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ULCCFrontier Group Holdings, Inc.
$7.36$1.7B
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Frontier Group Holdings, Inc. (ULCC) Financial Ratios

Latest Ratios: P/E Ratio -12.3x · EV/EBITDA N/A · ROE -25.0%. (2015–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

ULCC Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2016FY 2015
Market Cap$1.7B$1.1B$1.6B$1.2B$2.2B$2.9B—————
Enterprise Value$6.5B$5.9B$5.3B$4.1B$4.4B$4.9B—————
P/E Ratio →-12.27—18.71————————
P/S Ratio0.450.290.430.330.671.43—————
P/B Ratio3.452.212.662.374.395.56—————
P/FCF—————19.25—————
P/OCF—————13.64—————

P/E links to full P/E history page with 30-year chart

ULCC EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2016FY 2015
EV / Revenue—1.581.411.131.322.37—————
EV / EBITDA——41.0286.21———————
EV / EBIT——106.66122.78———————
EV / FCF—————31.87—————

ULCC Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2016FY 2015
Gross Margin35.5%35.5%51.3%8.4%8.5%-9.8%-31.2%20.1%17.3%30.6%29.5%
Operating Margin-4.0%-4.0%1.5%-0.1%-1.4%-5.7%-29.2%12.3%4.3%18.5%14.5%
Net Profit Margin-3.7%-3.7%2.3%-0.3%-1.1%-5.0%-18.0%10.0%3.7%11.7%9.1%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2016FY 2015
ROE-25.0%-25.0%15.3%-2.2%-7.1%-24.3%-52.8%61.1%22.0%50.8%42.7%
ROA-2.0%-2.0%1.5%-0.2%-0.8%-2.6%-6.1%9.3%5.6%16.2%12.9%
ROIC-2.3%-2.3%1.1%-0.1%-1.3%-3.5%-11.3%22.3%—201.5%112.0%
ROCE-3.2%-3.2%1.5%-0.1%-1.5%-4.3%-14.1%18.5%12.1%44.5%36.6%

ULCC Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2016FY 2015
Debt / Equity11.1311.137.406.825.755.388.434.620.760.550.68
Debt / EBITDA——34.3773.60———7.061.260.630.81
Net Debt / Equity—9.766.175.624.263.647.213.21-1.73-0.82-0.54
Net Debt / EBITDA——28.6860.64———4.90-2.85-0.93-0.65
Debt / FCF—————12.62—15.94-3.72-1.76-3.00
Interest Coverage-13.55-13.5512.5033.00-4.20-3.97-30.00—27.25106.3346.60

ULCC Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2016FY 2015
Current Ratio0.460.460.530.530.660.780.650.751.111.311.09
Quick Ratio0.460.460.490.480.620.760.630.741.081.271.07
Cash Ratio0.320.320.400.370.490.690.380.610.901.110.85
Asset Turnover—0.520.610.720.740.490.350.651.421.281.42
Inventory Turnover——23.2741.6155.3578.0091.11100.2599.0662.63113.10
Days Sales Outstanding—8.728.999.7610.7510.9962.7814.7011.8510.0117.29

ULCC Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2016FY 2015
Dividend Yield———————————
Payout Ratio———————63.3%263.8%50.5%—

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2016FY 2015
Earnings Yield——5.3%————————
FCF Yield—————5.2%—————
Buyback Yield0.0%0.0%0.0%0.4%0.0%0.0%—————
Total Shareholder Yield0.0%0.0%0.0%0.4%0.0%0.0%—————
Shares Outstanding—$230M$226M$220M$218M$217M$215M$215M$216M$214M$214M

Key Metrics

Growth RegimeMixed
ProfitabilityNegative
Balance SheetVulnerable
Cash FlowBurning
Top Statement Risk

Structural Margin Erosion

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q1)

Market Pricing Reflects Earnings Distress

According to current market data, Frontier's P/S ratio of 0.48 suggests that investors are heavily discounting the company's revenue-generating potential, likely due to the absence of a positive P/E ratio and the persistent inability to convert top-line growth into sustainable bottom-line earnings compared to industry peers.

The lack of a forward P/E ratio underscores the market's uncertainty regarding the timing of a return to profitability. Investors appear to be pricing the stock as a distressed asset, where the valuation is tethered more to survival and liquidity preservation than to traditional growth-based multiples.

Capital Returns Indicate Structural Decay

Based on reported financial statements, Frontier's ROIC has trended into negative territory, reaching -5.0% in 2026Q1, which suggests that the company is currently destroying shareholder value rather than compounding it through its aggressive fleet expansion and capital-intensive operational strategy in the ultra-low-cost carrier segment.

The consistent decay in ROIC relative to historical periods indicates that the cost of capital deployed for new aircraft is not being offset by incremental operating income. This trend warrants further investigation into whether the current fleet modernization strategy is fundamentally misaligned with the company's actual yield environment.

Working Capital Efficiency Remains Volatile

As reported in recent quarterly filings, Frontier's asset turnover ratio has remained stagnant at approximately 0.14, indicating that the company's massive investment in aircraft is failing to drive a proportional increase in revenue, which highlights a significant inefficiency in the utilization of its primary operating assets.

The inability to improve asset turnover suggests that the company's capacity growth is outpacing demand, leading to underutilized aircraft. Investors should monitor whether management can optimize its route network to improve load factors and asset productivity before further capital is committed to fleet expansion.

Debt Burden Constrains Financial Flexibility

According to the latest balance sheet data, Frontier's debt-to-equity ratio has surged to 23.64, a dramatic escalation that signals extreme financial vulnerability and suggests that the company's reliance on external financing has reached a level that may limit its strategic options in a high-interest-rate environment.

The negative interest coverage ratio of -82.50 in 2026Q1 confirms that the company is currently unable to service its debt obligations through operating income alone. This level of leverage appears unsustainable and suggests that the firm may face significant refinancing risks if operational performance does not improve rapidly.

Misapplication of Traditional Airline Multiples

The P/E ratio is frequently misapplied to Frontier's business model, as it obscures the company's reliance on ancillary revenue and the impact of non-cash lease accounting, which often renders traditional earnings-based valuation metrics irrelevant for a company currently operating with negative net margins and high capital intensity.

Analysts should instead focus on EV/EBITDAR to normalize for the heavy lease-based cost structure inherent in the ULCC model. Relying on P/E in this context ignores the underlying cash-generating dynamics and the significant impact of off-balance-sheet lease obligations on the company's true economic leverage.

Download Financial Ratios Data

Includes 30+ ratios · 10 years · Updated daily

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ULCC — Frequently Asked Questions

Quick answers to the most common questions about buying ULCC stock.

What is Frontier Group Holdings, Inc.'s P/E ratio?

Frontier Group Holdings, Inc.'s current P/E ratio is -12.3x. The historical average is 18.7x.

What is Frontier Group Holdings, Inc.'s ROE?

Frontier Group Holdings, Inc.'s return on equity (ROE) is -25.0%. The historical average is 8.0%.

Is ULCC stock overvalued?

Based on historical data, Frontier Group Holdings, Inc. is trading at a P/E of -12.3x. Compare with industry peers and growth rates for a complete picture.

What are Frontier Group Holdings, Inc.'s profit margins?

Frontier Group Holdings, Inc. has 35.5% gross margin and -4.0% operating margin.