For those who appreciate growth without the sticker shock, NYSE:CPA is worth considering.

Take a closer look at COPA HOLDINGS SA-CLASS A (NYSE:CPA), an affordable growth stock uncovered by our stock screener. NYSE:CPA boasts strong growth prospects and excels in financial health indicators, all while maintaining a reasonable valuation. Let's break it down further.

A Closer Look at Growth for NYSE:CPA

To evaluate a stock's growth potential, ChartMill utilizes a Growth Rating on a scale of 0 to 10. This comprehensive assessment considers various growth aspects, including historical and estimated EPS and revenue growth. NYSE:CPA has achieved a 7 out of 10:

• CPA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 313.78%, which is quite impressive.
• The Revenue has grown by 47.77% in the past year. This is a very strong growth!
• Based on estimates for the next years, CPA will show a very strong growth in Earnings Per Share. The EPS will grow by 28.48% on average per year.
• The Revenue is expected to grow by 9.48% on average over the next years. This is quite good.
• The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
• The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

Understanding NYSE:CPA's Valuation Score

ChartMill assigns a Valuation Rating to each stock, ranging from 0 to 10. This rating is calculated by analyzing different valuation elements, such as price to earnings and free cash flow, both in absolute terms and relative to the market and industry. In the case of NYSE:CPA, the assigned 9 reflects its valuation:

• A Price/Earnings ratio of 5.80 indicates a rather cheap valuation of CPA.
• CPA's Price/Earnings ratio is rather cheap when compared to the industry. CPA is cheaper than 91.30% of the companies in the same industry.
• Compared to an average S&P500 Price/Earnings ratio of 25.55, CPA is valued rather cheaply.
• The Price/Forward Earnings ratio is 5.27, which indicates a rather cheap valuation of CPA.
• Based on the Price/Forward Earnings ratio, CPA is valued a bit cheaper than the industry average as 78.26% of the companies are valued more expensively.
• CPA is valuated cheaply when we compare the Price/Forward Earnings ratio to 18.74, which is the current average of the S&P500 Index.
• Based on the Enterprise Value to EBITDA ratio, CPA is valued cheaper than 91.30% of the companies in the same industry.
• Based on the Price/Free Cash Flow ratio, CPA is valued cheaply inside the industry as 91.30% of the companies are valued more expensively.
• The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• The decent profitability rating of CPA may justify a higher PE ratio.
• CPA's earnings are expected to grow with 28.48% in the coming years. This may justify a more expensive valuation.

Assessing Health Metrics for NYSE:CPA

ChartMill assigns a proprietary Health Rating to each stock. The score is computed by evaluating various liquidity and solvency ratios and ranges from 0 to 10. NYSE:CPA was assigned a score of 5 for health:

• CPA has a Altman-Z score of 1.95. This is amongst the best in the industry. CPA outperforms 86.96% of its industry peers.
• The Debt to FCF ratio of CPA is 2.13, which is a good value as it means it would take CPA, 2.13 years of fcf income to pay off all of its debts.
• The Debt to FCF ratio of CPA (2.13) is better than 100.00% of its industry peers.
• CPA has a Debt to Equity ratio of 0.83. This is in the better half of the industry: CPA outperforms 69.57% of its industry peers.

Profitability Examination for NYSE:CPA

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:CPA was assigned a score of 6 for profitability:

• CPA has a better Return On Assets (6.73%) than 91.30% of its industry peers.
• CPA has a better Return On Equity (22.08%) than 78.26% of its industry peers.
• With an excellent Return On Invested Capital value of 20.49%, CPA belongs to the best of the industry, outperforming 91.30% of the companies in the same industry.
• CPA's Profit Margin of 10.17% is amongst the best of the industry. CPA outperforms 95.65% of its industry peers.
• CPA has a better Operating Margin (22.25%) than 100.00% of its industry peers.
• CPA has a better Gross Margin (59.33%) than 73.91% of its industry peers.

Every day, new Affordable Growth stocks can be found on ChartMill in our Affordable Growth screener.

Our latest full fundamental report of CPA contains the most current fundamental analsysis.

Keep in mind

This article should in no way be interpreted as advice in any way. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.