Frontier Group (NASDAQ:ULCC) Stock Price Down 7.7% - Here's What Happened

Key Points

• Frontier shares fell about 7.7% on Monday to roughly $3.34, with trading volume (~1.02M shares) down ~72% versus the average daily volume.
• Analyst sentiment is weak — the consensus rating is "Reduce" with an average price target of about $5.38, and several firms have recently cut ratings or lowered targets.
• The company beat last quarter's EPS and revenue (EPS $0.23, revenue $997M) but remains unprofitable (negative ROE and net margin) and issued FY2026 guidance of -0.400 to -0.500 EPS (Q1 guidance also negative).

Frontier Group Holdings, Inc. (NASDAQ:ULCC - Get Free Report)'s stock price dropped 7.7% during trading on Monday . The company traded as low as $3.33 and last traded at $3.34. Approximately 1,019,712 shares changed hands during mid-day trading, a decline of 72% from the average daily volume of 3,677,017 shares. The stock had previously closed at $3.62.

Wall Street Analysts Forecast Growth

Several research firms have recently weighed in on ULCC. Deutsche Bank Aktiengesellschaft lowered shares of Frontier Group from a "buy" rating to a "hold" rating and set a $6.00 price objective for the company. in a report on Tuesday, February 10th. Bank of America restated an "underperform" rating and set a $4.00 price target (down from $5.00) on shares of Frontier Group in a research report on Tuesday, January 6th. Barclays reiterated an "underweight" rating and issued a $4.00 price objective (down from $6.00) on shares of Frontier Group in a research report on Monday, March 2nd. Citigroup assumed coverage on Frontier Group in a report on Thursday, December 4th. They set a "neutral" rating and a $5.00 target price on the stock. Finally, Susquehanna raised their target price on Frontier Group from $4.00 to $5.00 and gave the company a "neutral" rating in a research note on Friday, January 9th. Six analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Reduce" and an average target price of $5.38.

Frontier Group Trading Down 3.3%

The company has a market cap of $803.64 million, a P/E ratio of -5.74, a P/E/G ratio of 0.63 and a beta of 2.55. The company has a quick ratio of 0.41, a current ratio of 0.46 and a debt-to-equity ratio of 0.73. The business has a 50-day moving average price of $5.00 and a two-hundred day moving average price of $4.75.

Frontier Group (NASDAQ:ULCC - Get Free Report) last posted its quarterly earnings results on Wednesday, February 11th. The company reported $0.23 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.10 by $0.13. The business had revenue of $997.00 million for the quarter, compared to analysts' expectations of $971.35 million. Frontier Group had a negative return on equity of 27.39% and a negative net margin of 3.68%.The firm's quarterly revenue was down .5% compared to the same quarter last year. During the same quarter last year, the business earned $0.23 earnings per share. 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. On average, analysts predict that Frontier Group Holdings, Inc. will post 0.91 EPS for the current year.

Insider Activity

In other Frontier Group news, CEO Barry Biffle sold 82,627 shares of Frontier Group stock in a transaction on Thursday, December 11th. The shares were sold at an average price of $5.78, for a total transaction of $477,584.06. Following the completion of the sale, the chief executive officer owned 631,836 shares of the company's stock, valued at approximately $3,652,012.08. The trade was a 11.56% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, SVP Steve Schuller sold 5,000 shares of the company's stock in a transaction on Friday, February 6th. 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 owned 94,926 shares of the company's stock, valued at $569,556. The trade was a 5.00% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 110,000 shares of company stock worth $641,996 in the last ninety days. Insiders own 48.00% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Ameritas Investment Partners Inc. lifted its stake in Frontier Group by 130.0% in the second quarter. Ameritas Investment Partners Inc. now owns 8,643 shares of the company's stock valued at $31,000 after buying an additional 4,885 shares during the period. SG Americas Securities LLC raised its position in shares of Frontier Group by 4.5% in the 4th quarter. SG Americas Securities LLC now owns 115,962 shares of the company's stock valued at $546,000 after acquiring an additional 4,995 shares during the period. Straightline Group LLC grew its holdings in Frontier Group by 9.5% during the fourth quarter. Straightline Group LLC now owns 60,586 shares of the company's stock valued at $285,000 after purchasing an additional 5,232 shares during the period. AQR Capital Management LLC increased its stake in Frontier Group by 46.0% in the first quarter. AQR Capital Management LLC now owns 18,777 shares of the company's stock valued at $81,000 after purchasing an additional 5,913 shares in the last quarter. Finally, Caitong International Asset Management Co. Ltd acquired a new stake in Frontier Group in the third quarter worth $27,000.

Frontier Group Company Profile

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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