Frontier Group (NASDAQ:ULCC) Shares Gap Down – What’s Next?

Shares of Frontier Group Holdings, Inc. (NASDAQ:ULCC) 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 research firms have recently weighed in on ULCC. Seaport Res Ptn upgraded shares of Frontier Group to a “hold” rating in a report on Thursday, September 25th. Susquehanna lifted their price target on Frontier Group from $3.00 to $4.00 and gave the stock a “neutral” rating in a research report on Friday, October 3rd. Morgan Stanley decreased their price objective on Frontier Group from $9.00 to $8.00 and set an “equal weight” rating on the stock in a research report on Monday, December 8th. UBS Group reaffirmed a “neutral” rating and issued a $6.00 price objective (up from $4.00) on shares of Frontier Group in a research note on Friday. Finally, Citigroup began coverage on Frontier Group in a research report on Thursday, December 4th. They set a “neutral” rating and a $5.00 target price on the stock. Two investment analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $6.25.

Frontier Group Stock Performance

The company has a debt-to-equity ratio of 0.79, a current ratio of 0.40 and a quick ratio of 0.36. The stock has a market capitalization of $1.18 billion, a PE ratio of -8.43 and a beta of 2.55. The firm has a fifty day moving average price of $4.33 and a two-hundred day moving average price of $4.33.

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

Insiders Place Their Bets

In other Frontier Group news, CEO Barry Biffle sold 100,000 shares of Frontier Group stock in a transaction dated Monday, December 8th. The stock was sold at an average price of $5.54, for a total value of $554,000.00. Following the transaction, the chief executive officer owned 731,836 shares in the company, valued at $4,054,371.44. The trade was a 12.02% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, SVP Steve Schuller sold 5,000 shares of the stock in a transaction that occurred on Wednesday, December 10th. The shares were sold at an average price of $6.00, for a total transaction of $30,000.00. Following the sale, the senior vice president directly owned 77,312 shares of the company’s stock, valued at $463,872. The trade was a 6.07% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 305,000 shares of company stock worth $1,670,444 over the last quarter. Company insiders own 48.00% of the company’s stock.

Institutional Trading of Frontier Group

Hedge funds have recently added to or reduced their stakes in the company. U S Global Investors Inc. grew its stake in Frontier Group by 59.2% in the 2nd quarter. U S Global Investors Inc. now owns 6,204,862 shares of the company’s stock valued at $22,524,000 after acquiring an additional 2,306,248 shares during the period. Dimensional Fund Advisors LP lifted its stake in Frontier Group by 5.5% in the 3rd quarter. Dimensional Fund Advisors LP now owns 4,044,167 shares of the company’s stock worth $17,860,000 after purchasing an additional 209,154 shares in the last quarter. Bank of America Corp DE boosted its holdings in shares of Frontier Group by 39.2% during the 3rd quarter. Bank of America Corp DE now owns 3,027,309 shares of the company’s stock worth $13,366,000 after purchasing an additional 852,798 shares during the last quarter. Citigroup Inc. boosted its holdings in shares of Frontier Group by 14.1% during the 3rd quarter. Citigroup Inc. now owns 2,824,859 shares of the company’s stock worth $12,472,000 after purchasing an additional 348,739 shares during the last quarter. Finally, Balyasny Asset Management L.P. grew its position in shares of Frontier Group by 48.4% in the third quarter. Balyasny Asset Management L.P. now owns 2,202,219 shares of the company’s stock valued at $9,723,000 after purchasing an additional 718,147 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.