LTM

Industrials

LATAM Airlines Group S.A. · Airlines, Airports & Air Services · $15B

UQS Score — Balanced Preset
64.0
Good

LATAM Airlines Group S.A. scores 64.0/100 using the Balanced preset.

UQS vs Industrials Sector
LTM
64.0
Sector avg
42.4
Quality
Strong
Moat
Weak
Growth
Strong
Risk
Weak
Valuation
Attractive

What is LATAM Airlines Group S.A.?

LATAM Airlines Group is Latin America's largest airline network, connecting passengers and cargo across the region and beyond. Headquartered in Santiago, Chile, the group operates across South America, the Caribbean, North America, Europe, and Oceania.

LATAM Airlines generates revenue through passenger air travel and cargo transportation, serving 148 destinations across 26 countries for passengers and 166 destinations in 33 countries for freight. Beyond flying, the group earns from ground handling, courier, logistics, and aircraft maintenance services. Its fleet of over 330 aircraft anchors a hub-and-spoke model that dominates key South American routes, giving the group scale advantages across multiple national markets simultaneously.

Originally founded in 1929, LATAM Airlines Group is headquartered in Santiago, Chile.

  • Passenger air transportation across Latin America and international routes
  • Cargo and freight services to destinations worldwide
  • Ground handling and airport operations support
  • Courier and logistics solutions
  • Aircraft maintenance and technical services

Is LTM a Good Stock to Buy?

UQS Score rates LTM as Good overall, reflecting a mixed but constructive fundamental profile.

The Quality and Growth pillars both score Strong, suggesting the business is generating meaningful operational output and expanding at a rate that stands out relative to sector peers. Valuation is rated Attractive, meaning the stock does not appear richly priced given its fundamental profile — a combination that tends to interest value-oriented investors.

The Moat and Risk pillars both register Weak, which reflects the structural challenges airlines face: thin pricing power, high fixed costs, fuel exposure, and sensitivity to macroeconomic cycles.

See the exact pillar breakdown and full financial metrics by signing up for a UQS Pro account. Sign up free →

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

Does LTM pay dividends?

Yes — LATAM Airlines Group S.A. pays a dividend.

LATAM Airlines pays a regular dividend, which is notable for an airline that emerged from a major restructuring in recent years. The dividend signals management confidence in cash generation. Investors should weigh the payout against the capital-intensive nature of airline operations, where fleet investment and debt obligations can influence future distribution capacity.

When does LTM report earnings?

LATAM Airlines Group reports earnings on a quarterly cadence, consistent with standard practice for exchange-listed equities.

The group's recent reporting periods have reflected recovery dynamics across Latin American air travel demand, with cargo and passenger volumes both contributing to revenue trends. Cost pressures from fuel and labor remain persistent themes across the airline sector.

For the most recent quarter's results, visit LATAM Airlines Group's official investor relations page.

LTM Price History

+124.4% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in LATAM Airlines Group S.A.?

$
Today it would be worth
$17,728
That's a +77.3% total return, or +77.3% annualized.

Based on LATAM Airlines Group S.A.'s historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

LTM Long-term Outlook

The Strong Growth pillar suggests LATAM's fundamental trajectory is positive, supported by recovering regional travel demand and an expanding route network. However, the Weak Risk pillar is a meaningful counterweight — airline economics are inherently cyclical, and external shocks can rapidly compress margins. The Attractive Valuation label indicates the market may not yet be fully pricing in the growth potential, but the Risk profile warrants careful monitoring.

Growth drivers

  • Continued recovery and expansion of Latin American passenger travel demand
  • Cargo network scale serving growing regional trade flows
  • Operational leverage from a large, modernizing fleet

Key risks

  • Fuel price volatility directly compressing operating economics
  • Currency risk across multiple Latin American markets
  • Macroeconomic downturns reducing discretionary and business travel

LTM vs Peers

LATAM Airlines operates in a competitive landscape that includes airport operators and other carriers serving overlapping geographies.

PACLTM scores lower
Grupo Aeroportuario del Pacífico, S.A.B. de C.V.

PAC operates airports rather than aircraft, giving it a more infrastructure-oriented business model with different cost and revenue dynamics than an airline.

LUVLTM scores higher
Southwest Airlines Co.

Southwest focuses on low-cost domestic US travel, contrasting with LATAM's international and multi-country Latin American network strategy.

ASRLTM scores lower
Grupo Aeroportuario del Sureste, S. A. B. de C. V.

ASR is an airport operator in Mexico and the Caribbean, competing for travel infrastructure investment rather than directly for passengers in the air.

Frequently Asked Questions

What does LATAM Airlines Group do?

LATAM Airlines Group is Latin America's largest airline network, providing passenger and cargo air transportation across South America, the Caribbean, North America, Europe, and Oceania. The group also offers ground handling, logistics, courier, and aircraft maintenance services alongside its core flying operations.

Does LTM pay dividends?

Yes, LATAM Airlines Group pays a regular dividend. This is notable given the airline's recent history of financial restructuring. Investors should review the company's investor relations page for the most current dividend policy and payment schedule, as distributions in capital-intensive industries can change with business conditions.

When does LTM report earnings?

LATAM Airlines Group reports on a quarterly cadence, standard for exchange-listed companies. Specific dates are not available through our data source — check the company's investor relations page or financial calendar for upcoming reporting dates.

Is LTM a good stock to buy?

UQS Score rates LTM as Good overall. The Quality and Growth pillars are both Strong, and Valuation is Attractive — a combination that may interest fundamental investors. However, the Weak Moat and Weak Risk pillars reflect the structural challenges of airline economics. The full pillar breakdown is available to Pro members.

Is LTM overvalued?

The UQS Valuation pillar for LTM is rated Attractive, suggesting the stock is not trading at a premium relative to its fundamental profile. That said, valuation in the airline sector must always be weighed against cyclical risk and capital intensity, both of which are flagged in LATAM's Risk pillar.

How does LTM compare to its competitors?

LATAM Airlines differs from peers like Southwest Airlines in its international, multi-country Latin American focus rather than a domestic low-cost model. Compared to airport operators PAC and ASR, LATAM carries direct operational risk from flying — fuel, labor, and demand cycles — rather than the more infrastructure-like revenue streams airports generate.

What is LTM's market cap bracket?

LATAM Airlines Group is classified as a large-cap company, reflecting its position as the dominant airline group across Latin America with a substantial fleet and multi-country operations.

Who founded LATAM Airlines Group?

The airline traces its origins to 1929, making it one of the oldest carriers in the Americas. The modern LATAM Airlines Group was formed through the merger of LAN Airlines and TAM Airlines, with the combined entity adopting the LATAM name in 2012. Founding history is widely documented on the company's official website.

Is LTM a long-term quality indicator?

As a long-term quality indicator, LTM presents a mixed picture. The Strong Quality and Growth pillars suggest a business generating real operational value. However, the Weak Moat means competitive advantages are limited, and the Weak Risk pillar reflects the inherent volatility of airline economics over multi-year horizons. Pro members can access the complete analysis.

What is the main competitive advantage of LATAM Airlines?

LATAM's primary advantage is network scale — serving 148 passenger destinations across 26 countries gives it route density that smaller regional carriers cannot easily replicate. However, the UQS Moat pillar rates this advantage as Weak, reflecting that airlines broadly struggle to build durable pricing power or switching costs.

What sector does LTM belong to?

LATAM Airlines Group is classified in the Industrials sector, within the airlines and transportation sub-industry. Industrials stocks are often sensitive to economic cycles, trade volumes, and energy costs — all of which directly affect airline profitability.

Is LTM a growth stock or value stock?

Based on UQS pillar labels, LTM shows characteristics of both. The Strong Growth pillar points to meaningful expansion in the business, while the Attractive Valuation label suggests the stock is not priced at a growth premium. This blend may appeal to investors seeking growth at a reasonable price within the airline sector.

Unlock Full LTM Analysis

Sign in to unlock the detailed analysis behind the UQS Score.

  • View the exact UQS Score and all five pillar scores
  • Access complete financial metrics and trend data
  • Compare LTM against sector peers side by side
  • See the full risk and valuation breakdown
  • Get alerts when LTM's score profile changes
  • Explore curated screeners for Industrials stocks
Analyze LTM in Detail →

Pro Analysis

LTM — Score History

5560657075Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 10 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 21, 202664.086.728.087.520.698.4-0.1
May 18, 202664.186.728.087.520.698.8+1.2
Apr 26, 202662.984.828.087.517.797.0+0.1
Apr 19, 202662.884.828.087.517.796.3-0.1
Apr 18, 202662.984.828.087.517.796.9-0.4
Apr 14, 202663.384.828.087.517.799.8-5.5
Apr 13, 202668.884.850.087.517.799.9+5.5
Apr 12, 202663.384.828.087.517.799.7-0.1
Apr 10, 202663.484.828.087.517.7100.0+0.1
Apr 2, 202663.384.828.087.417.7100.0

LTM — Pillar Breakdown

Quality

86.7/100 (25%)

LATAM Airlines Group S.A. demonstrates outstanding capital efficiency and profitability, placing it among the highest-quality businesses in the market.

Capital Efficiency (ROIC)Strong

How effectively capital is deployed to generate returns.

Return on EquityStrong

Profitability relative to shareholders' equity.

Operating ProfitabilityModerate

Ability to convert revenue into operating profit.

Net ProfitabilityStrong

Bottom-line profit as a share of revenue.

Gross Profit / AssetsStrong

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

Cash GenerationStrong

Free cash flow relative to market value.

Growth

87.5/100 (20%)

LATAM Airlines Group S.A. is growing rapidly with strong revenue and earnings expansion.

Recent Revenue TrendModerate

Revenue trajectory over the last twelve months.

3Y Revenue CAGRStrong

Compound annual revenue growth rate over 3 years.

EPS GrowthStrong

Year-over-year earnings per share growth.

Forward Revenue OutlookStrong

Analyst consensus for future revenue growth.

Forward EPS GrowthStrong

Analyst consensus for future earnings growth.

Risk

20.6/100 (15%)

LATAM Airlines Group S.A. presents elevated risk with concerns around leverage or financial stability.

Financial LeverageModerate

Debt levels relative to earnings capacity.

Debt/EquityWeak

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

98.4/100 (15%)

LATAM Airlines Group S.A. 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.

PEG RatioStrong

P/E relative to earnings growth — lower is more attractive.

EV/EBITDA vs SectorStrong

Enterprise value multiple relative to sector median.

Moat

28/100 (25%)

LATAM Airlines Group S.A. 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 LTM.

Score Composition

Quality
86.7×25%21.7
Growth
87.5×20%17.5
Risk
20.6×15%3.1
Valuation
98.4×15%14.8
Moat
28.0×25%7.0
Total
64.0Good

Financial Data

More Stock Analysis

How is the LTM UQS Score Calculated?

The UQS (Unified Quality Score) for LATAM Airlines Group S.A. 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 LATAM Airlines Group S.A.'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 LATAM Airlines Group S.A. 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.