Zacks Research Has Pessimistic Outlook of ALGT Q3 Earnings

Allegiant Travel Company (NASDAQ:ALGT) – Equities researchers at Zacks Research cut their Q3 2026 earnings per share (EPS) estimates for shares of Allegiant Travel in a research note issued to investors on Tuesday, August 25th. Zacks Research analyst Team now forecasts that the transportation company will post earnings of $0.00 per share for the quarter, down from their previous forecast of $0.10. Zacks Research currently has a “Strong-Buy” rating on the stock. The consensus estimate for Allegiant Travel’s current full-year earnings is $6.83 per share. Zacks Research also issued estimates for Allegiant Travel’s Q1 2027 earnings at $2.66 EPS, Q2 2027 earnings at $2.56 EPS, Q3 2027 earnings at $2.90 EPS, Q4 2027 earnings at $3.15 EPS, FY2027 earnings at $11.27 EPS, Q1 2028 earnings at $2.96 EPS and Q2 2028 earnings at $2.92 EPS.

A number of other equities research analysts have also issued reports on the stock. Bank of America increased their target price on shares of Allegiant Travel from $100.00 to $120.00 and gave the stock a “neutral” rating in a report on Wednesday, July 1st. UBS Group boosted their price target on shares of Allegiant Travel from $103.00 to $111.00 and gave the stock a “neutral” rating in a research note on Wednesday, August 5th. Morgan Stanley upped their price objective on Allegiant Travel from $100.00 to $115.00 and gave the stock an “equal weight” rating in a research report on Monday, July 6th. The Goldman Sachs Group increased their price objective on Allegiant Travel from $125.00 to $142.00 and gave the company a “buy” rating in a research note on Thursday, July 2nd. Finally, Melius Research upgraded Allegiant Travel from a “hold” rating to a “buy” rating and set a $160.00 target price for the company in a report on Tuesday, July 7th. Two analysts have rated the stock with a Strong Buy rating, eight have assigned a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $128.38.

Allegiant Travel Stock Up 0.3%

Shares of NASDAQ ALGT opened at $82.60 on Thursday. The company has a quick ratio of 0.80, a current ratio of 0.83 and a debt-to-equity ratio of 1.38. The business’s 50 day moving average is $99.83 and its two-hundred day moving average is $91.87. Allegiant Travel has a 52-week low of $57.11 and a 52-week high of $123.63. The firm has a market cap of $2.26 billion, a price-to-earnings ratio of 58.58, a PEG ratio of 0.23 and a beta of 1.53.

Allegiant Travel (NASDAQ:ALGT) last issued its quarterly earnings data on Tuesday, August 4th. The transportation company reported $2.19 earnings per share for the quarter, topping the consensus estimate of $1.27 by $0.92. The company had revenue of $943.49 million during the quarter, compared to analyst estimates of $982.70 million. Allegiant Travel had a return on equity of 10.83% and a net margin of 0.90%.The firm’s revenue for the quarter was up 36.8% compared to the same quarter last year. During the same period in the prior year, the business posted $1.23 earnings per share. Allegiant Travel has set its Q3 2026 guidance at -1.000–0.000 EPS.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the business. Amundi purchased a new position in Allegiant Travel in the second quarter valued at approximately $554,000. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new position in shares of Allegiant Travel in the 2nd quarter valued at $1,294,000. California State Teachers Retirement System boosted its holdings in shares of Allegiant Travel by 18,653.3% in the 2nd quarter. California State Teachers Retirement System now owns 886,469 shares of the transportation company’s stock valued at $104,249,000 after buying an additional 881,742 shares in the last quarter. VELA Investment Management LLC purchased a new position in shares of Allegiant Travel in the 2nd quarter valued at $4,461,000. Finally, Susquehanna Fundamental Investments LLC grew its position in shares of Allegiant Travel by 41.6% in the 2nd quarter. Susquehanna Fundamental Investments LLC now owns 41,884 shares of the transportation company’s stock valued at $4,926,000 after buying an additional 12,312 shares during the last quarter. 85.81% of the stock is owned by institutional investors and hedge funds.

Key Allegiant Travel News

Here are the key news stories impacting Allegiant Travel this week:

• Positive Sentiment: Allegiant raised its FY2026 EPS forecast to $8.07 from $7.53 and its FY2028 estimate to $13.25 from $12.97. Analysts also increased estimates for Q1 2027 and Q2 2027, suggesting some confidence in longer-term earnings recovery and the benefits of expanded scale.
• Positive Sentiment: The company is targeting at least $140 million in annual synergies from its Sun Country integration. If achieved, those savings could support margins and earnings, although the integration will require significant execution. ALGT Targets $140M in Synergies as Sun Country Integration Begins
• Neutral Sentiment: Zacks Research continues to rate ALGT “Strong-Buy,” while its current full-year consensus EPS estimate is $6.83. However, the multiple estimate changes indicate considerable uncertainty around the pace and consistency of the airline’s recovery.
• Neutral Sentiment: Reported short interest was listed at zero shares, providing no meaningful evidence of bearish positioning. The data appears anomalous and is unlikely to be a significant trading catalyst.
• Negative Sentiment: Zacks cut its Q3 2026 EPS forecast to $0.00 from $0.10 and lowered its Q4 2026 estimate to $2.11 from $2.42. The weaker near-term outlook could weigh on the stock because it points to pressure during the remainder of 2026.
• Negative Sentiment: Forecasts for FY2027 EPS fell to $11.27 from $12.83, while estimates for Q3 2027, Q4 2027, and Q2 2028 were also reduced. These cuts offset the increases elsewhere and suggest analysts see greater operating or integration risk than previously expected.
• Negative Sentiment: Allegiant’s recent monthly decline has been attributed to fuel-price exposure, higher debt, capital requirements, and the risks of integrating Sun Country, despite record unit revenue and a quarterly earnings beat. ALGT Dips 16.6% in a Month as Airline Risks Challenge the Bull Case

About Allegiant Travel

Allegiant Travel Company is a holding company that operates Allegiant Air, a low?cost leisure airline offering scheduled and charter air service. The company focuses on connecting underserved secondary markets with popular vacation destinations across the United States. By targeting price?sensitive leisure travelers, Allegiant Air operates a point?to?point network that avoids the traditional hub?and?spoke model, providing non?stop flights from smaller cities to resort and entertainment hubs.

In addition to its core flight operations, Allegiant Travel Company offers packaged travel services that include hotel accommodations, rental cars and attraction tickets through its online portal.