Sun Country Airlines vs Frontier Which Offers More Value?

Sun Country Airlines and Frontier Airlines are two prominent players in the aviation industry, each offering unique services and strategies that have had a significant impact on their stock performance. Sun Country Airlines, a low-cost carrier based in the United States, has seen steady growth and profitability in recent years, leading to a rise in its stock value. On the other hand, Frontier Airlines, known for its ultra-low fares and ancillary revenue model, has also shown resilience in the market, despite industry challenges. This comparison aims to explore the key differences and similarities between Sun Country and Frontier stocks, shedding light on what sets them apart in the competitive airline market.

Sun Country Airlines or Frontier?

When comparing Sun Country Airlines and Frontier, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Sun Country Airlines and Frontier.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Sun Country Airlines has a dividend yield of -%, while Frontier has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Sun Country Airlines reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Frontier reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Sun Country Airlines P/E ratio at 17.09 and Frontier's P/E ratio at -221.87. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Sun Country Airlines P/B ratio is 1.40 while Frontier's P/B ratio is 2.42.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Sun Country Airlines has seen a 5-year revenue growth of 0.86%, while Frontier's is 0.62%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Sun Country Airlines's ROE at 8.37% and Frontier's ROE at -1.17%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $14.13 for Sun Country Airlines and $5.89 for Frontier. Over the past year, Sun Country Airlines's prices ranged from $9.22 to $17.56, with a yearly change of 90.46%. Frontier's prices fluctuated between $2.79 and $8.33, with a yearly change of 198.57%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.