Earnings Preview For Sun Country Airlines

Sun Country Airlines SNCY is preparing to release its quarterly earnings on Wednesday, 2024-10-30. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Sun Country Airlines to report an earnings per share (EPS) of $0.06.

The market awaits Sun Country Airlines's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Earnings Track Record

During the last quarter, the company reported an EPS beat by $0.01, leading to a 5.48% drop in the share price on the subsequent day.

Here's a look at Sun Country Airlines's past performance and the resulting price change:

Market Performance of Sun Country Airlines's Stock

Shares of Sun Country Airlines were trading at $13.04 as of October 28. Over the last 52-week period, shares are down 0.23%. Given that these returns are generally negative, long-term shareholders are likely a little upset going into this earnings release.

Analysts' Take on Sun Country Airlines

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Sun Country Airlines.

Sun Country Airlines has received a total of 2 ratings from analysts, with the consensus rating as Neutral. With an average one-year price target of $12.5, the consensus suggests a potential 4.14% downside.

Understanding Analyst Ratings Among Peers

The following analysis focuses on the analyst ratings and average 1-year price targets of Spirit Airlines, Blade Air Mobility and Allegiant Travel, three prominent industry players, providing insights into their relative performance expectations and market positioning.

• The consensus outlook from analysts is an Underperform trajectory for Spirit Airlines, with an average 1-year price target of $1.88, indicating a potential 85.58% downside.
• The consensus outlook from analysts is an Outperform trajectory for Blade Air Mobility, with an average 1-year price target of $6.0, indicating a potential 53.99% downside.
• Allegiant Travel received a Neutral consensus from analysts, with an average 1-year price target of $47.0, implying a potential 260.43% upside.

Peers Comparative Analysis Summary

In the peer analysis summary, key metrics for Spirit Airlines, Blade Air Mobility and Allegiant Travel are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.

Key Takeaway:

Sun Country Airlines ranks in the middle for consensus rating. It is at the bottom for revenue growth. It is at the top for gross profit. It is at the top for return on equity.

Delving into Sun Country Airlines's Background

Sun Country Airlines Holdings Inc operates low-cost air carriers. The business has two operating segments: Passenger and Cargo. The passenger segment has two internal passenger groups Scheduled service and Charter. The Cargo segment provides air cargo services. The majority of the revenue is from the passenger segment.

Financial Insights: Sun Country Airlines

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Negative Revenue Trend: Examining Sun Country Airlines's financials over 3 months reveals challenges. As of 30 June, 2024, the company experienced a decline of approximately -2.57% in revenue growth, reflecting a decrease in top-line earnings. When compared to others in the Industrials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Sun Country Airlines's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 0.71%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Sun Country Airlines's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 0.33%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Sun Country Airlines's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of 0.11%, the company may face hurdles in achieving optimal financial performance.

Debt Management: With a below-average debt-to-equity ratio of 1.24, Sun Country Airlines adopts a prudent financial strategy, indicating a balanced approach to debt management.

To track all earnings releases for Sun Country Airlines visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.