LTM Stock Analysis: LATAM Airlines S.A. | NYSE
Airlines | NYSE, USA | Market Cap: 14.198m USD | 12M Return: 9.6% | US51817R2058 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 34.3M
EPS Trend: -86.8%
Qual. Beats: 0
Rev. Trend: 97.5%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality 2.2 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
LATAM Airlines Group S.A. (LTM) is a Chilean-based carrier that provides passenger and cargo air transportation across Latin America, the United States, the Caribbean, Europe, and Oceania. As of December 31, 2024, the airline served 160 destinations in 27 countries and operated a fleet of 371 aircraft. The company was founded in 1929, headquartered in Santiago, Chile, and was renamed from LAN Airlines S.A. to LATAM Airlines Group S.A. in June 2012 following the merger with TAM Linhas Aéreas.
The airline industry is capital-intensive and highly cyclical, with operators typically exposed to fuel price volatility, foreign exchange risk, and significant fixed costs. LATAMs combined passenger and cargo business model is common among carriers with wide-body fleets, as belly-cargo capacity on long-haul passenger flights supplements dedicated freighter revenue.
- Cargo segment revenue grows on South American export demand
- LatAm currency volatility pressures costs and passenger demand
- Low-cost carrier competition pressures ticket pricing across Brazil
| Net Income: 1.56b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.10 > 0.02 and ΔFCF/TA 2.37 > 1.0 |
| NWC/Revenue: -16.28% < 20% (prev -22.67%; Δ 6.39% < -1%) |
| CFO/TA 0.18 > 3% & CFO 3.50b > Net Income 1.56b |
| Net Debt (11.4b) to EBITDA (4.05b): 2.82 < 3 |
| Current Ratio: 0.67 > 1.5 & < 3 |
| Outstanding Shares: last quarter (287.1m) vs 12m ago -3.99% < -2% |
| Gross Margin: 26.98% > 18% (prev 27.00%; Δ -0.02% > 0.5%) |
| Asset Turnover: 87.64% > 50% (prev 79.50%; Δ 8.14% > 0%) |
| Interest Coverage Ratio: 3.70 > 6 (EBIT TTM 2.32b / Interest Expense TTM 628.0m) |
| A: -0.13 (Total Current Assets 5.35b - Total Current Liabilities 7.94b) / Total Assets 19.6b |
| B: 0.14 (Retained Earnings 2.66b / Total Assets 19.6b) |
| C: 0.13 (EBIT TTM 2.32b / Avg Total Assets 18.1b) |
| D: 0.11 (Book Value of Equity 2.00b / Total Liabilities 17.7b) |
| Altman-Z'' = 0.56 = B |
| DSRI: 1.04 (Receivables 1.89b/1.51b, Revenue 15.9b/13.2b) |
| GMI: 1.00 (GM 27.00% / 26.98%) |
| AQI: 0.87 (AQ_t 0.07 / AQ_t-1 0.08) |
| SGI: 1.20 (Revenue 15.9b / 13.2b) |
| TATA: -0.10 (NI 1.56b - CFO 3.50b) / TA 19.6b) |
| Beneish M = -2.93 (Cap -4..+1) = A |
As of October 19, 2026, the stock is trading at USD 47.47 with a total of 657,672 shares traded. Over the past week, the price has changed by -5.53%, over one month by -7.56%, over three months by -9.68% and over the past year by +9.64%.
Current recommended Stop Loss: 45.00 (which is 5.2% or 1.6 ATR below the current price).
LATAM Airlines S.A. has received a consensus analysts rating of 4.60. Therefore, it is recommended to buy LTM.
- StrongBuy: 6
- Buy: 4
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 73.9 | 55.6% |
P/E Trailing = 8.7583
P/E Forward = 10.1729
P/S = 0.8752
P/B = 7.6681
P/EG = 2.575
Revenue TTM = 15.9b USD
EBIT TTM = 2.32b USD
EBITDA TTM = 4.05b USD
Long Term Debt = 3.59b USD (from longTermDebt, last quarter)
Short Term Debt = 989.2m USD (from shortTermDebt, last quarter)
Debt = 14.1b USD (from shortLongTermDebtTotal, last quarter) + Leases 5.11b
Net Debt = 11.4b USD (calculated: Debt 14.1b - CCE 2.70b)
Enterprise Value = 25.6b USD (14.2b + Debt 14.1b - CCE 2.70b)
Interest Coverage Ratio = 3.70 (Ebit TTM 2.32b / Interest Expense TTM 628.0m)
EV/FCF = 13.31x (Enterprise Value 25.6b / FCF TTM 1.93b)
FCF Yield = 7.51% (FCF TTM 1.93b / Enterprise Value 25.6b)
FCF Margin = 12.12% (FCF TTM 1.93b / Revenue TTM 15.9b)
Net Margin = 9.85% (Net Income TTM 1.56b / Revenue TTM 15.9b)
Gross Margin = 26.98% ((Revenue TTM 15.9b - Cost of Revenue TTM 11.6b) / Revenue TTM)
Gross Margin QoQ = 16.27% (prev 31.30%)
Tobins Q-Ratio = 1.30 (Enterprise Value 25.6b / Total Assets 19.6b)
Interest Expense / Debt = 4.44% (Interest Expense 628.0m / Debt 14.1b)
Taxrate = 7.80% (132.0m / 1.69b)
NOPAT = 2.14b (EBIT 2.32b * (1 - 7.80%))
Current Ratio = 0.67 (Total Current Assets 5.35b / Total Current Liabilities 7.94b)
Debt / Equity = 7.06 (Debt 14.1b / totalStockholderEquity, last quarter 2.00b)
Debt / EBITDA = 2.82 (Net Debt 11.4b / EBITDA 4.05b)
Debt / FCF = 5.94 (Net Debt 11.4b / FCF TTM 1.93b)
Total Stockholder Equity = 1.60b (last 4 quarters mean from totalStockholderEquity)
RoA = 8.63% (Net Income 1.56b / Total Assets 19.6b)
RoE = 98.01% (Net Income TTM 1.56b / Total Stockholder Equity 1.60b)
RoCE = 44.74% (EBIT 2.32b / Capital Employed (Equity 1.60b + L.T.Debt 3.59b))
RoIC = 17.97% (NOPAT 2.14b / Invested Capital 11.9b)
WACC = 6.40% (E(14.2b)/V(28.3b) * Re(8.69%) + D(14.1b)/V(28.3b) * Rd(4.44%) * (1-Tc(0.08)))
Discount Rate = 8.69% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -75.99 | Cagr: -2.25%
[DCF] Terminal Value 77.97% ; FCFF base≈1.65b ; Y1≈1.89b ; Y5≈2.78b
[DCF] Fair Price = 105.9 (EV 41.8b - Net Debt 11.4b = Equity 30.4b / Shares 287.1m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -86.76 | EPS CAGR: -91.82% | SUE: 0.00 | # QB: 0
Revenue Correlation: 97.55 | Revenue CAGR: 11.66% | SUE: 0.35 | # QB: 0
EPS current Quarter (2026-09-30): EPS=1.24 | Chg30d=-14.63% | Revisions=-40% | Analysts=2
EPS current Year (2026-12-31): EPS=4.72 | Chg30d=+0.00% | Revisions=-17% | GrowthEPS=-14.2% | GrowthRev=+20.5%
EPS next Year (2027-12-31): EPS=6.40 | Chg30d=+0.00% | Revisions=+0% | GrowthEPS=+35.7% | GrowthRev=+5.9%
[Analyst] Revisions Ratio: -25% (up=3, down=6)