LATAM AIRLINES GROUP SA-ADR (LTM) Fundamental Analysis & Valuation

NYSE:LTM • US51817R1068

48.07 USD
-0.51 (-1.05%)
At close: Mar 6, 2026
48.07 USD
0 (0%)
After Hours: 3/6/2026, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This LTM fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

6

We assign a fundamental rating of 6 out of 10 to LTM. LTM was compared to 22 industry peers in the Passenger Airlines industry. While LTM has a great profitability rating, there are some minor concerns on its financial health. LTM is not overvalued while it is showing excellent growth. This is an interesting combination.


Dividend Valuation Growth Profitability Health

7

1. LTM Profitability Analysis

1.1 Basic Checks

  • In the past year LTM was profitable.
  • In the past year LTM had a positive cash flow from operations.
  • LTM had positive earnings in 4 of the past 5 years.
  • LTM had a positive operating cash flow in 4 of the past 5 years.
LTM Yearly Net Income VS EBIT VS OCF VS FCFLTM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B -2B -4B

1.2 Ratios

  • LTM's Return On Assets of 8.28% is amongst the best of the industry. LTM outperforms 90.91% of its industry peers.
  • Looking at the Return On Equity, with a value of 108.50%, LTM belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
  • LTM has a Return On Invested Capital of 17.83%. This is amongst the best in the industry. LTM outperforms 90.91% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for LTM is significantly below the industry average of 20.65%.
  • The last Return On Invested Capital (17.83%) for LTM is above the 3 year average (13.63%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 8.28%
ROE 108.5%
ROIC 17.83%
ROA(3y)6.22%
ROA(5y)-1.24%
ROE(3y)124.26%
ROE(5y)N/A
ROIC(3y)13.63%
ROIC(5y)N/A
LTM Yearly ROA, ROE, ROICLTM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1K 2K 3K

1.3 Margins

  • LTM's Profit Margin of 10.23% is amongst the best of the industry. LTM outperforms 86.36% of its industry peers.
  • In the last couple of years the Profit Margin of LTM has declined.
  • LTM has a better Operating Margin (16.37%) than 95.45% of its industry peers.
  • LTM has a Gross Margin of 29.16%. This is in the lower half of the industry: LTM underperforms 63.64% of its industry peers.
  • In the last couple of years the Gross Margin of LTM has grown nicely.
Industry RankSector Rank
OM 16.37%
PM (TTM) 10.23%
GM 29.16%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-10.56%
PM growth 5YN/A
GM growth 3Y29.44%
GM growth 5YN/A
LTM Yearly Profit, Operating, Gross MarginsLTM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 -50 -100

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ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. LTM Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so LTM is still creating some value.
  • The number of shares outstanding for LTM has been reduced compared to 1 year ago.
  • LTM has more shares outstanding than it did 5 years ago.
  • LTM has a better debt/assets ratio than last year.
LTM Yearly Shares OutstandingLTM Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M
LTM Yearly Total Debt VS Total AssetsLTM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B

2.2 Solvency

  • Based on the Altman-Z score of 1.65, we must say that LTM is in the distress zone and has some risk of bankruptcy.
  • With a decent Altman-Z score value of 1.65, LTM is doing good in the industry, outperforming 77.27% of the companies in the same industry.
  • LTM has a debt to FCF ratio of 4.36. This is a neutral value as LTM would need 4.36 years to pay back of all of its debts.
  • LTM has a Debt to FCF ratio of 4.36. This is amongst the best in the industry. LTM outperforms 90.91% of its industry peers.
  • LTM has a Debt/Equity ratio of 5.46. This is a high value indicating a heavy dependency on external financing.
  • LTM's Debt to Equity ratio of 5.46 is in line compared to the rest of the industry. LTM outperforms 45.45% of its industry peers.
Industry RankSector Rank
Debt/Equity 5.46
Debt/FCF 4.36
Altman-Z 1.65
ROIC/WACC1.78
WACC10%
LTM Yearly LT Debt VS Equity VS FCFLTM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5B -5B

2.3 Liquidity

  • LTM has a Current Ratio of 0.60. This is a bad value and indicates that LTM is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 0.60, LTM is in line with its industry, outperforming 54.55% of the companies in the same industry.
  • A Quick Ratio of 0.54 indicates that LTM may have some problems paying its short term obligations.
  • The Quick ratio of LTM (0.54) is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 0.6
Quick Ratio 0.54
LTM Yearly Current Assets VS Current LiabilitesLTM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

7

3. LTM Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an impressive 68.00% over the past year.
  • LTM shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -43.14% yearly.
  • Looking at the last year, LTM shows a quite strong growth in Revenue. The Revenue has grown by 11.16% in the last year.
  • The Revenue has been growing by 29.45% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)68%
EPS 3Y-43.14%
EPS 5YN/A
EPS Q2Q%60%
Revenue 1Y (TTM)11.16%
Revenue growth 3Y15.07%
Revenue growth 5Y29.45%
Sales Q2Q%14.12%

3.2 Future

  • LTM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 2697.23% yearly.
  • Based on estimates for the next years, LTM will show a quite strong growth in Revenue. The Revenue will grow by 9.95% on average per year.
EPS Next Y-19.44%
EPS Next 2Y2697.23%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year9.53%
Revenue Next 2Y8.14%
Revenue Next 3Y9.95%
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
LTM Yearly Revenue VS EstimatesLTM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 5B 10B 15B
LTM Yearly EPS VS EstimatesLTM Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2024 2025 2026 2027 0 500 -500 1K

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4

4. LTM Valuation Analysis

4.1 Price/Earnings Ratio

  • LTM is valuated quite expensively with a Price/Earnings ratio of 28.61.
  • Compared to the rest of the industry, the Price/Earnings ratio of LTM indicates a somewhat cheap valuation: LTM is cheaper than 63.64% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 26.29, LTM is valued at the same level.
  • A Price/Forward Earnings ratio of 35.53 indicates a quite expensive valuation of LTM.
  • LTM's Price/Forward Earnings is on the same level as the industry average.
  • The average S&P500 Price/Forward Earnings ratio is at 24.57. LTM is valued slightly more expensive when compared to this.
Industry RankSector Rank
PE 28.61
Fwd PE 35.53
LTM Price Earnings VS Forward Price EarningsLTM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80 100

4.2 Price Multiples

  • Based on the Price/Free Cash Flow ratio, LTM is valued cheaply inside the industry as 95.45% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 7.43
EV/EBITDA N/A
LTM Per share dataLTM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40

4.3 Compensation for Growth

  • The decent profitability rating of LTM may justify a higher PE ratio.
  • A more expensive valuation may be justified as LTM's earnings are expected to grow with 2697.23% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2697.23%
EPS Next 3YN/A

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. LTM Dividend Analysis

5.1 Amount

  • LTM has a Yearly Dividend Yield of 4.21%, which is a nice return.
  • Compared to an average industry Dividend Yield of 0.83, LTM pays a better dividend. On top of this LTM pays more dividend than 95.45% of the companies listed in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.82, LTM pays a better dividend.
Industry RankSector Rank
Dividend Yield 4.21%

5.2 History

  • The dividend of LTM decreases each year by -30.35%.
  • LTM has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)-30.35%
Div Incr Years0
Div Non Decr Years0
LTM Yearly Dividends per shareLTM Yearly Dividends per shareYearly Dividends per share 2017 2019 2020 2022 2024 2025 0.02 0.04 0.06 0.08

5.3 Sustainability

  • LTM pays out 41.45% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP41.45%
EPS Next 2Y2697.23%
EPS Next 3YN/A
LTM Yearly Income VS Free CF VS DividendLTM Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 -2B -4B
LTM Dividend Payout.LTM Dividend Payout, showing the Payout Ratio.LTM Dividend Payout.PayoutRetained Earnings

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LTM Fundamentals: All Metrics, Ratios and Statistics

LATAM AIRLINES GROUP SA-ADR

NYSE:LTM (3/6/2026, 8:04:00 PM)

After market: 48.07 0 (0%)

48.07

-0.51 (-1.05%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)02-02
Earnings (Next)04-27
Inst Owners84.74%
Inst Owner Change-58.29%
Ins OwnersN/A
Ins Owner Change0%
Market Cap13.80B
Revenue(TTM)14.27B
Net Income(TTM)1.46B
Analysts80
Price Target57.84 (20.32%)
Short Float %0.89%
Short Ratio1.63
Dividend
Industry RankSector Rank
Dividend Yield 4.21%
Yearly Dividend0
Dividend Growth(5Y)-30.35%
DP41.45%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)3.05%
Min Revenue beat(2)-0.11%
Max Revenue beat(2)6.2%
Revenue beat(4)1
Avg Revenue beat(4)-0.29%
Min Revenue beat(4)-4.06%
Max Revenue beat(4)6.2%
Revenue beat(8)2
Avg Revenue beat(8)-1.06%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)3.29%
PT rev (3m)27.51%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-4.01%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)5.98%
Revenue NQ rev (3m)8.71%
Revenue NY rev (1m)3.45%
Revenue NY rev (3m)5.23%
Valuation
Industry RankSector Rank
PE 28.61
Fwd PE 35.53
P/S 0.97
P/FCF 7.43
P/OCF 3.69
P/B 10.26
P/tB 64
EV/EBITDA N/A
EPS(TTM)1.68
EY3.49%
EPS(NY)1.35
Fwd EY2.81%
FCF(TTM)6.47
FCFY13.45%
OCF(TTM)13.02
OCFY27.08%
SpS49.69
BVpS4.69
TBVpS0.75
PEG (NY)N/A
PEG (5Y)N/A
Graham Number13.31
Profitability
Industry RankSector Rank
ROA 8.28%
ROE 108.5%
ROCE 22.57%
ROIC 17.83%
ROICexc 22.66%
ROICexgc 26.31%
OM 16.37%
PM (TTM) 10.23%
GM 29.16%
FCFM 13.02%
ROA(3y)6.22%
ROA(5y)-1.24%
ROE(3y)124.26%
ROE(5y)N/A
ROIC(3y)13.63%
ROIC(5y)N/A
ROICexc(3y)17.38%
ROICexc(5y)N/A
ROICexgc(3y)20.35%
ROICexgc(5y)N/A
ROCE(3y)17.26%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-10.56%
PM growth 5YN/A
GM growth 3Y29.44%
GM growth 5YN/A
F-Score7
Asset Turnover0.81
Health
Industry RankSector Rank
Debt/Equity 5.46
Debt/FCF 4.36
Debt/EBITDA N/A
Cap/Depr N/A
Cap/Sales 13.18%
Interest Coverage 250
Cash Conversion N/A
Profit Quality 127.18%
Current Ratio 0.6
Quick Ratio 0.54
Altman-Z 1.65
F-Score7
WACC10%
ROIC/WACC1.78
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)10.56%
Cap/Sales(5y)10.92%
Profit Quality(3y)180.12%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)68%
EPS 3Y-43.14%
EPS 5YN/A
EPS Q2Q%60%
EPS Next Y-19.44%
EPS Next 2Y2697.23%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)11.16%
Revenue growth 3Y15.07%
Revenue growth 5Y29.45%
Sales Q2Q%14.12%
Revenue Next Year9.53%
Revenue Next 2Y8.14%
Revenue Next 3Y9.95%
Revenue Next 5YN/A
EBIT growth 1Y51.56%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year84.19%
EBIT Next 3Y33.28%
EBIT Next 5YN/A
FCF growth 1Y10.1%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y20.31%
OCF growth 3Y237.98%
OCF growth 5YN/A

LATAM AIRLINES GROUP SA-ADR / LTM FAQ

What is the fundamental rating for LTM stock?

ChartMill assigns a fundamental rating of 6 / 10 to LTM.


What is the valuation status of LATAM AIRLINES GROUP SA-ADR (LTM) stock?

ChartMill assigns a valuation rating of 4 / 10 to LATAM AIRLINES GROUP SA-ADR (LTM). This can be considered as Fairly Valued.


Can you provide the profitability details for LATAM AIRLINES GROUP SA-ADR?

LATAM AIRLINES GROUP SA-ADR (LTM) has a profitability rating of 7 / 10.


What is the valuation of LATAM AIRLINES GROUP SA-ADR based on its PE and PB ratios?

The Price/Earnings (PE) ratio for LATAM AIRLINES GROUP SA-ADR (LTM) is 28.61 and the Price/Book (PB) ratio is 10.26.


Can you provide the expected EPS growth for LTM stock?

The Earnings per Share (EPS) of LATAM AIRLINES GROUP SA-ADR (LTM) is expected to decline by -19.44% in the next year.