Sweetheart Surprise: Low-Maintenance Stock Market Hotties – Coinstar, Inc. (CSTR) and More

Land of the Midnight Sums

When we think of steamy romantic getaways, we think of one state: Alaska Air Group, Inc. (NYSE:ALK).  At least investors do.

AlaskaAirlines is not in a great sector. The airline industry, which has been a perpetual basket case, continues to be a scary place for a long-term investor, especially post-9/11.

But Alaska Airlines, currently trading in the mid-$40s, has out-flown the competition, raking in better and better earnings. The company’s earnings have hit a tailwind the past four years, delivering ever-increasing returns. In 2009, the company reported about $3.2 billion in revenue, and a year later the revenue jumped to nearly $3.6 billion. After bringing in $3.8 billion in 2011, it finally broke the $4 billion level with revenue of $4.1 billion.

The EPS only had one glitch during this time period. In 2009, Alaska Airlines reported earnings of $1.68. That number doubled to $3.41 the following year. In 2011, however, the EPS dipped slightly to $3.34. Last year, the company continued its high-flying earnings with an EPS of $4.40.  Alaska Airlines also has a P/E of 10.6.

The article Sweetheart Surprise: Low-Maintenance Stock Market Hotties originally appeared on Fool.com and is written by Matt Swayne.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.