Alaska Air Group, Inc. (ALK): A Fundamental Analysis

United Continental Holdings Inc (NYSE:UAL) was the worst performer of these companies. Its domestic RPM declined by 3.1% from $7.79 billion to $7.73 billion for the same period. Overall, its RPM declined by 1.9% from $17.16 billion to $16.52 billion for the same period. Furthermore, its ASM declined by 4.3%, and due to lower available seats its load factor increased by 1.4%.

In brief, Alaska Air Group, Inc. (NYSE:ALK) may be taking market share from major carriers such as Delta Air Lines, Inc. (NYSE:DAL) and United Continental Holdings. Based on these reports, I believe Alaska Air Lines is an excellent choice to gain exposure to the airline industry. In addition, it is showing signs of growth.

Alaska Air Group’s aggressive expansion plans

The company has seen substantial growth this year, and I believe further growth can be expected. The company has announced the inauguration of new routes. On March 29, 2013, the company announced a daily flight between San Diego and Boston. On April 4, 2013, the company announced a twice-daily service between Seattle (which acts as the company main hub), and Salt Lake City. Last week, the company announced the expansion of its service via two daily routes: Portland-Atlanta and Portland-Dallas.

Conclusion

The most recent monthly traffic report and the announcement of the new routes should put investors’ mind at ease since the company is working on a strong shareholder-oriented business model. I believe the company should observe significant growth in 2013, and it should provide investors with capital appreciation. Overall, Alaska Air Group may be considered for a long position to gain exposure to the airline industry.

The article New Routes and Outstanding Monthly Traffic Report for Alaska Air Group originally appeared on Fool.com is written by Robinson Roacho.

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