Frontier Group (NASDAQ:ULCC) Shares Gap Down - Here's Why

Frontier Group Holdings, Inc. (NASDAQ:ULCC - Get Free Report)'s share price gapped down before the market opened on Friday . The stock had previously closed at $3.75, but opened at $3.56. Frontier Group shares last traded at $3.47, with a volume of 1,082,568 shares traded.

Wall Street Analysts Forecast Growth

ULCC has been the topic of several analyst reports. Barclays decreased their price target on shares of Frontier Group from $14.00 to $10.00 and set an "overweight" rating on the stock in a research note on Tuesday, April 8th. Evercore ISI decreased their target price on shares of Frontier Group from $7.00 to $5.00 and set an "in-line" rating on the stock in a research report on Friday, April 11th. Citigroup cut their price target on Frontier Group from $7.25 to $4.00 and set a "neutral" rating for the company in a report on Friday, April 11th. Bank of America decreased their price objective on Frontier Group from $10.00 to $7.00 and set a "neutral" rating on the stock in a report on Thursday, April 3rd. Finally, Morgan Stanley dropped their target price on Frontier Group from $10.00 to $9.00 and set an "equal weight" rating for the company in a research note on Monday, May 19th. One analyst has rated the stock with a sell rating, nine have assigned a hold rating and one has issued a buy rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus target price of $6.00.

Frontier Group Price Performance

The company has a market capitalization of $817.68 million, a PE ratio of 9.97 and a beta of 2.67. The company has a current ratio of 0.53, a quick ratio of 0.48 and a debt-to-equity ratio of 0.45. The company's 50 day moving average price is $3.66 and its 200-day moving average price is $5.84.

Frontier Group (NASDAQ:ULCC - Get Free Report) last announced its quarterly earnings results on Thursday, May 1st. The company reported ($0.19) EPS for the quarter, topping the consensus estimate of ($0.22) by $0.03. The company had revenue of $912.00 million during the quarter, compared to analyst estimates of $996.05 million. Frontier Group had a return on equity of 9.83% and a net margin of 2.25%. The firm's revenue was up 5.4% on a year-over-year basis. During the same period in the prior year, the firm posted ($0.09) earnings per share. On average, sell-side analysts forecast that Frontier Group Holdings, Inc. will post 0.91 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Frontier Group news, SVP Alexandre Clerc sold 12,000 shares of the business's stock in a transaction that occurred on Monday, June 2nd. The shares were sold at an average price of $3.89, for a total transaction of $46,680.00. Following the completion of the sale, the senior vice president now directly owns 11,912 shares in the company, valued at $46,337.68. The trade was a 50.18% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Corporate insiders own 48.00% of the company's stock.

Hedge Funds Weigh In On Frontier Group

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Byrne Asset Management LLC acquired a new stake in Frontier Group in the 1st quarter valued at $35,000. KLP Kapitalforvaltning AS acquired a new stake in shares of Frontier Group in the fourth quarter valued at about $50,000. Victory Capital Management Inc. purchased a new stake in shares of Frontier Group during the 1st quarter valued at about $76,000. Kapitalo Investimentos Ltda acquired a new position in Frontier Group during the 1st quarter worth approximately $77,000. Finally, Wealth Enhancement Advisory Services LLC boosted its holdings in Frontier Group by 71.8% in the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 18,061 shares of the company's stock worth $78,000 after acquiring an additional 7,546 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.