AERO

Industrials

Grupo Aeroméxico, S.A.B. de C.V. · Airlines, Airports & Air Services · $2B

UQS Score — Balanced Preset
43.3
Below Average

Grupo Aeroméxico, S.A.B. de C.V. scores 43.3/100 using the Balanced preset.

UQS vs Industrials Sector
AERO
43.3
Sector avg
42.4
Quality
Weak
Moat
Weak
Growth
Weak
Risk
Neutral
Valuation
Attractive

What is Grupo Aeroméxico, S.A.B. de C.V.?

Grupo Aeroméxico is Mexico's flagship commercial airline, connecting passengers and cargo across a broad international network. Founded in 1934, the carrier operates from its base in Mexico City and serves destinations across multiple continents.

Aeroméxico generates revenue primarily through scheduled passenger flights, cargo transportation, and ancillary travel services. Its route network spans Mexico, the United States, Canada, South America, Central America, the Caribbean, Europe, and Asia. The company also operates a loyalty program that drives repeat bookings and adds a recurring revenue stream alongside its core airline operations.

The company was founded in 1934 and is headquartered in Mexico City, Mexico.

  • Scheduled passenger air carrier services
  • Cargo air carrier services
  • Customer loyalty program
  • International and domestic route network

Is AERO a Good Stock to Buy?

UQS Score rates AERO as Below Average overall.

Valuation stands out as the most favorable pillar, rated Attractive — suggesting the market may already be pricing in many of the company's challenges. Quality and Risk both register as Neutral, indicating the business is neither particularly strong nor severely distressed on those dimensions.

Both the Moat and Growth pillars are rated Weak, reflecting the airline industry's thin competitive barriers and limited near-term expansion signals.

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Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does AERO pay dividends?

No — Grupo Aeroméxico, S.A.B. de C.V. does not currently pay a dividend.

Aeroméxico does not currently pay a dividend. Airlines operating in competitive, capital-intensive environments typically prioritize reinvestment in fleet, routes, and debt management over shareholder distributions. Investors seeking income may want to factor this into their assessment of AERO.

When does AERO report earnings?

Grupo Aeroméxico reports earnings on a quarterly cadence, consistent with standard practice for publicly listed equities.

The airline sector remains sensitive to fuel costs, currency fluctuations, and passenger demand cycles — all of which can create meaningful swings in quarterly results. Aeroméxico's performance reflects both the recovery dynamics of Latin American air travel and the structural pressures common across the industry.

For the most recent quarter's results, visit Grupo Aeroméxico's official investor relations page.

AERO Price History

-14.7% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

AERO Long-term Outlook

The Growth pillar's Weak rating points to limited near-term expansion momentum, while the Attractive Valuation label suggests the stock may already reflect a cautious fundamental outlook. The Neutral Risk rating indicates the company is not in acute distress, but the airline sector's inherent volatility — driven by fuel prices, currency exposure, and demand shifts — keeps the risk profile meaningful.

Growth drivers

  • Recovery and expansion of Latin American air travel demand
  • International route network breadth across multiple continents
  • Loyalty program as a recurring revenue and customer retention lever

Key risks

  • Weak competitive moat in a commoditized airline market
  • Exposure to fuel cost and foreign exchange volatility
  • Limited growth signals relative to sector peers

AERO vs Peers

Aeroméxico competes in the broader airline space alongside several carriers with distinct business models and geographic focuses.

JBLUAERO scores higher
JetBlue Airways Corporation

JetBlue focuses on the US domestic and leisure travel market, competing primarily on customer experience and low fares rather than international network breadth.

ALGTAERO scores higher
Allegiant Travel Company

Allegiant operates an ultra-low-cost model targeting underserved US leisure routes, with a very different cost structure and network strategy than Aeroméxico.

SKYWAERO scores lower
SkyWest, Inc.

SkyWest functions primarily as a regional carrier operating under codeshare agreements with major US airlines, giving it a more contracted and less consumer-facing business model.

Frequently Asked Questions

What does Grupo Aeroméxico do?

Grupo Aeroméxico operates scheduled passenger flights, cargo services, and a customer loyalty program. Its network covers Mexico, the United States, Canada, South America, Central America, the Caribbean, Europe, and Asia, making it one of the most internationally connected carriers based in Latin America.

Does AERO pay dividends?

No, Aeroméxico does not currently pay a dividend. The company operates in a capital-intensive industry where resources are typically directed toward fleet maintenance, debt obligations, and network investment rather than shareholder distributions.

When does AERO report earnings?

Aeroméxico reports on a quarterly cadence. For the exact schedule and most recent results, check the company's investor relations page directly, as specific dates are subject to change.

Is AERO a good stock to buy?

UQS Score rates AERO as Below Average, with Weak readings on both Moat and Growth pillars. The Valuation pillar is rated Attractive, which may interest contrarian investors. The full pillar breakdown is available to Pro members on UQS Score.

Is AERO overvalued?

The UQS Valuation pillar for AERO is rated Attractive, suggesting the stock is not considered expensive relative to its fundamentals at current levels. However, valuation alone does not determine investment quality — the Moat and Growth pillars are both rated Weak.

How does AERO compare to its competitors?

Compared to peers like JetBlue, Allegiant, and SkyWest, Aeroméxico's key differentiator is its broad international network anchored in Latin America. However, its Below Average UQS Score reflects challenges that are common across the airline sector, including thin competitive moats and constrained growth.

What is AERO's market cap bracket?

Grupo Aeroméxico is classified as a mid-cap company. This places it in a tier that typically carries more liquidity than small-caps but less institutional coverage and stability than large-cap carriers.

Who founded Grupo Aeroméxico?

Grupo Aeroméxico traces its origins to 1934. Detailed founding history, including key figures involved in establishing the airline, is widely available through the company's official history and public records.

Is AERO a long-term quality stock?

As a long-term quality indicator, the UQS Score rates AERO as Below Average. The Weak Moat pillar suggests limited durable competitive advantages, which is a key consideration for long-term holders. The Attractive Valuation may partially offset this, but quality fundamentals remain a concern.

What sector does AERO belong to?

Aeroméxico is classified in the Industrials sector, specifically within the airline industry. Airlines are generally considered capital-intensive businesses with exposure to macroeconomic cycles, fuel prices, and regulatory environments across multiple countries.

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Pro Analysis

AERO — Score History

3540455055Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 26 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 22, 202643.328.324.031.958.8100.0+0.4
May 16, 202642.927.224.031.558.8100.0-5.7
May 11, 202648.658.824.031.544.0100.0+0.2
May 10, 202648.457.924.031.544.0100.0-0.2
May 8, 202648.658.824.031.544.0100.0-0.1
May 4, 202648.758.824.031.944.0100.0+0.1
May 1, 202648.658.824.031.444.0100.0+0.1
Apr 28, 202648.558.824.031.244.0100.0+0.3
Apr 25, 202648.258.524.031.242.1100.0+1.0
Apr 24, 202647.254.224.030.743.2100.0+0.3

AERO — Pillar Breakdown

Quality

28.3/100 (25%)

Grupo Aeroméxico, S.A.B. de C.V. currently shows below-average quality metrics, suggesting challenges with profitability.

Capital Efficiency (ROIC)Weak

How effectively capital is deployed to generate returns.

Return on EquityStrong

Profitability relative to shareholders' equity.

Operating ProfitabilityWeak

Ability to convert revenue into operating profit.

Net ProfitabilityWeak

Bottom-line profit as a share of revenue.

Gross Profit / AssetsStrong

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationWeak

Free cash flow relative to market value.

Growth

31.9/100 (20%)

Grupo Aeroméxico, S.A.B. de C.V. faces growth headwinds with declining or stagnant revenue trends.

Recent Revenue TrendWeak

Revenue trajectory over the last twelve months.

3Y Revenue CAGRModerate

Compound annual revenue growth rate over 3 years.

EPS GrowthWeak

Year-over-year earnings per share growth.

Forward Revenue OutlookModerate

Analyst consensus for future revenue growth.

Forward EPS GrowthWeak

Analyst consensus for future earnings growth.

Risk

58.8/100 (15%)

Grupo Aeroméxico, S.A.B. de C.V. maintains a reasonable risk profile with manageable debt levels.

Financial LeverageStrong

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioWeak

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

100.0/100 (15%)

Grupo Aeroméxico, S.A.B. de C.V. appears attractively valued relative to its earnings, cash flows, and sector peers.

Earnings YieldStrong

Inverse of forward P/E — higher yield means cheaper stock.

Price to Free Cash FlowStrong

How many years of FCF the market cap represents.

Moat

24/100 (25%)

Grupo Aeroméxico, S.A.B. de C.V. operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for AERO.

Score Composition

Quality
28.3×25%7.1
Growth
31.9×20%6.4
Risk
58.8×15%8.8
Valuation
100.0×15%15.0
Moat
24.0×25%6.0
Total
43.3Below Average

Financial Data

More Stock Analysis

How is the AERO UQS Score Calculated?

The UQS (Unified Quality Score) for Grupo Aeroméxico, S.A.B. de C.V. is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses Grupo Aeroméxico, S.A.B. de C.V.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether Grupo Aeroméxico, S.A.B. de C.V. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.