| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 79 | 54.4x | 17.8x | Top tier | |
Growth | 62 | 12.2% | 7.1% | Around median | |
Quality | 55 | 3.0% | 4.5% | Around median | |
Safety | 31 | 6.3x | 2.6x | Bottom tier | |
Capital Return | 3 | 0.00% | 2.12% | Bottom tier | |
Momentum | 39 | 73.7% | 2.9% | Bottom tier | |
Sentiment | 87 | 8 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Allegiant Travel Company operates Allegiant Air and Sun Country under a model focused on leisure travel, with the flexibility to reduce flights outside peak periods and increase them when they achieve the required returns. The group generates revenue from scheduled passenger service, ancillary fees and services, Allegiant Allways Rewards cards, as well as cargo and fixed-fee flights at Sun Country; long-term cargo and fixed-fee programs accounted for approximately 9% of revenue for the twelve months ended fiscal Q2 2026. Allegiant and Sun Country were also the number one or number two carrier in approximately 95% of the origin markets they serve, and Allegiant's repeat traveler rate was approximately 70%.
In fiscal Q2 2026, the combined entity recorded record quarterly revenue of $943.5 million, including Sun Country's results from the completion of the acquisition on May 13, 2026 through June 30, 2026, while Allegiant on a standalone basis generated $776 million, up 16.1% despite a 6.8% decline in operating capacity. Adjusted pre-tax income was $64.5 million, combined earnings per share were $2.19, and operating margin was 9.2%, while earnings before interest, taxes, depreciation, and amortization approached $158 million at a margin of approximately 17%. On a full-quarter basis, Sun Country generated record cargo revenue of $50.6 million and fixed-fee revenue of $65.7 million.
Passenger service economics improved significantly in fiscal Q2 2026; Allegiant's standalone TRASM increased 24.6% to $0.1442, driven by a yield increase of more than 40%, an approximately four-point increase in load factor, and growth of more than 30% in third-party revenue per passenger. Sun Country's standalone TRASM increased 22% to $0.1264, while Allegiant's scheduled passenger service revenue rose by $102 million, exceeding the $99 million increase in fuel expense. However, EDGAR statements for the twelve months ended in 2026 show revenue of $2.9 billion and a net loss of $34.3 million, meaning that adjusted quarterly profitability has not yet translated into positive net income on a twelve-month basis.
Automated analysis for informational purposes only — not investment advice.
The analyst consensus is "Buy," with an average price target of $134.33 and a wide range of $111 to $160; the average is above the upper end of the 52-week range of $123.63. However, the absence of a positive price-to-earnings multiple, alongside a net loss of $34.3 million during the twelve months ended in 2026, makes this valuation dependent on achieving targeted earnings per share of more than $6 in fiscal 2026 and successfully realizing Sun Country savings, while fuel, costs, and integration remain material pressure factors.
Figures in the text are as of 2026-09-01; the live price is shown at the top of the page.
The group recorded record revenue of $943.5 million and adjusted pre-tax income of $64.5 million in fiscal Q2 2026. Operating margin was 9.2% and combined earnings per share were $2.19, while earnings before interest, taxes, depreciation, and amortization approached $158 million. The improvement was supported by a 24.6% increase in TRASM at Allegiant and a 22% increase at Sun Country, as well as a yield increase of more than 40% at Allegiant.
Allegiant closed the transaction on May 13, 2026, so fiscal Q2 2026 results included Sun Country's contribution from that date through June 30, 2026. Management is targeting annual operating savings of at least $140 million by 2029 and has begun cross-selling flights and coordinating procurement and network planning. It also submitted the transition plan for a unified operating certificate to the FAA, targeting approval in the first half of 2028.
The company based its fiscal Q3 2026 guidance on a fuel price of $3.80 per gallon and its Q4 guidance on $3.70 per gallon. Management estimates that a $0.10 per gallon increase in fuel prices reduces combined earnings per share by approximately $0.50. As of August 19, 2026, U.S. Gulf Coast jet fuel had increased 39% since the beginning of the quarter, explaining the reduction in off-peak capacity.
The Expedia channel became fully available on July 10, 2026 and generated approximately 3% of bookings during its first few weeks, with materially more than half of the bookings coming from customers new to Allegiant. Allegiant First is planned to launch gradually in spring 2027 on new aircraft, with eight premium seats, additional legroom, and greater seat-recline capability. The configuration will reduce the seat count by only two compared with the current 190-seat MAX configuration, limiting the product's impact on unit costs.
The company ended fiscal Q2 2026 with available liquidity of $1.3 billion, including $1.1 billion in cash and investments and $250 million in undrawn facilities. In contrast, total debt was $2.8 billion and net debt was $1.7 billion, with initial net leverage of 2.6 times. The company expects capital expenditures of approximately $850 million in fiscal 2026 and a pilot retention payment of approximately $275 million, so it expects leverage to rise slightly after the payment is made.
For fiscal Q3 2026, management expects combined scheduled service capacity to decline by approximately 5.5%, a midpoint operating margin of 2%, and a loss of approximately $0.50 per share. At the same time, it expects unit revenue growth close to 24.6% and total revenue approximately 16.5% above a combined comparison base of $808 million. For fiscal 2026, the company is targeting combined earnings per share of more than $6 despite higher fuel prices.
