Allegiant Travel Company (ALGT)

Return on equity (ROE)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	117,596	172,027	150,634	66,523	2,493	-39,279	46,434	137,103	151,853	112,312	43,915	-144,215	-184,093	-94,734	-21,662	141,984	232,117	213,042	184,260	163,733
Total stockholders’ equity	US$ in thousands	1,328,560	1,343,140	1,373,560	1,271,400	1,220,700	1,188,970	1,232,370	1,222,300	1,223,550	1,191,060	1,147,130	709,654	699,363	711,698	736,560	809,902	883,551	826,608	804,509	738,454
ROE		8.85%	12.81%	10.97%	5.23%	0.20%	-3.30%	3.77%	11.22%	12.41%	9.43%	3.83%	-20.32%	-26.32%	-13.31%	-2.94%	17.53%	26.27%	25.77%	22.90%	22.17%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $117,596K ÷ $1,328,560K
= 8.85%

Allegiant Travel's return on equity (ROE) has shown fluctuations over the past eight quarters. In Q4 2023, the ROE stood at 8.54%, representing a moderate return generated on shareholders' equity. This was a decrease from Q3 2023, where the ROE was higher at 12.41%. Q2 2023 also saw a relatively strong ROE of 10.61%. However, Q1 2023 reported a lower ROE of 5.13%.

Comparing the recent performance to the same period in the prior year, Allegiant Travel has seen a significant improvement in its ROE. In Q4 2022, the ROE was a mere 0.20%, indicating a substantial growth in profitability over the year. Furthermore, the company managed to recover from negative ROE figures in Q3 2022 (-3.33%) to achieve positive returns in the subsequent quarters.

Overall, Allegiant Travel's ROE has shown resilience and improvement over the past year, with a positive trend in profitability. However, monitoring future ROE figures will be essential to assess the company's ability to efficiently utilize shareholders' equity and generate returns.