Back to top

Image: Bigstock

Here's Why Investors Should Bet on Copa Holdings Stock Now

Read MoreHide Full Article

Copa Holdings (CPA - Free Report) is bolstered by its fleet modernization and robust operational efficiency, boosting the company’s prospects. The shareholder-friendly initiative is also commendable. Due to these tailwinds, CPA shares have performed impressively on the bourse. If you have not taken advantage of its share price appreciation yet, it’s time to do so.

Let’s delve deeper.

Upsides for CPA

CPA’s Northward Earnings Estimate Revision: The Zacks Consensus Estimate for earnings per share has been revised upward by 1.9% over the past 60 days for the current quarter. For 2025, the consensus mark for earnings per share has moved 5.5% north in the same time frame. The favorable estimate revisions indicate brokers’ confidence in the stock.

Robust Price Performance: A look at the company’s price trend reveals that its shares have risen 17.1% year to date, surpassing the  Zacks Transportation – Airline industry’s 9.4% fall.

Positive Earnings Surprise History: Copa Holdings has an encouraging earnings surprise history. The company's earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average surprise of 5.5%.

Solid Zacks Rank: CPA currently sports a Zacks Rank #1 (Strong Buy).

Growth Factors: Copa Holdings' commitment to long-term growth and modernization is commendable, as reflected in its fleet expansion and strong operational performance in the first quarter of 2025. The company concluded the quarter with a consolidated fleet of 112 aircraft, primarily composed of Boeing 737 models — 67 Boeing 737-800s, 32 Boeing 737 MAX-9s, 9 Boeing 737-700s, 3 Boeing 737 MAX-8s and 1 Boeing 737-800 freighter. This fleet uniformity supports cost-effective operations, and streamlined training and maintenance.

Moreover, demonstrating its forward-looking strategy, Copa exercised options for six additional Boeing 737 MAX-8 aircraft to be delivered in 2028, increasing its firm order book to 57 aircraft. Operationally, Copa Airlines continues to perform at an industry-leading level, achieving an impressive 90.8% on-time performance and a 99.9% flight completion factor for the quarter. These results underscore the airline’s dedication to operational efficiency, reliability and sustainable growth in an increasingly competitive market.

The company’s commitment to its shareholders is also encouraging. In 2024, Copa repurchased $87 million worth of shares under its ongoing $200 million share repurchase program authorized by its board of directors, representing approximately 2% of the company's total outstanding shares as of year-end 2024. Moreover, in May 2025, Copa's board of directors approved a quarterly dividend payment of $1.61 per share for 2025, which will be paid on June 13, 2025 to its shareholders on record as of May 30, 2025. By repurchasing shares and providing dividends, CPA is reinforcing its commitment to maximizing shareholder value.

Other Stocks to Consider

Investors interested in the Transportation sector may also consider SkyWest (SKYW - Free Report) and Ryanair (RYAAY - Free Report) .

SKYW currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

SKYW has an expected earnings growth rate of 19.4% for the current year. The company has an impressive earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 17.1%. Shares of SKYW have risen 2.5% year to date.

RYAAY currently sports a Zacks Rank #1.

The company has a mixed earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in two of the trailing four quarters and missed twice, delivering an average beat of 44.5%. Shares of RYAAY have rallied 14.7% year to date.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Ryanair Holdings PLC (RYAAY) - free report >>

Copa Holdings, S.A. (CPA) - free report >>

SkyWest, Inc. (SKYW) - free report >>

Published in