The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Allegiant Travel met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP earnings per share grew significantly.
Margins grew across the board.
Allegiant Travel reported revenue of $222.8 million. The eight analysts polled by S&P Capital IQ anticipated revenue of $224.7 million on the same basis. GAAP reported sales were 15% higher than the prior-year quarter's $193.9 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.76. The 13 earnings estimates compiled by S&P Capital IQ averaged $0.70 per share. GAAP EPS of $0.76 for Q4 were 36% higher than the prior-year quarter's $0.56 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 25.8%, 360 basis points better than the prior-year quarter. Operating margin was 11.4%, 60 basis points better than the prior-year quarter. Net margin was 6.6%, 100 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $271.1 million. On the bottom line, the average EPS estimate is $1.63.
Next year's average estimate for revenue is $1.05 billion. The average EPS estimate is $5.33.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 170 members out of 215 rating the stock outperform, and 45 members rating it underperform. Among 65 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 50 give Allegiant Travel a green thumbs-up, and 15 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Allegiant Travel is outperform, with an average price target of $80.90.
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