Frontier Group (NASDAQ:ULCC) Trading Up 8.4% – What’s Next?

Frontier Group Holdings, Inc. (NASDAQ:ULCC)’s stock price traded up 8.4% on Tuesday . The stock traded as high as $4.13 and last traded at $4.1950. 928,940 shares were traded during trading, a decline of 76% from the average session volume of 3,836,774 shares. The stock had previously closed at $3.87.

Wall Street Analyst Weigh In

ULCC has been the subject of several recent analyst reports. UBS Group increased their price objective on Frontier Group from $3.50 to $5.00 and gave the company a “neutral” rating in a report on Friday, September 26th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Frontier Group in a report on Wednesday, November 19th. Deutsche Bank Aktiengesellschaft raised Frontier Group from a “hold” rating to a “buy” rating and raised their price objective for the company from $4.00 to $8.00 in a research report on Tuesday, September 2nd. Susquehanna increased their price target on shares of Frontier Group from $3.00 to $4.00 and gave the company a “neutral” rating in a report on Friday, October 3rd. Finally, Seaport Res Ptn raised Frontier Group to a “hold” rating in a report on Thursday, September 25th. Two research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $6.13.

Frontier Group Price Performance

The company has a debt-to-equity ratio of 0.79, a quick ratio of 0.36 and a current ratio of 0.40. The business has a fifty day simple moving average of $4.28 and a 200-day simple moving average of $4.22. The stock has a market capitalization of $962.73 million, a P/E ratio of -6.89 and a beta of 2.57.

Frontier Group (NASDAQ:ULCC) last released its earnings results on Wednesday, November 5th. The company reported ($0.34) earnings per share (EPS) for the quarter, meeting the consensus estimate of ($0.34). The company had revenue of $886.00 million during the quarter, compared to analyst estimates of $900.07 million. Frontier Group had a negative return on equity of 25.73% and a negative net margin of 3.65%.Frontier Group’s quarterly revenue was down 5.2% on a year-over-year basis. During the same period in the prior year, the company posted ($0.05) earnings per share. Frontier Group has set its Q4 2025 guidance at 0.040-0.200 EPS. Sell-side analysts expect that Frontier Group Holdings, Inc. will post 0.91 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Frontier Group

Several hedge funds and other institutional investors have recently modified their holdings of ULCC. Caitong International Asset Management Co. Ltd bought a new position in shares of Frontier Group in the third quarter valued at approximately $27,000. XTX Topco Ltd boosted its holdings in Frontier Group by 12.5% in the 3rd quarter. XTX Topco Ltd now owns 138,878 shares of the company’s stock valued at $613,000 after purchasing an additional 15,393 shares during the period. Voleon Capital Management LP grew its position in shares of Frontier Group by 242.8% during the 3rd quarter. Voleon Capital Management LP now owns 715,417 shares of the company’s stock valued at $3,159,000 after purchasing an additional 506,704 shares in the last quarter. Prentice Capital Management LP increased its holdings in shares of Frontier Group by 596.1% in the third quarter. Prentice Capital Management LP now owns 530,119 shares of the company’s stock worth $2,340,000 after purchasing an additional 453,962 shares during the period. Finally, Numerai GP LLC purchased a new stake in shares of Frontier Group in the third quarter worth $61,000.

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.