Spirit Airlines Intrinsic Stock Value – Spirit Airlines Shares Up 1.49% on Positive Trading Session
May 17, 2023
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Spirit Airlines ($NYSE:SAVE) Inc. experienced a positive trading session on Monday, with their shares increasing 1.49% to $15.70. This upturn was in line with the broader stock market trend, which saw many stocks increase in value due to investors’ confidence in the market. Spirit Airlines Inc. offers a variety of flight options for customers, including discounted fares for those who are willing to forego certain amenities like checked-bags and assigned seating. The company also offers a variety of services and amenities such as a rewards program and travel insurance.
Overall, Spirit Airlines Inc. is an established leader in the ultra-low-cost air travel industry, providing customers with great value and convenience. The stock’s positive trading session on Monday reflects investor confidence in the company’s future prospects and reinforces its reputation as an attractive investment option.
Analysis – Spirit Airlines Intrinsic Stock Value
At GoodWhale, we provide an in-depth analysis of SPIRIT AIRLINES‘s financials. After applying our proprietary Valuation Line, we believe that the fair value of SPIRIT AIRLINES’s share is around $40.4. However, the current price of SPIRIT AIRLINES’s stocks is only $15.6, which is undervalued by 61.4%. We believe that anyone looking to make a smart investment should consider taking advantage of this strong opportunity and purchase SPIRIT AIRLINES’s shares while they remain undervalued. More…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Spirit Airlines. More…
| Total Revenues | Net Income | Net Margin |
| 5.45k | -463.36 | -2.0% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Spirit Airlines. More…
| Operations | Investing | Financing |
| 32.21 | -275.39 | 306.98 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Spirit Airlines. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 9.32k | 7.85k | 13.46 |
Key Ratios Snapshot
Some of the financial key ratios for Spirit Airlines are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 13.3% | 2.3% | -8.9% |
| FCF Margin | ROE | ROA |
| -4.9% | -20.0% | -3.3% |
Peers
Spirit Airlines Inc competes with Frontier Group Holdings Inc, JetBlue Airways Corp, and Southwest Airlines Co in the airline industry. Each company has a different business model, but all are trying to attract customers with low fares. Spirit Airlines Inc has been successful in this by offering bare-bones fares that are much lower than its competitors.
– Frontier Group Holdings Inc ($NASDAQ:ULCC)
Frontier Group Holdings Inc is a provider of communication services in the United States. The company offers broadband, video, and voice services to residential and business customers. It also provides data and Internet services. The company was founded in 1935 and is headquartered in Stamford, Connecticut.
– JetBlue Airways Corp ($NASDAQ:JBLU)
JetBlue Airways Corporation is an American airline company. It is the 6th-largest airline in the United States. The company was founded in 1998 and is headquartered in New York City. JetBlue Airways operates flights to more than 100 destinations in the United States, Caribbean, and Latin America. The company has a market capitalization of $2.46 billion as of 2022 and a return on equity of -8.81%. JetBlue Airways is a publicly traded company listed on the Nasdaq Stock Exchange.
– Southwest Airlines Co ($NYSE:LUV)
Southwest Airlines Co is a major U.S. airline, headquartered in Dallas, Texas. The company operates a fleet of 737 aircraft and serves destinations across the United States and several international destinations. Southwest is one of the largest airlines in the world, with a market capitalization of over $22 billion as of 2022. The company has a strong financial position, with a return on equity of over 8%. Southwest is a well-known brand and is a preferred choice for many travelers.
Summary
Spirit Airlines Inc. had a positive trading session on Monday, with the share prices increasing by 1.49% to $15.70. This could be a good time to invest in Spirit Airlines as the market appears to be favorable. Analysts suggest that investors should monitor the company’s financial performance closely, including their revenues, earnings, and strategy, to determine if investing in Spirit Airlines is right for them. Additionally, investors should also consider potential risks such as regulatory changes, macroeconomic conditions, and competitor performance before making any investments in the company.
