Spirit Airlines (SAVE) stock jumps after JetBlue launches offer at 77% premium

Spirit Airlines stock jumps after JetBlue launches tender offer at near 77% premium Shares of Spirit Airlines Inc. SAVE, +3.85% soared 17.5% in premarket trading Monday, after JetBlue Airways Corp. JBLU, +5.01% said it launched a "fully financed" tender offer to buy all Spirit outstanding shares for $30 each, representing a 76.7% premium to Friday's closing price of $16.98. The tender offer comes after Spirit reiterated earlier in May its support for the merger deal with Frontier Group Holdings Inc. ULCC, +4.56% as it determined JetBlue's $33-per-share cash bid in April SAVE Valuation and Analyst Rating Discounted cash flow rating helps investors evaluate how much money goes into the investment, the timing of when that money is spent, how much money the investment generates, and when the investor can access the funds from the investment. Spirit Airlines, Inc. valuation is expected to reach a critical milestone after its latest Quarterly results, with a DCF valuation rating of 5 - Very Strong, which is suggest strong fundamentals. Wall Street analysts have given Spirit Airlines, Inc. a PE Rating of 1 - Very Weak, and a Return on Equity rating of 3 - Neutral. The ratings are given on a scale of 1 to 5, with 1 being a bad rating and 5 being an excellent rating. However one should also keep in mind, that these ratings can change over a period of time, and hence company's stock fundamentals are often called the backbone of it's valuation. Both ROA and ROE gauge a company's ability to generate earnings from its investments. But they don't exactly represent the same thing. A closer look at these two ratios reveals some key differences. Together, however, they provide a clearer representation of a company's performance. SAVE Wall Street Analyst Ratings A compilation of 21 analysts ratings, 9 of which have a buy rating, 2 of them suggest that the stock is overvalued and recommends selling the Spirit Airlines, Inc. stock, and the remaining 10 of them suggest holding the stock. It might be a good time to consider adding SAVE to your portfolio if you can get it below the proposed takeover price.

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Spirit Airlines (SAVE) stock jumps after JetBlue launches offer at 77% premium

May 16, 2022

bullish

general Analysis

[1 min Read]

Spirit Airlines stock jumps after JetBlue launches tender offer at near 77% premium

Shares of Spirit Airlines Inc. SAVE, +3.85% soared 17.5% in premarket trading Monday, after JetBlue Airways Corp. JBLU, +5.01% said it launched a "fully financed" tender offer to buy all Spirit outstanding shares for $30 each, representing a 76.7% premium to Friday's closing price of $16.98. The tender offer comes after Spirit reiterated earlier in May its support for the merger deal with Frontier Group Holdings Inc. ULCC, +4.56% as it determined JetBlue's $33-per-share cash bid in April

SAVE Valuation and Analyst Rating

Discounted cash flow rating helps investors evaluate how much money goes into the investment, the timing of when that money is spent, how much money the investment generates, and when the investor can access the funds from the investment. Spirit Airlines, Inc. valuation is expected to reach a critical milestone after its latest Quarterly results, with a DCF valuation rating of 5 - Very Strong, which is suggest strong fundamentals.

Wall Street analysts have given Spirit Airlines, Inc. a PE Rating of 1 - Very Weak, and a Return on Equity rating of 3 - Neutral.

The ratings are given on a scale of 1 to 5, with 1 being a bad rating and 5 being an excellent rating. However one should also keep in mind, that these ratings can change over a period of time, and hence company's stock fundamentals are often called the backbone of it's valuation.

Both ROA and ROE gauge a company's ability to generate earnings from its investments. But they don't exactly represent the same thing. A closer look at these two ratios reveals some key differences. Together, however, they provide a clearer representation of a company's performance.

SAVE Wall Street Analyst Ratings

A compilation of 21 analysts ratings, 9 of which have a buy rating, 2 of them suggest that the stock is overvalued and recommends selling the Spirit Airlines, Inc. stock, and the remaining 10 of them suggest holding the stock.

It might be a good time to consider adding SAVE to your portfolio if you can get it below the proposed takeover price.

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SAVE

Spirit Airlines, Inc.

24.45

-0.10
-0.41%

Return

31.59%
Change % Since Posting
5.87
Change Since Posting
18.58
Price When Posted

Metrics

23.58
Target Price
8/ 10
Confidence
1-2 Months
Timeframe
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