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Copa Holdings (CPA) closed the most recent trading day at $90.23, moving +1.98% from the previous trading session. The stock exceeded the S&P 500, which registered a loss of 1.11% for the day. At the same time, the Dow lost 0.42%, and the tech-heavy Nasdaq lost 1.89%.
The the stock of holding company for Panama's national airline has risen by 1.06% in the past month, leading the Transportation sector's loss of 6% and the S&P 500's loss of 1.7%.
The upcoming earnings release of Copa Holdings will be of great interest to investors. On that day, Copa Holdings is projected to report earnings of $3.88 per share, which would represent a year-over-year decline of 13.2%. In the meantime, our current consensus estimate forecasts the revenue to be $881.63 million, indicating a 3.85% decline compared to the corresponding quarter of the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Copa Holdings. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 1.41% fall in the Zacks Consensus EPS estimate. Copa Holdings currently has a Zacks Rank of #3 (Hold).
From a valuation perspective, Copa Holdings is currently exchanging hands at a Forward P/E ratio of 5.72. This signifies a discount in comparison to the average Forward P/E of 9.18 for its industry.
Also, we should mention that CPA has a PEG ratio of 0.65. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As the market closed yesterday, the Transportation - Airline industry was having an average PEG ratio of 0.75.
The Transportation - Airline industry is part of the Transportation sector. This group has a Zacks Industry Rank of 38, putting it in the top 16% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.