Frontier Group (NASDAQ:ULCC) Trading Up 7.3% on Earnings Beat

Frontier Group Holdings, Inc. (NASDAQ:ULCC)’s share price shot up 7.3% during mid-day trading on Monday following a stronger than expected earnings report. The company traded as high as $9.96 and last traded at $10.03. 1,999,999 shares were traded during mid-day trading, a decline of 23% from the average session volume of 2,598,872 shares. The stock had previously closed at $9.34.

The company reported $0.23 earnings per share for the quarter, topping analysts’ consensus estimates of $0.03 by $0.20.

Wall Street Analysts Forecast Growth

ULCC has been the subject of a number of recent analyst reports. Susquehanna upped their price objective on Frontier Group from $6.00 to $8.00 and gave the company a “neutral” rating in a research note on Tuesday, January 7th. Morgan Stanley reduced their price target on shares of Frontier Group from $8.00 to $7.00 and set an “equal weight” rating for the company in a research report on Wednesday, December 11th. 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 note on Wednesday, December 11th. UBS Group raised their price target on shares of Frontier Group from $6.00 to $8.50 and gave the stock a “neutral” rating in a research note on Tuesday, January 7th. Finally, Barclays upped their price objective on Frontier Group from $10.00 to $14.00 and gave the company an “overweight” rating in a research note on Monday. One investment analyst has rated the stock with a sell rating, eight have given a hold rating and two have issued a buy rating to the company. According to MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $7.41.

Insider Buying and Selling at Frontier Group

In other news, Director Josh T. Connor sold 30,000 shares of Frontier Group stock in a transaction on Tuesday, December 3rd. The stock was sold at an average price of $5.74, for a total value of $172,200.00. Following the completion of the transaction, the director now directly owns 326,550 shares in the company, valued at approximately $1,874,397. The trade was a 8.41 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Barry Biffle sold 273,000 shares of the stock in a transaction dated Friday, January 17th. The stock was sold at an average price of $8.44, for a total value of $2,304,120.00. Following the sale, the chief executive officer now directly owns 816,817 shares in the company, valued at $6,893,935.48. This trade represents a 25.05 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 788,000 shares of company stock valued at $6,214,070 in the last 90 days. 81.50% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Frontier Group

A number of large investors have recently modified their holdings of ULCC. Rhumbline Advisers lifted its stake in Frontier Group by 4.4% in the 4th quarter. Rhumbline Advisers now owns 55,354 shares of the company’s stock worth $394,000 after purchasing an additional 2,334 shares in the last quarter. Blue Trust Inc. raised its position in shares of Frontier Group by 41.2% in the third quarter. Blue Trust Inc. now owns 12,828 shares of the company’s stock worth $63,000 after buying an additional 3,744 shares in the last quarter. The Manufacturers Life Insurance Company boosted its stake in Frontier Group by 27.3% during the second quarter. The Manufacturers Life Insurance Company now owns 19,970 shares of the company’s stock valued at $98,000 after buying an additional 4,279 shares during the period. R Squared Ltd purchased a new position in Frontier Group during the fourth quarter worth about $32,000. Finally, Nisa Investment Advisors LLC grew its position in Frontier Group by 1,230.0% during the fourth quarter. Nisa Investment Advisors LLC now owns 7,980 shares of the company’s stock worth $57,000 after buying an additional 7,380 shares in the last quarter.

Frontier Group Price Performance

The firm has a market capitalization of $2.27 billion, a P/E ratio of -251.44 and a beta of 2.35. The company has a debt-to-equity ratio of 0.57, a quick ratio of 0.48 and a current ratio of 0.53. The business has a 50 day simple moving average of $7.53 and a two-hundred day simple moving average of $5.84.

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.