Negative Forecast for ALK FY2026 Earnings

Key Points

• Zacks Research cut its FY2026 EPS forecast to a loss of $4.35 from a loss of $2.21 and maintained a “Strong Sell” rating; its new estimate is close to the analyst consensus loss of $4.45.
• Other analysts remain more positive overall: MarketBeat reports a “Moderate Buy” consensus and an average price target of $52.38, despite several recent target cuts.
• Alaska Air Group reported quarterly EPS of $0.36, missing the $0.39 consensus estimate, while revenue of $4.31 billion matched expectations and rose 14.4% year over year.

Alaska Air Group, Inc. (NYSE:ALK - Free Report) - Research analysts at Zacks Research lowered their FY2026 earnings per share estimates for shares of Alaska Air Group in a research report issued to clients and investors on Tuesday, November 10th. Zacks Research analyst Team now expects that the transportation company will post earnings per share of ($4.35) for the year, down from their prior estimate of ($2.21). Zacks Research has a "Strong Sell" rating on the stock. The consensus estimate for Alaska Air Group's current full-year earnings is ($4.45) per share. Zacks Research also issued estimates for Alaska Air Group's Q4 2026 earnings at ($2.11) EPS, Q1 2027 earnings at ($2.50) EPS, Q2 2027 earnings at $1.97 EPS, Q3 2027 earnings at $2.70 EPS, Q4 2027 earnings at ($0.35) EPS, FY2027 earnings at $1.81 EPS, Q1 2028 earnings at $3.42 EPS, Q2 2028 earnings at $2.14 EPS, Q3 2028 earnings at $2.46 EPS and FY2028 earnings at $7.84 EPS.

Several other brokerages also recently weighed in on ALK. Susquehanna lowered their target price on shares of Alaska Air Group from $50.00 to $43.00 and set a "positive" rating on the stock in a report on Thursday, October 22nd. JPMorgan Chase & Co. cut their price target on shares of Alaska Air Group from $92.00 to $74.00 and set an "overweight" rating for the company in a report on Thursday, October 22nd. Barclays set a $52.00 price objective on shares of Alaska Air Group and gave the company an "overweight" rating in a research report on Friday, September 11th. Cantor Fitzgerald set a $41.00 price objective on Alaska Air Group in a report on Thursday, October 29th. Finally, The Goldman Sachs Group reiterated a "buy" rating and set a $52.00 target price on shares of Alaska Air Group in a research report on Thursday, October 22nd. Ten analysts have rated the stock with a Buy rating and three have assigned a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average price target of $52.38.

Alaska Air Group Stock Down 1.1%

ALK stock opened at $41.08 on Thursday. Alaska Air Group has a one year low of $32.33 and a one year high of $60.63. The stock has a market capitalization of $4.63 billion, a PE ratio of -11.70 and a beta of 1.43. The company has a debt-to-equity ratio of 1.49, a quick ratio of 0.42 and a current ratio of 0.46. The company has a fifty day moving average of $38.77 and a 200-day moving average of $43.75.

Alaska Air Group (NYSE:ALK - Get Free Report) last announced its earnings results on Tuesday, October 20th. The transportation company reported $0.36 earnings per share for the quarter, missing the consensus estimate of $0.39 by ($0.03). The company had revenue of $4.31 billion during the quarter, compared to analysts' expectations of $4.31 billion. Alaska Air Group had a negative net margin of 2.58% and a negative return on equity of 5.42%. The company's revenue for the quarter was up 14.4% compared to the same quarter last year. During the same quarter last year, the business posted $1.05 earnings per share.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Composition Wealth LLC boosted its stake in shares of Alaska Air Group by 124.0% during the 3rd quarter. Composition Wealth LLC now owns 8,852 shares of the transportation company's stock worth $343,000 after acquiring an additional 4,900 shares in the last quarter. Global Retirement Partners LLC increased its stake in Alaska Air Group by 81.3% in the 3rd quarter. Global Retirement Partners LLC now owns 4,445 shares of the transportation company's stock valued at $172,000 after purchasing an additional 1,993 shares in the last quarter. South Dakota Investment Council increased its stake in Alaska Air Group by 9.7% in the 3rd quarter. South Dakota Investment Council now owns 508,222 shares of the transportation company's stock valued at $19,668,000 after purchasing an additional 44,740 shares in the last quarter. Rothschild Investment LLC increased its stake in Alaska Air Group by 7,656.2% in the 3rd quarter. Rothschild Investment LLC now owns 2,482 shares of the transportation company's stock valued at $96,000 after purchasing an additional 2,450 shares in the last quarter. Finally, HighTower Advisors LLC raised its holdings in Alaska Air Group by 74.0% during the third quarter. HighTower Advisors LLC now owns 15,108 shares of the transportation company's stock worth $585,000 after purchasing an additional 6,427 shares during the last quarter. 81.90% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at Alaska Air Group

In related news, CEO Benito Minicucci acquired 25,000 shares of the firm's stock in a transaction that occurred on Thursday, August 20th. The shares were purchased at an average price of $40.06 per share, with a total value of $1,001,500.00. Following the completion of the acquisition, the chief executive officer owned 256,582 shares in the company, valued at approximately $10,278,674.92. This represents a 10.80% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available through this hyperlink. 1.00% of the stock is owned by company insiders.

Recent Alaska Air Group Headlines

These are some of the ALK headlines that stood out recently:

• Positive Sentiment: Zacks Research raised estimates for Q2 and Q3 2027 and Q1–Q3 2028, including lifting its Q1 2028 forecast to $3.42 per share from $2.46. These increases point to stronger expected earnings in some future quarters.
• Negative Sentiment: Zacks sharply cut its FY2026 EPS forecast to a loss of $4.35 from a loss of $2.21, and its FY2027 estimate to $1.81 from $5.65. It also reduced its Q4 2026 estimate to a loss of $2.11 and Q4 2027 to a loss of $0.35, while lowering FY2028 EPS to $7.84 from $9.39. Zacks maintains a “Strong Sell” rating.
• Negative Sentiment: UBS lowered its price target on Alaska Air Group to $48, adding to the cautious analyst tone. Alaska Air Group stock: UBS lowers target to 48 dollars

Alaska Air Group Company Profile

Alaska Air Group is an airline holding company whose operations include Alaska Airlines, Hawaiian Airlines and regional carrier Horizon Air. Its businesses provide scheduled passenger and air-cargo services, along with related travel offerings. Based in Seattle, the group serves destinations across the United States and connects travelers to locations in Canada, Mexico, Central America and the Pacific, including Hawaii. Its airlines operate under their respective brands and serve a mix of domestic and international routes.

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