Commodity Channel Index
|Bid||0.0000 x 4000|
|Ask||0.0000 x 2900|
|Day's Range||2.6700 - 3.5000|
|52 Week Range||0.6000 - 12.1600|
|Beta (5Y Monthly)||N/A|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||6.72|
Aeromexico this week became the third Delta partner to file for bankruptcy due to the coronavirus pandemic, following LATAM Airlines Group and Virgin Australia. In Latin America, Delta spent nearly $3 billion to build up stakes in Aeromexico and LATAM over the past three years.
Bankrupt LATAM Airlines and Avianca Holdings are dramatically retrenching their once grand ambitions amid the COVID-19 pandemic, reducing competition in Latin America as they mull once-unthinkable cooperation with rivals. Since May, LATAM has exited Argentina, partnered with rival Azul SA in Brazil and cut back domestic operations in Chile, while Avianca has departed Peru. LATAM is now open to a deeper alliance with Azul, even as the two airlines usually control a combined 60% of Brazil's domestic market.
LATAM Airlines Chief Executive Roberto Alvo said on Thursday he expects the region´s largest carrier to be operating at half of pre-pandemic levels by the end of 2020, and that a full recovery was unlikely for at least 3-4 years. LATAM filed for U.S. bankruptcy protection last month, aiming to restructure $18 billion in debt.
LATAM Airlines Group (NYSE: LTM) said Wednesday it is closing its Argentina subsidiary for an indefinite period because of difficult economic conditions, but that international flights and cargo operations in the country will continue as normal with other carriers in the group.The largest airline in Latin America, based in Santiago, Chile, filed for court-supervised bankruptcy protection in the U.S. last month, but its Argentina subsidiary was not included in the process and is the only subsidiary to close. LATAM said the decision to shutter the Argentine airline was made because the COVID-19 pandemic has wiped out most of its business and it was unable to reduce its cash drain, an apparent reference to the Argentine government's strict travel ban, which forbids non-nationals from entering the country.Whether the company will eventually try to restart is an open question. The shutdown only affects domestic routes in Argentina. LATAM Cargo will continue operating between four cities in Argentina and the U.S., Brazil, Chile and Peru using its freighter fleet, repurposed passenger planes for cargo and the lower hold of passenger aircraft operated by other airlines in the group.LATAM Airlines Argentina was a conveyor for moving imports and exports between international gateways and local markets.Airlines worldwide are struggling to cope with the economic fallout from the coronavirus, but governments in South and Central America have not provided much financial supportColombian flag-carrier Avianca also filed for Chapter 11 bankruptcy last month in an effort to restructure.Pharmaceutical ProductsIn related news, LATAM Cargo said it has extended its PHARMA product to more of its network to provide customers alternatives as demand grows to move pharmaceutical products from Europe to Latin America.During the past three months, the company has added transit stations in Miami; Santiago, Chile; Buenos Aires, Argentina; and a second entry point in Sao Paulo, Brazil that offer routes to Puerto Rico, New Zealand, Ecuador and Paraguay.PHARMA offers specialized transportation for temperature-sensitive medicines and biologics, including temperature-controlled aircraft and warehouse, thermal blankets to minimize temperature fluctuation, and segregation from general cargo at origin and destination. LATAM offers both active temperature monitoring and adjustments, or passive temperature controls.Photo: Flickr/Christian Juker PhotographySee more from Benzinga * Alternative Meats: A Threat To The Trucking Industry? * Daseke's Second Quarter Update Welcomed By Investors * Volatile US-Mexico Auto Industry Disrupts Border Trucking Capacity(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Backed by improving air-travel demand trends and cost-saving initiatives, both American Airlines (AAL) and Delta Air Lines (DAL) expect to exit this year with zero cash-burn rate.
Speculators that bet on airline stocks bottoming in March needed to wait until last week for the trade to pay off. The encouragement that flight bookings and passenger traffic are on the rise rewarded Delta Airlines (NYSE:DAL) shareholders. DAL stock also has valuations are too compelling to ignore. This might explain why the recent rally unfolded.Source: Markus Mainka / Shutterstock.com What about Delta's fundamentals? The near-term prospects still look poor, even if bookings are slowly improving. DAL Stock Lifted by Flight ScheduleIn early May, Delta consolidated various operations in the U.S. served by multiple airports. This will align flight supply with weaker demand but would maintain the airliner's connectivity. The company already planned to add more flights to its Atlanta and New York schedule. It also planned to increase its services in the Caribbean and Latin America. But most importantly, Bill Lentsch, Delta's chief customer experience officer, said that "our survey data showed a clear desire for these kits and we have a bias toward action when we see new trends emerge."InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe inevitable rebound in passenger flight volumes, even though they are at a fraction of last year's level, will introduce a big problem for air carriers. Travelers will have to wear a mask while onboard but maintaining social distancing will still present a challenge for everyone. Delta may lead the initiative in keeping planes disinfected between flights. For example, it may use ultraviolet light and scrub down the interior of the plane. Airline staff will wear protective gear and masks at all times and minimize close contact with passengers. Excessive SpeculationThe 88% bounce in LATAM Airlines (NYSE:LTM) last week suggests that excessive speculation in the sector lifted values only for now. Amateur stock buyers who do not know what a bankruptcy means bought LTM stock. When the firm files for bankruptcy, shareholders will get nothing back. Conversely, markets may be speculating that a delay in the filing, to at least July, increases the odds of a bailout from Brazil. Still, Brazil's currency is collapsing and the country has too much debt to help the airline. * The 9 Best Cryptocurrencies to Watch for the Rest of 2020 Delta and the Brazilian carrier signed a trans-American joint venture agreement earlier in May. The deal gives its customers connected flights between Delta and LATAM flights in hub airports where the two carriers are co-located. ValuationWall Street analysts have a $36 price target on Delta stock (per Tipranks). Supporting that price target is the stock's deep value score of 88/100:DAL Industry S&P 500 Value Score 88 70 73 Price / Earnings 6.4 - 27.5 Price / Sales 0.5 0.3 2.3 Price / Free Cash Flow 9.5 10 21.9 Price / Book 1.5 1.3 3.8 Data courtesy of Stock RoverEven after last week's sharp bounce, Delta trades at a steep discount compared to the S&P 500 index. The stock market is still pricing in a weak recovery in revenue and investors expect the company to continue losing money. The stock is of high quality, although gross margins trail the index.DAL Industry S&P 500 Quality Score 82 55 79 Gross Margin 19.90% 20.80% 29.10% Operating Margin 11.50% 6.10% 13.20% Net Margin 7.80% 1.50% 8.70% Data courtesy of Stock RoverInvestors cannot expect profitability recovering until passenger traffic rebounds to at least 25-50% of last year's levels. Delta grounded most of its planes and cut operating costs and staff. So, if demand picks up at a faster pace, the company may quickly increase supply to match demand levels. Avoid ChasingInvestors betting on Delta's rebound weeks ago get to cash in on the reward now. Those who missed the rally should avoid chasing the stock.The airline will post another ugly loss in the next quarterly report. But if bookings are on a consistent rise, Delta may have enough data to establish revenue guidance for the rest of the year. That will only help the stock hold its levels.Chris Lau, contributing author for InvestorPlace.com and numerous other financial sites. Chris has over 20 years of investing experience in the stock market and runs the Do-It-Yourself Value Investing Marketplace on Seeking Alpha. He shares his stock picks so readers get original insight that helps improve investment returns. More From InvestorPlace * Why Everyone Is Investing in 5G All WRONG * Top Stock Picker Reveals His Next 1,000% Winner * The 1 Stock All Retirees Must Own * Look What America's Richest Family Is Investing in Now The post Avoid Chasing Delta Airlines After Stock Price Took Off appeared first on InvestorPlace.
A group of bondholders of LATAM Airlines Group SA <LTM.SN> is in talks to supply up to $1.5 billion in a debtor-in-possession loan within the Chapter 11 proceeding in the United States, two people with knowledge of the matter said on Thursday. Bondholders including Blackrock Inc <BLK.N>, Australia's Macquarie Group <MQG.AX>, HSBC <HSBA.L> and Chile's Moneda Asset Management, are informally discussing the issue with investment bank Moelis & Co <MC.N>. LATAM, the bondholders and Moelis did not immediately comment on the matter.
A new estimate of the scale of financial losses facing the global airline industry reveals the heavy toll on South American airline stocks, with shares of Brazil's Azul (NYSE: AZUL) airline falling as much as 11.1% today and Sao Paulo's Gol Linhas Aereas Inteligentes (NYSE: GOL) tumbling 13.1%. Both airlines were back up off their lows as of 12:40 p.m. EDT, with Azul down only 5.5% and Gol off 3.6%. Meanwhile, their Chilean rival, LATAM Airlines (NYSE: LTM), was actually up 4.1% after swinging wildly between an 8.3% loss and a 20% profit earlier in the day.
Airline shares are taking flight throughout the Americas on improving optimism that the worst of the COVID-19 pandemic travel slump is now behind us. The U.S. airlines are all up between 5% and 15% apiece on Monday, but those gains pale in comparison to how New York-traded Latin American airlines are trading. Shares of two of Brazil's largest airlines, Azul (NYSE: AZUL) and Gol Linhas Aereas Inteligentes (NYSE: GOL), traded up 20% apiece on Monday, as did shares of bankrupt Latam Airlines Group (NYSE: LTM) of Chile.
Shares of LATAM Airlines Group (NYSE: LTM) soared 22% on Friday morning, before falling back somewhat, on encouraging news about a potential post-COVID-19 travel recovery. LATAM in particular has been hard hit, with the airline filing for bankruptcy protection late last month. If so, that certainly would be good news for the sector in general and for LATAM, too.
With demand for air travel dropping sharply, carriers like American Airlines (AAL) and United Airlines (UAL) are looking to slash their personnel in a cost-cutting bid.
LATAM Airlines' (LTM) Q1 results reflect a goodwill impairment loss of $1.73 billion due to the effects of the coronavirus crisis.
Latin America is slowly reopening for business after lockdowns due to the COVID-19 pandemic, with popular tourist destination Rio de Janeiro in Brazil allowing nonessential businesses including restaurants and shops to return to normal operations. As markets reopen, South American airline stocks that had lost more than half of their value due to the pandemic are feeling rejuvenated as well. Brazilian airlines Azul (NYSE: AZUL) and Gol Linhas Aereas Inteligentes (NYSE: GOL) each traded up more than 16% on Wednesday morning, and Chile's Latam Airlines Group (NYSE: LTM) soared 28% higher.
Shares of LATAM Airlines Group (NYSE: LTM), gutted by a bankruptcy filing last week, surged in Tuesday trading and were up a staggering 55% as of 2:42 p.m. EDT today. In LATAM's home country of Chile, The Santiago Times is reporting that COVID-19 infections are soaring, with 105,000 persons infected and more than 1,100 deaths. Brazil, meanwhile, has the highest incidence of coronavirus infections of any other country, barring only the U.S.
Shares of Brazilian airline Gol Linhas Aereas Inteligentes (NYSE: GOL) popped more than 10% in early trading Monday morning, and remain up a healthy 8.6% as of 11:35 a.m. EDT. With nearly 515,000 reported coronavirus infections and more than 29,000 related deaths, Brazil remains a hot spot for COVID-19.
NEW YORK, NY / ACCESSWIRE / June 1, 2020 / LATAM Airlines Group SA (NYSE:LTM) will be discussing their earnings results in their 2020 First Quarter Earnings call to be held on June 1, 2020 at 10:00 AM ...
Shares of LATAM Airlines Group (NYSE:LTM) rose 5.5% in pre-market trading after the company reported Q1 results.Quarterly Results Earnings per share fell 3400.00% year over year to ($3.50), which may not compare to the estimate of ($0.12).Revenue of $2,352,000,000 declined by 6.85% from the same period last year, which missed the estimate of $2,520,000,000.Looking Ahead Earnings guidance hasn't been issued by the company for now.LATAM Airlines Group hasn't issued any revenue guidance for the time being.How To Listen To The Conference Call Date: Jun 01, 2020View more earnings on LTMTime: 10:00 AMET Webcast URL: https://edge.media-server.com/mmc/p/etp7b579Recent Stock Performance Company's 52-week high was at $12.15Company's 52-week low was at $1.00Price action over last quarter: down 82.48%Company Description LATAM Airlines Group SA is one of the largest air transport groups in Latin America. It operates in multiple countries in South America, and helps bring better connectivity within the region. Additionally, it has entered agreements with operators in the industry to help reach more global destinations. Revenue is generated from transporting passengers and cargo and utilizing a network of freighters..See more from Benzinga * 14 Industrials Stocks Moving In Thursday's Pre-Market Session * 15 Industrials Stocks Moving In Tuesday's Pre-Market Session * 16 Industrials Stocks Moving In Monday's Pre-Market Session(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
LATAM Airlines, the largest Latin American air transport group, had losses of $2.12 billion in the first quarter after an accounting adjustment of its assets amid the coronavirus pandemic, the company said in a statement late on Friday. LATAM said its operational quarterly result was 17% higher year-on-year despite the fact that in March it reduced its offer of flights due to the first effects of the health crisis.
The Zacks Analyst Blog Highlights: Hertz Global, Avis Budget Group, LATAM Airlines and Whiting Petroleum
LATAM Airlines Group's <LTM.SN> U.S. bankruptcy filing this week will delay its potential bailout in Brazil to at least July and also push back aid to its rivals at least through the end of June, two sources said on Thursday. The delays will add further strain to Brazil's airlines, which were already in weak shape before the pandemic. Rivals Azul SA <AZUL.N> and Gol Linhas Aereas Inteligentes SA <GOLL4.SA> are also negotiating bailouts.