LTM
LATAM Airlines Group SA
$51.67
▼ 0.1%Updated Today 3:42 PM ET
LTM at a glance — five pillars scored 0–100 from real filed financials.
Overall: Favorable · 66/100. A wider, greener shape means more pillars look healthy. Dividends scores 0 when a company pays none — that is a choice, not a flaw.
▲ Up 36.6% over the last 12 months
Market Cap
$15.64B
P/E
9.64x
Forward P/E (est.)
6.89x
ROE
126.9%
Revenue Growth
16.1%
EPS Growth
70.6%
Profit Margin
11.2%
FCF Yield
12.8%
Debt / Equity
6.01x
ROIC
38.0%
Interest Coverage
3.24x
Current Ratio
0.6x
Dividend Yield
2.7%
Implied Growth (rev. DCF)
-3.1%
Rating Score
66/100
LATAM Airlines Group SA (LTM) is a large-cap company in the Airlines industry, part of the Industrials sector of the S&P 500, with a market value around $15.64B.
In its latest reported year it generated about $14.27B in revenue and $1.46B in net profit.
Our model rates LTM Favorable (66/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
Evidence of durable competitive advantage in the filed financials (10 years of history).
Some durable-advantage evidence, but not across the board — dig into which ingredient is weak and whether it's cyclical or structural.
26.3% average over the last 3 years
±13.3 pts around 16.5% across 10 years
grew in 8 of the last 9 year-over-year periods
positive in 7 of 10 years
38.0% latest fiscal year
A moat can't be proven by numbers alone — this scores the evidence a durable advantage leaves behind (pricing power, consistency, returns on capital), computed the same way for every stock. Pair it with the business overview before concluding anything.
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what LTM's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. LTM trades near $51.67, above its 50-day average ($51.52) and 200-day average ($51.50). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 69 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.
Volatility — ATR. Average True Range is the typical daily move. LTM's is $1.97 (~3.8% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month LTM found buyers near $46.61 (support) and sellers near $58.92 (resistance); its 52-week range is $40.52–$70.42. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 0.3× the 20-day average — lighter than usual, so the move carries less conviction. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
4Y CAGR
30.7%
Revenue moved from $8.99B in 2016 to $14.27B in 2025, a 5.3% compound annual growth rate. The most recent year grew a strong 16.1% year over year. Consistent top-line growth is one sign of healthy demand.
Gross Margin
29.2%
Operating Margin
16.4%
Net Margin
10.2%
ROE
126.9%
LATAM Airlines Group SA keeps about 11.2% of each sales dollar as net profit, with a 29.2% gross margin and 16.4% operating margin. Return on equity is 126.9% and return on invested capital about 38.0%. Margins are moderate — typical of a competitive but profitable business.
Total Debt
$3.57B
Net Debt
$1.42B
Net Debt / EBITDA
0.61x
Debt / Equity
6.01x
Leverage: debt-to-equity is 6.0x, and operating profit covers interest about 3.2x, with a current ratio of 0.6x. That is elevated leverage, which raises risk if earnings or rates move against it. It carries roughly $3.57B of total debt against $2.15B of cash.
Operating CF
$3.74B
Free Cash Flow
$1.96B
FCF Margin
13.7%
In the latest year LATAM Airlines Group SA produced about $3.74B of operating cash flow and $1.96B of free cash flow after capital spending. That is a free-cash-flow yield of about 12.8% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.
Can the payout survive a bad year? Scored from filed cash flow, earnings coverage, and the raise/cut record.
The dividend is being paid, but coverage or consistency is thinner than an income investor should rely on without a closer look.
Dividend yield
2.7%
Per share (latest FY)
$0.00
Total paid (latest FY)
$605.18M
History on record
7 years
dividend uses 31% of free cash flow
41% of net income paid out
total dividends increased 2 years in a row
payout was cut at least once in the last 7 years
Coverage uses the latest fiscal year as filed with the SEC; the streak counts total dollars paid (per-share figures can carry split artifacts). Educational information, not income advice.
P/E
9.64x
P/S
1.14x
P/B
11.3x
EV / EBITDA
4.19x
LTM trades at 9.6x trailing earnings (about 6.9x on estimated forward earnings), 1.1x sales, and 11.3x book value. Reverse-engineering today's price implies the market expects roughly -3.1% long-term free-cash-flow growth. That is an undemanding multiple — potentially cheap if the business is stable.
A two-stage discounted cash flow on real SEC-filed free cash flow — the intrinsic-value anchor professional analysts triangulate from.
DCF fair value / share
$0.11
Current price
$51.67
Starting FCF (latest 10-K)
$1.96B
Growth, years 1–5
16.1%
Fade to terminal, years 6–10
2.5%
Discount rate
9.0%
Cash flows grow at the stage-1 rate (trailing revenue growth, capped at 20%) for five years, fade to 2.5% by year 10, and continue at that rate forever (Gordon terminal value), all discounted at 9.0%. Small changes in assumptions move the result a lot — treat this as one reference point, not a target price. Educational only, not investment advice.
Where LTM sits versus its Industrials sector peers in the S&P 500.
Bands show the middle half (25th–75th percentile) of the 144 Industrials companies in the S&P 500 — the peer-relative anchor professional comps analysis uses. Context only — not investment advice.
How LTM stacks up against its Industrials peers — valuation, profitability, and growth versus the sector median.
In the Industrials sector (273 S&P 500 companies), LTM ranks #11 of 273 by our overall rating. It trades at a discount versus the sector on earnings (9.6x P/E vs. 30.7x median) with a higher return on equity (126.9% vs. 18.1%) and faster revenue growth (16.1% vs. 6.0%).
P/E vs sector
9.6x
median 30.7x
ROE vs sector
126.9%
median 18.1%
Growth vs sector
16.1%
median 6.0%
Sector rank
#11
of 273 by rating
Peers are the closest Industrials companies by sub-industry and size. Sector median is across all 273 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$0.00 – $0.00
vs. $51.67 today · expected CAGR 3% – 14%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $16.55B | $19.20B | $22.27B | $25.83B | $29.96B |
| Net income | $1.65B | $1.92B | $2.23B | $2.58B | $3.00B |
| EPS | $5.47 | $6.34 | $7.36 | $8.53 | $9.90 |
| Share price (low) | $32.80 | $38.05 | $44.14 | $51.20 | $59.39 |
| Share price (high) | $54.67 | $63.42 | $73.56 | $85.33 | $98.98 |
| CAGR (low–high) | -37% / 6% | -14% / 11% | -5% / 12% | -0% / 13% | 3% / 14% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for LTM:
- Revenue is growing 16.1% a year, a sign of real demand.
- Strong return on equity (126.9%) shows capital is put to work well.
- Healthy free-cash-flow yield (~12.8%) funds buybacks and dividends.
- Pays a 2.7% dividend on top of any price gains.
- Our model's overall read is Favorable (66/100).
The case against LTM:
- Elevated leverage (debt/equity 6.0x) adds financial risk.
- Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Balance-sheet risk — debt/equity of 6.0x magnifies the impact of higher rates or weaker earnings.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the fundamentals screen favourably: LATAM Airlines Group SA is a large-cap industrials business still growing nicely, with modest profitability, and a heavier debt load to watch. It trades at 9.6x earnings, which our model scores Favorable (66/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Analyst Ratings
What 13 Wall Street analysts covering LTM recommend (July 2026). Consensus is a useful sanity check — not a substitute for your own homework.
Analysts have turned more positive over the last three months (+8 pts of buy ratings).
Latest SEC Filings
LTM's most recent filings, straight from SEC EDGAR. Annual and quarterly reports are the deep dives; 8-Ks flag material events the moment they happen.
In the Idea Lab
LTM — frequently asked questions
Is LTM a good stock to buy?
We don't give buy or sell advice. Our model rates LATAM Airlines Group SA Favorable (66/100) based on its growth, profitability, financial health, and valuation — use that as a research starting point and make your own decision.
What is LTM's rating on The Stocks School?
LATAM Airlines Group SA currently scores 66/100 (Favorable) on our transparent model, which weighs real fundamentals: growth, margins, returns on capital, balance-sheet strength, and valuation.
How our ratings work →Where does LTM's data come from?
Live price data plus real fundamentals and 5-year financials pulled directly from LATAM Airlines Group SA's SEC filings — refreshed automatically, not hand-entered.
How is the 5-year projection for LTM calculated?
It's a scenario model: it grows revenue at an assumed rate, applies a profit margin and a valuation multiple, and shows the resulting share-price range. The assumptions are yours to change — it's a tool for thinking, not a prediction.
Is this LTM analysis financial advice?
No. Everything on this page is educational research, not financial advice or a recommendation to buy or sell LTM. Always do your own research and consider a licensed professional.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.