Hawaiian Airlines,a wholly owned subsidiary of Alaska Air Group (ALK), announced its plans to invest an amount of more than $600 million over the next five years to modernize infrastructure, enhance the guest experience and strengthen its long-term commitment to Hawaii.
The Hawaiian Airlines' Kahuewai Hawaii Investment Plan is part of Alaska Air Group's Alaska Accelerate strategic plan. The multi-year investment program is focused on upgrading airport facilities, operational infrastructure and digital capabilities, while also improving reliability and comfort for guests across the airline’s network. Hawaiian plans to invest in areas such as airport lounges, ground facilities, technology systems and operational resilience.
Airport renovations include improved lobbies, gates, and amenities at Honolulu, Lihue, Kahului, Kona, and Hilo, plus a new 10,600-square-foot premium lounge at the entrance of the Mauka Concourse in Terminal 1 in Honolulu.
Technology-wise, Hawaiian Airlines plans to launch an updated app and website, which is expected to offer improved travel planning and self-service features and invest in new technology for employees.
Starting in 2028, the airline’s widebody fleet of Airbus A330s will be upgraded with new seats, carpets, lighting, first-class suites and a premium economy cabin. The airline is also purchasing three of its A330 aircraft off lease to support the future of this fleet in its service across the Pacific.
Later this year, Hawaiian Airlines aims to reward Hawaii residents who are members of its popular Huakai by Hawaiian loyalty program with a 50% bonus on Atmos Rewards points and status points earned on Neighbor Island flights.
Beyond infrastructure improvements, the Hawaiian Airlines' Kahuewai Hawaii Investment Plan is also focused on promoting community engagement. Investments will support local workforce development, cultural preservation initiatives, and environmental programs aimed at reducing emissions, increasing fuel efficiency, and advancing responsible tourism practices.
Through the Alaska Airlines | Hawaiian Airlines Foundation, the airline also plans to help non-profit organizations promoting cultural programs, environmental preservation, and perpetuation of native Hawaiian art and language.
ALK’s Zacks Rank
Alaska Air currently carries a Zacks Rank #3 (Hold).
Stocks to Consider
Investors interested in the Transportation sector may also consider Expeditors International of Washington, Inc. (EXPD) and LATAM Airlines Group LTM.
EXPD presently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Expeditors has an expected earnings growth rate of 3.50% for the current year. The company has an encouraging earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 13.94%. The Zacks Consensus Estimate for EXPD’s 2025 earnings has moved 7.63% north in the past 60 days. Shares of Expeditors have gained 30.7% over the past six months.
LTM presently carries a Zacks Rank #2 (Buy). LTM has an expected earnings growth rate of 52.63% for the current year. The company has a solid earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in three of the trailing four quarters, and met in the remaining one, delivering an average beat of 29.84%. The Zacks Consensus Estimate for LTM’s 2025 earnings has moved 5.34% north in the past 60 days. LTM shares gained 32.5% in the past six months.
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Expeditors International of Washington, Inc. (EXPD): Free Stock Analysis Report Alaska Air Group, Inc. (ALK): Free Stock Analysis Report LATAM Airlines Group S.A. (LTM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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