02:33 PM EDT, 07/07/2025 (MT Newswires) -- Allegiant Travel ( ALGT ) will meet its revenue per available seat mile expectations for Q2, as demand trends have stabilized with solid bookings at lower yields, and cost per available seat mile is projected to be down due to capacity growth, UBS Securities said in an earnings preview on Monday.

The firm said Allegiant's stable booking trends with lower yields are expected to continue in Q3 with moderated capacity growth that will support revenue per available seat mile and lessen the year-over-year pressure.

Given the consistent and stable trends observed for several months, Allegiant will provide a fiscal year 2025 outlook that will include further capacity moderations in Q4, according to the preview.

UBS reduced its price target on the company's stock to $59 from $60 with a neutral rating.

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