Latest news with #FrontierGroup
Yahoo
06-05-2025
- Business
- Yahoo
Frontier Group Holdings, Inc. (NASDAQ:ULCC) Just Reported And Analysts Have Been Cutting Their Estimates
It's been a pretty great week for Frontier Group Holdings, Inc. (NASDAQ:ULCC) shareholders, with its shares surging 10% to US$3.52 in the week since its latest quarterly results. Revenues of US$912m were in line with expectations, although statutory losses per share were US$0.19, some 13% smaller than was expected. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. NasdaqGS:ULCC Earnings and Revenue Growth May 6th 2025 Taking into account the latest results, Frontier Group Holdings' ten analysts currently expect revenues in 2025 to be US$3.80b, approximately in line with the last 12 months. Earnings are expected to tip over into lossmaking territory, with the analysts forecasting statutory losses of -US$0.24 per share in 2025. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$4.03b and earnings per share (EPS) of US$0.25 in 2025. The analysts have made an abrupt about-face on Frontier Group Holdings, administering a minor downgrade to to revenue forecasts and slashing the earnings outlook from a profit to loss. View our latest analysis for Frontier Group Holdings The average price target was broadly unchanged at US$4.83, perhaps implicitly signalling that the weaker earnings outlook is not expected to have a long-term impact on the valuation. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic Frontier Group Holdings analyst has a price target of US$10.00 per share, while the most pessimistic values it at US$3.00. We would probably assign less value to the analyst forecasts in this situation, because such a wide range of estimates could imply that the future of this business is difficult to value accurately. With this in mind, we wouldn't rely too heavily the consensus price target, as it is just an average and analysts clearly have some deeply divergent views on the business. These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Frontier Group Holdings' past performance and to peers in the same industry. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 0.8% by the end of 2025. This indicates a significant reduction from annual growth of 11% over the last three years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 7.8% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Frontier Group Holdings is expected to lag the wider industry.
The Independent
11-04-2025
- Business
- The Independent
Airline losses expected as Trump's trade war lowers travel demand
Frontier Group, the parent company of Frontier Airlines, has withdrawn its financial projections for the year and anticipates a first-quarter loss, attributing the downturn to the impact of President Trump 's trade policies on travel demand. This announcement follows a similar move by Delta Air Lines, which also retracted its full-year guidance. Frontier cited a weakening in travel demand, forcing airlines to resort to fare discounts and promotions to attract passengers. Given this unpredictable climate, the Denver-based carrier stated it could no longer stand by its previously issued 2025 outlook. Earlier this year, in February, Frontier had projected adjusted profits of at least $1.00 per share for the year and breakeven earnings of 7 cents per share for the first quarter. The ongoing trade disputes initiated by the Trump administration have created turbulence in global markets, impacting both business and consumer confidence. Travel, often considered a discretionary expense, is particularly vulnerable to economic anxieties. These growing concerns have cast a shadow over the airline industry's prospects, contributing to a decline in airline stocks. Weakening consumer demand has also undermined the industry's pricing power. Airline fares fell 5.3 per cent in March from a month ago, posting their steepest monthly decline since September 2021, according to data from the US Labor Department. Frontier's shares fell about 12.5 per cent on Thursday and have shaved off half their value so far this year. Shares of Southwest (LUV.N), Alaska (ALK.N), Delta, United (UAL.O) and American Airlines fell between 10 per cent and 14 per cent on Thursday. The S&P 1500 Airlines index is down about 37 per cent so far this year, compared with the wider S&P 500's 10.43 per cent drop. Battered global markets and anxious global leaders welcomed Wednesday's reprieve when Trump suddenly decided to freeze most of his hefty new duties for 90 days. But the selloff resumed on Thursday amid fears of a worsening trade war with China. Frontier said it expects a modest 5 per cent revenue growth in the first quarter, adding it would continue to monitor demand and adjust capacity as needed. It has cut capacity, or the seats available on flights, for the June quarter to avoid lowering fares and protect margins. It now expects a low single-digit year-on-year decline in capacity in the second quarter. Frontier expects an adjusted quarterly loss in the range of 20 to 24 cents per share, compared with analysts' average estimate of a loss of $0.03 per share, according to data compiled by LSEG. The company will report its quarterly earnings on May 1.
Yahoo
04-03-2025
- Business
- Yahoo
Illumina, airline downgrades, Walgreens: Market Minute
Here are the biggest headlines of the day in the latest Market Minute. Illumina (ILMN) shares have recouped their losses. The stock had fallen after China banned it from exporting its gene sequencers to the country. The move was in retaliation for the latest tariffs from the Trump administration. Deutsche Bank downgraded shares of both Frontier Group (ULCC) and JetBlue (JBLU) to Hold from Buy on concerns about slowing consumer spending. Shares of Walgreens Boot Alliance are rising following a Wall Street Journal report that the company is on the verge of being taken private. Stay up to date on the latest market action, minute-by-minute, with Yahoo Finance's Market Minute. This post was written by Stephanie Mikulich. Sign in to access your portfolio
Boston Globe
29-01-2025
- Business
- Boston Globe
Frontier makes a second bid for Spirit with budget airlines struggling
Spirit filed for bankruptcy protection in November. The biggest U.S. budget airline, Spirit filed a Chapter 11 bankruptcy petition after working out terms with bondholders. The airline has lost more than $2.5 billion since the start of 2020 and faces looming debt payments totaling more than $1 billion in 2025 and 2026. Advertisement Shares of Frontier Group rose slightly before the opening bell Tuesday.
