PHOENIX - Mesa Air Group, Inc. (NASDAQ: NASDAQ:MESA), a regional airline operator, has regained compliance with the Nasdaq's minimum bid price requirement, the company announced today. The Nasdaq Listing Qualifications Department confirmed that Mesa's common stock had maintained a closing bid price of at least $1.00 per share for the requisite 10 consecutive business days.
The compliance milestone follows a previous notification from Nasdaq on November 3, 2023, indicating that Mesa's stock had fallen below the $1.00 minimum bid price for 30 consecutive business days.
To address the deficiency, Mesa was required to meet or exceed the minimum bid price for at least 10 consecutive business days. The company successfully met this requirement between May 20, 2024, and June 3, 2024, which led to Nasdaq's confirmation of Mesa's compliance.
Mesa Air Group operates as Mesa Airlines, providing scheduled passenger service to various destinations across the United States, as well as to Canada, Cuba, and Mexico. As of March 31, 2024, the airline operated a fleet of 80 aircraft with approximately 263 daily departures and employed around 2,110 individuals. Mesa Airlines runs all its flights under the banner of United Express through a capacity purchase agreement with United Airlines, Inc.
The company's press release also included forward-looking statements, which are based on current expectations and projections about future events. These statements are inherently uncertain, and actual results could differ materially due to a variety of risks and uncertainties.
This announcement is based on a press release statement from Mesa Air Group, Inc. and has not been independently verified. The company has stated that it will not undertake any obligation to publicly update or revise any forward-looking statements, except as required by law.
In other recent news, Mesa Air Group, Inc. has been notified by the Nasdaq Stock Market of non-compliance with listing rules due to delayed filing of its financial reports. The regional airline carrier missed the deadline to submit its Form 10-Q for the quarter ending March 31, 2024, following a previous delay for the December 31, 2023, report.
Still, this notice does not currently affect the listing or trading of Mesa Air's securities on the Nasdaq Capital Market. To regain compliance, Mesa must file the overdue Form 10-Qs by August 12, 2024. The company has clarified that the filing delays are not due to any anticipated restatements of financial statements or disagreements with auditors.
These developments are among recent events surrounding the company. Mesa Air is diligently working to complete and file both outstanding quarterly reports before the August deadline. Investors and stakeholders should note that these details are based on a press release statement from Mesa Air Group, Inc.
InvestingPro Insights
Mesa Air Group's recent compliance with the Nasdaq's minimum bid price requirement has provided a positive signal to the market, as evidenced by the significant stock price recovery in the short term. According to InvestingPro data, Mesa's stock has seen a remarkable 24.35% return over the last week and an impressive 60.67% return over the last month, reflecting investor optimism.
Despite the uptick, the company's financial health remains a concern. Mesa is trading at a low Price / Book multiple of 0.41 as of the last twelve months leading up to Q1 2024, which could indicate that the stock is undervalued relative to its book value. Still, this metric should be considered alongside the company's significant debt burden and the challenge it may face in making interest payments on that debt, as highlighted by InvestingPro Tips. Moreover, with a negative P/E Ratio of -0.53 for the same period, it suggests that investors are wary about the company's earning potential.
While the short-term price performance has been strong, with a 57.91% return over the last three months, the company's long-term outlook is less certain. Analysts do not anticipate the company will be profitable this year, and the stock price has fallen by 19.21% over the last year. It's also important to note that Mesa does not pay a dividend, which might influence the investment decisions of income-focused investors.
For those interested in a deeper analysis, there are 19 additional InvestingPro Tips available for Mesa Air Group, which can provide further insights into the company's performance and potential. To access these tips and make more informed investment decisions, readers can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription at InvestingPro.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.