Frontier Group (NASDAQ:ULCC) Shares Down 10.2% – Should You Sell?

Frontier Group Holdings, Inc. (NASDAQ:ULCC) dropped 10.2% during mid-day trading on Monday . The company traded as low as $5.96 and last traded at $5.97. Approximately 1,532,711 shares were traded during trading, a decline of 48% from the average daily volume of 2,954,373 shares. The stock had previously closed at $6.64.

Wall Street Analysts Forecast Growth

A number of research firms have recently commented on ULCC. Susquehanna increased their price objective on Frontier Group from $6.00 to $8.00 and gave the company a “neutral” rating in a report on Tuesday, January 7th. UBS Group lifted their price objective on shares of Frontier Group from $6.00 to $8.50 and gave the company a “neutral” rating in a research note on Tuesday, January 7th. Deutsche Bank Aktiengesellschaft downgraded Frontier Group from a “buy” rating to a “hold” rating and decreased their price target for the stock from $12.00 to $8.00 in a report on Tuesday, March 4th. Barclays boosted their target price on Frontier Group from $10.00 to $14.00 and gave the stock an “overweight” rating in a research report on Monday, February 10th. Finally, Morgan Stanley raised their price target on Frontier Group from $7.00 to $10.00 and gave the company an “equal weight” rating in a report on Monday, February 24th. One equities research analyst has rated the stock with a sell rating, nine have assigned a hold rating and one has given a buy rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $7.74.

Frontier Group Stock Performance

The company has a market capitalization of $1.38 billion, a PE ratio of 16.89 and a beta of 2.37. The stock’s fifty day simple moving average is $8.04 and its 200-day simple moving average is $6.49. The company has a debt-to-equity ratio of 0.45, a quick ratio of 0.48 and a current ratio of 0.53.

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

Insider Transactions at Frontier Group

In other Frontier Group news, SVP Steve Schuller sold 5,000 shares of the firm’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 sale, the senior vice president now owns 47,590 shares in the company, valued at approximately $336,461.30. This trade represents a 9.51 % 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 this link. Also, CEO Barry Biffle sold 160,000 shares of the firm’s stock in a transaction that occurred on Monday, December 23rd. The shares were sold at an average price of $6.88, for a total value of $1,100,800.00. Following the completion of the sale, the chief executive officer now owns 784,817 shares in the company, valued at approximately $5,399,540.96. This represents a 16.93 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 860,982 shares of company stock valued at $6,912,597. 81.50% of the stock is currently owned by insiders.

Institutional Trading of Frontier Group

A number of institutional investors have recently made changes to their positions in ULCC. Vanguard Group Inc. increased its holdings in shares of Frontier Group by 0.3% in the fourth quarter. Vanguard Group Inc. now owns 8,186,633 shares of the company’s stock valued at $58,207,000 after buying an additional 26,682 shares in the last quarter. Balyasny Asset Management L.P. raised its holdings in shares of Frontier Group by 31.8% during the fourth quarter. Balyasny Asset Management L.P. now owns 2,396,885 shares of the company’s stock valued at $17,042,000 after acquiring an additional 578,151 shares during the period. Towle & Co. lifted its position in shares of Frontier Group by 6.1% in the 4th quarter. Towle & Co. now owns 2,348,882 shares of the company’s stock valued at $16,701,000 after acquiring an additional 134,723 shares in the last quarter. Voloridge Investment Management LLC grew its position in 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 purchasing an additional 1,520,094 shares in the last quarter. Finally, Geode Capital Management LLC raised its stake in Frontier Group by 2.2% during the 4th quarter. Geode Capital Management LLC now owns 1,625,953 shares of the company’s stock valued at $11,564,000 after purchasing an additional 35,355 shares during the period.

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.