Sun Country Airlines Holdings, Inc. (SNCY) stock is soaring 5.70% in pre-market trading on Friday following the release of its impressive first-quarter earnings report. The low-cost carrier exceeded analyst expectations, demonstrating resilience in a challenging market environment.
The company reported adjusted earnings of $0.72 per share for the quarter ended March 31, surpassing the mean analyst estimate of $0.71. This performance also marked an improvement from the same quarter last year when the company reported earnings of $0.66 per share. Revenue rose 4.9% to $326.65 million, slightly below the expected $329.84 million but still showing solid growth. Sun Country's net income for the quarter stood at $36.54 million.
Despite the positive earnings report, Sun Country's stock has faced headwinds in recent months. The company's shares had fallen by 20.5% this quarter and lost 32.8% year-to-date prior to this pre-market surge. However, analysts remain optimistic about Sun Country's prospects, with the current average rating being "buy". Wall Street's median 12-month price target for the stock is $14.50, suggesting potential upside. The strong Q1 results may help reverse the recent downtrend and boost investor confidence in the airline's performance moving forward.
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