Expert Outlook: Frontier Group Holdings Through The Eyes Of 6 Analysts

Frontier Group Holdings (NASDAQ:ULCC) underwent analysis by 6 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Analysts have set 12-month price targets for Frontier Group Holdings, revealing an average target of $7.75, a high estimate of $9.00, and a low estimate of $6.00. Observing a 6.9% increase, the current average has risen from the previous average price target of $7.25.

Diving into Analyst Ratings: An In-Depth Exploration

The standing of Frontier Group Holdings among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Frontier Group Holdings. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Frontier Group Holdings compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Frontier Group Holdings's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Frontier Group Holdings's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

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Unveiling the Story Behind Frontier Group Holdings

Frontier Group Holdings Inc is an ultra-low-cost carrier whose business is focused on Low Fares Done Right. The company owns a fleet of 120 Airbus single-aisle aircraft, consisting of 13 A320ceos, 82 A320neos, 21 A321ceos and 4 A321neos. The use of these aircraft, their seating configuration, weight-saving tactics, and baggage process have all contributed to the ability to continue to be the fuel-efficient of all the U.S. The Company is managed as a single business unit that provides air transportation for passengers.

Financial Milestones: Frontier Group Holdings's Journey

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Decline in Revenue: Over the 3 months period, Frontier Group Holdings faced challenges, resulting in a decline of approximately -1.66% in revenue growth as of 31 December, 2023. This signifies a reduction in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Industrials sector.

Net Margin: Frontier Group Holdings's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of -4.15%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of -7.06%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): Frontier Group Holdings's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive -0.75% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: Frontier Group Holdings's debt-to-equity ratio surpasses industry norms, standing at 6.82. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

Analyst Ratings: What Are They?

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

This article was generated by Benzinga's automated content engine and reviewed by an editor.