LATAM Airlines Price To Earning vs. Net Income
| LTM Stock | USD 56.16 2.09 3.59% |
For LATAM Airlines profitability analysis, we use financial ratios and fundamental drivers that measure the ability of LATAM Airlines to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well LATAM Airlines Group utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between LATAM Airlines's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of LATAM Airlines Group over time as well as its relative position and ranking within its peers.
LATAM Airlines' Revenue Breakdown by Earning Segment
Check out Correlation Analysis.
LATAM Airlines Revenue Breakdown by Earning Segment
By analyzing LATAM Airlines' earnings estimates, investors can diagnose different trends across LATAM Airlines' analyst sentiment over time as well as compare current estimates against different timeframes.
Will Passenger Airlines sector continue expanding? Could LATAM diversify its offerings? Factors like these will boost the valuation of LATAM Airlines. Expected growth trajectory for LATAM significantly influences the price investors are willing to assign. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every LATAM Airlines data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Quarterly Earnings Growth 0.875 | Earnings Share 4.95 | Revenue Per Share | Quarterly Revenue Growth 0.161 | Return On Assets |
The market value of LATAM Airlines Group is measured differently than its book value, which is the value of LATAM that is recorded on the company's balance sheet. Investors also form their own opinion of LATAM Airlines' value that differs from its market value or its book value, called intrinsic value, which is LATAM Airlines' true underlying value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. Because LATAM Airlines' market value can be influenced by many factors that don't directly affect LATAM Airlines' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Understanding that LATAM Airlines' value differs from its trading price is crucial, as each reflects different aspects of the company. Evaluating whether LATAM Airlines represents a sound investment requires analyzing earnings trends, revenue growth, technical signals, industry dynamics, and expert forecasts. Meanwhile, LATAM Airlines' quoted price indicates the marketplace figure where supply meets demand through bilateral consent.
LATAM Airlines Group Net Income vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining LATAM Airlines's current stock value. Our valuation model uses many indicators to compare LATAM Airlines value to that of its competitors to determine the firm's financial worth. LATAM Airlines Group is rated below average in price to earning category among its peers. It is rated below average in net income category among its peers making up about 144,552,871 of Net Income per Price To Earning. At this time, LATAM Airlines' Net Income is very stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value LATAM Airlines by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.LATAM Net Income vs. Price To Earning
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
LATAM Airlines |
| = | 10.10 X |
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.
LATAM Airlines |
| = | 1.46 B |
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
LATAM Net Income Comparison
LATAM Airlines is currently under evaluation in net income category among its peers.
LATAM Airlines Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in LATAM Airlines, profitability is also one of the essential criteria for including it into their portfolios because, without profit, LATAM Airlines will eventually generate negative long term returns. The profitability progress is the general direction of LATAM Airlines' change in net profit over the period of time. It can combine multiple indicators of LATAM Airlines, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | -5.2 B | -5 B | |
| Operating Income | 2.3 B | 2.5 B | |
| Income Before Tax | 1.6 B | 1.7 B | |
| Total Other Income Expense Net | -716.9 M | -681.1 M | |
| Net Income | 1.5 B | 1.5 B | |
| Income Tax Expense | 155.1 M | 162.8 M | |
| Net Interest Income | -665.6 M | -698.9 M | |
| Interest Income | 615.3 M | 333.3 M | |
| Net Income From Continuing Ops | 1.1 B | 1.2 B | |
| Net Income Applicable To Common Shares | 1.5 B | 1.2 B | |
| Income Quality | 2.24 | 3.48 | |
| Net Income Per E B T | 0.90 | 0.81 |
LATAM Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on LATAM Airlines. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of LATAM Airlines position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the LATAM Airlines' important profitability drivers and their relationship over time.
LATAM Airlines Earnings Estimation Breakdown
The calculation of LATAM Airlines' earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of LATAM Airlines is estimated to be 1.38 with the future projection ranging from a low of 1.087 to a high of 1.56. Please be aware that this consensus of annual earnings estimates for LATAM Airlines Group is based on EPS before non-recurring items and includes expenses related to employee stock options.Last Reported EPS
1.09 Lowest | Expected EPS | 1.56 Highest |
LATAM Airlines Earnings Projection Consensus
Suppose the current estimates of LATAM Airlines' value are higher than the current market price of the LATAM Airlines stock. In this case, investors may conclude that LATAM Airlines is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and LATAM Airlines' stock will quickly adjusts to the new information provided by the consensus estimate.
| Number of Analysts | Historical Accuracy | Last Reported EPS | Estimated EPS for 31st of March 2026 | Current EPS (TTM) | |
| 9 | 83.12% | 1.6881 | 1.38 | 4.95 |
LATAM Airlines Earnings per Share Projection vs Actual
Actual Earning per Share of LATAM Airlines refers to what the company shows during its earnings calls or quarterly reports. The Expected EPS is what analysts covering LATAM Airlines Group predict the company's earnings will be in the future. The higher the earnings per share of LATAM Airlines, the better is its profitability. While calculating the Earning per Share, we use the weighted ratio, as the number of shares outstanding can change over time.LATAM Airlines Estimated Months Earnings per Share
For an investor who is primarily interested in generating an income out of investing in entities such as LATAM Airlines, the EPS ratio can tell if the company is intending to increase its current dividend. Although EPS is an essential tool for investors, it should not be used in isolation. EPS of LATAM Airlines should always be considered in relation to other companies to make a more educated investment decision.LATAM Quarterly Analyst Estimates and Surprise Metrics
Earnings surprises can significantly impact LATAM Airlines' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2026-01-29 | 2025-12-31 | 1.26 | 1.6881 | 0.4281 | 33 | ||
2025-10-28 | 2025-09-30 | 1.29 | 1.4084 | 0.1184 | 9 | ||
2025-07-29 | 2025-06-30 | 0.73 | 0.95 | 0.22 | 30 | ||
2025-04-28 | 2025-03-31 | 0.58 | 1.18 | 0.6 | 103 | ||
2025-02-20 | 2024-12-31 | 0.863 | 1.2571 | 0.3941 | 45 | ||
2024-11-06 | 2024-09-30 | 0.7685 | 1.1201 | 0.3516 | 45 | ||
2024-08-07 | 2024-06-30 | 391.24 | 0.4816 | -390.7584 | 99 | ||
2024-05-02 | 2024-03-31 | 593.4 | 428.0 | -165.4 | 27 | ||
2024-02-22 | 2023-12-31 | 300.92 | 168.0 | -132.92 | 44 | ||
2023-10-30 | 2023-09-30 | 478.87 | 478.87 | 0.0 | 0 | ||
2023-08-02 | 2023-06-30 | 95.81 | 95.81 | 0.0 | 0 | ||
2023-05-03 | 2023-03-31 | 80.34 | 80.34 | 0.0 | 0 | ||
2023-03-10 | 2022-12-31 | -420 | 0.03 | 420.03 | 100 | ||
2022-11-08 | 2022-09-30 | -980 | -980.0 | 0.0 | 0 | ||
2022-08-09 | 2022-06-30 | -1040 | -0.86 | 1039.14 | 99 | ||
2022-05-10 | 2022-03-31 | -720 | -0.36 | 719.64 | 99 | ||
2022-03-08 | 2021-12-31 | -1320 | -0.85 | 1319.15 | 99 | ||
2021-11-09 | 2021-09-30 | -0.87 | -2280.0 | -2279.13 | 261968 | ||
2021-08-09 | 2021-06-30 | -0.61 | -2540.0 | -2539.39 | 416293 | ||
2021-05-06 | 2021-03-31 | -0.79 | -1420.0 | -1419.21 | 179646 | ||
2021-03-09 | 2020-12-31 | -0.95 | -2651.76 | -2650.81 | 279032 | ||
2020-11-11 | 2020-09-30 | -0.8 | -1900.0 | -1899.2 | 237400 | ||
2020-08-18 | 2020-06-30 | -1.04 | -2420.0 | -2418.96 | 232592 | ||
2020-04-20 | 2020-03-31 | 0.31 | 740.0 | 739.69 | 238609 | ||
2019-11-20 | 2019-09-30 | 0.16 | 280.0 | 279.84 | 174900 | ||
2019-08-14 | 2019-06-30 | -0.15 | -207.18 | -207.03 | 138020 | ||
2019-05-16 | 2019-03-31 | -0.09 | -200.0 | -199.91 | 222122 | ||
2019-03-12 | 2018-12-31 | 0.25 | 495.0 | 494.75 | 197900 | ||
2018-11-21 | 2018-09-30 | 0.11 | 180.0 | 179.89 | 163536 | ||
2018-08-21 | 2018-06-30 | -0.1 | -374.52 | -374.42 | 374420 | ||
2018-05-10 | 2018-03-31 | 0.16 | 310.0 | 309.84 | 193650 | ||
2018-03-16 | 2017-12-31 | 0.22 | 0.12 | -0.1 | 45 | ||
2017-11-30 | 2017-09-30 | 0.2 | 0.26 | 0.06 | 30 | ||
2017-08-18 | 2017-06-30 | -0.06 | -460.0 | -459.94 | 766566 | ||
2017-05-17 | 2017-03-31 | 0.15 | 220.0 | 219.85 | 146566 | ||
2017-03-15 | 2016-12-31 | 0.13 | 0.09 | -0.04 | 30 | ||
2016-11-10 | 2016-09-30 | 0.04 | 20.0 | 19.96 | 49900 | ||
2016-08-11 | 2016-06-30 | -0.12 | -0.17 | -0.05 | 41 | ||
2016-05-12 | 2016-03-31 | 0.1 | 0.19 | 0.09 | 90 | ||
2016-03-08 | 2015-12-31 | 0.06 | 0.19 | 0.13 | 216 | ||
null | null | null | null | null | 0 | ||
2015-08-14 | 2015-06-30 | 0 | -0.09 | -0.09 | 0 | ||
2015-05-15 | 2015-03-31 | 0.12 | -0.09 | -0.21 | 175 | ||
2015-03-17 | 2014-12-31 | 0.15 | 0.18 | 0.03 | 20 | ||
null | null | null | null | null | 0 | ||
2014-08-12 | 2014-06-30 | -0.05 | -0.11 | -0.06 | 120 | ||
2014-05-13 | 2014-03-31 | 0.2 | -0.11 | -0.31 | 155 | ||
null | null | null | null | null | 0 |
Use LATAM Airlines in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if LATAM Airlines position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in LATAM Airlines will appreciate offsetting losses from the drop in the long position's value.LATAM Airlines Pair Trading
LATAM Airlines Group Pair Trading Analysis
The ability to find closely correlated positions to LATAM Airlines could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace LATAM Airlines when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back LATAM Airlines - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling LATAM Airlines Group to buy it.
The correlation of LATAM Airlines is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as LATAM Airlines moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if LATAM Airlines Group moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for LATAM Airlines can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your LATAM Airlines position
In addition to having LATAM Airlines in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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To fully project LATAM Airlines' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of LATAM Airlines Group at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include LATAM Airlines' income statement, its balance sheet, and the statement of cash flows.