Air Transport Services Group (NASDAQ:ATSG) Shares Gap Down on Disappointing Earnings

Posted by Defense World Staff on May 6th, 2023

Air Transport Services Group, Inc. (NASDAQ:ATSG – Get Rating)’s stock price gapped down before the market opened on Friday following a weaker than expected earnings announcement. The stock had previously closed at $19.86, but opened at $18.19. Air Transport Services Group shares last traded at $16.15, with a volume of 156,612 shares.

The transportation company reported $0.36 EPS for the quarter, missing analysts’ consensus estimates of $0.47 by ($0.11). The firm had revenue of $501.10 million for the quarter, compared to the consensus estimate of $510.80 million. Air Transport Services Group had a return on equity of 14.23% and a net margin of 9.71%. The company’s quarterly revenue was up 3.1% on a year-over-year basis. During the same period in the prior year, the business earned $0.56 EPS.

Analysts Set New Price Targets

A number of analysts have recently weighed in on the company. StockNews.com assumed coverage on Air Transport Services Group in a research report on Thursday, March 16th. They set a “hold” rating on the stock. Stifel Nicolaus dropped their price target on Air Transport Services Group from $31.00 to $27.00 and set a “buy” rating on the stock in a research report on Monday, February 27th. TheStreet cut Air Transport Services Group from a “b-” rating to a “c+” rating in a research report on Friday, March 24th. Susquehanna lowered their target price on Air Transport Services Group from $35.00 to $25.00 in a research report on Tuesday, February 28th. Finally, Truist Financial lowered their target price on Air Transport Services Group from $29.00 to $22.00 and set a “hold” rating on the stock in a research report on Monday, February 27th.

Insider Activity at Air Transport Services Group

In other Air Transport Services Group news, COO Edward Joseph Koharik III bought 2,000 shares of the firm’s stock in a transaction dated Monday, March 13th. The stock was acquired at an average price of $20.39 per share, with a total value of $40,780.00. Following the completion of the transaction, the chief operating officer now directly owns 35,713 shares in the company, valued at approximately $728,188.07. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. In other news, COO Edward Joseph Koharik III acquired 2,000 shares of Air Transport Services Group stock in a transaction that occurred on Monday, March 13th. The stock was purchased at an average price of $20.39 per share, with a total value of $40,780.00. Following the completion of the transaction, the chief operating officer now owns 35,713 shares in the company, valued at $728,188.07. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, Director Jeffrey J. Vorholt acquired 1,250 shares of Air Transport Services Group stock in a transaction that occurred on Friday, March 10th. The shares were purchased at an average cost of $20.80 per share, with a total value of $26,000.00. Following the transaction, the director now owns 33,700 shares of the company’s stock, valued at approximately $700,960. The disclosure for this purchase can be found here. Insiders have acquired a total of 8,375 shares of company stock worth $177,069 in the last three months. 2.20% of the stock is owned by company insiders.

Institutional Trading of Air Transport Services Group

A number of institutional investors have recently bought and sold shares of the company. River Road Asset Management LLC boosted its position in Air Transport Services Group by 1.2% during the first quarter. River Road Asset Management LLC now owns 8,475,108 shares of the transportation company’s stock valued at $176,536,000 after purchasing an additional 104,038 shares during the last quarter. Vanguard Group Inc. boosted its position in Air Transport Services Group by 19.2% during the first quarter. Vanguard Group Inc. now owns 6,379,988 shares of the transportation company’s stock valued at $213,411,000 after purchasing an additional 1,029,325 shares during the last quarter. Dimensional Fund Advisors LP boosted its position in Air Transport Services Group by 7.9% during the fourth quarter. Dimensional Fund Advisors LP now owns 3,636,293 shares of the transportation company’s stock valued at $94,473,000 after purchasing an additional 266,062 shares during the last quarter. Barrow Hanley Mewhinney & Strauss LLC raised its holdings in Air Transport Services Group by 3.2% during the fourth quarter. Barrow Hanley Mewhinney & Strauss LLC now owns 2,153,258 shares of the transportation company’s stock valued at $55,942,000 after buying an additional 65,995 shares in the last quarter. Finally, JPMorgan Chase & Co. raised its holdings in Air Transport Services Group by 1.8% during the fourth quarter. JPMorgan Chase & Co. now owns 1,435,899 shares of the transportation company’s stock valued at $37,304,000 after buying an additional 26,055 shares in the last quarter. Institutional investors and hedge funds own 95.77% of the company’s stock.

Air Transport Services Group Trading Down 24.8 %

The company has a fifty day simple moving average of $20.49 and a two-hundred day simple moving average of $24.80. The company has a debt-to-equity ratio of 1.04, a current ratio of 1.36 and a quick ratio of 1.17. The company has a market capitalization of $1.07 billion, a P/E ratio of 6.58 and a beta of 0.76.

About Air Transport Services Group

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Air Transport Services Group, Inc engages in the provision of airline operations, aircraft leases, aircraft maintenance, and other support services primarily to the cargo transportation and package delivery industries. It operates through the CAM and ACMI Services segments. The CAM segment consists of the company’s aircraft leasing operations.