Here's Why Alaska Air Group (ALK) is a Strong Value Stock

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It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.

Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.

Why Investors Should Pay Attention to This Value Stock

Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.

Alaska Air Group (ALK)

Alaska Air Group, together with its partner regional carriers, serves more than 120 cities across North America. Alaska Air Group operates two airlines, Alaska and Horizon.

ALK boasts a Value Style Score of A and VGM Score of A, and holds a Zacks Rank #1 (Strong Buy) rating. Shares of Alaska Air Group are trading at a forward earnings multiple of 11.4X, as well as a PEG Ratio of 0.6, a Price/Cash Flow ratio of 8.4X, and a Price/Sales ratio of 0.7X.

Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. Five analysts revised their earnings estimate upwards in the last 60 days for fiscal 2025. The Zacks Consensus Estimate has increased $0.56 to $5.93 per share. ALK has an average earnings surprise of 33.1%.

Investors should take the time to consider ALK for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.

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Alaska Air Group, Inc. (ALK) : Free Stock Analysis Report

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