Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Alaska Air Group's annualized net income for the quarter that ended in Mar. 2026 was $-772 Mil. Alaska Air Group's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $394 Mil. Therefore, Alaska Air Group's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was -196.19%.
The historical rank and industry rank for Alaska Air Group's Return-on-Tangible-Equity or its related term are showing as below:
LTS:0HC3'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -82.65 Med: 28.1 Max: 85.79
Current: 16.65
During the past 13 years, Alaska Air Group's highest Return-on-Tangible-Equity was 85.79%. The lowest was -82.65%. And the median was 28.10%.
LTS:0HC3's Return-on-Tangible-Equity is ranked better than 73.08% of 977
companies
in the Transportation industry
Industry Median: 9.02
vs LTS:0HC3: 16.65
Alaska Air Group (LTS:0HC3) Return-on-Tangible-Equity Explanation
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Alaska Air Group Return-on-Tangible-Equity Related Terms
Alaska Air Group Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Alaska Air Group's Return-on-Tangible-Equity 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.
LTS:0HC3 vs CPA, SKYW, ALGT: Return-on-Tangible-Equity Comparison
For the Airlines subindustry, Alaska Air Group's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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 Return-on-Tangible-Equity vs Transportation Industry
For the Transportation industry and Industrials sector, Alaska Air Group's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Alaska Air Group's Return-on-Tangible-Equity falls into.
* 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.
In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of -196.19% mean?
Alaska Air Group (LTS:0HC3) has a Return-on-Tangible-Equity of -196.19% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Alaska Air Group and its competitors. According to the industry distribution chart, Alaska Air Group ranks #263 out of 977 companies in the Transportation industry, placing it in the top 26.9%.
Is Alaska Air Group's Return-on-Tangible-Equity too high?
Alaska Air Group's current Return-on-Tangible-Equity is -196.19%. Based on the distribution chart, Alaska Air Group ranks #263 out of 977 companies in the Transportation industry, which is above the industry midpoint. Overall, Alaska Air Group has a GF Score™ of 83/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Alaska Air Group's Return-on-Tangible-Equity compare to CPA and SKYW?
According to the Transportation industry distribution chart, Alaska Air Group ranks #263 out of 977 companies for Return-on-Tangible-Equity. This puts Alaska Air Group in the upper half of its industry. The industry median Return-on-Tangible-Equity is 9.02. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for a Transportation company?
The median Return-on-Tangible-Equity among Transportation companies is 9.02, based on 977 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Alaska Air Group and its competitors. For the Transportation industry, the median Return-on-Tangible-Equity is 9.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alaska Air Group's current Return-on-Tangible-Equity is -196.19%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alaska Air Group stock overvalued right now?
Based on GuruFocus' analysis, Alaska Air Group (LTS:0HC3) is currently considered Modestly Undervalued. The stock's GF Value™ is $63.19, compared to a current price of $47.38 — trading 25% below its estimated fair value. The current Return-on-Tangible-Equity is -196.19%. Alaska Air Group's overall GF Score™ is 83/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Alaska Air Group (LTS:0HC3), the current Return-on-Tangible-Equity is -196.19% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Alaska Air Group (LTS:0HC3) Overvalued in 2026?
Based on GuruFocus' analysis, Alaska Air Group stock appears to be undervalued.
The current stock price of $47.38 is trading 25% below its estimated GF Value™ of $63.19.
GuruFocus considers Alaska Air Group to be Modestly Undervalued.
Key valuation signals for LTS:0HC3:
Return-on-Tangible-Equity: -196.19%
GF Value™: $63.19 vs. price of $47.38 (25% below fair value)
No single metric tells the full story. See the LTS:0HC3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Alaska Air Group Inc operates two airlines, Alaska and Horizon, in three operating segments. The Alaska Airlines 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. The Hawaiian Airlines segment includes scheduled air transportation on Hawaiian's Boeing and Airbus aircraft for passengers and cargo. It earns revenues from Passenger tickets, including ticket breakage and net of taxes and fees, Passenger ancillary, and Mileage Plan passenger revenue.
83GF Score
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Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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