Bank of America Forecasts Strong Price Appreciation for Alaska Air Group (NYSE:ALK) Stock

Alaska Air Group (NYSE:ALK) had its price objective raised by Bank of America from $62.00 to $70.00 in a note issued to investors on Tuesday,Benzinga reports. The brokerage currently has a “buy” rating on the transportation company’s stock. Bank of America‘s price objective would suggest a potential upside of 40.72% from the stock’s current price.

ALK has been the subject of several other reports. Cowen reiterated a “buy” rating on shares of Alaska Air Group in a report on Monday, November 3rd. Zacks Research raised Alaska Air Group from a “strong sell” rating to a “hold” rating in a research report on Friday, December 5th. Citigroup began coverage on Alaska Air Group in a report on Thursday, December 4th. They set a “buy” rating and a $61.00 price target for the company. Susquehanna set a $58.00 price objective on Alaska Air Group and gave the stock a “positive” rating in a report on Friday, October 3rd. Finally, Cantor Fitzgerald set a $65.00 price objective on shares of Alaska Air Group in a research report on Monday, November 3rd. One investment analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $70.45.

Alaska Air Group Stock Performance

ALK stock opened at $49.75 on Tuesday. The firm has a 50 day simple moving average of $46.19 and a 200 day simple moving average of $50.86. Alaska Air Group has a 52 week low of $37.63 and a 52 week high of $78.08. The stock has a market cap of $5.77 billion, a P/E ratio of 40.12, a P/E/G ratio of 0.51 and a beta of 1.22. The company has a debt-to-equity ratio of 1.12, a quick ratio of 0.49 and a current ratio of 0.52.

Alaska Air Group (NYSE:ALK) last released its quarterly earnings data on Thursday, October 23rd. The transportation company reported $1.05 earnings per share for the quarter, missing the consensus estimate of $1.11 by ($0.06). Alaska Air Group had a net margin of 1.06% and a return on equity of 8.93%. The company had revenue of $3.77 billion during the quarter, compared to analyst estimates of $3.75 billion. During the same quarter in the prior year, the company posted $2.25 EPS. The firm’s quarterly revenue was up 22.6% compared to the same quarter last year. Research analysts anticipate that Alaska Air Group will post 6.03 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Alaska Air Group

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Dimensional Fund Advisors LP lifted its position in Alaska Air Group by 0.9% during the 3rd quarter. Dimensional Fund Advisors LP now owns 6,273,084 shares of the transportation company’s stock worth $312,280,000 after acquiring an additional 56,225 shares during the last quarter. American Century Companies Inc. increased its stake in shares of Alaska Air Group by 1.3% in the second quarter. American Century Companies Inc. now owns 3,266,619 shares of the transportation company’s stock worth $161,632,000 after purchasing an additional 42,454 shares during the period. Goldman Sachs Group Inc. lifted its position in shares of Alaska Air Group by 249.1% during the 1st quarter. Goldman Sachs Group Inc. now owns 2,638,464 shares of the transportation company’s stock worth $129,865,000 after purchasing an additional 1,882,598 shares during the last quarter. Massachusetts Financial Services Co. MA boosted its stake in Alaska Air Group by 18.4% during the 3rd quarter. Massachusetts Financial Services Co. MA now owns 2,374,501 shares of the transportation company’s stock valued at $118,203,000 after purchasing an additional 368,511 shares during the period. Finally, Geode Capital Management LLC boosted its stake in Alaska Air Group by 3.6% during the 2nd quarter. Geode Capital Management LLC now owns 2,215,697 shares of the transportation company’s stock valued at $109,657,000 after purchasing an additional 77,531 shares during the period. Institutional investors and hedge funds own 81.90% of the company’s stock.

Key Alaska Air Group News

Here are the key news stories impacting Alaska Air Group this week:

• Positive Sentiment: Alaska placed its largest-ever order with Boeing — 105 737‑10s and five 787‑10s, plus rights for 35 additional 737‑10s, extending deliveries through 2035; the scale supports capacity growth and fleet renewal. Article Title
• Positive Sentiment: ALK announced a >$600M investment plan in Hawaii to upgrade airports, lounges, fleet interiors and community programs over five years — a targeted spend that can boost regional revenue and customer experience. Article Title
• Positive Sentiment: Analyst support: Bank of America raised its price target on ALK to $70 and kept a Buy rating, signaling institutional upside expectations versus current levels. Article Title
• Neutral Sentiment: Boeing shares rose on the news — a positive industry signal — but the move primarily reflects Boeing demand rather than immediate earnings impact for Alaska. Article Title
• Negative Sentiment: Large order increases Alaska’s long‑term capital commitments and lease/financing needs; investors may be concerned about higher near‑term cash outflows and dilution of free cash flow. Article Title
• Negative Sentiment: Fleet concentration risk and optics: this is Alaska’s first major Boeing order since a high‑profile 737 incident, which could make some investors cautious about supplier risk and regulatory scrutiny. Article Title
• Negative Sentiment: Regional competition is heating up — Hawaiian Airlines’ modernization plan could pressure yields on key West Coast–Hawaii routes where Alaska is investing heavily. Article Title

About Alaska Air Group

Alaska Air Group is a publicly traded holding company headquartered in Seattle, Washington, that operates two main airlines—Alaska Airlines and Horizon Air. Through these carriers, the company offers scheduled passenger and cargo services across a network spanning the United States, Canada and Mexico. Its core business activities include domestic and international air transportation, loyalty program management under the Mileage Plan brand, and ancillary revenue streams such as baggage fees, in-flight sales and code-share partnerships with other global airlines.

The roots of Alaska Air Group trace back to the foundation of its flagship carrier, Alaska Airlines, in 1932.