Allegiant Travel Company, a leisure travel company, provides travel services and products to residents of under-served cities in the United States. The company offers scheduled air transportation on limited-frequency, nonstop flights between under-served cities and leisure destinations. As of February 14, 2022, it operated a fleet of 110 Airbus A320 series aircraft. The company also provides air-related services and products in conjunction with air transportation, including baggage fees, advance seat assignments, travel protection products, priority boarding, a customer convenience fee, food and beverage purchases on board, and other air-related services, as well as use of its call center for purchases. In addition, it offers third party travel products, such as hotel rooms and ground transportation, such as rental cars and hotel shuttle products; and air transportation services through fixed fee agreements and charter service on a year-round and ad-hoc basis. Further, the company operates a golf course. Allegiant Travel Company was founded in 1997 and is based in Las Vegas, Nevada.
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- A flying Carnival Cruise Line.
- A no-frills Southwest Airlines for vacationers.
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- Scheduled Passenger Air Transportation: Provides low-cost, nonstop air travel primarily from smaller, underserved cities to popular leisure destinations.
- Ancillary Air Services: Offers a variety of optional services and amenities for purchase, such as baggage allowance, seat assignments, priority boarding, and in-flight food and beverages.
- Vacation Packages: Bundles airfare with hotel accommodations, rental cars, and activity tickets, primarily for leisure travelers seeking complete vacation experiences.
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Allegiant Travel (symbol: ALGT) primarily sells to individuals.
The categories of customers it serves are:
- Leisure Travelers/Vacationers: Allegiant's core market consists of individuals and families traveling for leisure, particularly to popular vacation destinations such as Florida, Arizona, and Nevada (Las Vegas). They often seek vacation packages that combine flights with hotels and car rentals.
- Price-Sensitive Travelers: As an ultra-low-cost carrier, Allegiant appeals to customers prioritizing affordability and seeking the lowest possible airfares, often willing to forego traditional airline amenities for cost savings.
- Residents of Smaller/Underserved Cities: Allegiant strategically serves smaller, regional airports that often lack direct service to popular leisure destinations from major airlines, catering to residents of these communities who desire convenient, non-stop access to vacation spots.
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Allegiant Travel Company's management team includes experienced leaders with diverse backgrounds in the aviation and hospitality industries.
Gregory C. Anderson
CEO, President, and Director
Gregory C. Anderson was promoted to Chief Executive Officer in September 2024 and has served as President since August 2022. He was Allegiant's Chief Financial Officer from April 2019 until January 2023 and Executive Vice President from April 2019 until August 2022. Anderson joined Allegiant in 2010 in the accounting department and previously worked in corporate accounting for U.S. Airways and in public accounting for Ernst & Young, with a focus on the commercial aviation sector. He is a certified public accountant.
Robert J. Neal
President, Senior Vice President, and Chief Financial Officer
Robert J. Neal was named President in November 2025, while retaining his duties as Chief Financial Officer, a role he assumed in January 2023. He oversees financial and strategic planning, operational and administrative departments, and areas such as investor relations, procurement, fleet operations, and human resources. Neal joined Allegiant in 2007 and has held progressively senior roles, leading capital-raising initiatives and managing the company's cost structure and fleet portfolio. He played a significant role in the company's 2021 order for up to 100 new Boeing 737 aircraft and a $550 million corporate debt refinancing.
Maurice J. Gallagher, Jr.
Executive Chairman of the Board
Maurice J. Gallagher, Jr. has been actively involved in Allegiant since becoming its majority owner and joining the board of directors in 2001. He served as Chief Executive Officer from 2003 to September 2024 and was designated Chairman of the Board in 2006. Prior to Allegiant, Mr. Gallagher founded and was involved with other companies. He was a co-founder of ValuJet Airlines, Inc. (a predecessor of AirTran Airways, which was later acquired by Southwest Airlines) and served as an officer and director from 1993 until 1997. From 1983 to 1992, he was a principal owner and executive of WestAir Commuter Airlines. He also founded non-aviation businesses in telecommunications.
Scott D. Sheldon
Executive Vice President
Scott D. Sheldon has been the Executive Vice President at Allegiant Travel Company. He previously served as both Chief Operating Officer and Chief Financial Officer, roles he assumed in October 2017. Sheldon joined Allegiant in 2004 as director of accounting and served as principal accounting officer from 2007 to 2010 before his appointment as CFO. Before Allegiant, he worked for the firm Perry-Smith, LLP. Scott Sheldon resigned from his roles as President and Chief Operating Officer, effective April 1, 2023, to pursue entrepreneurial opportunities.
Tracy Tulle
Senior Vice President, Chief Experience Officer
Tracy Tulle serves as the Senior Vice President, Chief Experience Officer. In her previous role as Senior Vice President, Flight Crew Operations, she oversaw the flight operations and in-flight services departments and chaired the Customer Experience Leadership Team.
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- Newer Ultra-Low-Cost Carriers (ULCCs) focusing on underserved markets. Airlines such as Avelo Airlines and Breeze Airways have launched relatively recently (early 2020s) and are expanding networks with business models highly similar to Allegiant's: point-to-point service from smaller or secondary airports to leisure destinations, often bypassing traditional hubs. While Allegiant has long dominated this niche, the rapid growth and strategic alignment of these newer entrants represent an emerging competitive threat to Allegiant's core strategy, potentially leading to increased competition for passengers and routes in their target markets.
- The highly competitive landscape of the leisure accommodation sector, particularly from alternative lodging options like short-term rentals (e.g., Airbnb, Vrbo), for their Sunseeker Resort venture. Allegiant's significant investment in and recent opening of the Sunseeker Resort means they have diversified into the hospitality industry. While the resort offers a full-service experience, it directly competes for leisure travelers with a fragmented but powerful market of alternative lodging options. The continued growth and popularity of platforms like Airbnb and Vrbo offer travelers different value propositions that could divert potential guests away from large integrated resorts like Sunseeker, thereby impacting occupancy rates and profitability. For Allegiant, this is an emerging threat as they are now directly exposed to competitive dynamics in the hospitality sector that they previously were not.
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Allegiant Travel Company (ALGT) primarily serves the U.S. leisure travel market through its ultra-low-cost airline operations and bundled vacation packages.
Addressable Markets:
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U.S. Leisure Travel Market: The U.S. leisure travel market size reached approximately USD 229.82 billion in 2024. This market is projected to grow to about USD 415.11 billion by 2033, demonstrating a Compound Annual Growth Rate (CAGR) of 6.79% between 2025 and 2033. Total domestic travel spending, with leisure travel accounting for over USD 900 billion, was recorded in 2024.
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U.S. Airline Market: The U.S. aviation market, which includes Allegiant's core airline operations, is projected to grow from an estimated USD 84.98 billion in 2024 to USD 122.82 billion by 2035, at a CAGR of 3.75% during the forecast period of 2025–2035. The U.S. and Canada travel market size was estimated at USD 1,537.7 billion in 2024, with the U.S. accounting for over 95% of this market.
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U.S. Vacation Packages/Customized Holiday Market: The customized holiday market in the U.S. was valued at USD 134.2 billion in 2024 and is anticipated to exceed USD 463.6 billion by 2034, with a projected CAGR of 13.2% over the forecast period. The U.S. packaged travel segment, which aligns with Allegiant's bundled offerings of flights, hotels, and car rentals, grew to USD 14.5 billion in 2022. The USA Travel Agency Services Industry, encompassing the sale of luxury tour packages and guided tours, is estimated to generate USD 35 billion in 2024 and is projected to reach USD 172 billion by 2035.
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Here are 3-5 expected drivers of future revenue growth for Allegiant Travel (ALGT) over the next 2-3 years:
- Network Expansion and Increased Capacity: Allegiant is actively pursuing significant network expansion by adding numerous new nonstop routes and introducing service to new cities, with a particular focus on underserved communities and popular leisure destinations. This strategy aims to meet customer demand and broaden its market presence, with recent announcements including 44 new nonstop routes and three new cities in late 2024 for flights starting in February 2025, and additional routes launching through early 2026. The company anticipates a 9.5% year-over-year growth in System Available Seat Miles (ASMs) for Q4 2025 and planned a 17% increase in overall capacity for 2025.
- Growth in Ancillary Revenues: Allegiant expects continued growth from its ancillary products and services. Specifically, the "Allegiant Extra" premium seating product is anticipated to contribute incremental revenue, with its deployment increasing across the fleet. The co-branded credit card program is also a significant and growing source of steady incremental cash flows, with remuneration projected to continue increasing from the $140 million expected in 2025.
- Fleet Modernization and Operational Efficiency: The integration of new Boeing 737 MAX aircraft is a key driver. Allegiant expects to have 16 MAX aircraft in service by year-end 2025, with the MAX fleet projected to comprise over 20% of its ASMs in 2026. These new aircraft are expected to drive efficiency, enhance margins, and provide greater earning potential by replacing older models. The company is also focused on increasing peak utilization to achieve nine hours of utilization per aircraft per day during peak periods in 2025, further optimizing its existing assets.
- Strong Leisure Demand and Targeted Market Strategy: Allegiant's business model is specifically designed to cater to leisure travelers, connecting secondary and tertiary cities with nonstop flights to vacation hubs. The company's expansion is driven by robust leisure demand, particularly around holidays, summer, weekends, and school breaks. Allegiant's commitment to providing ultra-low-cost airfare to underserved communities also positions it to capture a growing segment of value-driven travelers.
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Share Repurchases
- Allegiant repurchased shares worth $6 million in 2024.
- The company repurchased shares totaling $11.1 million in the first quarter of 2025.
- As of March 31, 2025, approximately $64.7 million remained authorized under the board-approved share repurchase program.
Share Issuance
- On May 5, 2021, Allegiant priced an underwritten public offering of 1,350,000 shares of its common stock at $219.00 per share, generating aggregate gross proceeds of $295.65 million.
- For the full year 2021, proceeds from the issuance of common stock were reported as $335.1 million, intended for airline growth opportunities, general corporate purposes, aircraft acquisition, and debt repayment.
Outbound Investments
- Allegiant opened its Sunseeker Resort Charlotte Harbor on December 15, 2023.
- The company sold the Sunseeker Resort on September 4, 2025, for a sale price of $200 million, receiving $189.9 million in cash proceeds.
- The sale of Sunseeker Resort in 2025 resulted in total charges of $105.1 million, including a $100.4 million write-down in 2025, following a $321.8 million impairment charge in the fourth quarter of 2024.
Capital Expenditures
- Allegiant committed to purchasing 50 new Boeing 737 MAX aircraft in December 2021, with deliveries scheduled from 2023 to 2025, and held options for an additional 50 aircraft.
- Capital expenditures totaled $274.9 million for the nine months ended September 30, 2024, and increased to $334.1 million for the nine months ended September 30, 2025.
- The estimated full-year capital expenditures for 2025 are approximately $435 million, primarily focused on integrating the new 737 MAX fleet, which is expected to comprise over 20% of available seat miles (ASMs) in 2026.
