Key Takeaways Allegiant shares have gained in the past six months, outperforming its industry and peers like LUV and RYAAY.Production delays, rising labor costs and economic uncertainties continue to pressure ALGT.Stronger demand, higher EPS guidance, fleet upgrades and solid liquidity provide notable offsets.Shares of Allegiant Travel Company (ALGT) have had a good time on the bourses of late, improving in double-digits over the past six months. The encouraging price performance resulted in ALGT outperform ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2025 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to ____ Commission File Number 001-33166 Trading Symbol Name of each exchange on which registered Securities registered pursuant to Section 12(g) of the Act: ...

Investors interested in stocks from the Transportation - Airline sector have probably already heard of Allegiant Travel (ALGT) and Frontier Group Holdings (ULCC) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The Zacks Rank is a proven strategy that targets companies with positive earnings estima ...

Core Insights - Allegiant has launched a themed flight experience, Flight 925: Destination Dollywood, to celebrate travel and the Great Smoky Mountains, scheduled for November 6, 2026 [1] - The flight is a collaboration with Dollywood Parks & Resorts, offering unique experiences both in the air and on the ground [1] - Passengers will enjoy themed celebrations, live entertainment, and exclusive merchandise, along with special access to Dollywood's attractions [1] Flight Experience - Flight 925 will operate from Orlando/Sanford (SFB) to Knoxville, Tennessee (TYS) [1] - The flight is themed around Dolly Parton's song "9 to 5," featuring rides, giveaways, music, food, and laughter [1] - Passengers booking Dollywood admission will receive exclusive ride time opportunities and special treats during the park's Smoky Mountain Christmas event [1] Collaboration and Value Proposition - Allegiant's Chief Commercial Officer emphasized the joy of travel and the partnership with Dollywood as a way to create memorable experiences [1] - The airline aims to provide a high-value travel experience, focusing on leisure travelers with convenient nonstop flights and low base fares [1] - Dollywood has been recognized as a top U.S. theme park, enhancing the appeal of the themed flight [1][2] Additional Offerings - Passengers can purchase a special lodging package at Dollywood's resorts, including discounts and credits for food and merchandise [1] - Allegiant has extended its flight schedule through November 2026, providing more opportunities for travelers [1] - The airline's business model is designed to minimize time spent at the airport, allowing customers to enjoy their destinations more [1]

Core Insights - Allegiant Travel Company (ALGT) experienced a significant stock increase of 69% following its Q4 2025 earnings release and outlook for 2026, indicating strong market performance and investor confidence [1]. Company Performance - The stock of Allegiant Travel Company has sharply outperformed the market since the last report, reflecting positive investor sentiment and growth potential in the airline sector [1]. Analyst Background - The analysis is provided by Dhierin-Perkash Bechai, an experienced aerospace, defense, and airline analyst with a background in aerospace engineering, focusing on identifying investment opportunities in the aerospace and airline industry [1].

Core Insights - Allegiant Travel Company (ALGT) experienced a significant stock increase of 69% following its Q4 2025 earnings release and outlook for 2026, indicating strong market performance and investor confidence [1] Company Summary - Allegiant Travel Company is positioned within the aerospace, defense, and airline sectors, showcasing substantial growth prospects [1] - The company’s recent earnings report has positively influenced its stock performance, outperforming market expectations [1] Analyst Background - The analysis is conducted by Dhierin-Perkash Bechai, an experienced aerospace, defense, and airline analyst with a background in aerospace engineering [1] - The analyst aims to identify investment opportunities within the aerospace and airline industry, providing data-informed insights [1]

Core Insights - Diamond Hill Capital's "Small Cap Strategy" reported a favorable performance in Q4 2025, with the Russell 2000 Index gaining 2.19% and a 12.81% increase for the year [1] - The firm emphasizes a focus on resilient businesses capable of sustaining earnings amid market volatility as it heads into 2026 [1] Company Highlights - Allegiant Travel Company (NASDAQ:ALGT) was identified as a significant contributor to the Small Cap Strategy, with a stock price of $99.86 as of February 4, 2026 [2] - Allegiant Travel Company achieved a 7.99% return in the past month and an 11.84% increase over the past year, with a market capitalization of $1.829 billion [2] - The company reported strong near-term demand trends in Q4 2025, benefiting from a softer jet fuel environment, which positively influenced investor sentiment regarding margin improvement [3] Hedge Fund Interest - Allegiant Travel Company was held by 22 hedge fund portfolios at the end of Q3 2025, a slight decrease from 23 in the previous quarter [3] - Despite its potential, the company is not among the 30 most popular stocks among hedge funds, with the firm suggesting that certain AI stocks may offer better upside potential and lower downside risk [3]

Financial Performance - Allegiant Travel reported revenue of $656.19 million for the quarter ended December 2025, reflecting a 4.5% increase year-over-year [1] - Earnings per share (EPS) for the quarter was $2.86, up from $2.10 in the same quarter last year, representing a significant EPS surprise of +42.64% compared to the consensus estimate of $2.01 [1] Comparison with Estimates - The reported revenue exceeded the Zacks Consensus Estimate of $649.84 million, resulting in a surprise of +0.98% [1] - Key metrics such as available seat miles (ASMs) and operating expenses were compared against analyst estimates, with ASMs of 5.18 billion surpassing the average estimate of 5.14 billion [4] Operational Metrics - The airline operating cost per available seat mile (CASM), excluding fuel, was reported at 8.01 cents, better than the average estimate of 8.42 cents [4] - Total passenger revenue per available seat mile (TRASM) was 12.67 cents, slightly above the average estimate of 12.63 cents [4] - The load factor was reported at 81.2%, lower than the average estimate of 83.1% [4] Revenue Breakdown - Operating revenues from fixed fee contracts were $25.52 million, exceeding the average estimate of $21.21 million, marking an 8.4% year-over-year increase [4] - Passenger operating revenues were $595.55 million, slightly below the average estimate of $596.63 million, but still reflecting a 7.6% year-over-year increase [4] - Revenues from third-party products were reported at $34.94 million, compared to the average estimate of $35.89 million, indicating an 8.5% year-over-year change [4] Stock Performance - Allegiant Travel's shares returned -0.5% over the past month, while the Zacks S&P 500 composite increased by +0.9% [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]

分组1 - Allegiant Travel reported quarterly earnings of $2.86 per share, exceeding the Zacks Consensus Estimate of $2.01 per share, and showing an increase from $2.1 per share a year ago, resulting in an earnings surprise of +42.64% [1] - The company achieved revenues of $656.19 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 0.98% and increasing from $627.71 million year-over-year [2] - Allegiant Travel has outperformed the S&P 500, with shares rising about 8.8% since the beginning of the year compared to the S&P 500's gain of 1.1% [3] 分组2 - The current consensus EPS estimate for the upcoming quarter is $2.23 on revenues of $688.39 million, and for the current fiscal year, it is $7.20 on revenues of $2.72 billion [7] - The Zacks Industry Rank for Transportation - Airline is in the top 17% of over 250 Zacks industries, indicating a favorable outlook for the industry [8]

Financial Data and Key Metrics Changes - The company reported a fourth-quarter net income of $50.1 million, resulting in airline-only earnings of $2.72 per share, exceeding the guided range of $2 per share [21] - Full-year 2025 consolidated net income was $70.3 million or $3.80 per share, with airline earnings at $93.8 million, yielding $5.07 per share [21] - Adjusted operating margin for the fourth quarter was 12.9%, among the best in the industry, with unit costs falling more than 6% for the year [6][8] Business Line Data and Key Metrics Changes - Total airline revenue for 2025 was over $2.5 billion, up approximately 4.3% year-over-year, with fourth-quarter revenue at approximately $656 million, up 7.6% compared to Q4 2024 [12][13] - The airline segment produced an EBITDA margin of nearly 22% in the fourth quarter, underscoring the earnings power of the model in a favorable leisure demand environment [21] - Fixed fee revenue contribution in Q4 was a record $25.5 million, despite increased scheduled service utilization [13] Market Data and Key Metrics Changes - Current leisure demand is strong, with significant improvement observed over the holiday period, continuing into January [9] - The company expects a 13.5% adjusted operating margin in Q1 2026, indicating strong demand trends [9] - The company anticipates a slight decline in capacity for 2026, with a focus on leveraging existing infrastructure to drive revenue per available seat mile (TRASM) improvement [27] Company Strategy and Development Direction - The company is committed to balancing growth with profitability, focusing on "earning the right to grow" [9] - The acquisition of Sun Country is seen as a strategic move to build a leading leisure airline in the U.S., with a thoughtful integration plan underway [10] - The company aims to leverage modern technology platforms to enhance operational efficiency and customer experience [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate macroeconomic uncertainties, with a focus on maintaining a strong financial position [27][28] - The company is optimistic about the demand environment, with expectations for continued revenue growth and margin expansion [9][27] - Management highlighted the importance of operational excellence and team dedication in achieving strong performance [11] Other Important Information - The company ended the year with total available liquidity of $1.1 billion and reduced net leverage to 2.3x, nearing pre-COVID levels [24] - Capital expenditures for 2026 are expected to be approximately $750 million, with a focus on aircraft-related spending [25] - The company has a healthy order book with over 100 new technology aircraft, positioning it well for future growth [29] Q&A Session Summary Question: What is driving the exceptional demand in January? - Management noted that improved visitation and bookings are contributing to strong demand, with expectations for continued strength through spring break and Easter [31][32] Question: How does the company view RASM and CASM for the year? - Management expects TRASM to improve more than CASM, reinforcing margin expansion [35] Question: What is the outlook for the first quarter versus the full year? - Management indicated that current strong trends are not fully assumed in the full-year guidance, reflecting a conservative approach [40][41] Question: How is the company planning to finance the merger with Sun Country? - Management stated that cash balances are ahead of schedule and could be used for the cash consideration of the merger, with options for refinancing existing debt [51][52] Question: What opportunities exist with the MAX aircraft and the merger? - Management expressed excitement about the flexibility and potential synergies from the combined fleet, emphasizing the strategic advantages of owning their aircraft [57][93]