5 Best Stocks to Invest in According to Philip Timon’s Owls Nest Partners

4. Allegiant Travel Company (NASDAQ: ALGT)

Timon’s Stake Value: $17,353,000
Percentage of Philip Timon’s 13F Portfolio: 10.12%
Number of Hedge Fund Holders: 22

Allegiant Travel Company (NASDAQ: ALGT) is a travel company that caters to inhabitants of underserved cities across the United States. The company was founded in 1997 and is placed fourth on the list of 10 best stocks to invest in according to Philip Timon’s Owls Nest Partners. Allegiant Travel Company (NASDAQ: ALGT) shares have returned 56.79% to investors over the course of the past 12 months.

On July 29, BofA analyst Andrew Didora initiated a coverage on Allegiant Travel Company (NASDAQ: ALGT), upgrading the stock to “Buy” from “Neutral” with a $260 price target. On July 28, the company posted earnings for the second quarter of 2021. Allegiant Travel Company (NASDAQ: ALGT) reported earnings per share of $3.46, beating market predictions by $0.51. In addition, the revenue for the second quarter was over $472.4 million, up 254.4% YoY, beating the estimates by $10.72 million.

Philip Timon’s Owls Nest Partners holds 71,100 shares in Allegiant Travel Company (NASDAQ: ALGT), worth over $17 million, representing 10.12% of their portfolio. The hedge fund has trimmed stakes in the firm by 26% in the past few months. At the end of the first quarter of 2021, 22 hedge funds in the database of Insider Monkey held stakes worth $ 402.21 million in Allegiant Travel Company (NASDAQ: ALGT), up from 19 the preceding quarter worth $416.71 million. 

Wasatch Global Investors, in its first-quarter 2021 investor letter, mentioned Allegiant Travel Company (NASDAQ: ALGT). Here is what the fund said:

“We recently purchased additional shares of Allegiant Travel Co. (ALGT) not because it’s a play on the economic reopening but because we like the company’s fundamentals and stock price from a risk/reward perspective. Allegiant offers airline flights, hotel bookings, car rentals, travel management and other related services. When the stock price declined in 2020, we performed more research on the company. Although other travelrelated companies were facing dire circumstances, Allegiant wasn’t forced to raise dilutive equity or take government money. Since then, Allegiant has strengthened its relationships with pilots and crews and has positioned itself to benefit from leisure travel—which should accelerate sooner than business travel.”