Alaska Air Group's Acquisition of Hawaiian Airlines Clears DOJ: What to Know
The proposed Alaska Air-Hawaiian Holdings merger cleared a regulatory hurdle after the DOJ's investigation period expired. Here's what happens next.


Alaska Air Group's (ALK) proposed acquisition of Hawaiian Airlines parent Hawaiian Holdings (HA) has cleared the U.S. Department of Justice after the period for its regulatory investigation expired yesterday. Hawaiian Holdings' stock has responded to the news by jumping more than 11% in Tuesday's session, while ALK shares are down slightly at last check.
"This is a significant milestone in the process to join our airlines," Alaska Air Group said in a statement. The air carrier added that during the Department of Justice's review, it worked closely with Hawaii's attorney general "to reinforce and expand upon our commitments for the future of Hawaiian Airlines" as well as local consumers. "These include plans to maintain the Hawaiian Airlines brand and local jobs and continue providing strong service between, to, and from the Islands," it said.
The $1.9 billion merger, first announced last December, still does not have the all-clear, though. While this is a major regulatory win, the transaction still remains subject to other closing conditions, including approval by the U.S. Department of Transportation (DOT), Alaska Air Group said.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
According to CNBC, the Department of Transportation released a statement Tuesday saying it "is reviewing the application and can only approve a transfer if it is in the public interest."
Hawaii Governor Josh Green said Tuesday that he is "confident that by the joining of these two airlines, a stronger company will emerge and offer more travel options for Hawaii residents and local businesses – and will enhance competition across the U.S. airline industry."
Is Alaska Air stock a buy, sell or hold?
Alaska Air Group has struggled on the price charts in 2024, down nearly 11% for the year to date. Still, analysts are hopeful the industrial stock can stage a turnaround. According to S&P Global Market Intelligence, the consensus analyst target price for ALK stock is $52.07, representing an upside of nearly 50% to current levels. Additionally, the consensus recommendation is Buy.
However, not all analysts are bullish on the stock. Financial services firm CFRA Research has a Hold rating on ALK stock with a $39 price target.
CFRA Research analyst Siye Desta says the air carrier faces several growth risks, including weaker domestic demand, higher labor costs and the grounding of its Boeing 797-9 Max fleet.
Still, Desta's $39 price target on ALK stock sits nearly 12% above where it's currently trading.
Related Content
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.
-
Stock Market Today: It's 'All Sectors Go' Ahead of Independence Day
The resilience trade continues to work, even for sectors and stocks with specific uncertainties.
-
Nissan Recalls Over 440,000 Vehicles for Risk of Engine Failure
Hundreds of thousands of cars are being recalled over safety concerns. Here's how to check if your vehicle is affected and what steps to take next.
-
Stock Market Today: It's 'Most Sectors Go' Ahead of Independence Day
The resilience trade continues to work, even for sectors and stocks with specific uncertainties.
-
June Jobs Report Dashes July Rate Cut Hopes: What the Experts Are Saying
The June jobs report shows that hiring remains strong and gives the Fed a little extra breathing room when it comes to interest rates.
-
Investing Professionals Agree: Discipline Beats Drama Right Now
Big portfolio adjustments can do more harm than good. Financial experts suggest making thoughtful, strategic moves that fit your long-term goals.
-
'Doing Something' Because of Volatility Can Hurt You: Portfolio Manager Recommends Doing This Instead
Yes, it's hard, but if you tune out the siren song of high-flying sectors, resist acting on impulse and focus on your goals, you and your portfolio could be much better off.
-
Stock Market Today: S&P 500, Nasdaq Hit New Highs After Vietnam Trade Deal
Ahead of a key July 9 tariff deadline, President Trump said the U.S. has reached a trade deal with Vietnam.
-
Social Security's First Beneficiary Lived to Be 100: Will You?
Ida May Fuller, Social Security's first beneficiary, retired in 1939 and died in 1975. Today, we should all be planning for a retirement that's as long as Ida's.
-
An Investment Strategist Demystifies Direct Indexing: Is It for You?
You've heard of mutual funds and ETFs, but direct indexing may be a new concept ... one that could offer greater flexibility and possible tax savings.
-
Q2 2025 Post-Mortem: Rebound, Risks and Generational Shifts
As the third quarter gets underway, here are some takeaways from the market's second-quarter performance to consider as you make investment decisions.