LATAM Airlines Group S.A. (LTM) Fair Value & Analysis
Industrials · US · Market cap $16.3B · ISIN US51817R2058
What is LATAM Airlines Group S.A. really worth?
LATAM Airlines Group S.A.
LTM · US
Below-average quality, and trading another 37% above our fair value of $37.38.
Strengths
Risks
For context
Fair value as of: Aug 28, 2026
From 26 valuation models · updated 8 days ago
Fair value updated Aug 28, 2026, revised from $106.79 to $37.38 (−65.0%) since Aug 13, 2026. Share price −6.0% over the past month.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- The price sits above even our optimistic bull case ($46.72). The favourable scenario is already priced in.
- Solid but not exceptional quality (47/100) and above fair value, neither a clear bargain nor a standout compounder.
- A fairly wide model range ($22.83 to $46.72) leaves room in how you read the outcome.
Price vs Fair Value (2 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 28, 2026.
How to read this chart
25‑month range $21.42 – $68.29 · fair‑value band $22.83 – $46.72 · the $51.23 price screens above the $37.38 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Aug 28, 2026.
Analysis
LATAM Airlines Group S.A. (LTM) currently trades at $51.23, while our model-based Fair Value estimate is $37.38, implying the stock looks roughly 37.1% overvalued today. The Quality Score stands at 47/100 (below-average quality), in the Industrials sector. Bull case: the DCF Models group reads highest at a median of $112.10 per share, and 21 of the 26 models we run sit above the $51.23 price. Bear case: the Dividend Discount group reads lowest at $33.93, and 5 of the 26 models stay below the price. Evidence for this calculation is high.
Over the trailing twelve months, LATAM Airlines Group S.A. generated revenue of $15.0B at a net margin of 11.2%. Revenue grew 21.9% year over year. It earns a return on equity of 117.6%. Net debt stands at $5.9B. Fundamentals as of Aug 28, 2026
Our scenario range runs from $22.83 (bear case) to $46.72 (bull case); at $51.23, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 27% below its 52-week high and 44% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at 45% fair-value upside, at −27%, LTM screens richer than that median.
Fair Value models
This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly $3.93 per share, which is 10.5 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.
All 26 models by family
Widest divergence: DCF Models ($112.10) versus Asset-Based ($3.14). Highest evidence: FCF DCF (77).
Notify me when LTM reaches fair value
Put LTM on your watchlist. We get in touch as soon as price and fair value meet or the trend turns.
Set up alert →Free, no payment details. Unsubscribe anytime in one click.
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 28, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 48 · Market factors (momentum, volatility) 48
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
LATAM Airlines Group S.A., together with its subsidiaries, provides passenger and cargo air transportation services in Chile, Argentina, Peru, Colombia, Ecuador, Brazil, the United States, other Latin American countries, the Caribbean, Europe, and Oceania.
Full company description
LATAM Airlines Group S.A., together with its subsidiaries, provides passenger and cargo air transportation services in Chile, Argentina, Peru, Colombia, Ecuador, Brazil, the United States, other Latin American countries, the Caribbean, Europe, and Oceania. As of December 31, 2024, the company provides passenger transport services to 160 destinations in 27 countries; and operated 371 fleet of aircraft. The company was formerly known as LAN Airlines S.A. and changed its name to LATAM Airlines Group S.A. in June 2012. LATAM Airlines Group S.A. was founded in 1929 and is headquartered in Santiago, Chile.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
LATAM Airlines Group S.A. reported revenue of $14.3B in FY2025 versus $4.9B in FY2021, a compound +30.7%/yr. Reported net income was $1.5B in FY2025.
LTM screens 37% overvalued. Compare with Delta Air Lines, Inc →
Earlier news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- LATAM Airlines July 2026 Traffic Improves Year Over Year
- LATAM Airlines (LTM) Q2 2026 Earnings Call Transcript
Peer Group
Airlines · 57 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Airlines median · lower = cheaper
Strength profile in five axes (Snowflake)
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
VALUE 0: the price sits above our fair-value range.
Insider activity: 30/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Airlines stocks, each showing price versus our Fair Value estimate (as of Aug 28, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Delta Air Lines, Inc DAL | $80.07 | $115.82 | +45% |
| United Airlines Holdings UAL | $110.60 | $175.62 | +59% |
| Ryanair Holdings RYA | €25.47 | €41.26 | +62% |
| Southwest Airlines Co LUV | $38.73 | $14.76 | −62% |
| InterGlobe Aviation Limited INDIGO | ₹5,166 | ₹3,073 | −41% |
| Singapore Airlines Limited C6L | 7.09 SGD | 7.89 SGD | +11% |
| Air China Limited 601111 | ¥5.94 | ¥7.16 | +21% |
| China Southern Airlines Company 600029 | ¥5.08 | ¥1.28 | −75% |
| Deutsche Lufthansa AG LHA | €7.99 | €18.94 | +137% |
| China Eastern Airlines Corporation 600115 | ¥3.57 | ¥14.20 | +298% |
Compare LATAM Airlines Group S.A. with another stock
Price, fair value, quality and upside side by side.
Explore undervalued stocks
More undervalued Industrials stocks →
Try a ready-made strategy
Pick a strategy and jump into the live analysis with that exact screen applied.
Discover tools
Frequently asked questions
Is LATAM Airlines Group S.A. (LTM) overvalued or undervalued?
What is the fair value of LTM?
What is the quality score of LTM?
What is the revenue of LATAM Airlines Group S.A. (LTM)?
What is the net profit margin of LTM?
Does LATAM Airlines Group S.A. pay a dividend?
Watch LATAM Airlines Group S.A. in the live analysis
One click puts LATAM Airlines Group S.A. on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 35,000+ stock screener. You can also try 14 days of Pro there, no card.
Watch for free →Zero risk: nothing is ever charged. Your watchlist is yours, with or without an account.