5 Best Aviation Stocks To Buy According To Analysts

3. Alaska Air Group, Inc. (NYSE:ALK)

Number of Hedge Fund Holders: 34

Average Upside Potential: 27.92%

Average Analyst Price Target: $51.10

Alaska Air Group, Inc. (NYSE:ALK) operates airlines organized into three segments – Mainline, Regional, and Horizon. The company provides scheduled air transportation services primarily in the United States, extending to parts of Canada, Mexico, Costa Rica, Belize, Guatemala, and the Bahamas. The company is headquartered in Seattle, Washington. On January 25, Alaska Air Group, Inc. (NYSE:ALK) reported a Q4 non-GAAP EPS of $0.30 and a revenue of $2.55 billion, outperforming Wall Street estimates by $0.12 and $20 million, respectively. It is one of the best airline stocks to invest in. 

According to Insider Monkey’s fourth quarter database, 34 hedge funds were bullish on Alaska Air Group, Inc. (NYSE:ALK), compared to 28 funds in the last quarter. Ric Dillon’s Diamond Hill Capital is the biggest stakeholder of the company, with 1.17 million shares worth $45.7 million. 

Diamond Hill Long-Short Fund made the following comment about Alaska Air Group, Inc. (NYSE:ALK) in its Q3 2023 investor letter:

“Other bottom contributors included our long positions in Alaska Air Group, Inc. (NYSE:ALK), Target Corporation and Johnson Controls International (JCI). Shares of regional airline Alaska Air Group and general merchandise retailer Target declined during the quarter amid a weakening consumer and (in Alaska’s case) airline pricing environment.”