WallStSmart

LATAM Airlines Group S.A. (LTM)vsVolaris (VLRS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

LATAM Airlines Group S.A. generates 370% more annual revenue ($14.27B vs $3.04B). LTM leads profitability with a 10.2% profit margin vs -3.4%. VLRS appears more attractively valued with a PEG of 1.69. LTM earns a higher WallStSmart Score of 63/100 (C+).

LTM

Buy

63

out of 100

Grade: C+

Growth: 8.7Profit: 8.0Value: 7.3Quality: 4.3
Piotroski: 5/9Altman Z: 1.39

VLRS

Hold

40

out of 100

Grade: F

Growth: 4.0Profit: 3.5Value: 6.7Quality: 2.5
Piotroski: 3/9Altman Z: 0.56
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LTMUndervalued (+73.5%)

Margin of Safety

+73.5%

Fair Value

$231.66

Current Price

$49.64

$182.02 discount

UndervaluedFair: $231.66Overvalued

Intrinsic value data unavailable for VLRS.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LTM4 strengths · Avg: 9.5/10
P/E RatioValuation
9.9x10/10

Attractively priced relative to earnings

Return on EquityProfitability
142.9%10/10

Every $100 of equity generates 143 in profit

EPS GrowthGrowth
87.5%10/10

Earnings expanding 87.5% YoY

Revenue GrowthGrowth
16.1%8/10

16.1% revenue growth

VLRS0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

LTM2 concerns · Avg: 2.0/10
PEG RatioValuation
2.582/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.392/10

Distress zone — elevated risk

VLRS4 concerns · Avg: 3.0/10
PEG RatioValuation
1.694/10

Expensive relative to growth rate

Market CapQuality
$831.20M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Price/BookValuation
33.0x2/10

Trading at 33.0x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : LTM

The strongest argument for LTM centers on P/E Ratio, Return on Equity, EPS Growth. Revenue growth of 16.1% demonstrates continued momentum.

Bull Case : VLRS

VLRS has a balanced fundamental profile.

Bear Case : LTM

The primary concerns for LTM are PEG Ratio, Altman Z-Score.

Bear Case : VLRS

The primary concerns for VLRS are PEG Ratio, Market Cap, Piotroski F-Score. Debt-to-equity of 14.75 is elevated, increasing financial risk.

Key Dynamics to Monitor

LTM profiles as a growth stock while VLRS is a turnaround play — different risk/reward profiles.

VLRS carries more volatility with a beta of 1.14 — expect wider price swings.

LTM is growing revenue faster at 16.1% — sustainability is the question.

LTM generates stronger free cash flow (571M), providing more financial flexibility.

Bottom Line

LTM scores higher overall (63/100 vs 40/100) and 16.1% revenue growth. Both earn "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.

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.

Volaris

INDUSTRIALS · AIRLINES · USA

Controller Flies Compaa de Aviacin, SAB de CV, Concessionaire Flies Compaa de Aviacin, SAPI The company is headquartered in Mexico City, Mexico.

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