Allegiant Travel Intrinsic Value – Allegiant Travel Reports 9.2% Increase in Total System Passengers in November
December 29, 2023
☀️Trending News
Allegiant Travel ($NASDAQ:ALGT), a publicly traded leisure travel company, recently reported that the number of passengers using its system in November increased by 9.2%. The Las Vegas-based company operates an extensive network of flights and vacation packages. Allegiant Travel offers customers a variety of low-cost services, such as hotel rooms, rental cars, and booking flights.
The increase in passengers using Allegiant Travel’s system in November is a testament to the success of the company’s strategies and its commitment to providing low-cost services to its customers. The company’s ability to remain competitive even during the coronavirus pandemic demonstrates its resilience and provides hope for investors.
Analysis – Allegiant Travel Intrinsic Value
GoodWhale recently conducted an analysis of ALLEGIANT TRAVEL’s wellbeing and the results are in. Our proprietary Valuation Line was used to calculate the intrinsic value of ALLEGIANT TRAVEL’s share, which came out to be around $207.5. However, the stock is currently being traded at $84.1, meaning it is significantly undervalued by 59.5%. This provides a great opportunity for investors to benefit from the potential upside of ALLEGIANT TRAVEL’s stock in the near future. More…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Allegiant Travel. More…
| Total Revenues | Net Income | Net Margin |
| 2.51k | 167.6 | 7.4% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Allegiant Travel. More…
| Operations | Investing | Financing |
| 421.88 | -491.42 | 33.12 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Allegiant Travel. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 4.83k | 2.29 | 0.07 |
Key Ratios Snapshot
Some of the financial key ratios for Allegiant Travel are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 27.7% | 40.0% | 13.6% |
| FCF Margin | ROE | ROA |
| -3.6% | 31.1% | 4.4% |
Peers
The competition among Allegiant Travel Co, Korean Air Lines Co Ltd, Cebu Air Inc, and InterGlobe Aviation Ltd is fierce. All four companies are striving to provide the best possible service to their customers. Each company has its own strengths and weaknesses, and it is up to the customer to decide which airline best meets their needs.
– Korean Air Lines Co Ltd ($KOSE:003490)
Korean Air Lines Co Ltd is a major airline company headquartered in Seoul, South Korea. It is the flag carrier of South Korea and operates a fleet of over 150 aircraft. The company has a market cap of 7.89T as of 2022 and a Return on Equity of 20.57%. Korean Air Lines is one of the world’s largest airlines and is a member of the SkyTeam alliance. The company offers a wide array of domestic and international flight routes and provides a high level of customer service.
– Cebu Air Inc ($PSE:CEB)
Cebu Air Inc is a leading low-cost carrier in the Philippines. It has a strong presence in the domestic market and offers services to over 60 destinations across the country. The company has a market cap of 22.34B as of 2022 and a Return on Equity of -580.13%. Cebu Air is committed to providing affordable, convenient, and reliable air travel services to its customers. It has a modern fleet of aircraft and a strong network of domestic and international routes. The company is continuously expanding its operations and has plans to further grow its market share in the coming years.
– InterGlobe Aviation Ltd ($BSE:539448)
InterGlobe Aviation Ltd, the owner of India’s largest airline by market share, IndiGo, has a market cap of 672.27B as of 2022. The company has a strong financial performance, with a return on equity of 16.73%. IndiGo is a low-cost carrier that offers affordable air travel to passengers in India and across the world. The company has a fleet of over 250 aircraft and operates more than 1,200 flights daily. InterGlobe Aviation is a publicly traded company listed on the Bombay Stock Exchange and the National Stock Exchange of India.
Summary
Allegiant Travel, one of the leading leisure travel companies in the U.S., reported a 9.2% increase in total system passengers in November compared to the previous year. This marked a strong uptick in demand for leisure travel following the pandemic-driven downturn earlier this year. Allegiant Travel has been investing in its digital capabilities to attract a larger customer base and has been actively expanding its route network, signaling a rebound in the company’s performance. Investors should take note of Allegiant Travel’s progress over the coming months as a sign of how the travel industry is recovering from the pandemic.
