Frontier Group (NASDAQ:ULCC) Trading 7.8% Higher – Should You Buy?

Frontier Group Holdings, Inc. (NASDAQ:ULCC)’s share price traded up 7.8% during mid-day trading on Monday . The company traded as high as $5.00 and last traded at $5.00. 1,218,559 shares were traded during mid-day trading, a decline of 62% from the average session volume of 3,179,087 shares. The stock had previously closed at $4.64.

Wall Street Analyst Weigh In

ULCC has been the subject of a number of analyst reports. Citigroup started coverage on shares of Frontier Group in a report on Thursday, December 4th. They set a “neutral” rating and a $5.00 target price for the company. Bank of America reiterated an “underperform” rating and issued a $4.00 price target (down previously from $5.00) on shares of Frontier Group in a report on Tuesday, January 6th. Morgan Stanley decreased their price objective on shares of Frontier Group from $9.00 to $8.00 and set an “equal weight” rating for the company in a report on Monday, December 8th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Frontier Group in a research note on Monday, December 29th. Finally, Susquehanna boosted their price target on shares of Frontier Group from $4.00 to $5.00 and gave the company a “neutral” rating in a research report on Friday, January 9th. Two analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, Frontier Group presently has an average rating of “Hold” and a consensus price target of $6.38.

Frontier Group Stock Performance

The company has a current ratio of 0.40, a quick ratio of 0.36 and a debt-to-equity ratio of 0.79. The company’s 50 day moving average is $4.97 and its 200-day moving average is $4.60. The company has a market capitalization of $1.16 billion, a P/E ratio of -8.32 and a beta of 2.55.

Frontier Group (NASDAQ:ULCC) last issued its quarterly earnings results on Wednesday, November 5th. The company reported ($0.34) EPS for the quarter, hitting analysts’ consensus estimates of ($0.34). Frontier Group had a negative return on equity of 25.73% and a negative net margin of 3.65%.The firm had revenue of $886.00 million for the quarter, compared to analysts’ expectations of $900.07 million. During the same period in the previous year, the firm posted ($0.05) EPS. The business’s revenue for the quarter was down 5.2% compared to the same quarter last year. Frontier Group has set its Q4 2025 guidance at 0.040-0.200 EPS. Equities analysts anticipate that Frontier Group Holdings, Inc. will post 0.91 EPS for the current fiscal year.

Insider Activity

In other news, CEO Barry Biffle sold 82,627 shares of the company’s stock in a transaction that occurred on Thursday, December 11th. The shares were sold at an average price of $5.78, for a total value of $477,584.06. Following the transaction, the chief executive officer owned 631,836 shares in the company, valued at approximately $3,652,012.08. This represents a 11.56% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, SVP Steve Schuller sold 5,000 shares of the stock in a transaction on Wednesday, December 10th. The shares were sold at an average price of $6.00, for a total value of $30,000.00. Following the sale, the senior vice president owned 77,312 shares in the company, valued at approximately $463,872. This represents a 6.07% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 305,000 shares of company stock worth $1,670,444 over the last three months. 48.00% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Frontier Group

A number of hedge funds have recently added to or reduced their stakes in the stock. Caitong International Asset Management Co. Ltd bought a new position in shares of Frontier Group during the 3rd quarter valued at $27,000. Ameritas Investment Partners Inc. grew its stake in shares of Frontier Group by 130.0% during the 2nd quarter. Ameritas Investment Partners Inc. now owns 8,643 shares of the company’s stock valued at $31,000 after purchasing an additional 4,885 shares during the period. CWM LLC increased its position in shares of Frontier Group by 165.0% during the 2nd quarter. CWM LLC now owns 10,042 shares of the company’s stock valued at $36,000 after purchasing an additional 6,253 shares during the last quarter. MQS Management LLC bought a new position in shares of Frontier Group in the 2nd quarter worth approximately $37,000. Finally, Brooklyn Investment Group boosted its holdings in shares of Frontier Group by 490.7% in the third quarter. Brooklyn Investment Group now owns 10,928 shares of the company’s stock worth $48,000 after buying an additional 9,078 shares during the last quarter.

About Frontier Group

Frontier Group, trading on Nasdaq under the ticker ULCC, is the holding company for Frontier Airlines, an ultra-low-cost carrier based in Denver, Colorado. The company’s core business centers on providing no-frills air travel across a point-to-point network while generating ancillary revenue from add-on services such as baggage fees, seat selection, priority boarding and in-flight refreshments. This fare-plus-a-la-carte model allows Frontier to offer competitive base fares and maintain low operating costs.

Founded in February 1994 by industry veterans Andrew Levy and Russell Beardsmore, Frontier Airlines commenced operations with a small fleet of MD-80 aircraft.