Alaska Airlines has made aviation history with its largest-ever airplane order, announcing on January 7, 2026, a sweeping agreement to purchase 105 Boeing 737-10 aircraft and five Boeing 787 Dreamliners. The deal, which includes options for an additional 35 737-10s, cements a bold new chapter in the airline’s growth and its enduring partnership with Boeing, now in its 60th year. The move is set to reshape Alaska’s fleet, expand its global reach, and send ripples through the broader airline industry.
According to a joint statement from Boeing and Alaska Airlines reported by PRNewswire, the carrier’s order will extend its delivery pipeline through 2035. The investment is a cornerstone of Alaska’s long-term plan to expand both its domestic and international route networks. The addition of the 737-10s—Boeing’s largest single-aisle MAX variant—will serve high-density routes and help renew the airline’s existing fleet, while the five 787 Dreamliners will support Alaska’s ambitions to fly farther afield, connecting Seattle and other hubs to Europe and Asia.
Ben Minicucci, CEO and President of Alaska Air Group, called the order a key element of the company’s “Alaska Accelerate” strategic plan. "This fleet investment builds on the strong foundation Alaska has created to support steady, scalable and sustained growth, and is another building block in executing our Alaska Accelerate strategic plan," Minicucci said in the official announcement. "These planes will fuel our expansion to more destinations across the globe and ensure our guests travel aboard the newest, most fuel-efficient and state-of-the-art aircraft. We are incredibly proud to be partnering with Boeing, a Pacific Northwest neighbor and a company that stands as a symbol of American innovation and manufacturing."
The deal marks a significant vote of confidence in Boeing, coming at a time when the manufacturer is working to rebuild its reputation after a series of safety controversies. As Investing.com and GuruFocus noted, the announcement had an immediate impact on the market: Boeing’s stock rose by 1.4% to 1.5% in premarket trading, while Alaska Air Group’s shares climbed by 2% to 2.1%. The order also brings Alaska’s total Boeing orderbook to 245 aircraft, including 94 MAX jets already in its fleet, as detailed by Investing.com.
Alaska Airlines currently operates 248 Boeing 737s, and with this new order, now has 174 737 MAX jets on order, according to PRNewswire. The airline expects its overall fleet to grow from 413 aircraft today to more than 475 by 2030, and to exceed 550 by 2035. The 737-10s will gradually replace aging narrowbody planes, helping Alaska maintain one of the youngest and most fuel-efficient fleets among premium global airlines. The 787 Dreamliners, meanwhile, are poised to boost Alaska’s long-haul capabilities from Seattle, with the company aiming to serve at least 12 international destinations in the next few years. Routes already announced include London, Rome, Reykjavik, Tokyo, and Seoul.
Stephanie Pope, president and CEO of Boeing Commercial Airplanes, underscored the significance of the deal for both companies. "This is a historic airplane order underwritten by Alaska Airlines' record of strong performance and strategic expansion. All of us at Boeing are proud of Alaska's success and are honored they have placed their trust in our people and our 737 and 787 airplanes to help grow their airline," Pope said in the PRNewswire release.
The 737-10 is central to Alaska’s modernization strategy. With its ability to carry more passengers at the lowest cost per seat of any single-aisle airplane, the jet will allow Alaska to serve more routes efficiently and flexibly. The 787 Dreamliner’s advanced aerodynamics, composite structure, and modern cabin design make it an ideal choice for long-haul international markets, offering industry-leading fuel efficiency, range, and passenger comfort.
As GuruFocus explained, the order supports Alaska’s goal to become the country’s fourth-largest global airline. The airline’s “Alaska Accelerate” strategy centers on scalable and sustained growth, with a focus on fleet modernization and global expansion. The new aircraft will support both growth and replacement needs, ensuring Alaska’s ability to expand its network while keeping operational costs and environmental impact in check.
Financially, Alaska Air Group is riding a wave of revenue growth, reporting a 23.3% increase over three years, according to GuruFocus. However, the company’s operating margin stands at 4.26%, with a net margin of just 1.06%, indicating ongoing challenges with cost management and profitability. The current ratio is 0.52, and the debt-to-equity ratio is 1.61, suggesting the need for careful debt oversight as the company takes on this large new commitment. The Altman Z-Score of 1.15 places Alaska in the “distress zone,” highlighting potential financial risks even as the company pursues ambitious growth.
From a market perspective, Alaska Air Group’s valuation reflects optimism: the price-to-earnings ratio is 40.96, near a two-year high, and the price-to-sales ratio is 0.44. Analyst sentiment is positive, with a target price of $66.43 and a recommendation score of 1.8. Institutional investors own 88.71% of the company, while insider ownership is relatively low at 0.89%. The airline’s stock is considered volatile, with a beta of 1.77, underscoring the sector’s inherent risks—ranging from economic cycles and fuel price volatility to regulatory changes.
Alaska Air Group operates through three segments: Alaska Airlines, Horizon, and Hawaiian Airlines, as detailed by GuruFocus. The Alaska Airlines segment covers scheduled passenger and cargo flights throughout the U.S., Mexico, and Costa Rica; Horizon focuses on shorter routes within the U.S. and Canada; and Hawaiian Airlines handles flights to and from Hawaii, as well as select international destinations.
This historic order also comes as Alaska and Boeing celebrate 60 years of partnership, a collaboration that began when Boeing delivered a 727 to Alaska Airlines. The relationship has only deepened over the decades, with Alaska now relying on Boeing’s latest technology to drive its future growth. Both companies are based in the Pacific Northwest and have long been seen as symbols of American innovation and manufacturing.
For Alaska Airlines, the massive investment is about more than just new planes. It’s a signal to the market—and to its passengers—that the airline is committed to a future of growth, sustainability, and global connectivity. As Minicucci put it, "These planes will fuel our expansion to more destinations across the globe and ensure our guests travel aboard the newest, most fuel-efficient and state-of-the-art aircraft."
With the ink barely dry on the order, Alaska Airlines is poised to take flight into a new era, armed with a modern fleet and an ambitious vision for the future. The eyes of the industry will be watching to see how this bold bet pays off in the skies ahead.
