ALKAlaska Air Group, Inc.

$43.01

Is the business good?

How good a business is ALK?

Alaska Air Group, Inc. earns −2.5% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.

−2.5%

Return on invested capital · cost of capital 9.0% · 12 points below what the capital costs: growth destroys value

Operating margin
−1.5%

Operating margin · Airlines median 6.3% · 12 months to Q2 2026

Share count, year on year
−8.1%

Share count, year on year · bought back, each share owns more of the company

Operating margin by fiscal year
YearOperating margin
FY2020−50%
FY202111%
FY20220.73%
FY20233.8%
FY20244.9%
FY20252.1%
Details
Operating margin12 months to Q2 2026
−1.5%
Net margin12 months to Q2 2026
−1.2%
Free cash flow margin
5.0%
Revenue, trailing twelve months
$14.8B
Free cash flow, trailing twelve months
$731M
Net income, trailing twelve months
−$175M
Return on invested capitaloperating profit after tax ÷ debt + equity − cash
−2.5%

Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.