Contrasting Frontier Group (NASDAQ:ULCC) and ANA (OTCMKTS:ALNPY)

ANA (OTCMKTS:ALNPY) and Frontier Group (NASDAQ:ULCC) are both industrials companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, valuation, profitability, dividends, earnings, institutional ownership and risk.

Profitability

This table compares ANA and Frontier Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ANA	6.27%	12.24%	4.39%
Frontier Group	-9.29%	-35.54%	-1.62%

Valuation & Earnings

This table compares ANA and Frontier Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ANA	$16.87 billion	0.56	$1.12 billion	$0.41	9.93
Frontier Group	$3.72 billion	0.35	-$137.00 million	($1.68)	-3.34

ANA has higher revenue and earnings than Frontier Group. Frontier Group is trading at a lower price-to-earnings ratio than ANA, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

ANA has a beta of 0.46, suggesting that its share price is 54% less volatile than the S&P 500. Comparatively, Frontier Group has a beta of 2.57, suggesting that its share price is 157% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings for ANA and Frontier Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ANA	0	2	0	1	2.67
Frontier Group	3	6	0	0	1.67

Frontier Group has a consensus target price of $6.57, indicating a potential upside of 17.14%. Given Frontier Group’s higher probable upside, analysts plainly believe Frontier Group is more favorable than ANA.

Summary

ANA beats Frontier Group on 10 of the 12 factors compared between the two stocks.

About ANA

ANA Holdings Inc., together with its subsidiaries, provides air transportation services in Japan and internationally. It operates through Air Transportation, Aviation-Related Business, Travel Business, and Trading Business segments. The Air Transportation segment offers regular and irregular air transport of passengers, cargo, etc. on domestic and international routes. The Aviation-Related Business segment provides services incidental to air transportation, such as airport handling and maintenance. The Travel Business develops and sells travel products, as well as plans and sells package travel products. The Trading Business imports and exports aviation-related materials, as well as sells through stores and mail-order channels. The company was formerly known as All Nippon Airways Co., Ltd. and changed its name to ANA Holdings Inc. in April 2013. ANA Holdings Inc. was incorporated in 1920 and is headquartered in Minato, Japan.

About Frontier Group

Frontier Group Holdings, Inc., provides low-fare passenger airline services to leisure travelers in the United States and Latin America. The company sells its products through direct distribution channels, including its website, mobile app, and contact centers. As of December 31, 2023, it had a fleet of 136 Airbus single-aisle aircrafts. Frontier Group Holdings, Inc. was founded in 1994 and is headquartered in Denver, Colorado.