Frontier Group (NASDAQ:ULCC) Shares Down 5.1% – Here’s Why

Frontier Group Holdings, Inc. (NASDAQ:ULCC)’s stock price was down 5.1% during trading on Friday . The company traded as low as $6.76 and last traded at $6.86. Approximately 574,622 shares were traded during mid-day trading, a decline of 63% from the average daily volume of 1,571,462 shares. The stock had previously closed at $7.23.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on ULCC shares. Evercore ISI increased their price target on Frontier Group from $4.00 to $5.00 and gave the company an “in-line” rating in a report on Thursday, October 3rd. Citigroup increased their target price on Frontier Group from $4.70 to $7.15 and gave the company a “neutral” rating in a report on Tuesday, October 22nd. Raymond James upgraded Frontier Group from an “underperform” rating to a “market perform” rating in a research note on Monday, September 30th. Susquehanna increased their price objective on shares of Frontier Group from $5.00 to $6.00 and gave the stock a “neutral” rating in a research note on Monday, November 4th. Finally, Deutsche Bank Aktiengesellschaft upgraded shares of Frontier Group from a “hold” rating to a “buy” rating and boosted their target price for the company from $6.00 to $8.00 in a research report on Wednesday, December 11th. One analyst has rated the stock with a sell rating, eight have given a hold rating and two have assigned a buy rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $6.46.

Frontier Group Stock Performance

The company has a current ratio of 0.53, a quick ratio of 0.48 and a debt-to-equity ratio of 0.57. The company has a market cap of $1.60 billion, a P/E ratio of -177.71 and a beta of 2.43. The business’s 50 day simple moving average is $6.35 and its 200 day simple moving average is $5.12.

Frontier Group (NASDAQ:ULCC) last announced its quarterly earnings data on Tuesday, October 29th. The company reported ($0.05) EPS for the quarter, missing the consensus estimate of ($0.02) by ($0.03). The firm had revenue of $935.00 million for the quarter, compared to analysts’ expectations of $943.30 million. During the same quarter last year, the firm earned ($0.14) EPS. Frontier Group’s revenue for the quarter was up 5.9% on a year-over-year basis. Sell-side analysts predict that Frontier Group Holdings, Inc. will post 0.05 earnings per share for the current fiscal year.

Insider Buying and Selling at Frontier Group

In related news, CEO Barry Biffle sold 160,000 shares of the company’s stock in a transaction on Monday, December 23rd. The shares were sold at an average price of $6.88, for a total transaction of $1,100,800.00. Following the completion of the transaction, the chief executive officer now owns 784,817 shares in the company, valued at approximately $5,399,540.96. This represents a 16.93 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Josh T. Connor sold 30,000 shares of Frontier Group stock in a transaction on Tuesday, December 3rd. The shares were sold at an average price of $5.74, for a total transaction of $172,200.00. Following the completion of the sale, the director now owns 326,550 shares in the company, valued at approximately $1,874,397. This represents a 8.41 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 81.50% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Victory Capital Management Inc. purchased a new stake in shares of Frontier Group in the third quarter worth about $54,000. Ballentine Partners LLC bought a new stake in Frontier Group in the 3rd quarter worth approximately $55,000. Vanguard Personalized Indexing Management LLC purchased a new stake in shares of Frontier Group during the 2nd quarter worth approximately $58,000. Blue Trust Inc. boosted its position in shares of Frontier Group by 41.2% during the 3rd quarter. Blue Trust Inc. now owns 12,828 shares of the company’s stock valued at $63,000 after acquiring an additional 3,744 shares during the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank grew its holdings in shares of Frontier Group by 251.0% in the third quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 11,896 shares of the company’s stock valued at $64,000 after purchasing an additional 8,507 shares in the last quarter.

About Frontier Group

Frontier Group Holdings, Inc, provides low-fare passenger airline services to leisure travelers in the United States and Latin America. The company sells its products through direct distribution channels, including its website, mobile app, and contact centers. As of December 31, 2023, it had a fleet of 136 Airbus single-aisle aircrafts.