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Copa Holdings (CPA) Exceeds Market Returns: Some Facts to Consider
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In the latest trading session, Copa Holdings (CPA - Free Report) closed at $135.51, marking a +2.29% move from the previous day. The stock outperformed the S&P 500, which registered a daily gain of 0.66%. At the same time, the Dow added 0.18%, and the tech-heavy Nasdaq gained 1.05%.
Coming into today, shares of the holding company for Panama's national airline had gained 0.13% in the past month. In that same time, the Transportation sector lost 3.02%, while the S&P 500 gained 0.55%.
The investment community will be closely monitoring the performance of Copa Holdings in its forthcoming earnings report. The company is expected to report EPS of $3.98, down 5.24% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $1.17 billion, showing a 28.48% escalation compared to the year-ago quarter.
CPA's full-year Zacks Consensus Estimates are calling for earnings of $15.22 per share and revenue of $4.48 billion. These results would represent year-over-year changes of -6.51% and +23.84%, respectively.
It is also important to note the recent changes to analyst estimates for Copa Holdings. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. As of now, Copa Holdings holds a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Copa Holdings has a Forward P/E ratio of 8.7 right now. This signifies a discount in comparison to the average Forward P/E of 11.57 for its industry.
We can also see that CPA currently has a PEG ratio of 1.23. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Transportation - Airline stocks are, on average, holding a PEG ratio of 0.92 based on yesterday's closing prices.
The Transportation - Airline industry is part of the Transportation sector. This group has a Zacks Industry Rank of 224, putting it in the bottom 9% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
View the Zacks #1 Rank List
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Copa Holdings (CPA) Exceeds Market Returns: Some Facts to Consider
In the latest trading session, Copa Holdings (CPA - Free Report) closed at $135.51, marking a +2.29% move from the previous day. The stock outperformed the S&P 500, which registered a daily gain of 0.66%. At the same time, the Dow added 0.18%, and the tech-heavy Nasdaq gained 1.05%.
Coming into today, shares of the holding company for Panama's national airline had gained 0.13% in the past month. In that same time, the Transportation sector lost 3.02%, while the S&P 500 gained 0.55%.
The investment community will be closely monitoring the performance of Copa Holdings in its forthcoming earnings report. The company is expected to report EPS of $3.98, down 5.24% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $1.17 billion, showing a 28.48% escalation compared to the year-ago quarter.
CPA's full-year Zacks Consensus Estimates are calling for earnings of $15.22 per share and revenue of $4.48 billion. These results would represent year-over-year changes of -6.51% and +23.84%, respectively.
It is also important to note the recent changes to analyst estimates for Copa Holdings. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. As of now, Copa Holdings holds a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Copa Holdings has a Forward P/E ratio of 8.7 right now. This signifies a discount in comparison to the average Forward P/E of 11.57 for its industry.
We can also see that CPA currently has a PEG ratio of 1.23. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Transportation - Airline stocks are, on average, holding a PEG ratio of 0.92 based on yesterday's closing prices.
The Transportation - Airline industry is part of the Transportation sector. This group has a Zacks Industry Rank of 224, putting it in the bottom 9% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.