Frontier Group (NASDAQ:ULCC) Shares Gap Down Following Insider Selling

Shares of Frontier Group Holdings, Inc. (NASDAQ:ULCC) gapped down prior to trading on Tuesday after an insider sold shares in the company. The stock had previously closed at $6.36, but opened at $5.92. Frontier Group shares last traded at $5.8090, with a volume of 1,024,538 shares trading hands.

Specifically, SVP Steve Schuller sold 5,000 shares of the stock in a transaction on Friday, February 6th. The stock was sold at an average price of $6.00, for a total transaction of $30,000.00. Following the sale, the senior vice president owned 94,926 shares of the company’s stock, valued at approximately $569,556. This trade represents a 5.00% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently weighed in on ULCC shares. Weiss Ratings restated a “sell (d-)” rating on shares of Frontier Group in a research note on Monday, December 29th. Bank of America reiterated an “underperform” rating and issued a $4.00 target price (down from $5.00) on shares of Frontier Group in a report on Tuesday, January 6th. Deutsche Bank Aktiengesellschaft cut shares of Frontier Group from a “buy” rating to a “hold” rating and set a $6.00 price target on the stock. in a report on Tuesday. Susquehanna boosted their price objective on shares of Frontier Group from $4.00 to $5.00 and gave the stock a “neutral” rating in a research note on Friday, January 9th. Finally, Morgan Stanley decreased their target price on shares of Frontier Group from $9.00 to $8.00 and set an “equal weight” rating for the company in a research report on Monday, December 8th. One investment analyst has rated the stock with a Buy rating, six have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Reduce” and an average price target of $6.13.

Key Stories Impacting Frontier Group

Here are the key news stories impacting Frontier Group this week:

• Positive Sentiment: Board addition improves governance and may reassure investors about oversight and strategy. Frontier named Anthony Salcido to its board on Feb. 9, a routine but constructive corporate-governance move. Frontier Group Holdings, Inc. Announces New Board Member
• Neutral Sentiment: Analyst coverage remains mixed: some firms maintain neutral/hold ratings and the consensus target (~$6.38) implies limited upside from current levels, keeping expectations anchored. Analysts’ Opinions Are Mixed on These Industrial Goods Stocks
• Neutral Sentiment: Short-interest data in the feed is inconsistent (report shows zero/NaN), so there’s no clear evidence of a meaningful coordinated short squeeze or covering event influencing today’s move.
• Negative Sentiment: Deutsche Bank downgraded ULCC from Buy to Hold and set a $6.00 price target — a formal downgrade that can prompt passive fund rebalancing and reduce conviction among buyers. ULCC Downgraded at Deutsche Bank
• Negative Sentiment: Critical media coverage argues Frontier’s strong run may be pausing, raising investor doubts about sustainability of recent gains and the ultra-low-cost model’s near-term outlook. Here’s why Frontier Airlines’ stock may have reached the end of its runway for now
• Negative Sentiment: Insider selling: SVP Steve Schuller sold 5,000 shares at roughly $6.00 (filed Feb. 6). The size is modest but insider sales can be perceived negatively when combined with downgrades and critical press. Frontier Group SVP Sells 5,000 Shares

Frontier Group Price Performance

The stock’s 50 day simple moving average is $5.17 and its 200-day simple moving average is $4.67. The firm has a market cap of $1.36 billion, a price-to-earnings ratio of -9.77 and a beta of 2.55. The company has a debt-to-equity ratio of 0.79, a quick ratio of 0.36 and a current ratio of 0.40.

Hedge Funds Weigh In On Frontier Group

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Dimensional Fund Advisors LP lifted its position in Frontier Group by 5.5% during the 3rd quarter. Dimensional Fund Advisors LP now owns 4,044,167 shares of the company’s stock worth $17,860,000 after acquiring an additional 209,154 shares during the period. Bank of America Corp DE raised its stake in shares of Frontier Group by 39.2% in the third quarter. Bank of America Corp DE now owns 3,027,309 shares of the company’s stock worth $13,366,000 after purchasing an additional 852,798 shares during the last quarter. Citigroup Inc. lifted its holdings in shares of Frontier Group by 14.1% during the third quarter. Citigroup Inc. now owns 2,824,859 shares of the company’s stock worth $12,472,000 after purchasing an additional 348,739 shares during the period. Balyasny Asset Management L.P. lifted its holdings in shares of Frontier Group by 48.4% during the third quarter. Balyasny Asset Management L.P. now owns 2,202,219 shares of the company’s stock worth $9,723,000 after purchasing an additional 718,147 shares during the period. Finally, Geode Capital Management LLC boosted its position in Frontier Group by 0.4% in the fourth quarter. Geode Capital Management LLC now owns 2,196,472 shares of the company’s stock valued at $10,347,000 after buying an additional 8,946 shares during the last quarter.

Frontier Group Company Profile

Frontier Group, trading on Nasdaq under the ticker ULCC, is the holding company for Frontier Airlines, an ultra-low-cost carrier based in Denver, Colorado. The company’s core business centers on providing no-frills air travel across a point-to-point network while generating ancillary revenue from add-on services such as baggage fees, seat selection, priority boarding and in-flight refreshments. This fare-plus-a-la-carte model allows Frontier to offer competitive base fares and maintain low operating costs.

Founded in February 1994 by industry veterans Andrew Levy and Russell Beardsmore, Frontier Airlines commenced operations with a small fleet of MD-80 aircraft.