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Don't overlook NYSE:CPA—a stock with solid growth prospects and a reasonable valuation.

By Mill Chart

Last update: Oct 6, 2023

Our stock screening tool has pinpointed COPA HOLDINGS SA-CLASS A (NYSE:CPA) as a growth stock that isn't overvalued. NYSE:CPA is excelling in various growth indicators while maintaining a solid financial footing. Furthermore, it remains attractively priced. Let's delve into the specifics below.

Assessing Growth for NYSE:CPA

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NYSE:CPA boasts a 7 out of 10:

  • The Earnings Per Share has grown by an impressive 313.78% over the past year.
  • CPA shows a strong growth in Revenue. In the last year, the Revenue has grown by 47.77%.
  • 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.
  • Based on estimates for the next years, CPA will show a quite strong growth in Revenue. The Revenue will grow by 9.48% on average per year.
  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

Deciphering NYSE:CPA's Valuation Rating

ChartMill provides a Valuation Rating to every stock, ranging from 0 to 10. This rating assesses various valuation aspects, comparing price to earnings and cash flows, while considering factors like profitability and growth. NYSE:CPA boasts a 9 out of 10:

  • A Price/Earnings ratio of 5.45 indicates a rather cheap valuation of CPA.
  • Compared to the rest of the industry, the Price/Earnings ratio of CPA indicates a rather cheap valuation: CPA is cheaper than 86.96% of the companies listed in the same industry.
  • CPA is valuated cheaply when we compare the Price/Earnings ratio to 25.26, which is the current average of the S&P500 Index.
  • With a Price/Forward Earnings ratio of 4.96, the valuation of CPA can be described as very cheap.
  • Based on the Price/Forward Earnings ratio, CPA is valued a bit cheaper than 78.26% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of CPA to the average of the S&P500 Index (18.51), we can say CPA is valued rather cheaply.
  • Based on the Enterprise Value to EBITDA ratio, CPA is valued cheaply inside the industry as 82.61% of the companies are valued more expensively.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of CPA indicates a rather cheap valuation: CPA is cheaper than 86.96% of the companies listed in the same industry.
  • CPA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • CPA has a very decent profitability rating, which 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.

Health Insights: NYSE:CPA

ChartMill employs its own Health Rating for stock assessment. This rating, ranging from 0 to 10, is calculated by examining various liquidity and solvency ratios. In the case of NYSE:CPA, the assigned 5 reflects its health status:

  • With an excellent Altman-Z score value of 2.12, CPA belongs to the best of the industry, outperforming 86.96% of the companies in the same industry.
  • 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.
  • CPA's Debt to FCF ratio of 2.13 is amongst the best of the industry. CPA outperforms 100.00% of its industry peers.
  • Looking at the Debt to Equity ratio, with a value of 0.83, CPA is in the better half of the industry, outperforming 69.57% of the companies in the same industry.

Looking at the Profitability

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NYSE:CPA has achieved a 6:

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

More Affordable Growth stocks can be found in our Affordable Growth screener.

Check the latest full fundamental report of CPA for a complete fundamental analysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.

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COPA HOLDINGS SA-CLASS A

NYSE:CPA (4/19/2024, 11:34:01 AM)

101.4

+1.46 (+1.46%)

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