Last Updated: 16 Sep 2024
Executive Summary
Allegiant Travel Company (ALGT) is a leisure travel company that provides travel products and services to residents of underserved cities in the United States. The company's latest stock price is $41.55. ALGT has a market capitalization of $760.23 million, an EBITDA of $292.49 million, and a trailing EPS of -$0.87. The company's financial performance has been mixed in recent quarters, with revenue growth slowing and profitability declining. However, analysts remain optimistic about the company's long-term prospects, with a consensus analyst target price of $55.67.
Company Overview
Allegiant Travel Company is headquartered in Las Vegas, Nevada. The company operates a fleet of 100 aircraft and serves over 100 destinations in the United States. Allegiant's target market is leisure travelers who are looking for low-cost flights to popular vacation destinations. The company offers a variety of travel products and services, including flights, hotel accommodations, rental cars, and vacation packages.
Fundamental Analysis
Allegiant Travel Company's financial performance has been mixed in recent quarters. Revenue growth has slowed, and profitability has declined. In the most recent quarter, the company reported a net loss of $24.4 million, compared to a net income of $12.4 million in the same quarter last year. The company's revenue declined by 2.6% year-over-year, to $499.0 million.
Allegiant's financial performance has been impacted by a number of factors, including rising fuel costs, labor shortages, and economic uncertainty. The company has also been facing increased competition from other low-cost carriers.
Despite the recent challenges, analysts remain optimistic about Allegiant's long-term prospects. The company has a strong brand, a loyal customer base, and a low-cost operating model. Allegiant is also well-positioned to benefit from the recovery in the travel industry.
Technical Analysis
Allegiant Travel Company's stock price has been trending lower in recent months. The stock is currently trading below its 50-day and 200-day moving averages. The stock's relative strength index (RSI) is also below 50, indicating that the stock is oversold.
The technical analysis suggests that Allegiant's stock price is likely to continue to decline in the short term. However, the stock could be due for a rebound if it can break above its resistance level at $45.00.
Short Term Outlook
Allegiant Travel Company's stock price is likely to continue to decline in the short term. The stock is currently trading below its key technical support levels, and the technical indicators are bearish. However, the stock could be due for a rebound if it can break above its resistance level at $45.00.
Long Term Outlook
Analysts remain optimistic about Allegiant Travel Company's long-term prospects. The company has a strong brand, a loyal customer base, and a low-cost operating model. Allegiant is also well-positioned to benefit from the recovery in the travel industry.
Analyst Recommendations
The consensus analyst rating for Allegiant Travel Company is "Hold." Two analysts have a "Buy" rating on the stock, nine analysts have a "Hold" rating, and one analyst has a "Sell" rating. The consensus analyst target price is $55.67.
