Frontier Group (NASDAQ:ULCC) Shares Down 7.7% – Here’s Why

Frontier Group Holdings, Inc. (NASDAQ:ULCC) traded down 7.7% during trading on Monday . The company traded as low as $4.27 and last traded at $4.43. 453,619 shares traded hands during mid-day trading, a decline of 80% from the average session volume of 2,262,212 shares. The stock had previously closed at $4.80.

Analyst Upgrades and Downgrades

Several research firms have issued reports on ULCC. Morgan Stanley boosted their price objective on shares of Frontier Group from $7.00 to $10.00 and gave the company an “equal weight” rating in a research report on Monday, February 24th. Deutsche Bank Aktiengesellschaft downgraded shares of Frontier Group from a “buy” rating to a “hold” rating and dropped their price objective for the company from $12.00 to $8.00 in a research note on Tuesday, March 4th. Susquehanna boosted their price objective on shares of Frontier Group from $6.00 to $8.00 and gave the stock a “neutral” rating in a research note on Tuesday, January 7th. Citigroup reiterated a “neutral” rating and issued a $7.25 price target on shares of Frontier Group in a report on Thursday, March 20th. Finally, UBS Group decreased their price objective on Frontier Group from $10.00 to $7.00 and set a “neutral” rating for the company in a research note on Thursday, March 20th. One investment analyst has rated the stock with a sell rating, nine have assigned a hold rating and one has assigned a buy rating to the stock. According to data from MarketBeat, Frontier Group presently has a consensus rating of “Hold” and a consensus target price of $7.58.

Frontier Group Stock Down 12.6 %

The stock has a market capitalization of $953.31 million, a PE ratio of 11.54 and a beta of 2.37. The company has a current ratio of 0.53, a quick ratio of 0.48 and a debt-to-equity ratio of 0.45. The company’s 50-day moving average is $7.43 and its 200 day moving average is $6.66.

Frontier Group (NASDAQ:ULCC) last announced its quarterly earnings data on Friday, February 7th. The company reported $0.23 earnings per share for the quarter, beating analysts’ consensus estimates of $0.03 by $0.20. Frontier Group had a net margin of 2.25% and a return on equity of 9.83%. As a group, analysts anticipate that Frontier Group Holdings, Inc. will post 0.91 EPS for the current year.

Insider Buying and Selling

In other news, CEO Barry Biffle sold 273,000 shares of the company’s 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 owns 816,817 shares in the company, valued at $6,893,935.48. This represents a 25.05 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, SVP Steve Schuller sold 5,000 shares of the business’s stock in a transaction that occurred on Thursday, January 2nd. The shares were sold at an average price of $7.07, for a total value of $35,350.00. Following the completion of the transaction, the senior vice president now directly owns 47,590 shares of the company’s stock, valued at $336,461.30. The trade was a 9.51 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 700,982 shares of company stock worth $5,811,797. 81.50% of the stock is owned by company insiders.

Institutional Trading of Frontier Group

A number of hedge funds have recently added to or reduced their stakes in ULCC. Voloridge Investment Management LLC boosted its stake in shares of Frontier Group by 835.6% during the 4th quarter. Voloridge Investment Management LLC now owns 1,702,008 shares of the company’s stock worth $12,101,000 after acquiring an additional 1,520,094 shares in the last quarter. Highland Peak Capital LLC acquired a new position in Frontier Group in the 4th quarter worth about $6,492,000. Two Sigma Investments LP boosted its position in Frontier Group by 488.9% during the fourth quarter. Two Sigma Investments LP now owns 980,426 shares of the company’s stock worth $6,971,000 after purchasing an additional 813,929 shares in the last quarter. Empyrean Capital Partners LP acquired a new stake in Frontier Group in the fourth quarter valued at approximately $4,977,000. Finally, Connor Clark & Lunn Investment Management Ltd. increased its position in shares of Frontier Group by 247.8% in the fourth quarter. Connor Clark & Lunn Investment Management Ltd. now owns 926,093 shares of the company’s stock valued at $6,585,000 after buying an additional 659,811 shares in the last quarter.

Frontier Group Company Profile

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.