Allegiant Travel Company (ALGT - Free Report) has reported traffic numbers for August. Traffic for the total system, including scheduled service and fixed fee contract and measured in revenue passenger miles (RPMs), increased 5.5% on a year-over-year basis to 892.45 million. System capacity, calculated in available seat miles (ASMs), improved 6.5% in the month to 1.07 billion.
With capacity growth outpacing the rise in traffic, load factor (percentage of seats filled with passengers) declined 80 basis points year over year to 83.3%. The stock declined 1.2% on Sep 7 to $115.15 primarily due to the fast approaching Hurricane Irma. The decline in load factor is a further negative.
Allegiant’s passenger count rose 9.2% in August. Its system-wide average fuel cost per gallon was approximately $1.84 per gallon in the month.
The company expects system-wide capacity growth for the third quarter of 2017 in the band of 3-5% (previous guidance: 3-7%). The metric is projected to grow further in the 9-13% range during the fourth quarter of 2017, unchanged from its past estimate.
The company anticipates departures for the third quarter to increase in the range of 6-8%. For the fourth quarter, the metric is likely to augment in the 7-11% band.
The company’s total revenue per scheduled ASM (TRASM) view for the third quarter remains unchanged at -0.5-1.5% range.
Zacks Rank & Key Picks
Allegiant currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in airline space are Deutsche Lufthansa AG (DLAKY - Free Report) , SkyWest, Inc. (SKYW - Free Report) and Air France-KLM SA (AFLYY - Free Report) . While Deutsche Lufthansa and SkyWest sport a Zacks Rank #1 (Strong Buy), Air France-KLM carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Shares of Deutsche Lufthansa and Air France-KLM have surged more than 100% in a year, while SkyWest shares have rallied 25.6% over the same time frame.
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Allegiant Travel Company (ALGT - Free Report) has reported traffic numbers for August. Traffic for the total system, including scheduled service and fixed fee contract and measured in revenue passenger miles (RPMs), increased 5.5% on a year-over-year basis to 892.45 million. System capacity, calculated in available seat miles (ASMs), improved 6.5% in the month to 1.07 billion.
With capacity growth outpacing the rise in traffic, load factor (percentage of seats filled with passengers) declined 80 basis points year over year to 83.3%. The stock declined 1.2% on Sep 7 to $115.15 primarily due to the fast approaching Hurricane Irma. The decline in load factor is a further negative.
Allegiant’s passenger count rose 9.2% in August. Its system-wide average fuel cost per gallon was approximately $1.84 per gallon in the month.
The company expects system-wide capacity growth for the third quarter of 2017 in the band of 3-5% (previous guidance: 3-7%). The metric is projected to grow further in the 9-13% range during the fourth quarter of 2017, unchanged from its past estimate.
The company anticipates departures for the third quarter to increase in the range of 6-8%. For the fourth quarter, the metric is likely to augment in the 7-11% band.
The company’s total revenue per scheduled ASM (TRASM) view for the third quarter remains unchanged at -0.5-1.5% range.
Zacks Rank & Key Picks
Allegiant currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in airline space are Deutsche Lufthansa AG (DLAKY - Free Report) , SkyWest, Inc. (SKYW - Free Report) and Air France-KLM SA (AFLYY - Free Report) . While Deutsche Lufthansa and SkyWest sport a Zacks Rank #1 (Strong Buy), Air France-KLM carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Shares of Deutsche Lufthansa and Air France-KLM have surged more than 100% in a year, while SkyWest shares have rallied 25.6% over the same time frame.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Click here for the 6 trades >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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