Alaska Air Group Target of Unusually Large Options Trading (NYSE:ALK)

Alaska Air Group, Inc. (NYSE:ALK) was the recipient of some unusual options trading on Thursday. Investors purchased 6,142 call options on the company. This represents an increase of approximately 111% compared to the typical daily volume of 2,916 call options.

Alaska Air Group Price Performance

ALK stock opened at $44.45 on Friday. The business has a 50 day moving average price of $39.52 and a 200 day moving average price of $37.17. The stock has a market cap of $5.59 billion, a price-to-earnings ratio of 24.56, a PEG ratio of 0.82 and a beta of 1.63. Alaska Air Group has a fifty-two week low of $30.75 and a fifty-two week high of $57.18. The company has a quick ratio of 0.58, a current ratio of 0.61 and a debt-to-equity ratio of 0.53.

Alaska Air Group (NYSE:ALK) last posted its earnings results on Thursday, April 18th. The transportation company reported ($0.92) earnings per share for the quarter, missing the consensus estimate of ($0.85) by ($0.07). The business had revenue of $2.23 billion for the quarter, compared to analysts’ expectations of $2.18 billion. Alaska Air Group had a return on equity of 14.72% and a net margin of 2.25%. Alaska Air Group’s revenue for the quarter was up 1.6% compared to the same quarter last year. During the same quarter in the previous year, the firm earned ($0.62) EPS. Equities research analysts anticipate that Alaska Air Group will post 4.41 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

ALK has been the topic of a number of research reports. Melius lowered Alaska Air Group from a “buy” rating to a “hold” rating in a report on Monday, January 8th. Evercore ISI raised their price objective on Alaska Air Group from $55.00 to $65.00 and gave the stock an “outperform” rating in a research report on Thursday, April 4th. Susquehanna downgraded Alaska Air Group from a “positive” rating to a “neutral” rating and raised their price objective for the stock from $39.00 to $40.00 in a research report on Wednesday, January 10th. UBS Group began coverage on Alaska Air Group in a research report on Wednesday, March 20th. They set a “buy” rating and a $54.00 price objective for the company. Finally, Deutsche Bank Aktiengesellschaft raised Alaska Air Group from a “hold” rating to a “buy” rating and lifted their target price for the company from $44.00 to $51.00 in a research report on Tuesday, February 20th. One equities research analyst has rated the stock with a sell rating, three have issued a hold rating and seven have issued a buy rating to the stock. According to data from MarketBeat.com, Alaska Air Group has an average rating of “Moderate Buy” and an average price target of $57.44.

Insider Activity

In other news, EVP Andrew R. Harrison sold 6,500 shares of the stock in a transaction that occurred on Wednesday, February 28th. The stock was sold at an average price of $38.36, for a total transaction of $249,340.00. Following the transaction, the executive vice president now owns 26,048 shares in the company, valued at approximately $999,201.28. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Insiders own 0.68% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the company. McIlrath & Eck LLC grew its holdings in Alaska Air Group by 12.2% during the fourth quarter. McIlrath & Eck LLC now owns 2,149 shares of the transportation company’s stock worth $92,000 after acquiring an additional 234 shares during the period. Geneos Wealth Management Inc. boosted its position in Alaska Air Group by 19.9% during the first quarter. Geneos Wealth Management Inc. now owns 1,811 shares of the transportation company’s stock worth $105,000 after purchasing an additional 300 shares in the last quarter. CVA Family Office LLC boosted its position in Alaska Air Group by 17.1% during the first quarter. CVA Family Office LLC now owns 2,230 shares of the transportation company’s stock worth $96,000 after purchasing an additional 325 shares in the last quarter. Verdence Capital Advisors LLC boosted its position in Alaska Air Group by 4.5% during the third quarter. Verdence Capital Advisors LLC now owns 7,663 shares of the transportation company’s stock worth $284,000 after purchasing an additional 327 shares in the last quarter. Finally, Mercer Global Advisors Inc. ADV lifted its position in shares of Alaska Air Group by 5.1% in the fourth quarter. Mercer Global Advisors Inc. ADV now owns 6,906 shares of the transportation company’s stock valued at $270,000 after acquiring an additional 333 shares in the last quarter. Institutional investors and hedge funds own 81.90% of the company’s stock.

Alaska Air Group Company Profile

Alaska Air Group, Inc, through its subsidiaries, operates airlines. It operates through three segments: Mainline, Regional, and Horizon. The company offers scheduled air transportation services on Boeing jet aircraft for passengers and cargo in the United States, and in parts of Canada, Mexico, Costa Rica, Belize, Guatemala, and the Bahamas; and for passengers across a shorter distance network within the United States, Canada, and Mexico.