Core Viewpoint - Allegiant Travel reported a wider-than-expected loss in Q3 2025, raising questions about the sustainability of its recent stock performance, which has outperformed the S&P 500 by 10.1% over the past month [1][2]. Financial Performance - Allegiant Travel posted a Q3 2025 loss of $2.09 per share, exceeding the Zacks Consensus Estimate of a loss of $1.84 per share, and compared to a loss of $2.02 per share in the same quarter last year [3]. - Operating revenues were $561.9 million, missing the Zacks Consensus Estimate of $580.4 million, and fell 0.1% year-over-year. Passenger revenues, which made up 87.9% of total revenues, increased by 1.1% year-over-year [3]. Operational Metrics - Air traffic, measured in revenue passenger miles, grew by 8.7% year-over-year, while capacity, measured in available seat miles (ASMs), increased by 10.2% [4]. - The load factor decreased to 84.3% from 85.6% as traffic growth did not keep pace with capacity expansion [4]. - Airline operating costs per available seat mile, excluding fuel, decreased by 4.7% year-over-year to 8.47 cents, and the average fuel cost per gallon fell by 4.9% year-over-year to $2.55 [5]. Liquidity Position - As of September 30, 2025, Allegiant's total unrestricted cash and investments were $991.2 million, up from $852.7 million in the previous quarter. Long-term debt and finance lease obligations totaled $1.78 billion, slightly up from $1.77 billion [6]. Future Guidance - For Q4 2025, scheduled service ASMs are expected to increase by 10% year-over-year, with total system ASMs projected to rise by 9.5% [7]. - Adjusted earnings per share for Q4 are anticipated to be in the range of $1.50 to $2.50, with an expected adjusted operating margin of 10% to 12% [7]. - For the full year 2025, adjusted consolidated EPS is now expected to exceed $3.00, up from a prior estimate of above $2.25, while adjusted EPS for the airline is anticipated to be above $4.35 [8][9]. Estimate Revisions - In the past month, there has been a notable upward trend in fresh estimates, with the consensus estimate shifting by 58.26% [10]. VGM Scores - Allegiant Travel currently holds a subpar Growth Score of D, but a better Momentum Score of B, and an A score on the value side, placing it in the top quintile for value investors. The overall aggregate VGM Score is B [11]. Industry Context - Allegiant Travel is part of the Zacks Transportation - Airline industry, which has seen American Airlines gain 8.5% over the past month. American Airlines reported revenues of $13.69 billion for the last quarter, reflecting a year-over-year change of +0.3% [13].

Core Points - Air Canada flight attendants overwhelmingly rejected the company's wage offer with a 99.1% vote against ratification and a voter turnout of 99.4% [1][2] Wage Offer Details - Air Canada proposed a 12% wage increase for Rouge flight attendants and mainline flight attendants with five years of service or less, and an 8% increase for mainline flight attendants with six years or more. The offer included annual increases of 3%, 2.5%, and 2.75% over the remaining years of a proposed four-year contract [3] Wage Comparison - Despite the proposed increases, flight attendants would still earn below the federal minimum wage of $17.75 per hour, with full-time Rouge flight attendants earning $2,219 per month and mainline flight attendants earning $2,522 per month [2] Government's Role - The federal government was criticized for its involvement in the negotiations, allegedly providing Air Canada with leverage to suppress flight attendants' wages [4] Future Negotiations - The wage issue will move to mediation and potentially arbitration, while the recognition of flight attendants' safety roles and compensation remains unresolved. Some progress was made in obtaining partial pay for ground duties [5]

Core Insights - ZTO Express reported second-quarter 2025 earnings of 35 cents per share, a decline from the previous year, while total revenues increased to $1.65 billion [1][8] - The company revised its 2025 parcel volume guidance down to 38.8 billion to 40.1 billion, reflecting a year-over-year growth of 14-18%, from a prior estimate of 40.8 billion to 42.2 billion, which indicated 20-24% growth [1][8] Financial Performance - Revenues from the core express delivery business rose by 11% year over year, driven by a 16.5% increase in parcel volume, despite a 4.7% decrease in parcel unit price [3] - Gross profit decreased by 18.7% compared to the same quarter last year, with the gross margin rate falling to 24.9% from 33.8% [4][8] - Total operating expenses increased to RMB469.3 million ($65.5 million) from RMB405.3 million in the prior year [4] Operational Highlights - ZTO Express handled over 9.8 billion parcels in the second quarter, achieving an adjusted net income of 2.1 billion [2] - Retail volume growth remained strong, exceeding 50% compared to the previous year, positively impacting overall margins [2] - Revenue from KA (Key Accounts) increased significantly by 149.7% due to a rise in e-commerce return parcels [3] Cash Position - At the end of the second quarter, ZTO Express had cash and cash equivalents of $1.85 billion, up from $1.71 billion at the end of the previous quarter [5]

Core Insights - ZTO Express reported first-quarter 2025 earnings of 37 cents per share, matching the previous year's quarter, while total revenues of $1.50 billion fell short of the Zacks Consensus Estimate of $1.67 billion but showed year-over-year improvement [1] Financial Performance - The core express delivery business revenue increased by 9.8% year over year, driven by a 19.1% growth in parcel volume, despite a 7.8% decrease in parcel unit price [3] - Adjusted net income for the quarter was $2.3 billion, with retail volume increasing by 46% year over year [2] - Gross profit decreased by 10.4% from the year-ago quarter, with gross margin falling to 24.7% from 30.1% [4] Operational Highlights - ZTO achieved a parcel volume of 8.5 billion during the first quarter [2] - KA revenues, generated by direct sales organizations, surged by 129.3%, attributed to an increase in e-commerce return parcels [3] - Revenue from freight forwarding services declined by 11.6% year over year due to falling cross-border e-commerce pricing [3] Cash and Share Repurchase Program - As of the end of the first quarter, ZTO had cash and cash equivalents of $1.71 billion, down from $1.84 billion at the end of the previous quarter [5] - The board approved an increase in the share repurchase program to $2 billion, extending the effective period through June 30, 2025 [5][6] Guidance - ZTO reaffirms its 2025 parcel volume guidance of 40.8 billion to 42.2 billion, indicating a year-over-year growth of 20-24% [7]