Allegiant Travel (NASDAQ:ALGT) Shares Gap Down on Disappointing Earnings

Allegiant Travel (NASDAQ:ALGT)’s share price 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 traded.

The transportation company reported ($2.02) earnings per share for the quarter, missing the consensus estimate of ($1.85) by ($0.17). The business had revenue of $562.20 million for the quarter, compared to the consensus estimate of $561.24 million. Allegiant Travel had a negative net margin of 0.57% and a positive return on equity of 3.48%.

Analysts Set New Price Targets

Several research firms have weighed in on ALGT. Barclays cut their target price on Allegiant Travel from $55.00 to $45.00 and set an “equal weight” rating on the stock in a report on Wednesday, July 10th. TD Cowen raised their price objective on Allegiant Travel from $33.00 to $42.00 and gave the company a “hold” rating in a research note on Thursday, October 3rd. Deutsche Bank Aktiengesellschaft cut Allegiant Travel from a “buy” rating to a “hold” rating and decreased their target price for the stock from $75.00 to $53.00 in a research report on Monday, July 8th. Morgan Stanley dropped their price target on shares of Allegiant Travel from $95.00 to $87.00 and set an “equal weight” rating on the stock in a research report on Monday, July 8th. Finally, Susquehanna upped their price objective on shares of Allegiant Travel from $40.00 to $55.00 and gave the stock a “neutral” rating in a report on Wednesday, October 9th. Two equities research analysts have rated the stock with a sell rating, six have issued a hold rating and one has assigned a buy rating to the stock. Based on data from MarketBeat.com, Allegiant Travel has a consensus rating of “Hold” and a consensus price target of $63.13.

Insider Transactions at Allegiant Travel

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

Institutional Investors Weigh In On Allegiant Travel

Several institutional investors and hedge funds have recently bought and sold shares of the business. Signaturefd LLC lifted its holdings in shares of Allegiant Travel by 149.2% during the 3rd quarter. Signaturefd LLC now owns 456 shares of the transportation company’s stock worth $25,000 after acquiring an additional 273 shares during the period. Nisa Investment Advisors LLC lifted its stake in Allegiant Travel by 136.9% during the third quarter. Nisa Investment Advisors LLC now owns 526 shares of the transportation company’s stock worth $29,000 after purchasing an additional 304 shares during the period. Innealta Capital LLC bought a new position in Allegiant Travel during the second quarter worth about $34,000. NBC Securities Inc. boosted its holdings in Allegiant Travel by 2,827.9% during the third quarter. NBC Securities Inc. now owns 1,259 shares of the transportation company’s stock valued at $69,000 after purchasing an additional 1,216 shares in the last quarter. Finally, CWM LLC grew its stake in shares of Allegiant Travel by 275.1% in the 2nd quarter. CWM LLC now owns 1,268 shares of the transportation company’s stock valued at $64,000 after purchasing an additional 930 shares during the period. Institutional investors own 85.81% of the company’s stock.

Allegiant Travel Stock 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 has a market capitalization of $1.19 billion, a price-to-earnings ratio of -73.04, a PEG ratio of 3.11 and a beta of 1.65. The stock has a fifty day moving average price of $51.36 and a 200-day moving average price of $50.95.

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.