Deutsche Bank Aktiengesellschaft Downgrades Frontier Group (NASDAQ:ULCC) to Hold

Frontier Group (NASDAQ:ULCC) was downgraded by research analysts at Deutsche Bank Aktiengesellschaft from a “buy” rating to a “hold” rating in a note issued to investors on Tuesday, Marketbeat.com reports. They presently have a $6.00 price objective on the stock. Deutsche Bank Aktiengesellschaft’s target price indicates a potential upside of 9.29% from the stock’s previous close.

Several other brokerages have also issued reports on ULCC. UBS Group reiterated a “neutral” rating and set a $6.00 price target (up from $4.00) on shares of Frontier Group in a report on Friday, December 12th. Susquehanna raised their price target on shares of Frontier Group from $4.00 to $5.00 and gave the company a “neutral” rating in a report on Friday, January 9th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Frontier Group in a research note on Monday, December 29th. Bank of America reissued an “underperform” rating and set a $4.00 target price (down from $5.00) on shares of Frontier Group in a research report on Tuesday, January 6th. Finally, Morgan Stanley reduced their price target on 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 equities research analyst has rated the stock with a Buy rating, six have issued a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Reduce” and an average target price of $6.13.

Frontier Group Stock Performance

ULCC stock opened at $5.49 on Tuesday. The firm has a 50 day simple moving average of $5.18 and a 200 day simple moving average of $4.68. Frontier Group has a 52 week low of $2.89 and a 52 week high of $9.63. The stock has a market cap of $1.26 billion, a P/E ratio of -9.00 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.

Frontier Group (NASDAQ:ULCC) last released its earnings results on Wednesday, February 11th. The company reported $0.23 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.10 by $0.13. Frontier Group had a negative net margin of 3.65% and a negative return on equity of 25.73%. During the same period in the prior year, the business posted $0.23 earnings per share. The company’s revenue was down .5% compared to the same quarter last year. Frontier Group has set its FY 2026 guidance at -0.400-0.500 EPS and its Q1 2026 guidance at -0.440–0.260 EPS. Research analysts anticipate that Frontier Group will post 0.91 earnings per share for the current fiscal year.

Insider Buying and Selling at Frontier Group

In other Frontier Group news, SVP Steve Schuller sold 5,000 shares of the company’s stock in a transaction on Friday, February 6th. The stock was sold at an average price of $6.00, for a total value of $30,000.00. Following the sale, the senior vice president directly owned 94,926 shares in the company, valued at $569,556. This represents a 5.00% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Barry Biffle sold 100,000 shares of the business’s stock in a transaction on Monday, December 8th. The shares were sold at an average price of $5.54, for a total transaction of $554,000.00. Following the completion of the sale, the chief executive officer owned 731,836 shares in the company, valued at $4,054,371.44. This represents a 12.02% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 310,000 shares of company stock valued at $1,700,444. 48.00% of the stock is owned by company insiders.

Hedge Funds Weigh In On Frontier Group

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Deutsche Bank AG increased its holdings in shares of Frontier Group by 81.7% during the fourth quarter. Deutsche Bank AG now owns 160,973 shares of the company’s stock worth $758,000 after buying an additional 72,381 shares in the last quarter. Goldman Sachs Group Inc. increased its stake in shares of Frontier Group by 39.4% in the fourth quarter. Goldman Sachs Group Inc. now owns 640,909 shares of the company’s stock valued at $3,019,000 after buying an additional 181,214 shares in the last quarter. Straightline Group LLC raised its holdings in shares of Frontier Group by 9.5% in the fourth quarter. Straightline Group LLC now owns 60,586 shares of the company’s stock valued at $285,000 after buying an additional 5,232 shares during the last quarter. Geode Capital Management LLC lifted its position in Frontier Group by 0.4% during the 4th quarter. Geode Capital Management LLC now owns 2,196,472 shares of the company’s stock worth $10,347,000 after buying an additional 8,946 shares in the last quarter. Finally, GSA Capital Partners LLP grew its holdings in Frontier Group by 2,044.4% during the 4th quarter. GSA Capital Partners LLP now owns 318,159 shares of the company’s stock worth $1,499,000 after acquiring an additional 303,322 shares during the last quarter.

Frontier Group News Roundup

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

• Positive Sentiment: Q4 beat — Frontier reported $0.23 EPS vs. consensus ~$0.10 and posted stable RASM with CASM improvements (CASM ex-fuel 7.36¢), showing operational resilience and that cost controls helped offset industry pressure. Frontier Beats Q4 Estimates (Zacks)
• Positive Sentiment: Cost savings & fleet plan — Management targets ~$200M in savings through 2027, a 10% growth rate and accelerated fleet rightsizing that could materially improve margins if executed. Frontier Targets Growth & Cost Savings (MSN)
• Positive Sentiment: AerCap fleet transaction — Non‑binding agreement for early return of 24 A320neos and up to 10 sale‑leaseback deals should allow faster fleet optimization and potential near‑term cash/lease flexibility. Fleet Optimization with AerCap (PR Newswire)
• Neutral Sentiment: Liquidity and metrics — Year‑end liquidity reported ~$874M (including expanded revolver), which cushions execution risk but doesn’t remove near‑term guidance pressure. Q4 Financial Results (PR Newswire)
• Neutral Sentiment: Short‑interest data appears anomalous / zero in the feeds (likely reporting noise), so it’s not a meaningful signal today. (data entries)
• Negative Sentiment: Weak 2026 guidance — Frontier set FY 2026 EPS of -$0.40 to -$0.50 and Q1 2026 EPS of -$0.44 to -$0.26, well below consensus (FY consensus ~+$0.02), which pressures near‑term valuation and investor expectations. Guidance & Results (PR Newswire)
• Negative Sentiment: Analyst/insider signals — Deutsche Bank downgraded ULCC to Hold and an SVP sold 5,000 shares; mixed analyst commentary and insider selling can add short‑term selling pressure. Deutsche Bank Downgrade (Finviz / The Fly) Insider Sale (InsiderTrades)
• Negative Sentiment: Market commentary warns the rally may be cooling — articles raising concerns about valuation and runway could amplify profit‑taking. MarketWatch: Concerns Over Rally

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.