I received a handful of notes today from readers asking me about the sharp drop off in the price of Allegiant Travel Company shares.
As you can see by the chart the stock took a beating today on the street.
So what gives?
Nothing to worry about as far as I can tell.
This stock is proving itself to be a classic airline “trading” stock, and as such whenever the folks who have ridden the stock get the feeling that the good times may be over for the time being — it’s time to sell.
And with all the press the stock received over the weekend in regard to its stellar 2008 performance, that is a classic signal for traders to sell. And sell they did.
It’s not, as far as I can tell, a fundamental issue of any kind.
Nor have we heard rumors of CEO Maury Gallagher suffering from any kind of “hormonal imbalance.”