Alaska Air(ALK) ZACKS·2025-02-07 15:01Core Viewpoint - Alaska Air Group (ALK) has gained attention as one of the most searched stocks, with a notable performance in the airline sector, raising questions about its future stock direction [1][2]. Earnings Estimate Revisions - For the current quarter, Alaska Air is projected to report a loss of 5.93, indicating a year-over-year increase of +21.8%, with a recent change of +2.3% [5]. - For the next fiscal year, the consensus earnings estimate is 3.24 billion, showing a year-over-year increase of +45.2% [9]. - The revenue estimates for the current and next fiscal years are 15.6 billion, indicating changes of +26% and +5.6%, respectively [9]. Last Reported Results and Surprise History - Alaska Air reported revenues of 0.97 compared to 3.51 billion by +0.64%, and the EPS surprise was +106.38% [11]. - The company has consistently beaten consensus EPS estimates in the last four quarters and topped revenue estimates three times during this period [11]. Valuation - Alaska Air is graded A in the Zacks Value Style Score, indicating it is trading at a discount compared to its peers [15]. - The evaluation of valuation multiples such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF) is essential for determining the stock's fair value [13][14]. Bottom Line - The Zacks Rank 1 suggests that Alaska Air may outperform the broader market in the near term, making it a stock worth monitoring [16].