Allegiant Travel Company (ALGT)vsSouthwest Airlines Company (LUV)
ALGT
Allegiant Travel Company
$72.26
-1.81%
INDUSTRIALS · Cap: $1.92B
LUV
Southwest Airlines Company
$43.47
+0.07%
INDUSTRIALS · Cap: $19.32B
Smart Verdict
WallStSmart Research — data-driven comparison
Southwest Airlines Company generates 939% more annual revenue ($30.07B vs $2.89B). LUV leads profitability with a 2.8% profit margin vs 0.9%. LUV appears more attractively valued with a PEG of 0.20. ALGT earns a higher WallStSmart Score of 69/100 (B-).
ALGT
Strong Buy69
out of 100
Grade: B-
LUV
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+21.9%
Fair Value
$139.93
Current Price
$72.26
$67.67 discount
Intrinsic value data unavailable for LUV.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Revenue surging 36.9% year-over-year
Growing faster than its price suggests
Earnings expanding 32.6% YoY
Growing faster than its price suggests
16.4% revenue growth
Earnings expanding 20.5% YoY
Areas to Watch
Smaller company, higher risk/reward
0.9% margin — thin
Elevated debt levels
Premium valuation, high expectations priced in
Grey zone — moderate risk
2.8% margin — thin
Operating margin of 3.4%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : ALGT
The strongest argument for ALGT centers on Price/Book, Revenue Growth, PEG Ratio. Revenue growth of 36.9% demonstrates continued momentum. PEG of 0.85 suggests the stock is reasonably priced for its growth.
Bull Case : LUV
The strongest argument for LUV centers on PEG Ratio, Revenue Growth, EPS Growth. Revenue growth of 16.4% demonstrates continued momentum. PEG of 0.20 suggests the stock is reasonably priced for its growth.
Bear Case : ALGT
The primary concerns for ALGT are Market Cap, Profit Margin, Debt/Equity. A P/E of 61.8x leaves little room for execution misses. Debt-to-equity of 1.60 is elevated, increasing financial risk.
Bear Case : LUV
The primary concerns for LUV are Altman Z-Score, Profit Margin, Operating Margin. Thin 2.8% margins leave little buffer for downturns.
Key Dynamics to Monitor
ALGT profiles as a hypergrowth stock while LUV is a growth play — different risk/reward profiles.
ALGT carries more volatility with a beta of 1.54 — expect wider price swings.
ALGT is growing revenue faster at 36.9% — sustainability is the question.
ALGT generates stronger free cash flow (-75M), providing more financial flexibility.
Bottom Line
ALGT scores higher overall (69/100 vs 66/100) and 36.9% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Allegiant Travel Company
INDUSTRIALS · AIRLINES · USA
Allegiant Travel Company, a leisure travel company, provides travel products and services to residents of underserved cities in the United States. The company is headquartered in Las Vegas, Nevada.
Visit Website →Southwest Airlines Company
INDUSTRIALS · AIRLINES · USA
Southwest Airlines Co., typically referred to as Southwest, is one of the major airlines of the United States and the world's largest low-cost carrier airline. It is headquartered in Dallas, Texas.
Visit Website →Compare with Other AIRLINES Stocks
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