Alaska Airlines Sees Growth Amid Rising Corporate Bookings
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 13 2024
0mins
Source: TipRanks
Alaska Air Group Inc's stock rose by 7.27% as it reached a 20-day high, reflecting positive momentum in the airline sector.
The airline has reported a significant increase in corporate bookings, up by 20%-30% year-over-year, indicating strong demand despite rising fuel costs. This growth comes as Alaska Airlines plans to modernize its fleet and expand long-haul routes, positioning itself competitively in a challenging market. The broader market strength, with the Nasdaq-100 up 2.51% and S&P 500 up 1.57%, has also contributed to the positive sentiment surrounding the airline.
The implications of these developments suggest that Alaska Airlines is effectively navigating the pressures of rising fuel costs while capitalizing on increased demand for air travel. This strategic positioning could enhance its market share and profitability moving forward.
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Analyst Views on ALK
Wall Street analysts forecast ALK stock price to rise
11 Analyst Rating
11 Buy
0 Hold
0 Sell
Strong Buy
Current: 48.270
Low
63.00
Averages
71.10
High
80.00
Current: 48.270
Low
63.00
Averages
71.10
High
80.00
About ALK
Alaska Air Group, Inc. is engaged in operating airlines. The Company operates through its subsidiaries Alaska Airlines, Inc., Hawaiian Holdings, Inc., Horizon Air Industries, Inc., and McGee Air Services. The Company's segments include Alaska Airlines, Hawaiian Airlines, and Regional. The Alaska Airlines segment includes scheduled air transportation of passengers and cargo on Boeing 737 (B737), Boeing 787 (B787), Boeing 717 (B717), Airbus A330 (A330), Airbus A321neo (A321neo), and others, throughout North America, Latin America, Asia, and the Pacific. The Regional segment includes Horizon's and other third-party carriers scheduled air transportation on E175 jet aircraft for passengers under capacity purchase agreements (CPAs). The Company serves more than 140 destinations throughout North America, Central America, Asia and across the Pacific. The Company provides freight and mail services (cargo) using both freighter aircraft and the bellies of its passenger aircraft.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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