What is Alaska Air Group Intrinsic Value: Projected FCF?
Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.
As of today (2024-04-27), Alaska Air Group's Intrinsic Value: Projected FCF is $38.69. The stock price of Alaska Air Group is $43.96. Therefore, Alaska Air Group's Price-to-Intrinsic-Value-Projected-FCF of today is 1.1.
The historical rank and industry rank for Alaska Air Group's Intrinsic Value: Projected FCF or its related term are showing as below:
ALK'
s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.35 Med: 0.95 Max: 1.9
Current: 1.14
During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Alaska Air Group was 1.90. The lowest was 0.35. And the median was 0.95.
ALK's Price-to-Projected-FCF is ranked worse than 61.52% of 699
companies
in the Transportation industry
Industry Median: 0.84
vs ALK: 1.14
Alaska Air Group Intrinsic Value: Projected FCF Historical Data
The historical data trend for Alaska Air Group's Intrinsic Value: Projected FCF can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Premium members only.
Alaska Air Group Intrinsic Value: Projected FCF Chart
Competitive Comparison of Alaska Air Group's Intrinsic Value: Projected FCF
For the Airlines subindustry, Alaska Air Group's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Alaska Air Group's Price-to-Projected-FCF Distribution in the Transportation Industry
For the Transportation industry and Industrials sector, Alaska Air Group's Price-to-Projected-FCF distribution charts can be found below:
* The bar in red indicates where Alaska Air Group's Price-to-Projected-FCF falls into.
Alaska Air Group Intrinsic Value: Projected FCF Calculation
Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.
The details of how we calculate the intrinsic value of stocks are described in detail here.
This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Alaska Air Group (NYSE:ALK) Intrinsic Value: Projected FCF Explanation
The growth multiple is capped between 8.35 and 17.74.
Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.
Alaska Air Group's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as
Price-to-Intrinsic-Value-Projected-FCF
=
Share Price
/
Intrinsic Value: Projected FCF
=
43.96
/
38.691747497643
=
1.14
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Alaska Air Group Intrinsic Value: Projected FCF Related Terms
Thank you for viewing the detailed overview of Alaska Air Group's Intrinsic Value: Projected FCF provided by GuruFocus.com. Please click on the following links to see related term pages.
Alaska Air Group (Alaska Air Group) Business Description
Alaska Air Group Inc operates two airlines, Alaska and Horizon in three operating segments. The Mainline segment includes scheduled air transportation on Alaska's Boeing and Airbus jet aircraft for passengers and cargo throughout the U.S., and in parts of Mexico, and Costa Rica. The Regional segment includes Horizon's and other third-party carriers' scheduled air transportation for passengers across a shorter distance network within the U.S. and Canada under capacity purchase agreements (CPA). The Horizon segment includes the capacity sold to Alaska under a CPA. It earns revenues from Passenger tickets, including ticket breakage and net of taxes and fees, Passenger ancillary and Mileage Plan passenger revenue.
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