Allegiant Travel (NASDAQ:ALGT) Hits New 1-Year Low After Analyst Downgrade

Shares of Allegiant Travel (NASDAQ:ALGT) hit a new 52-week low on Monday after Morgan Stanley lowered their price target on the stock from $95.00 to $87.00. Morgan Stanley currently has an equal weight rating on the stock. Allegiant Travel traded as low as $45.20 and last traded at $45.20, with a volume of 12265 shares changing hands. The stock had previously closed at $45.31.

Other equities research analysts also recently issued reports about the stock. Deutsche Bank Aktiengesellschaft downgraded shares of Allegiant Travel from a “buy” rating to a “hold” rating and reduced their price target for the company from $75.00 to $53.00 in a research note on Monday. UBS Group assumed coverage on Allegiant Travel in a research note on Wednesday, March 20th. They set a “sell” rating and a $58.00 target price for the company. Susquehanna reduced their price target on Allegiant Travel from $76.00 to $65.00 and set a “neutral” rating on the stock in a research report on Tuesday, April 9th. TD Cowen lowered their price objective on Allegiant Travel from $65.00 to $60.00 and set a “hold” rating for the company in a research report on Wednesday, May 15th. Finally, Barclays reduced their target price on shares of Allegiant Travel from $60.00 to $55.00 and set an “equal weight” rating on the stock in a report on Thursday, May 9th. Two equities research analysts have rated the stock with a sell rating, six have assigned a hold rating and one has issued a buy rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $73.50.

Insider Activity

In other Allegiant Travel news, EVP Robert Paul Wilson III sold 750 shares of Allegiant Travel stock in a transaction that occurred on Tuesday, June 4th. The stock was sold at an average price of $53.00, for a total transaction of $39,750.00. Following the transaction, the executive vice president now owns 74,948 shares of the company’s stock, valued at $3,972,244. The transaction was disclosed in a filing with the SEC, which is available at this link. In other Allegiant Travel news, COO Keny Frank Wilper sold 1,000 shares of the company’s stock in a transaction that occurred on Thursday, May 30th. The stock was sold at an average price of $51.00, for a total transaction of $51,000.00. Following the completion of the sale, the chief operating officer now directly owns 9,422 shares of the company’s stock, valued at approximately $480,522. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, EVP Robert Paul Wilson III sold 750 shares of Allegiant Travel stock in a transaction that occurred on Tuesday, June 4th. The shares were sold at an average price of $53.00, for a total value of $39,750.00. Following the completion of the transaction, the executive vice president now owns 74,948 shares in the company, valued at $3,972,244. The disclosure for this sale can be found here. In the last three months, insiders sold 26,037 shares of company stock valued at $1,395,948. Insiders own 17.50% of the company’s stock.

Hedge Funds Weigh In On Allegiant Travel

Institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. lifted its stake in shares of Allegiant Travel by 2.3% in the 1st quarter. Vanguard Group Inc. now owns 1,749,649 shares of the transportation company’s stock worth $131,591,000 after acquiring an additional 38,612 shares during the period. Dimensional Fund Advisors LP increased its position in Allegiant Travel by 14.1% during the 4th quarter. Dimensional Fund Advisors LP now owns 798,573 shares of the transportation company’s stock worth $65,972,000 after purchasing an additional 98,662 shares during the period. U S Global Investors Inc. raised its stake in shares of Allegiant Travel by 23.4% during the 4th quarter. U S Global Investors Inc. now owns 647,055 shares of the transportation company’s stock worth $53,453,000 after buying an additional 122,844 shares in the last quarter. Franklin Resources Inc. raised its stake in shares of Allegiant Travel by 15.4% during the 4th quarter. Franklin Resources Inc. now owns 620,180 shares of the transportation company’s stock worth $51,233,000 after buying an additional 82,813 shares in the last quarter. Finally, Donald Smith & CO. Inc. boosted its position in shares of Allegiant Travel by 106.7% during the 1st quarter. Donald Smith & CO. Inc. now owns 309,781 shares of the transportation company’s stock worth $23,299,000 after purchasing an additional 159,892 shares in the last quarter. 85.81% of the stock is owned by institutional investors and hedge funds.

Allegiant Travel Price Performance

The company has a debt-to-equity ratio of 1.35, a quick ratio of 0.74 and a current ratio of 0.76. The stock’s fifty day moving average price is $51.89 and its 200-day moving average price is $65.65. The firm has a market cap of $821.81 million, a PE ratio of 14.27, a P/E/G ratio of 1.21 and a beta of 1.66.

Allegiant Travel (NASDAQ:ALGT) last announced its quarterly earnings results on Tuesday, May 7th. The transportation company reported $0.57 EPS for the quarter, topping the consensus estimate of $0.51 by $0.06. Allegiant Travel had a return on equity of 0.50% and a net margin of 2.26%. The business had revenue of $656.70 million for the quarter, compared to analyst estimates of $645.23 million. During the same quarter in the previous year, the company earned $3.04 EPS. The company’s quarterly revenue was up 1.1% on a year-over-year basis. As a group, equities analysts forecast that Allegiant Travel will post 3.62 EPS for the current fiscal year.

Allegiant Travel Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Monday, June 3rd. Investors of record on Wednesday, May 15th were paid a $0.60 dividend. The ex-dividend date of this dividend was Tuesday, May 14th. This represents a $2.40 dividend on an annualized basis and a yield of 5.32%. Allegiant Travel’s payout ratio is 75.95%.

About Allegiant Travel

Allegiant Travel Company, a leisure travel company, provides travel services and products to residents of under-served cities in the United States. The company offers scheduled air transportation on limited-frequency, nonstop flights between under-served cities and leisure destinations. As of February 1, 2024, it operated a fleet of 126 Airbus A320 series aircraft.