Allegiant Travel (ALGT) Ascends While Market Falls: Some Facts to Note
In the latest trading session, Allegiant Travel (ALGT) closed at $82.25, marking a +1.33% move from the previous day. The stock's change was more than the S&P 500's daily loss of 0.01%. Meanwhile, the Dow experienced a rise of 0.15%, and the technology-dominated Nasdaq saw an increase of 0.36%.
Heading into today, shares of the travel services company had gained 23.04% over the past month, outpacing the Transportation sector's gain of 9.83% and the S&P 500's gain of 5.21% in that time.
The investment community will be closely monitoring the performance of Allegiant Travel in its forthcoming earnings report. The company is predicted to post an EPS of -$0.66, indicating a 120.82% decline compared to the equivalent quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $599.9 million, reflecting a 1.91% fall from the equivalent quarter last year.
ALGT's full-year Zacks Consensus Estimates are calling for earnings of $7.13 per share and revenue of $2.5 billion. These results would represent year-over-year changes of +127.8% and +8.58%, respectively.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Allegiant Travel. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 4% lower. Allegiant Travel is currently sporting a Zacks Rank of #5 (Strong Sell).
Investors should also note Allegiant Travel's current valuation metrics, including its Forward P/E ratio of 11.38. For comparison, its industry has an average Forward P/E of 7.42, which means Allegiant Travel is trading at a premium to the group.
The Transportation - Airline industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 195, which puts it in the bottom 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Allegiant Travel Company (ALGT) : Free Stock Analysis Report
