Frontier Group (NASDAQ:ULCC) Shares Gap Up – Still a Buy?

Shares of Frontier Group Holdings, Inc. (NASDAQ:ULCC) gapped up prior to trading on Monday . The stock had previously closed at $4.00, but opened at $4.33. Frontier Group shares last traded at $4.2650, with a volume of 2,315,489 shares trading hands.

Wall Street Analyst Weigh In

A number of research firms have recently issued reports on ULCC. Citigroup dropped their price target on Frontier Group from $5.00 to $3.50 and set a “neutral” rating for the company in a research report on Friday, March 20th. Susquehanna boosted their price objective on Frontier Group from $4.00 to $5.00 and gave the stock a “neutral” rating in a research note on Friday, January 9th. Wall Street Zen raised Frontier Group from a “strong sell” rating to a “sell” rating in a research note on Saturday. Barclays restated an “underweight” rating and set a $4.00 price objective (down from $6.00) on shares of Frontier Group in a research report on Monday, March 2nd. Finally, UBS Group reduced their price target on shares of Frontier Group from $6.00 to $4.00 and set a “neutral” rating on the stock in a research report on Monday, March 16th. Five investment analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Reduce” and a consensus target price of $4.93.

Frontier Group Price Performance

The stock’s 50-day simple moving average is $3.84 and its 200 day simple moving average is $4.43. The company has a quick ratio of 0.41, a current ratio of 0.46 and a debt-to-equity ratio of 0.73. The company has a market cap of $924.66 million, a price-to-earnings ratio of -6.60 and a beta of 2.41.

Frontier Group (NASDAQ:ULCC) last announced its quarterly earnings results on Wednesday, February 11th. The company reported $0.23 earnings per share for the quarter, beating analysts’ consensus estimates of $0.10 by $0.13. Frontier Group had a negative net margin of 3.68% and a negative return on equity of 27.39%. The business had revenue of $997.00 million during the quarter, compared to analysts’ expectations of $971.35 million. During the same period last year, the business earned $0.23 earnings per share. The business’s revenue for the quarter was down .5% on a year-over-year basis. Frontier Group has set its FY 2026 guidance at -0.400-0.500 EPS and its Q1 2026 guidance at -0.440–0.260 EPS. On average, equities research analysts anticipate that Frontier Group Holdings, Inc. will post -1.39 EPS for the current fiscal year.

Insider Transactions at Frontier Group

In other Frontier Group news, SVP Steve Schuller sold 5,000 shares of the company’s stock in a transaction on Friday, February 6th. The stock was sold at an average price of $6.00, for a total transaction of $30,000.00. Following the transaction, the senior vice president directly owned 94,926 shares in the company, valued at $569,556. This represents a 5.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 48.00% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Frontier Group

Several institutional investors and hedge funds have recently modified their holdings of ULCC. U S Global Investors Inc. lifted its stake in Frontier Group by 63.9% during the 1st quarter. U S Global Investors Inc. now owns 6,781,412 shares of the company’s stock worth $23,938,000 after acquiring an additional 2,643,448 shares in the last quarter. Dimensional Fund Advisors LP increased its stake in Frontier Group by 5.5% during the third quarter. Dimensional Fund Advisors LP now owns 4,044,167 shares of the company’s stock worth $17,860,000 after purchasing an additional 209,154 shares during the period. Bank of America Corp DE lifted its position in shares of Frontier Group by 39.2% during the third quarter. Bank of America Corp DE now owns 3,027,309 shares of the company’s stock worth $13,366,000 after purchasing an additional 852,798 shares in the last quarter. Citigroup Inc. lifted its position in shares of Frontier Group by 14.1% during the third quarter. Citigroup Inc. now owns 2,824,859 shares of the company’s stock worth $12,472,000 after purchasing an additional 348,739 shares in the last quarter. Finally, Balyasny Asset Management L.P. boosted its stake in shares of Frontier Group by 48.4% in the third quarter. Balyasny Asset Management L.P. now owns 2,202,219 shares of the company’s stock valued at $9,723,000 after purchasing an additional 718,147 shares during the period.

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.