ULCC Valuation

Frontier Group Holdings Inc

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5.580

-0.03(-0.535%)1D

Overview
Forecast
Valuation
Earnings

ULCC Relative Valuation

ULCC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, ULCC is overvalued; if below, it's undervalued.

Historical Valuation

Frontier Group Holdings Inc (ULCC) is now in the Undervalued zone, suggesting that its current forward PS ratio of 0.28 is considered Undervalued compared with the five-year average of -22.11. The fair price of Frontier Group Holdings Inc (ULCC) is between 6.27 to 18.47 according to relative valuation methord. Compared to the current price of 5.59 USD , Frontier Group Holdings Inc is Undervalued By 10.74%.

Relative Value

Fair Zone

6.27-18.47

Current Price：5.59

10.74%

Undervalued

-22.99

Trailing

Forward

7.09

EV/EBITDA

Frontier Group Holdings Inc. (ULCC) has a current EV/EBITDA of 7.09. The 5-year average EV/EBITDA is 7.00. The thresholds are as follows: Strongly Undervalued below 2.17, Undervalued between 2.17 and 4.58, Fairly Valued between 9.42 and 4.58, Overvalued between 9.42 and 11.84, and Strongly Overvalued above 11.84. The current Forward EV/EBITDA of 7.09 falls within the Historic Trend Line -Fairly Valued range.

-114.96

EV/EBIT

Frontier Group Holdings Inc. (ULCC) has a current EV/EBIT of -114.96. The 5-year average EV/EBIT is -16.89. The thresholds are as follows: Strongly Undervalued below -450.56, Undervalued between -450.56 and -233.72, Fairly Valued between 199.94 and -233.72, Overvalued between 199.94 and 416.78, and Strongly Overvalued above 416.78. The current Forward EV/EBIT of -114.96 falls within the Historic Trend Line -Fairly Valued range.

0.28

Frontier Group Holdings Inc. (ULCC) has a current PS of 0.28. The 5-year average PS is 0.61. The thresholds are as follows: Strongly Undervalued below -0.16, Undervalued between -0.16 and 0.22, Fairly Valued between 0.99 and 0.22, Overvalued between 0.99 and 1.37, and Strongly Overvalued above 1.37. The current Forward PS of 0.28 falls within the Historic Trend Line -Fairly Valued range.

-6.76

P/OCF

Frontier Group Holdings Inc. (ULCC) has a current P/OCF of -6.76. The 5-year average P/OCF is 12.60. The thresholds are as follows: Strongly Undervalued below -29.63, Undervalued between -29.63 and -8.52, Fairly Valued between 33.71 and -8.52, Overvalued between 33.71 and 54.83, and Strongly Overvalued above 54.83. The current Forward P/OCF of -6.76 falls within the Historic Trend Line -Fairly Valued range.

-3.37

P/FCF

Frontier Group Holdings Inc. (ULCC) has a current P/FCF of -3.37. The 5-year average P/FCF is -34.18. The thresholds are as follows: Strongly Undervalued below -142.45, Undervalued between -142.45 and -88.32, Fairly Valued between 19.95 and -88.32, Overvalued between 19.95 and 74.09, and Strongly Overvalued above 74.09. The current Forward P/FCF of -3.37 falls within the Historic Trend Line -Fairly Valued range.

Frontier Group Holdings Inc (ULCC) has a current Price-to-Book (P/B) ratio of 2.53. Compared to its 3-year average P/B ratio of 3.03 , the current P/B ratio is approximately -16.55% higher. Relative to its 5-year average P/B ratio of 4.60, the current P/B ratio is about -44.96% higher. Frontier Group Holdings Inc (ULCC) has a Forward Free Cash Flow (FCF) yield of approximately -38.37%. Compared to its 3-year average FCF yield of -20.15%, the current FCF yield is approximately 90.40% lower. Relative to its 5-year average FCF yield of -14.48% , the current FCF yield is about 164.93% lower.

2.53

P/B

Median3y

3.03

Median5y

4.60

-38.37

FCF Yield

Median3y

-20.15

Median5y

-14.48

Competitors Valuation Multiple

The average P/S ratio for ULCC's competitors is 0.60, providing a benchmark for relative valuation. Frontier Group Holdings Inc Corp (ULCC) exhibits a P/S ratio of 0.28, which is -52.99% above the industry average. Given its robust revenue growth of -4.52%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

ULCC.O

Frontier Group Holdings Inc

Sun Country Airlines Holdings Inc

Strata Critical Medical Inc

Performance Decomposition

Market capitalization of ULCC increased by 4.86% over the past 1 year. The primary factor behind the change was an decrease in P/E Change from -8.28 to -36.89.

The secondary factor is the Revenue Growth, contributed -4.52%to the performance.

Overall, the performance of ULCC in the past 1 year is driven by P/E Change. Which is more unsustainable.

-4.52%

973.00M → 929.00M

Revenue Growth

-336.05%

3.19 → -7.53

Margin Expansion

345.43%

-8.28 → -36.89

P/E Change

4.86%