ALLEGIANT TRAVEL CO (ALGT)
US01748X1028 - Common Stock
Overall ALGT gets a fundamental rating of 5 out of 10. We evaluated ALGT against 24 industry peers in the Passenger Airlines industry. There are concerns on the financial health of ALGT while its profitability can be described as average. ALGT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
ALGT had positive earnings in the past year.
ALGT had a positive operating cash flow in the past year.
Of the past 5 years ALGT 4 years were profitable.
Each year in the past 5 years ALGT had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.33%, ALGT is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 8.53%, ALGT is in the better half of the industry, outperforming 79.17% of the companies in the same industry.
ALGT has a Return On Invested Capital of 4.23%. This is in the better half of the industry: ALGT outperforms 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ALGT is significantly below the industry average of 9.09%.
The last Return On Invested Capital (4.23%) for ALGT is above the 3 year average (2.59%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.33% | ||
| ROE | 8.53% | ||
| ROIC | 4.23% |
ROA(3y)2.04%
ROA(5y)1.61%
ROE(3y)6.99%
ROE(5y)4.1%
ROIC(3y)2.59%
ROIC(5y)N/A
1.3 Margins
ALGT has a better Profit Margin (4.52%) than 79.17% of its industry peers.
ALGT's Profit Margin has declined in the last couple of years.
The Operating Margin of ALGT (9.94%) is better than 83.33% of its industry peers.
ALGT's Operating Margin has declined in the last couple of years.
The Gross Margin of ALGT (66.35%) is better than 87.50% of its industry peers.
ALGT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.94% | ||
| PM (TTM) | 4.52% | ||
| GM | 66.35% |
OM growth 3YN/A
OM growth 5Y-7.39%
PM growth 3YN/A
PM growth 5Y-13.95%
GM growth 3Y-1.84%
GM growth 5Y-0.28%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ALGT is destroying value.
ALGT has more shares outstanding than it did 1 year ago.
ALGT has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ALGT has about the same debt to assets ratio.
2.2 Solvency
ALGT has an Altman-Z score of 1.18. This is a bad value and indicates that ALGT is not financially healthy and even has some risk of bankruptcy.
ALGT has a Altman-Z score (1.18) which is comparable to the rest of the industry.
A Debt/Equity ratio of 1.37 is on the high side and indicates that ALGT has dependencies on debt financing.
ALGT has a Debt to Equity ratio (1.37) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.37 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.18 |
ROIC/WACC0.59
WACC7.15%
2.3 Liquidity
A Current Ratio of 0.83 indicates that ALGT may have some problems paying its short term obligations.
With a decent Current ratio value of 0.83, ALGT is doing good in the industry, outperforming 66.67% of the companies in the same industry.
A Quick Ratio of 0.80 indicates that ALGT may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.80, ALGT is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
ALGT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 130.70%, which is quite impressive.
The Earnings Per Share has been decreasing by -5.40% on average over the past years.
Looking at the last year, ALGT shows a quite strong growth in Revenue. The Revenue has grown by 9.05% in the last year.
ALGT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.52% yearly.
EPS 1Y (TTM)130.7%
EPS 3YN/A
EPS 5Y-5.4%
EPS growth Q2Q-96.53%
Revenue 1Y (TTM)9.05%
Revenue growth 3Y36.35%
Revenue growth 5Y8.52%
Revenue growth Q2Q-0.08%
3.2 Future
ALGT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.06% yearly.
Based on estimates for the next years, ALGT will show a quite strong growth in Revenue. The Revenue will grow by 8.90% on average per year.
EPS Next Y-25.72%
EPS Next 2Y8.46%
EPS Next 3Y14.06%
EPS Next 5YN/A
Revenue Next Year8.13%
Revenue Next 2Y9.65%
Revenue Next 3Y8.9%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 7.52, which indicates a rather cheap valuation of ALGT.
Based on the Price/Earnings ratio, ALGT is valued cheaply inside the industry as 83.33% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 24.92, ALGT is valued rather cheaply.
With a Price/Forward Earnings ratio of 10.12, the valuation of ALGT can be described as very reasonable.
70.83% of the companies in the same industry are more expensive than ALGT, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of ALGT to the average of the S&P500 Index (21.49), we can say ALGT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.52 | ||
| Fwd PE | 10.12 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ALGT is valued cheaper than 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 3.88 |
4.3 Compensation for Growth
ALGT has a very decent profitability rating, which may justify a higher PE ratio.
ALGT's earnings are expected to grow with 14.06% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y8.46%
EPS Next 3Y14.06%
5. Dividend
5.1 Amount
ALGT has a Yearly Dividend Yield of 4.14%, which is a nice return.
In the last 3 months the price of ALGT has falen by -29.50%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 7.17, ALGT pays a better dividend. On top of this ALGT pays more dividend than 91.67% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, ALGT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.14% |
5.2 History
The dividend of ALGT decreases each year by -15.33%.
ALGT has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-15.33%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
19.53% of the earnings are spent on dividend by ALGT. This is a low number and sustainable payout ratio.
DP19.53%
EPS Next 2Y8.46%
EPS Next 3Y14.06%
ALLEGIANT TRAVEL CO
NASDAQ:ALGT (4/26/2024, 7:00:00 PM)
After market: 57.3 +0.26 (+0.46%)57.04
-0.95 (-1.64%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.04B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.14% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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PT rev (1m)
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EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.52 | ||
| Fwd PE | 10.12 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.33% | ||
| ROE | 8.53% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 9.94% | ||
| PM (TTM) | 4.52% | ||
| GM | 66.35% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.37 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)130.7%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y-25.72%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)9.05%
Revenue growth 3Y36.35%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y