Allegiant Travel to Announce Q4 Earnings Amid Positive Analyst Revisions
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4d ago
0mins
Should l Buy ALGT?
Source: seekingalpha
Allegiant Travel Co's stock rose by 7.94% and reached a 52-week high amid a broader market decline, with the Nasdaq-100 down 1.58% and the S&P 500 down 0.37%.
The company is set to announce its Q4 2023 earnings on February 4th, with consensus EPS estimated at $1.99, reflecting a 5.2% year-over-year decline. However, revenue is projected to increase by 3.0% year-over-year to $646.4 million. Notably, Allegiant has surpassed EPS estimates 88% of the time over the past two years, and recent upward revisions in EPS and revenue estimates indicate strong analyst confidence in the company's performance.
This upcoming earnings report, combined with the company's strategic acquisition of Sun Country Airlines, suggests a positive outlook for Allegiant, potentially enhancing its competitiveness in the airline industry.
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Analyst Views on ALGT
Wall Street analysts forecast ALGT stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for ALGT is 92.70 USD with a low forecast of 65.00 USD and a high forecast of 109.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Analyst Rating
4 Buy
6 Hold
0 Sell
Moderate Buy
Current: 99.420
Low
65.00
Averages
92.70
High
109.00
Current: 99.420
Low
65.00
Averages
92.70
High
109.00
About ALGT
Allegiant Travel Company is a leisure travel company focused on providing travel and leisure services and products to residents of under-served cities in the United States. The Company provides various travel services and products, including scheduled service air transportation, ancillary air-related products and services, third party products and services, and fixed-fee contract air transportation. The Company operates through Airline segment.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Investor Rights Investigation: Multiple Company Mergers
- Merger Transaction Investigation: Halper Sadeh LLC is investigating the merger between Allegiant Travel Company and Sun Country Airlines, which, upon completion, will result in Allegiant shareholders owning approximately 67% of the combined entity, potentially impacting shareholder rights and future returns.
- Cash Acquisition Scrutiny: Eventbrite, Inc. is being sold to Bending Spoons for $4.50 per share in cash, and Halper Sadeh LLC may seek to increase the acquisition price or other compensations to ensure shareholders receive fair transaction terms.
- Shareholder Rights Protection: The merger between Coursera, Inc. and Udemy, Inc. is expected to result in Coursera shareholders owning approximately 59% of the combined company, prompting Halper Sadeh LLC to encourage shareholders to reach out to understand their rights and options to safeguard their interests.
- Legal Service Commitment: Halper Sadeh LLC offers legal services on a contingency fee basis, aiming to protect investors globally and assist them in addressing securities fraud and corporate misconduct, ensuring shareholder rights are upheld in merger transactions.
See More
Allegiant Travel Company Q4 2025 Earnings Highlights
- Strong Operational Performance: Allegiant achieved an adjusted operating margin of 12.9% in Q4 2025, recognized as one of the best in the industry, demonstrating the effectiveness of its low utilization and flexible capacity model, thereby enhancing its competitive position in the aviation market.
- Robust Financial Metrics: The airline reported approximately $656 million in revenue for Q4, a 7.6% year-over-year increase, while full-year net income reached $70.3 million, translating to earnings of $3.80 per share, reflecting significant improvements in profitability.
- Advancements in Technology Modernization: The successful integration of MAX aircraft has delivered roughly a 20% fuel burn advantage, and as their share in the fleet increases, they are expected to provide meaningful support for margins, further driving the company's long-term growth strategy.
- Conservative Future Outlook: Management projects a first quarter 2026 adjusted operating margin of 13.5% and raises full-year EPS guidance to at least $8, although they adopt a more conservative growth strategy amid macroeconomic uncertainties to ensure a balance between profitability and growth.
See More
Allegiant Travel Company Q4 Earnings and 2026 Guidance
- Q4 Performance: Allegiant Travel Company reported adjusted earnings per share of $2.72 for Q4, with revenue reaching $656.2 million, a 4.5% year-over-year increase, exceeding expectations by $9.8 million, and a 3.14% rise in share price indicates strong market performance.
- Q1 2026 Guidance: The company anticipates a year-over-year decline of approximately 5.7% in system available seat miles (ASMs) and scheduled service ASMs, with expected fuel costs at $2.60 per gallon, reflecting challenges in cost management.
- Full-Year Financial Outlook: For 2026, the forecast indicates a 0.5% year-over-year decline in both system ASMs and scheduled service ASMs, with fuel costs projected at $2.50 per gallon, highlighting market pressures the company may face in the coming year.
- Capital Expenditure Plans: Allegiant expects aircraft-related capital expenditures to range from $570 million to $590 million in 2026, with significant maintenance capital expenditures estimated between $80 million and $90 million, indicating ongoing investment in fleet expansion and maintenance.
See More
Allegiant Travel Company Set to Announce Q4 Earnings
- Earnings Announcement: Allegiant Travel Company is set to release its Q4 2023 earnings on February 4th after market close, with consensus EPS estimated at $1.99, reflecting a 5.2% year-over-year decline, while revenue is projected at $646.4 million, indicating a 3.0% year-over-year increase.
- Historical Performance: Over the past two years, Allegiant has surpassed EPS estimates 88% of the time and revenue estimates 75% of the time, demonstrating its robust financial performance and adaptability in the market.
- Estimate Revision Trends: In the last three months, EPS estimates have seen 9 upward revisions with no downward adjustments, indicating strong analyst confidence in the company's profitability; revenue estimates have also experienced 6 upward revisions and 1 downward revision, reflecting an optimistic market outlook on its revenue growth.
- Industry Consolidation: Allegiant's acquisition of Sun Country Airlines may signal the beginning of a new era of airline consolidation, potentially paving the way for future market expansion and enhanced competitiveness.
See More
Allegiant Travel Schedules Q4 2025 Earnings Call
- Earnings Call Announcement: Allegiant Travel Company has scheduled its fourth quarter and full-year 2025 financial results conference call for February 4, 2026, at 4:30 p.m. EST, aimed at providing investors with the latest financial updates.
- Live Broadcast and Archive: The conference call will be available via live broadcast on the company's Investor Relations website and will be archived in the 'Events & Presentations' section, ensuring investors can access the information at their convenience.
- Company Background: Since its inception in 1999, Allegiant has focused on connecting travelers from small to medium-sized cities to world-class vacation destinations, offering nonstop flights and industry-low average fares, enhancing its competitive edge in the market.
- Flight Service Advantage: Allegiant's fleet serves communities nationwide, with base airfares less than half the cost of the average domestic roundtrip ticket, further solidifying its position in the low-cost airline sector.
See More
Allegiant Travel Company Schedules Q4 2025 Financial Results Call
- Earnings Call Scheduled: Allegiant Travel Company has set its fourth quarter and full-year 2025 financial results conference call for February 4, 2026, at 4:30 p.m. EST, aimed at providing investors with the latest financial data and business developments.
- Live Broadcast and Archive: The conference call will be available via live broadcast on the company's Investor Relations website and archived in the 'Events & Presentations' section, ensuring investors can access relevant information at any time, thereby enhancing transparency and communication efficiency.
- Company Background: Since its inception in 1999, Allegiant has focused on connecting travelers from small to medium cities to world-class vacation destinations, offering all-nonstop flights and industry-low average fares, significantly improving customer travel convenience.
- Market Positioning: Allegiant's fleet serves communities nationwide, with base airfares less than half the cost of the average domestic roundtrip ticket, reflecting the company's competitive advantage in the low-cost airline market and attracting a large number of consumers seeking affordable travel options.
See More
Investor Rights Investigation: Multiple Company Mergers
- Merger Transaction Investigation: Halper Sadeh LLC is investigating the merger between Allegiant Travel Company and Sun Country Airlines, which, upon completion, will result in Allegiant shareholders owning approximately 67% of the combined entity, potentially impacting shareholder rights and future returns.
- Cash Acquisition Scrutiny: Eventbrite, Inc. is being sold to Bending Spoons for $4.50 per share in cash, and Halper Sadeh LLC may seek to increase the acquisition price or other compensations to ensure shareholders receive fair transaction terms.
- Shareholder Rights Protection: The merger between Coursera, Inc. and Udemy, Inc. is expected to result in Coursera shareholders owning approximately 59% of the combined company, prompting Halper Sadeh LLC to encourage shareholders to reach out to understand their rights and options to safeguard their interests.
- Legal Service Commitment: Halper Sadeh LLC offers legal services on a contingency fee basis, aiming to protect investors globally and assist them in addressing securities fraud and corporate misconduct, ensuring shareholder rights are upheld in merger transactions.
See More
Allegiant Travel Company Q4 2025 Earnings Highlights
- Strong Operational Performance: Allegiant achieved an adjusted operating margin of 12.9% in Q4 2025, recognized as one of the best in the industry, demonstrating the effectiveness of its low utilization and flexible capacity model, thereby enhancing its competitive position in the aviation market.
- Robust Financial Metrics: The airline reported approximately $656 million in revenue for Q4, a 7.6% year-over-year increase, while full-year net income reached $70.3 million, translating to earnings of $3.80 per share, reflecting significant improvements in profitability.
- Advancements in Technology Modernization: The successful integration of MAX aircraft has delivered roughly a 20% fuel burn advantage, and as their share in the fleet increases, they are expected to provide meaningful support for margins, further driving the company's long-term growth strategy.
- Conservative Future Outlook: Management projects a first quarter 2026 adjusted operating margin of 13.5% and raises full-year EPS guidance to at least $8, although they adopt a more conservative growth strategy amid macroeconomic uncertainties to ensure a balance between profitability and growth.
See More
Allegiant Travel Company Q4 Earnings and 2026 Guidance
- Q4 Performance: Allegiant Travel Company reported adjusted earnings per share of $2.72 for Q4, with revenue reaching $656.2 million, a 4.5% year-over-year increase, exceeding expectations by $9.8 million, and a 3.14% rise in share price indicates strong market performance.
- Q1 2026 Guidance: The company anticipates a year-over-year decline of approximately 5.7% in system available seat miles (ASMs) and scheduled service ASMs, with expected fuel costs at $2.60 per gallon, reflecting challenges in cost management.
- Full-Year Financial Outlook: For 2026, the forecast indicates a 0.5% year-over-year decline in both system ASMs and scheduled service ASMs, with fuel costs projected at $2.50 per gallon, highlighting market pressures the company may face in the coming year.
- Capital Expenditure Plans: Allegiant expects aircraft-related capital expenditures to range from $570 million to $590 million in 2026, with significant maintenance capital expenditures estimated between $80 million and $90 million, indicating ongoing investment in fleet expansion and maintenance.
See More
Allegiant Travel Company Set to Announce Q4 Earnings
- Earnings Announcement: Allegiant Travel Company is set to release its Q4 2023 earnings on February 4th after market close, with consensus EPS estimated at $1.99, reflecting a 5.2% year-over-year decline, while revenue is projected at $646.4 million, indicating a 3.0% year-over-year increase.
- Historical Performance: Over the past two years, Allegiant has surpassed EPS estimates 88% of the time and revenue estimates 75% of the time, demonstrating its robust financial performance and adaptability in the market.
- Estimate Revision Trends: In the last three months, EPS estimates have seen 9 upward revisions with no downward adjustments, indicating strong analyst confidence in the company's profitability; revenue estimates have also experienced 6 upward revisions and 1 downward revision, reflecting an optimistic market outlook on its revenue growth.
- Industry Consolidation: Allegiant's acquisition of Sun Country Airlines may signal the beginning of a new era of airline consolidation, potentially paving the way for future market expansion and enhanced competitiveness.
See More
Allegiant Travel Schedules Q4 2025 Earnings Call
- Earnings Call Announcement: Allegiant Travel Company has scheduled its fourth quarter and full-year 2025 financial results conference call for February 4, 2026, at 4:30 p.m. EST, aimed at providing investors with the latest financial updates.
- Live Broadcast and Archive: The conference call will be available via live broadcast on the company's Investor Relations website and will be archived in the 'Events & Presentations' section, ensuring investors can access the information at their convenience.
- Company Background: Since its inception in 1999, Allegiant has focused on connecting travelers from small to medium-sized cities to world-class vacation destinations, offering nonstop flights and industry-low average fares, enhancing its competitive edge in the market.
- Flight Service Advantage: Allegiant's fleet serves communities nationwide, with base airfares less than half the cost of the average domestic roundtrip ticket, further solidifying its position in the low-cost airline sector.
See More
Allegiant Travel Company Schedules Q4 2025 Financial Results Call
- Earnings Call Scheduled: Allegiant Travel Company has set its fourth quarter and full-year 2025 financial results conference call for February 4, 2026, at 4:30 p.m. EST, aimed at providing investors with the latest financial data and business developments.
- Live Broadcast and Archive: The conference call will be available via live broadcast on the company's Investor Relations website and archived in the 'Events & Presentations' section, ensuring investors can access relevant information at any time, thereby enhancing transparency and communication efficiency.
- Company Background: Since its inception in 1999, Allegiant has focused on connecting travelers from small to medium cities to world-class vacation destinations, offering all-nonstop flights and industry-low average fares, significantly improving customer travel convenience.
- Market Positioning: Allegiant's fleet serves communities nationwide, with base airfares less than half the cost of the average domestic roundtrip ticket, reflecting the company's competitive advantage in the low-cost airline market and attracting a large number of consumers seeking affordable travel options.
See More
