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We Think Alaska Air Group's (NYSE:ALK) Profit Is Only A Baseline For What They Can Achieve

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We Think Alaska Air Group's (NYSE:ALK) Profit Is Only A Baseline For What They Can Achieve


Even though Alaska Air Group, Inc.’s (NYSE:ALK) recent earnings release was robust, the market didn’t seem to notice. We think that investors have missed some encouraging factors underlying the profit figures.

Check out our latest analysis for Alaska Air Group

NYSE:ALK Earnings and Revenue History February 1st 2024

The Impact Of Unusual Items On Profit

To properly understand Alaska Air Group’s profit results, we need to consider the US$459m expense attributed to unusual items. It’s never great to see unusual items costing the company profits, but on the upside, things might improve sooner rather than later. When we analysed the vast majority of listed companies worldwide, we found that significant unusual items are often not repeated. And that’s hardly a surprise given these line items are considered unusual. In the twelve months to December 2023, Alaska Air Group had a big unusual items expense. All else being equal, this would likely have the effect of making the statutory profit look worse than its underlying earnings power.

That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates.

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Our Take On Alaska Air Group’s Profit Performance

As we mentioned previously, the Alaska Air Group’s profit was hampered by unusual items in the last year. Because of this, we think Alaska Air Group’s underlying earnings potential is as good as, or possibly even better, than the statutory profit makes it seem! Furthermore, it has done a great job growing EPS over the last year. The goal of this article has been to assess how well we can rely on the statutory earnings to reflect the company’s potential, but there is plenty more to consider. In light of this, if you’d like to do more analysis on the company, it’s vital to be informed of the risks involved. Case in point: We’ve spotted 1 warning sign for Alaska Air Group you should be aware of.

Today we’ve zoomed in on a single data point to better understand the nature of Alaska Air Group’s profit. But there is always more to discover if you are capable of focussing your mind on minutiae. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to ‘follow the money’ and search out stocks that insiders are buying. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks that insiders are buying to be useful.

Valuation is complex, but we’re helping make it simple.

Find out whether Alaska Air Group is potentially over or undervalued by checking out our comprehensive analysis, which includes fair value estimates, risks and warnings, dividends, insider transactions and financial health.

View the Free Analysis

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.



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Pilot of Alaska flight that lost door plug over Portland sues Boeing, claims company blamed him

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Pilot of Alaska flight that lost door plug over Portland sues Boeing, claims company blamed him


The Alaska Airlines captain who piloted the Boeing 737 Max that lost a door plug over Portland two years ago is suing the plane’s manufacturer, alleging that the company has tried to shift blame to him to shield its own negligence.

The $10 million suit — filed in Multnomah County Circuit Court on Tuesday on behalf of captain Brandon Fisher — stems from the dramatic Jan. 5, 2024 mid-air depressurization of Flight 1282, when a door plug in the 26th row flew off six minutes after take off, creating a 2-by-4-foot hole in the plane that forced Fisher and co-pilot Emily Wiprud to perform an emergency landing back at PDX.

None of the 171 passengers or six crew members on board was seriously injured, but some aviation medical experts said that the consequences could have been “catastrophic” had the incident happened at a higher altitude.

Leani Benitez-Cardona, NTSB aerospace engineer, and Matthew Fox, NTSB chief technical advisor for materials, unpacking the door plug Sunday from Alaska Airlines flight 1282, a Boeing 737-9 MAX, in the materials laboratory at NTSB headquarters in Washington, D.C.NTSB

Fisher’s lawsuit is the latest in a series filed against Boeing, including dozens from Flight 1282 passengers. It also names Spirit AeroSystems, a subcontractor that worked on the plane.

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The lawsuit blames the incident on quality control issues with the door plug. It argues that Boeing caught five misinstalled rivets in the panel, and that Spirit employees painted over the rivets instead of reinstalling them correctly. Boeing inspectors caught the discrepancy again, the complaint alleges, but when employees finally reopened the panel to fix the rivets, they didn’t reattach four bolts that secured the door panel.

The complaint’s allegations that Boeing employees failed to secure the bolts is in line with a National Transportation Safety Board investigation that came to the conclusion that the bolts hadn’t been replaced.



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FIRST ALERT: Heavy snow incoming to Southcentral, Southeast, and Southwest Alaska

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FIRST ALERT: Heavy snow incoming to Southcentral, Southeast, and Southwest Alaska


ANCHORAGE, AK (Alaska’s News Source) – A large winter storm is not only bringing heavy snowfall, but warmer temperatures are approaching! The most impacted areas will include Southcentral, Southeast, and Southwest Alaska, with close to a foot of snow accumulation likely through Tuesday afternoon.

Anchorage will receive a trace of snow overnight and into the early morning hours with about 1 to 3 inches of snow by early Monday afternoon. Close to 5 inches of snow will fall across the Kenai Peninsula and Copper River Basin by Monday afternoon before Tuesday morning brings closer to a foot of snow accumulation across the region. Anchorage and Mat-Su snow totals by Tuesday morning will likely reach 8 to 10 inches.

www.alaskasnewssource.com/weather/alerts/

Juneau will most likely get the heaviest rounds of snow from this storm system with close to a foot of snow likely to accumulate by Monday afternoon with even more snow Tuesday morning. Across Southeast, snow total will vary but Sitka and Ketchikan will receive near 3 to 7 inches. Brace for a few days of heavy snowfall with wind gusts up to 30 miles per hour. Rapid snow accumulation will add hazard to roads and rooftops so be vigilant and weather aware.

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Download the free Alaska’s News Source Weather App.

This storm is already making landfall from the Kuskokwim Delta to Bristol Bay. Expect 8 to 16 inches of snow by Monday night as the heaviest rounds will pass over late Monday morning. Wind gusts up to 40 miles per hour will add blizzard-like conditions with reduced visibility. The Aleutian Chain is bracing for high winds as the gusts up to 70 miles per hour are likely tomorrow. Light rain will pass through as a result of residual moisture of the tail-end of this storm.

The Interior will remain mostly dry tomorrow with mostly cloudy skies stretching over the Brooks Range and into the North Slope. Overnight lows are still quite chilly, sitting near 50 and 60 below zero. Coldest temperatures of the season were record Sunday morning at -50 degrees in Fairbanks, being the coldest temperature since February 2024 which was also -50 degrees. Light snow is possible Tuesday, but otherwise, very calm and quiet weather remains across central and northern Alaska.

Send us your weather photos and videos here!

24/7 Alaska Weather: Get access to live radar, satellite, weather cameras, current conditions, and the latest weather forecast here. Also available through the Alaska’s News Source streaming app available on Apple TV, Roku, and Amazon Fire TV.

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Alaska Sees Coldest December In Years | Weather.com

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Alaska Sees Coldest December In Years | Weather.com


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2 Feet Of Snow Traps Drivers In Michigan

Do you think that Alaska is cold during winter? Of course it is! However, the type of cold the state is experiencing right now if unprecedented. How about having consecutive days of temperatures colder than 40 degrees below zero!

This is true for much of the Alaskan interior, particularly near Fairbanks and in between the Alaska and Brooks mountain ranges.

Over the last four days in Fairbanks, temperatures have struggled to reach 40 degrees below zero, with organizers in Fairbanks even postponing their annual New Year’s Eve fireworks show due to the extreme cold.

The temperature in the final few minutes of 2025 in Fairbanks was 43 degrees below zero.

In other words, conditions are unbearably and dangerously cold, even by local standards in Central Alaska.

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In Chicken, Alaska, located near the Canadian Border, temperatures dropped as low as 62 degrees below zero! Numerous other locations in the eastern Alaskan Interior have seen temperatures between 50 and 60 degrees below zero.

On top of bringing dangerously cold minimum temperatures, this most recent cold snap has also been more prolonged than usual.

Temperatures in much of Alaska have been largely colder than usual since roughly December 5th, 2025

Some regions in eastern Alaska and the neighboring Yukon Territory in Canada have seen combined December temperatures up to 30 degrees below the climatological average.

For reference, the average December temperature in Fairbanks from 1904 to 2025 is 22 degrees below zero with much of central Alaska having similarly cold December temperatures on average. The city has seen a temperature departure of 18.5 degrees below average for December 2025, ranking as the 8th coldest December on record.

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This means that much of east-central Alaska has been stuck between 40 and 50 degrees below for nearly an entire month!

While many factors affect the severity of winters in Alaska, one notable statistic is the unusually high snowfall in portions of Alaska this past December. Fairbanks saw more than double its usual snowfall for the month of December.

Juneau, Alaska’s capital, located in far-southeast Alaska, has seen nearly its entire annual snowfall in December alone, at over 80 inches.

Snowfall promotes cold temperatures by reflecting light from the sun back to space. In Alaska, there is already very little sunlight during the winter due to its positioning on and near the Arctic Circle.

What little sunlight snow-covered portions of Alaska have seen has been quickly reflected back to space by the unusually heavy snowpack.

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In Central Alaska, located between the Alaska and Brooks ranges, the heavy snowpack, lack of sunlight, and lack of transport of air from warmer locations have led to the development of an arctic high pressure system, leading to stable conditions and light winds. These conditions cause the land to rapidly lose heat, becoming even colder. With this arctic high pressure is in place, central Alaska has remained cold. However, a slight breakdown in the strength of the high will allow temperatures to warm somewhat (see forecast for next 3 days below).

Fortunately, this pattern will break down as we approach mid-January. A more active storm track from the Pacific is poised to bring wetter and warmer conditions to portions of Alaska, especially towards the middle to second half of the month. While this wetter pattern means snow for most, temperatures will improve, being far more bearable than the current temperatures in the 40 to 50 degree below zero range.

Hayden Marshall is a meteorologist intern and First-Year-Master’s Student at the Georgia Institute of Technology. He has been following weather content over the past three years as a Storm Spotter and weather enthusiast. He can be found on Instagram and Linkedin.





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