Mesa Air Group Inc. (NASDAQ: MESA) stock jumped 0.77% on Monday to $2.61 against a previous-day closing price of $2.59. With 0.53 million shares changed hands, the volume of the stock remained heavier than its average volume of 0.43 million shares. During the session, the Airlines company that operates in wider Industrials sector, reached to the highest price of $2.7050 whereas the lowest price it dropped to was $2.5200. The 52-week range on MESA shows that it touched its highest point at $5.36 and its lowest point at $1.03 during that stretch. It currently has a 1-year price target of $2.33. Beta for the stock currently stands at 2.28.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of MESA was up-trending over the past week, with a rise of 7.85%, but this was up by 135.14% over a month. Three-month performance surged to 93.33% while six-month performance rose 24.29%. The stock lost -49.02% in the past year, while it has gained 70.59% so far this year. A look at the trailing 12-month EPS for MESA yields -5.04 with Next year EPS estimates of -0.86. For the next quarter, that number is -0.35. This implies an EPS growth rate of -270.30% for this year and 21.10% for next year. EPS is expected to grow by 1.00% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of -49.30%.
Float and Shares Shorts:
At present, 36.34 million MESA shares are outstanding with a float of 34.88 million shares on hand for trading. On Oct 13, 2022, short shares totaled 0.87 million, which was 2.40% higher than short shares on Sep 14, 2022. In addition to Mr. Jonathan G. Ornstein as the firm’s Chairman & CEO, Mr. Michael J. Lotz serves as its Pres.
Through their ownership of 44.47% of MESA’s outstanding shares, institutional investors have minority control over the company. Other institutions hold 24.45% of MESA, in contrast to 12.50% held by mutual funds. Shares owned by individuals account for 11.28%. As the largest shareholder in MESA with 4.77% of the stake, Merrill Lynch, Pierce, Fenner & S holds 1,730,784 shares worth 1,730,784. A second-largest stockholder of MESA, The Vanguard Group, Inc., holds 1,683,942 shares, controlling over 4.64% of the firm’s shares. Royce & Associates LP is the third largest shareholder in MESA, holding 1,004,727 shares or 2.77% stake. With a 3.06% stake in MESA, the Vanguard Total Stock Market Index is the largest stakeholder. A total of 1,109,713 shares are owned by the mutual fund manager. The Royce Small-Cap Opportunity Fund, which owns about 1.81% of MESA stock, is the second-largest Mutual Fund holder. It holds 656,409 shares valued at 1.0 million. Vanguard Extended Market Index Fu holds 1.23% of the stake in MESA, owning 447,703 shares worth 0.68 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for MESA since 4 analysts follow the stock currently. There are 0 analysts who recommend BUY ratings, while 1 suggest SELL ratings. Of the remaining analysts, 3 believe that the stock is worth HOLDING, 0 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With MESA analysts setting a high price target of $3.50 and a low target of $1.50, the average target price over the next 12 months is $2.33. Based on these targets, MESA could surge 34.1% to reach the target high and fall by -42.53% to reach the target low. Reaching the average price target will result in a decline of -10.73% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. MESA will report FY 2023 earnings on 12/13/2023. Analysts have provided yearly estimates in a range of -$0.35 being high and -$1.47 being low. For MESA, this leads to a yearly average estimate of -$0.77. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Mesa Air Group Inc. surprised analysts by -$0.08 when it reported -$0.37 EPS against a consensus estimate of -$0.29. The surprise factor in the prior quarter was $0.03. Based on analyst estimates, the high estimate for the next quarter is -$0.25 and the low estimate is -$0.70. The average estimate for the next quarter is thus -$0.46.
Summary of Insider Activity:
Insiders traded MESA stock several times over the past three months with 0 Buys and 0 Sells. In these transactions, 0 shares were bought while 0 shares were sold. The number of buy transactions has increased to 20 while that of sell transactions has risen to 8 over the past year. The total number of shares bought during that period was 398,455 while 127,971 shares were sold.