WallStSmart

Allegiant Travel Company (ALGT)vsDelta Air Lines Inc (DAL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Delta Air Lines Inc generates 2369% more annual revenue ($65.18B vs $2.64B). DAL leads profitability with a 6.9% profit margin vs -1.3%. ALGT appears more attractively valued with a PEG of 0.85. DAL earns a higher WallStSmart Score of 67/100 (B-).

ALGT

Buy

59

out of 100

Grade: C

Growth: 6.0Profit: 3.5Value: 7.0Quality: 4.0
Piotroski: 4/9Altman Z: 1.18

DAL

Strong Buy

67

out of 100

Grade: B-

Growth: 7.3Profit: 5.5Value: 4.0Quality: 4.5
Piotroski: 4/9Altman Z: 1.20
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ALGTUndervalued (+17.3%)

Margin of Safety

+17.3%

Fair Value

$132.18

Current Price

$84.12

$48.06 discount

UndervaluedFair: $132.18Overvalued
DALSignificantly Overvalued (-58.1%)

Margin of Safety

-58.1%

Fair Value

$52.52

Current Price

$79.50

$26.98 premium

UndervaluedFair: $52.52Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ALGT3 strengths · Avg: 8.7/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

PEG RatioValuation
0.858/10

Growing faster than its price suggests

EPS GrowthGrowth
32.6%8/10

Earnings expanding 32.6% YoY

DAL6 strengths · Avg: 8.3/10
Market CapQuality
$54.57B9/10

Large-cap with strong market position

Return on EquityProfitability
22.0%9/10

Every $100 of equity generates 22 in profit

P/E RatioValuation
12.1x8/10

Attractively priced relative to earnings

Price/BookValuation
2.5x8/10

Reasonable price relative to book value

EPS GrowthGrowth
44.6%8/10

Earnings expanding 44.6% YoY

Free Cash FlowQuality
$1.23B8/10

Generating 1.2B in free cash flow

Areas to Watch

ALGT4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
4.8%4/10

4.8% revenue growth

Debt/EquityHealth
1.693/10

Elevated debt levels

Return on EquityProfitability
-3.1%2/10

ROE of -3.1% — below average capital efficiency

Altman Z-ScoreHealth
1.182/10

Distress zone — elevated risk

DAL4 concerns · Avg: 2.5/10
Profit MarginProfitability
6.9%3/10

6.9% margin — thin

Operating MarginProfitability
3.2%3/10

Operating margin of 3.2%

PEG RatioValuation
39.292/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.202/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : ALGT

The strongest argument for ALGT centers on Price/Book, PEG Ratio, EPS Growth. PEG of 0.85 suggests the stock is reasonably priced for its growth.

Bull Case : DAL

The strongest argument for DAL centers on Market Cap, Return on Equity, P/E Ratio. Revenue growth of 12.9% demonstrates continued momentum.

Bear Case : ALGT

The primary concerns for ALGT are Revenue Growth, Debt/Equity, Return on Equity. Debt-to-equity of 1.69 is elevated, increasing financial risk.

Bear Case : DAL

The primary concerns for DAL are Profit Margin, Operating Margin, PEG Ratio.

Key Dynamics to Monitor

ALGT profiles as a turnaround stock while DAL is a value play — different risk/reward profiles.

ALGT carries more volatility with a beta of 1.56 — expect wider price swings.

DAL is growing revenue faster at 12.9% — sustainability is the question.

DAL generates stronger free cash flow (1.2B), providing more financial flexibility.

Bottom Line

DAL scores higher overall (67/100 vs 59/100) and 12.9% revenue growth. ALGT offers better value entry with a 17.3% margin of safety. Both earn "Strong Buy" and "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.

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Delta Air Lines Inc

INDUSTRIALS · AIRLINES · USA

Delta Air Lines, Inc., typically referred to as Delta, is one of the major airlines of the United States and a legacy carrier. It is headquartered in Atlanta, Georgia.

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