American Airlines Group (AAL)vsLATAM Airlines Group S.A. (LTM)
AAL
American Airlines Group
$12.79
-4.19%
INDUSTRIALS · Cap: $8.46B
LTM
LATAM Airlines Group S.A.
$49.68
-2.91%
INDUSTRIALS · Cap: $14.54B
Smart Verdict
WallStSmart Research — data-driven comparison
American Airlines Group generates 273% more annual revenue ($55.99B vs $15.00B). LTM leads profitability with a 11.2% profit margin vs 0.4%. AAL appears more attractively valued with a PEG of 0.51. LTM earns a higher WallStSmart Score of 67/100 (B-).
AAL
Hold47
out of 100
Grade: D+
LTM
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+72.3%
Fair Value
$51.88
Current Price
$12.79
$39.09 discount
Margin of Safety
-40.2%
Fair Value
$43.78
Current Price
$49.68
$5.90 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Generating 3.4B in free cash flow
Attractively priced relative to earnings
Every $100 of equity generates 118 in profit
Earnings expanding 70.7% YoY
Revenue surging 21.9% year-over-year
Areas to Watch
ROE of 0.0% — below average capital efficiency
0.4% margin — thin
Weak financial health signals
Premium valuation, high expectations priced in
Trading at 12.4x book value
Expensive relative to growth rate
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : AAL
The strongest argument for AAL centers on PEG Ratio, Free Cash Flow. Revenue growth of 10.8% demonstrates continued momentum. PEG of 0.51 suggests the stock is reasonably priced for its growth.
Bull Case : LTM
The strongest argument for LTM centers on P/E Ratio, Return on Equity, EPS Growth. Revenue growth of 21.9% demonstrates continued momentum.
Bear Case : AAL
The primary concerns for AAL are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 41.3x leaves little room for execution misses. Thin 0.4% margins leave little buffer for downturns.
Bear Case : LTM
The primary concerns for LTM are Price/Book, PEG Ratio, Altman Z-Score.
Key Dynamics to Monitor
AAL profiles as a value stock while LTM is a growth play — different risk/reward profiles.
AAL carries more volatility with a beta of 1.28 — expect wider price swings.
LTM is growing revenue faster at 21.9% — sustainability is the question.
AAL generates stronger free cash flow (3.4B), providing more financial flexibility.
Bottom Line
LTM scores higher overall (67/100 vs 47/100) and 21.9% revenue growth. AAL offers better value entry with a 72.3% margin of safety. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
American Airlines Group
INDUSTRIALS · AIRLINES · USA
American Airlines Group Inc. is an American publicly traded airline holding company headquartered in Fort Worth, Texas.
LATAM Airlines Group S.A.
INDUSTRIALS · AIRLINES · USA
LATAM Airlines Group SA, provides passenger and cargo air transport services in Peru, Argentina, the United States, Europe, Colombia, Brazil, Ecuador, Chile, Asia Pacific and the rest of Latin America.
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