Frontier Group (NASDAQ:ULCC) Shares Gap Down – Here’s What Happened

Frontier Group Holdings, Inc. (NASDAQ:ULCC) shares gapped down before the market opened on Tuesday . The stock had previously closed at $5.76, but opened at $5.45. Frontier Group shares last traded at $5.1540, with a volume of 2,149,891 shares trading hands.

Wall Street Analyst Weigh In

A number of equities analysts have recently issued reports on the company. Seaport Res Ptn upgraded Frontier Group to a “hold” rating in a research note on Thursday, September 25th. Citigroup started coverage on Frontier Group in a research report on Thursday, December 4th. They issued a “neutral” rating and a $5.00 target price on the stock. UBS Group reaffirmed a “neutral” rating and set a $6.00 price target (up previously from $4.00) on shares of Frontier Group in a research report on Friday. Morgan Stanley lowered their price objective on shares of Frontier Group from $9.00 to $8.00 and set an “equal weight” rating on the stock in a research note on Monday, December 8th. Finally, Susquehanna boosted their target price on shares of Frontier Group from $3.00 to $4.00 and gave the company a “neutral” rating in a research report on Friday, October 3rd. Two equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Hold” and an average target price of $6.25.

Frontier Group Stock Down 10.5%

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 company’s 50-day moving average price is $4.33 and its 200 day moving average price is $4.33. The stock has a market capitalization of $1.18 billion, a P/E ratio of -8.43 and a beta of 2.55.

Frontier Group (NASDAQ:ULCC) last issued its quarterly earnings results on Wednesday, November 5th. The company reported ($0.34) earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of ($0.34). The business 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 revenue for the quarter was down 5.2% compared to the same quarter last year. During the same quarter in the prior year, the business posted ($0.05) EPS. Frontier Group has set its Q4 2025 guidance at 0.040-0.200 EPS. As a group, equities analysts expect that Frontier Group Holdings, Inc. will post 0.91 earnings per share for the current year.

Insider Activity at Frontier Group

In other news, SVP Steve Schuller sold 5,000 shares of the business’s stock in a transaction on Wednesday, December 10th. The shares were sold at an average price of $6.00, for a total value of $30,000.00. Following the transaction, the senior vice president owned 77,312 shares of the company’s stock, valued at approximately $463,872. The trade was a 6.07% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Barry Biffle sold 82,627 shares of the firm’s stock in a transaction on Thursday, December 11th. The shares were sold at an average price of $5.78, for a total transaction of $477,584.06. Following the transaction, the chief executive officer directly owned 631,836 shares of the company’s stock, valued at $3,652,012.08. The trade was a 11.56% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 305,000 shares of company stock worth $1,670,444 in the last three months. 48.00% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Caitong International Asset Management Co. Ltd bought a new stake in shares of Frontier Group in the third quarter worth about $27,000. Ameritas Investment Partners Inc. grew its holdings in Frontier Group by 130.0% during the 2nd quarter. Ameritas Investment Partners Inc. now owns 8,643 shares of the company’s stock valued at $31,000 after buying an additional 4,885 shares in the last quarter. CWM LLC increased its stake in Frontier Group by 165.0% in the 2nd quarter. CWM LLC now owns 10,042 shares of the company’s stock worth $36,000 after acquiring an additional 6,253 shares during the last quarter. Baron Wealth Management LLC purchased a new stake in shares of Frontier Group during the 2nd quarter worth approximately $37,000. Finally, MQS Management LLC bought a new position in shares of Frontier Group during the 2nd quarter valued at approximately $37,000.

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.