Allegiant Travel (ALGT) Suffers a Larger Drop Than the General Market: Key Insights
The most recent trading session ended with Allegiant Travel (ALGT) standing at $71.92, reflecting a -1.9% shift from the previouse trading day's closing. The stock trailed the S&P 500, which registered a daily loss of 0.17%. Meanwhile, the Dow lost 0.58%, and the Nasdaq, a tech-heavy index, added 0.27%.
Shares of the travel services company have depreciated by 2.67% over the course of the past month, outperforming the Transportation sector's loss of 5.81% and the S&P 500's loss of 3.95%.
The investment community will be paying close attention to the earnings performance of Allegiant Travel in its upcoming release. It is anticipated that the company will report an EPS of $0.13, marking a 124.07% rise compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $583.69 million, reflecting a 4.17% rise from the equivalent quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $8.50 per share and a revenue of $2.55 billion, representing changes of +171.57% and +10.66%, respectively, from the prior year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Allegiant Travel. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 15.34% lower. At present, Allegiant Travel boasts a Zacks Rank of #4 (Sell).
With respect to valuation, Allegiant Travel is currently being traded at a Forward P/E ratio of 8.62. This valuation marks a premium compared to its industry's average Forward P/E of 6.5.
The Transportation - Airline industry is part of the Transportation sector. Currently, this industry holds a Zacks Industry Rank of 236, positioning it in the bottom 7% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Allegiant Travel Company (ALGT) : Free Stock Analysis Report
