Here's Why Copa Holdings (CPA) is a Strong Value Stock
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Why Investors Should Pay Attention to This Value Stock
Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.
Copa Holdings (CPA)
Copa Holdings is based in Panama City, Panama. The company, through its main subsidiaries — Copa Airlines and Copa Colombia — offers airline passenger and cargo services. Copa Airlines was founded in 1947. Copa Columbia was purchased in 2005.
CPA is a Zacks Rank #3 (Hold) stock, with a Value Style Score of A and VGM Score of A. Shares are currently trading at a forward P/E of 6.3X for the current fiscal year compared to the Transportation - Airline industry's P/E of 7.7X. Additionally, CPA has a PEG Ratio of 0.4 and a Price/Cash Flow ratio of 6.2X. Value investors should also note CPA's Price/Sales ratio of 1.1X.
A company's earnings performance is important for value investors as well. For fiscal 2023, three analysts revised their earnings estimate higher in the last 60 days for CPA, while the Zacks Consensus Estimate has increased $0.48 to $15.00 per share. CPA also holds an average earnings surprise of 16.8%.
With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding CPA to their portfolios.
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Copa Holdings, S.A. (CPA) : Free Stock Analysis Report
