Question 1

What is Alaska Air Group's P/FCF ratio?

Accepted Answer

Alaska Air Group (ALK) P/FCF ratio is 39.3× as of August 6, 2025. The ratio is calculated by dividing market capitalisation by trailing twelve-month free cash flow, using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/FCF ratio calculated?

Accepted Answer

P/FCF = Market Capitalisation ÷ Trailing Twelve-Month (TTM) Free Cash Flow, where Free Cash Flow = Operating Cash Flow − Capital Expenditures. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/FCF ratio?

Accepted Answer

The price-to-free-cash-flow (P/FCF) ratio compares a company's market capitalisation to its trailing twelve-month (TTM) free cash flow. It is calculated as market cap ÷ TTM free cash flow, where free cash flow = operating cash flow − capital expenditures. Because FCF cannot be inflated by non-cash accounting items, P/FCF is often considered a cleaner measure of "earnings-power valuation" than P/E — especially for capital-intensive businesses where depreciation diverges from real cash outflows.

Question 4

What is a good P/FCF ratio for Alaska Air Group?

Accepted Answer

Mature companies that consistently convert profit into cash often trade at 15–25× P/FCF; capital-intensive businesses with lumpy capex typically trade lower. Compare against sector peers and against the company's own multi-year average — single-year P/FCF can be distorted by working-capital swings. For Alaska Air Group specifically, the relevant sector benchmark is the current sector median of 24.3×.

Question 5

Is Alaska Air Group's P/FCF ratio high or low?

Accepted Answer

Alaska Air Group's P/FCF ratio of 39.3× is above its own 5-year average of 20.5× and above the sector median of 24.3×. That places the current reading at the 96th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is Alaska Air Group's historical P/FCF ratio range?

Accepted Answer

In the available daily series, Alaska Air Group (ALK) P/FCF ratio has ranged from a low of 4.1× in 2004 to a high of 54.0× in 2025. The 5-year average is 20.5× and the 5-year median is 12.2×.

Question 7

What was Alaska Air Group's P/FCF ratio in 2024?

Accepted Answer

Alaska Air Group (ALK) P/FCF ratio at the end of 2024 was 44.6×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month free cash flow figure available at that date.

Question 8

Why does Alaska Air Group's P/FCF ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (free cash flow). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$5.81B	-$339M	—	—	Dec 31, 2025
2024	$8.17B	$183M	44.6×	—	Dec 31, 2024
2023	$4.98B	-$444M	—	—	Dec 31, 2023
2022	$5.47B	-$253M	—	—	Dec 31, 2022
2021	$6.55B	$738M	8.9×	—	Dec 31, 2021
2020	$6.45B	-$440M	—	—	Dec 31, 2020
2019	$8.34B	$1.03B	8.1×	-23.8×	Dec 31, 2019
2018	$7.5B	$235M	31.9×	+15.9×	Dec 31, 2018
2017	$9.05B	$564M	16.0×	+0.6×	Dec 31, 2017
2016	$10.9B	$708M	15.5×	+2.0×	Dec 31, 2016
2015	$10.1B	$753M	13.5×	-10.1×	Dec 31, 2015
2014	$7.91B	$336M	23.5×	+11.3×	Dec 31, 2014
2013	$5.09B	$415M	12.3×	-4.9×	Dec 31, 2013
2012	$3.06B	$179M	17.1×	+8.5×	Dec 31, 2012
2011	$2.67B	$309M	8.7×	+3.2×	Dec 31, 2011
2010	$2.04B	$371M	5.5×	—	Dec 31, 2010
2009	$1.23B	-$133M	—	—	Dec 31, 2009
2008	$1.06B	-$249M	—	—	Dec 31, 2008
2007	$926M	-$352M	—	—	Dec 31, 2007
2006	$1.59B	-$232M	—	—	Dec 31, 2006
2005	$1.2B	-$159M	—	—	Dec 31, 2005
2004	$909M	$135M	6.7×	—	Dec 31, 2004
2003	$729M	-$14M	—	—	Dec 31, 2003
2002	$575M	-$76.4M	—	—	Dec 31, 2002


Thomson Reuters (TRI)	18.8×
PACCAR (PCAR)	18.6×
United Parcel Service (UPS)	18.5×
Gorman-Rupp (GRC)	18.5×
Alamo Group (ALG)	18.0×
Allegion (ALLE)	17.8×
Snap-on (SNA)	17.6×
United Airlines Holdings (UAL)	17.5×
Honeywell International (HON)	17.4×
Equifax (EFX)	17.0×
Norfolk Southern (NSC)	16.9×
FedEx (FDX)	15.9×
AGCO (AGCO)	15.4×
General Dynamics (GD)	15.3×
Carlisle Companies (CSL)	14.7×
Amentum Holdings (AMTM)	14.7×
Stanley Black & Decker (SWK)	14.4×
A. O. Smith (AOS)	14.2×
Huntington Ingalls Industries (HII)	14.1×
McGrath RentCorp (MGRC)	13.9×
Masco (MAS)	13.0×
Pool (POOL)	12.2×
Delta Air Lines (DAL)	10.1×
ABM Industries (ABM)	7.2×
Upwork (UPWK)	6.3×

P/FCF Ratio for Alaska Air Group (ALK) 2004-2026

P/FCF Ratio daily chart for Alaska Air Group (ALK)

Historical P/FCF Ratio for Alaska Air Group (ALK) from 2002 to 2025

About P/FCF Ratio at Alaska Air Group (ALK)

Alaska Air Group P/FCF Ratio by Year

Alaska Air Group P/FCF Ratio 2024: 44.6×

Alaska Air Group P/FCF Ratio 2021: 8.9×

Alaska Air Group P/FCF Ratio 2019: 8.1×

Alaska Air Group P/FCF Ratio 2018: 31.9×

Alaska Air Group P/FCF Ratio 2017: 16.0×

Sector peers by P/FCF Ratio — chart

Sector peers by P/FCF Ratio — table

Frequently asked questions

Alaska Air Group (ALK) Key Financials