Why Copa Holdings, S.A. (NYSE:CPA) Could Have A Place In Your Portfolio
Building up an investment case requires looking at a stock holistically. Today I’ve chosen to put the spotlight on Copa Holdings, S.A. (NYSE:CPA) due to its excellent fundamentals in more than one area. CPA is a notable dividend payer that has been able to sustain great financial health over the past. Below, I’ve touched on some key aspects you should know on a high level. For those interested in digger a bit deeper into my commentary, take a look at the report on Copa Holdings here.
Established dividend payer with adequate balance sheet
CPA is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This implies that CPA manages its cash and cost levels well, which is a crucial insight into the health of the company. CPA’s has produced operating cash levels of 0.42x total debt over the past year, which implies that CPA’s management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings.
Income investors would also be happy to know that CPA is one of the highest dividend payers in the market, with current dividend yield standing at 4.2%. CPA has also been regularly increasing its dividend payments to shareholders over the past decade.
Next Steps:
For Copa Holdings, I’ve compiled three important factors you should further examine:
Future Outlook: What are well-informed industry analysts predicting for CPA’s future growth? Take a look at our free research report of analyst consensus for CPA’s outlook.
Historical Performance: What has CPA’s returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of CPA? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.
