WallStSmart

Alaska Air Group Inc (ALK)vsGE Aerospace (GE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

GE Aerospace generates 235% more annual revenue ($48.31B vs $14.40B). GE leads profitability with a 17.9% profit margin vs 0.5%. ALK appears more attractively valued with a PEG of 1.20. GE earns a higher WallStSmart Score of 59/100 (C).

ALK

Buy

50

out of 100

Grade: C-

Growth: 5.3Profit: 3.5Value: 6.0Quality: 4.3
Piotroski: 4/9Altman Z: 1.08

GE

Buy

59

out of 100

Grade: C

Growth: 4.0Profit: 8.0Value: 3.7Quality: 5.3
Piotroski: 4/9Altman Z: 1.69
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ALKUndervalued (+67.2%)

Margin of Safety

+67.2%

Fair Value

$175.48

Current Price

$38.55

$136.93 discount

UndervaluedFair: $175.48Overvalued

Intrinsic value data unavailable for GE.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ALK1 strengths · Avg: 10.0/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

GE5 strengths · Avg: 8.8/10
Market CapQuality
$296.28B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
45.4%10/10

Every $100 of equity generates 45 in profit

Operating MarginProfitability
20.2%8/10

Strong operational efficiency at 20.2%

Revenue GrowthGrowth
24.7%8/10

Revenue surging 24.7% year-over-year

Free Cash FlowQuality
$1.50B8/10

Generating 1.5B in free cash flow

Areas to Watch

ALK4 concerns · Avg: 2.5/10
Return on EquityProfitability
1.9%3/10

ROE of 1.9% — below average capital efficiency

Profit MarginProfitability
0.5%3/10

0.5% margin — thin

P/E RatioValuation
78.2x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-68.3%2/10

Earnings declined 68.3%

GE4 concerns · Avg: 3.5/10
P/E RatioValuation
35.2x4/10

Premium valuation, high expectations priced in

Price/BookValuation
16.3x4/10

Trading at 16.3x book value

Altman Z-ScoreHealth
1.694/10

Distress zone — elevated risk

PEG RatioValuation
6.822/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : ALK

The strongest argument for ALK centers on Price/Book. PEG of 1.20 suggests the stock is reasonably priced for its growth.

Bull Case : GE

The strongest argument for GE centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 17.9% and operating margin at 20.2%. Revenue growth of 24.7% demonstrates continued momentum.

Bear Case : ALK

The primary concerns for ALK are Return on Equity, Profit Margin, P/E Ratio. A P/E of 78.2x leaves little room for execution misses. Thin 0.5% margins leave little buffer for downturns.

Bear Case : GE

The primary concerns for GE are P/E Ratio, Price/Book, Altman Z-Score.

Key Dynamics to Monitor

ALK profiles as a value stock while GE is a growth play — different risk/reward profiles.

GE carries more volatility with a beta of 1.43 — expect wider price swings.

GE is growing revenue faster at 24.7% — sustainability is the question.

GE generates stronger free cash flow (1.5B), providing more financial flexibility.

Bottom Line

GE scores higher overall (59/100 vs 50/100), backed by strong 17.9% margins and 24.7% revenue growth. ALK offers better value entry with a 67.2% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Alaska Air Group Inc

INDUSTRIALS · AIRLINES · USA

Alaska Air Group is an airline holding company based in SeaTac, Washington, United States.

GE Aerospace

INDUSTRIALS · AEROSPACE & DEFENSE · USA

General Electric Company (GE) is an American multinational conglomerate incorporated in New York City and headquartered in Boston. As of 2018, the company operates through the following segments: aviation, healthcare, power, renewable energy, digital industry, additive manufacturing and venture capital and finance.

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