I'm short ALK, and am hedging it against being long the SPY (I think ALK will underperform the market). Why?
Operational cash flows are under pressure due to cyclicality and competition, and ALK did exactly what a company should not do in this environment, and that is compromise its balance sheet significantly with the material growth in debt. That is a definite DON'T in this environment, particularly in a cyclical industry.
I actually used to like this company, but now I am comfortably short b/c they levered up. Sorry, folks. That's how I roll.