Allegiant Travel (ALGT) Rises But Trails Market: What Investors Should Know
In the latest trading session, Allegiant Travel (ALGT) closed at $74.95, marking a +0.67% move from the previous day. The stock fell short of the S&P 500, which registered a gain of 1.23% for the day. Meanwhile, the Dow gained 1.06%, and the Nasdaq, a tech-heavy index, added 1.7%.
Prior to today's trading, shares of the travel services company had lost 11.74% over the past month. This has lagged the Transportation sector's loss of 3.36% and the S&P 500's gain of 0.94% in that time.
Market participants will be closely following the financial results of Allegiant Travel in its upcoming release. On that day, Allegiant Travel is projected to report earnings of -$0.75 per share, which would represent a year-over-year decline of 123.66%. Meanwhile, our latest consensus estimate is calling for revenue of $601.47 million, down 1.65% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for Allegiant Travel. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, there's been an 8.33% rise in the Zacks Consensus EPS estimate. Allegiant Travel is currently a Zacks Rank #3 (Hold).
From a valuation perspective, Allegiant Travel is currently exchanging hands at a Forward P/E ratio of 9.16. For comparison, its industry has an average Forward P/E of 8.09, which means Allegiant Travel is trading at a premium to the group.
The Transportation - Airline industry is part of the Transportation sector. With its current Zacks Industry Rank of 46, this industry ranks in the top 19% of all industries, numbering over 250.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Allegiant Travel Company (ALGT) : Free Stock Analysis Report
