Frontier Group (NASDAQ:ULCC) Shares Gap Up - Here's What Happened

Key Points

• Frontier Group (ULCC) gapped up Monday, opening at $3.39 versus Friday's close of $3.18 and last trading around $3.51 on about 1.38 million shares, still below its 50- and 200-day moving averages (~$4.7).
• Wall Street is cautious: the consensus rating is Reduce with a consensus target price of $4.94 after multiple price-target cuts and a mix of Hold and Sell ratings from analysts.
• Fundamentals are mixed — Frontier beat quarterly EPS ($0.23 vs. $0.10) but has negative net margin and ROE and issued negative FY2026 and Q1 2026 EPS guidance (FY -0.40 to -0.50; Q1 -0.44 to -0.26).

Frontier Group Holdings, Inc. (NASDAQ:ULCC - Get Free Report) gapped up before the market opened on Monday . The stock had previously closed at $3.18, but opened at $3.39. Frontier Group shares last traded at $3.5070, with a volume of 1,384,412 shares traded.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on ULCC. Barclays reaffirmed an "underweight" rating and issued a $4.00 target price (down from $6.00) on shares of Frontier Group in a report on Monday, March 2nd. Morgan Stanley lowered their price target 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. Susquehanna raised their price objective on Frontier Group from $4.00 to $5.00 and gave the company a "neutral" rating in a research report on Friday, January 9th. UBS Group reduced their target price on Frontier Group from $6.00 to $4.00 and set a "neutral" rating for the company in a research note on Monday, March 16th. Finally, Weiss Ratings reissued a "sell (d-)" rating on shares of Frontier Group in a report on Monday, December 29th. Six research analysts have rated the stock with a Hold rating and three have given a Sell rating to the company. According to MarketBeat.com, Frontier Group currently has a consensus rating of "Reduce" and a consensus target price of $4.94.

Frontier Group Stock Performance

The firm has a market cap of $811.67 million, a price-to-earnings ratio of -5.79 and a beta of 2.54. The company has a current ratio of 0.46, a quick ratio of 0.41 and a debt-to-equity ratio of 0.73. The stock's 50 day moving average is $4.71 and its 200 day moving average is $4.65.

Frontier Group (NASDAQ:ULCC - Get Free Report) last issued its quarterly earnings data on Wednesday, February 11th. The company reported $0.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.10 by $0.13. Frontier Group had a negative net margin of 3.68% and a negative return on equity of 27.39%. The firm had revenue of $997.00 million during the quarter, compared to the consensus estimate of $971.35 million. During the same period last year, the business posted $0.23 earnings per share. The business's revenue for the quarter was down .5% compared to the same quarter last year. Frontier Group has set its FY 2026 guidance at -0.400-0.500 EPS and its Q1 2026 guidance at -0.440--0.260 EPS. Analysts anticipate 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 company's stock in a transaction on Friday, February 6th. The stock was sold at an average price of $6.00, for a total value of $30,000.00. Following the transaction, the senior vice president directly owned 94,926 shares of the company's stock, valued at $569,556. This represents a 5.00% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. 48.00% of the stock is owned by company insiders.

Institutional Investors Weigh In On Frontier Group

A number of institutional investors have recently modified their holdings of the business. Dimensional Fund Advisors LP grew its position in shares of Frontier Group by 5.5% during 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 raised its position in shares of Frontier Group by 39.2% in the third quarter. Bank of America Corp DE now owns 3,027,309 shares of the company's stock valued at $13,366,000 after buying an additional 852,798 shares in the last quarter. Citigroup Inc. raised its position in shares of Frontier Group by 14.1% in the third quarter. Citigroup Inc. now owns 2,824,859 shares of the company's stock valued at $12,472,000 after buying an additional 348,739 shares in the last quarter. Balyasny Asset Management L.P. boosted its stake 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 buying an additional 718,147 shares during the period. Finally, Geode Capital Management LLC grew its position in Frontier Group by 0.4% during the fourth quarter. Geode Capital Management LLC now owns 2,196,472 shares of the company's stock worth $10,347,000 after buying an additional 8,946 shares in the last quarter.

About Frontier Group

Frontier Group, trading on Nasdaq under the ticker ULCC, is the holding company for Frontier Airlines, an ultra-low-cost carrier based in Denver, Colorado. The company’s core business centers on providing no-frills air travel across a point-to-point network while generating ancillary revenue from add-on services such as baggage fees, seat selection, priority boarding and in-flight refreshments. This fare-plus-a-la-carte model allows Frontier to offer competitive base fares and maintain low operating costs.

Founded in February 1994 by industry veterans Andrew Levy and Russell Beardsmore, Frontier Airlines commenced operations with a small fleet of MD-80 aircraft.

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