Analysts on Wall Street project that Alaska Air Group (ALK) will announce quarterly earnings of $1.56 per share in its forthcoming report, representing a decline of 38.8% year over year. Revenues are projected to reach $3.66 billion, increasing 26.3% from the same quarter last year.
Over the last 30 days, there has been a downward revision of 4.1% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.
In light of this perspective, let's dive into the average estimates of certain Alaska Air metrics that are commonly tracked and forecasted by Wall Street analysts.
Analysts' assessment points toward 'Revenue- Mileage Plan other' reaching $219.52 million. The estimate suggests a change of +26.2% year over year.
Based on the collective assessment of analysts, 'Revenue- Cargo and other' should arrive at $137.72 million. The estimate indicates a change of +91.3% from the prior-year quarter.
The average prediction of analysts places 'Passenger Load Factor' at 85.2%. The estimate is in contrast to the year-ago figure of 84.1%.
The collective assessment of analysts points to an estimated 'Available seat miles (ASM)' of 22.96 billion. The estimate compares to the year-ago value of 18.20 billion.
Analysts predict that the 'Total revenue per ASM (RASM)' will reach N/A. The estimate is in contrast to the year-ago figure of N/A.
The consensus estimate for 'Revenue passenger miles (RPM)' stands at 19.59 billion. The estimate compares to the year-ago value of 15.31 billion.
Analysts expect 'Passenger Yield' to come in at N/A. The estimate is in contrast to the year-ago figure of N/A.
The consensus among analysts is that 'Operating expenses per ASM, excluding fuel and special items' will reach N/A. The estimate compares to the year-ago value of N/A.
Analysts forecast 'Fuel gallons' to reach 285 millions of gallons. The estimate compares to the year-ago value of 219 millions of gallons.
The combined assessment of analysts suggests that 'ASMs per fuel gallon' will likely reach $79.2 gallons. The estimate compares to the year-ago value of $83.1 gallons.
According to the collective judgment of analysts, 'Revenue passengers' should come in at 14.82 billion. The estimate is in contrast to the year-ago figure of 11.89 million.
It is projected by analysts that the 'Average full-time equivalent employees (FTEs)' will reach 29,259 . The estimate is in contrast to the year-ago figure of 23,368 .
View all Key Company Metrics for Alaska Air here>>>
Over the past month, shares of Alaska Air have returned +13.3% versus the Zacks S&P 500 composite's +5.4% change. Currently, ALK carries a Zacks Rank #4 (Sell), suggesting that it may underperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Alaska Air Group, Inc. (ALK): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
