LTM

LATAM Airlines Group S.A.

Fundamental data last updated:August 26, 2026

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company profile

SECTOR

Industrials

industry

Airlines, Airports & Air Services

Exchange

NYSE

County of HQ

CL

Next Earnings Date

Pending Announcement

Business Summary

LATAM Airlines Group S.A., together with its subsidiaries, provides passenger and cargo air transportation services in Chile, Peru, Ecuador, Colombia, Brazil, other Latin American countries, the Caribbean, North America, Europe, and Oceania. It offers other services, such as ground handling, courier, logistics, and maintenance services. As of December 31, 2023, the company provides passenger transport services to 148 destinations in 26 countries and cargo services to 166 destinations in 33 countries; and operated 333 fleet of aircraft. The company was formerly known as LAN Airlines S.A. and changed its name to LATAM Airlines Group S.A. in June 2012. LATAM Airlines Group S.A. was founded in 1929 and is headquartered in Santiago, Chile.

 


VALUATION

P/E

18264.93

Market Cap ($M USD)

$15.65B

Forward P/E

9.28

PEG

0.00

PRICE TO SALES

1.03

PRICE TO BOOK

7.98

EV / EBITDA

8.48

5-Year Average P/E

Free Cash Flow Yield

11.98%

DCF Value

$1.03

Graham Number

$0.01

Price to FCF

8.35

EV to FCF

11.52

Earnings Yield

10.88%

FCF Yield

11.98%

DIVIDEND

Yield

2.89%

Annual Payout

$0.00

Payout Ratio

42.46%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$0.00

Next Year EPS Growth Estimate

$5.76

Next Year Revenue Growth Estimate

$19.74B

Return on Equity (ROE)

126.90%

FREE CASH FLOW

Operating Margin

17.31%

Debt-to-Equity

6.01

Piotroski F-Score

8

Altman Z-Score

1.84

Return on Invested Capital (ROIC)

23.20%

Current Ratio

0.67

Quick Ratio

0.60

Net Debt to EBITDA

2.33

Interest Coverage

4.15

Gross Profit margin

29.93%

FCF PER SHARE

$0.00

REVENUE PER SHARE

$0.03

Gainseekers Quantitative Analysis

Summary

LATAM Airlines Group S.A. appears to be a perplexing case of market mispricing. Despite a staggering Price/Earnings ratio, the Forward P/E suggests a more reasonable valuation, hinting at expected earnings growth. However, the DCF Value and Graham Number are alarmingly low compared to recent pricing, indicating potential overvaluation. The Altman Z-score suggests financial distress, raising concerns about its long-term viability. Yet, the Earnings Yield implies some level of profitability, albeit overshadowed by the company’s precarious financial health.

AI Exposure / Tech Reliance

In the rapidly evolving airline industry, LATAM Airlines is positioned to leverage AI for operational efficiencies and customer service enhancements. However, the capital-intensive nature of the sector may slow tech adoption. The company's ability to integrate AI effectively will be crucial for maintaining competitiveness.

The Bull Case

For the discerning GARP investor, LATAM Airlines offers compelling reasons to consider a position. With a robust ROIC of 23.20%, the company demonstrates strong capital efficiency. The Piotroski F-Score of 8 indicates solid financial health, while a healthy FCF Yield suggests potential for shareholder returns. Its operating margin reflects effective cost management, hinting at pricing power in a competitive market.

The Bear Case

Despite some strengths, LATAM Airlines faces significant structural risks. The Price/Book ratio is notably high, suggesting overvaluation relative to its assets. The company's low Current and Quick Ratios highlight liquidity concerns, while the Altman Z-score points to potential financial instability. Additionally, the stock's proximity to its 52-week high raises caution about technical overextension.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Hold

Average Analyst Price Target

$71.53

Institutional Ownership %

1-Year Beta

0.82

Insider Buying % (6 Mo)

Distance to 52-Week High

31.72%

Distance to 52-Week Low

31.46%

EARNINGS SURPRISE %

48.89%

50-DAY SMA

$50.02

200-DAY SMA

$50.75

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.