Head-To-Head Analysis: Corporacion America Airports (NYSE:CAAP) vs. Allegiant Travel (NASDAQ:ALGT)
by Mitch Edgeman · The Markets DailyAllegiant Travel (NASDAQ:ALGT – Get Free Report) and Corporacion America Airports (NYSE:CAAP – Get Free Report) are both transportation companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, valuation, dividends, risk, profitability, analyst recommendations and institutional ownership.
Analyst Recommendations
This is a summary of recent ratings and recommmendations for Allegiant Travel and Corporacion America Airports, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Allegiant Travel | 1 | 6 | 5 | 1 | 2.46 |
| Corporacion America Airports | 1 | 1 | 6 | 0 | 2.63 |
Allegiant Travel currently has a consensus price target of $97.64, indicating a potential upside of 26.72%. Corporacion America Airports has a consensus price target of $26.60, indicating a potential upside of 9.35%. Given Allegiant Travel’s higher probable upside, analysts plainly believe Allegiant Travel is more favorable than Corporacion America Airports.
Risk & Volatility
Allegiant Travel has a beta of 1.56, meaning that its share price is 56% more volatile than the S&P 500. Comparatively, Corporacion America Airports has a beta of 0.77, meaning that its share price is 23% less volatile than the S&P 500.
Earnings and Valuation
This table compares Allegiant Travel and Corporacion America Airports”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Allegiant Travel | $2.61 billion | 0.55 | -$44.70 million | ($2.57) | -29.98 |
| Corporacion America Airports | $1.96 billion | 2.02 | $282.67 million | $1.54 | 15.80 |
Corporacion America Airports has lower revenue, but higher earnings than Allegiant Travel. Allegiant Travel is trading at a lower price-to-earnings ratio than Corporacion America Airports, indicating that it is currently the more affordable of the two stocks.
Institutional & Insider Ownership
85.8% of Allegiant Travel shares are owned by institutional investors. Comparatively, 13.0% of Corporacion America Airports shares are owned by institutional investors. 14.7% of Allegiant Travel shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.
Profitability
This table compares Allegiant Travel and Corporacion America Airports’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Allegiant Travel | -1.71% | 6.61% | 1.60% |
| Corporacion America Airports | 12.59% | 15.93% | 5.79% |
Summary
Corporacion America Airports beats Allegiant Travel on 9 of the 15 factors compared between the two stocks.
About Allegiant Travel
Allegiant Travel Company, a leisure travel company, provides travel services and products to residents of under-served cities in the United States. The company offers scheduled air transportation on limited-frequency, nonstop flights between under-served cities and leisure destinations. As of February 1, 2024, it operated a fleet of 126 Airbus A320 series aircraft. The company also provides air-related services and products in conjunction with air transportation, including baggage fees, advance seat assignments, travel protection products, priority boarding, a customer convenience fee, food and beverage purchases on board, and other air-related services, as well as use of its call center for purchases. In addition, it offers third party travel products, such as hotel rooms and ground transportation, such as rental cars and hotel shuttle products; and air transportation services through fixed fee agreements and charter service on a year-round and ad-hoc basis. Further, the company operates a golf course. Allegiant Travel Company was founded in 1997 and is based in Las Vegas, Nevada.
About Corporacion America Airports
Corporación América Airports S.A., through its subsidiaries, acquires, develops, and operates airport concessions. It operates 52 airports in Latin America, Europe, and Eurasia. The company was formerly known as A.C.I. Airports International S.à r.l. and changed its name to Corporación América Airports S.A. in September 2017. The company was founded in 1998 and is based in Luxembourg City, Luxembourg. Corporación América Airports S.A. is a subsidiary of A.C.I. Airports S.à r.l.