Allegiant Travel (NASDAQ:ALGT) Shares Gap Down After Earnings Miss

Allegiant Travel (NASDAQ:ALGT) gapped down prior to trading on Thursday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $62.96, but opened at $56.50. Allegiant Travel shares last traded at $62.11, with a volume of 75,613 shares.

The transportation company reported ($2.02) earnings per share for the quarter, missing analysts’ consensus estimates of ($1.85) by ($0.17). The company had revenue of $562.20 million for the quarter, compared to analysts’ expectations of $561.24 million. Allegiant Travel had a negative net margin of 1.04% and a positive return on equity of 0.63%.

Analysts Set New Price Targets

ALGT has been the topic of a number of recent analyst reports. Morgan Stanley decreased their price target on Allegiant Travel from $95.00 to $87.00 and set an “equal weight” rating on the stock in a report on Monday, July 8th. Evercore ISI lifted their target price on Allegiant Travel from $60.00 to $65.00 and gave the company an “in-line” rating in a research note on Thursday, October 3rd. Deutsche Bank Aktiengesellschaft downgraded Allegiant Travel from a “buy” rating to a “hold” rating and dropped their price target for the stock from $75.00 to $53.00 in a research note on Monday, July 8th. Susquehanna lifted their price objective on shares of Allegiant Travel from $40.00 to $55.00 and gave the company a “neutral” rating in a research report on Wednesday, October 9th. Finally, Barclays lowered their target price on shares of Allegiant Travel from $55.00 to $45.00 and set an “equal weight” rating on the stock in a report on Wednesday, July 10th. Two research analysts have rated the stock with a sell rating, six have assigned a hold rating and one has assigned a buy rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $64.13.

Insider Transactions at Allegiant Travel

In related news, COO Keny Frank Wilper sold 635 shares of the company’s stock in a transaction dated Wednesday, October 23rd. The shares were sold at an average price of $62.69, for a total transaction of $39,808.15. Following the transaction, the chief operating officer now directly owns 16,353 shares in the company, valued at approximately $1,025,169.57. This represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. In other Allegiant Travel news, Director Gary Ellmer sold 1,000 shares of the business’s stock in a transaction dated Monday, August 26th. The shares were sold at an average price of $45.00, for a total value of $45,000.00. Following the completion of the sale, the director now directly owns 7,490 shares of the company’s stock, valued at $337,050. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, COO Keny Frank Wilper sold 635 shares of the firm’s stock in a transaction that occurred on Wednesday, October 23rd. The stock was sold at an average price of $62.69, for a total transaction of $39,808.15. Following the transaction, the chief operating officer now directly owns 16,353 shares in the company, valued at approximately $1,025,169.57. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 2,334 shares of company stock worth $117,158. 15.80% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. International Assets Investment Management LLC purchased a new stake in shares of Allegiant Travel in the 3rd quarter worth $63,540,000. Interval Partners LP bought a new position in Allegiant Travel during the 1st quarter worth about $5,641,000. Susquehanna Fundamental Investments LLC purchased a new position in Allegiant Travel during the 1st quarter valued at about $1,306,000. Clearbridge Investments LLC bought a new stake in shares of Allegiant Travel in the 2nd quarter valued at about $8,959,000. Finally, First Eagle Investment Management LLC raised its holdings in shares of Allegiant Travel by 57.5% in the 1st quarter. First Eagle Investment Management LLC now owns 103,513 shares of the transportation company’s stock valued at $7,785,000 after purchasing an additional 37,800 shares in the last quarter. Institutional investors own 85.81% of the company’s stock.

Allegiant Travel Price Performance

The company has a current ratio of 0.74, a quick ratio of 0.71 and a debt-to-equity ratio of 1.30. The firm’s 50-day moving average price is $51.72 and its two-hundred day moving average price is $50.96. The stock has a market cap of $1.15 billion, a PE ratio of -42.01, a PEG ratio of 4.11 and a beta of 1.65.

Allegiant Travel Company Profile

Allegiant Travel Company, a leisure travel company, provides travel services and products to residents of under-served cities in the United States. The company offers scheduled air transportation on limited-frequency, nonstop flights between under-served cities and leisure destinations. As of February 1, 2024, it operated a fleet of 126 Airbus A320 series aircraft.