Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.
Trade-Ideas LLC identified
) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Copa Holdings as such a stock due to the following factors:
- CPA has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $29.3 million.
- CPA has traded 196,522 shares today.
- CPA is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in CPA with the Ticky from Trade-Ideas. See the FREE profile for CPA NOW at Trade-Ideas
More details on CPA:
Copa Holdings, S.A. provides airline passenger and cargo services in Latin America. It provides services within Colombia; and international flights from various cities in Colombia to Panama, Venezuela, Ecuador, Mexico, Cuba, Guatemala, and Costa Rica. The stock currently has a dividend yield of 2.1%. CPA has a PE ratio of 17.8. Currently there are 9 analysts that rate Copa Holdings a buy, no analysts rate it a sell, and 1 rates it a hold.
The average volume for Copa Holdings has been 240,000 shares per day over the past 30 days. Copa has a market cap of $4.6 billion and is part of the services sector and transportation industry. The stock has a beta of 0.67 and a short float of 0.4% with 0.69 days to cover. Shares are up 39.1% year to date as of the close of trading on Friday.
rates Copa Holdings as a
. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, solid stock price performance and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company shows low profit margins.
Highlights from the ratings report include:
- The revenue growth came in higher than the industry average of 2.4%. Since the same quarter one year prior, revenues rose by 14.8%. Growth in the company's revenue appears to have helped boost the earnings per share.
- The debt-to-equity ratio is somewhat low, currently at 0.66, and is less than that of the industry average, implying that there has been a relatively successful effort in the management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.14, which illustrates the ability to avoid short-term cash problems.
- The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. In comparison to the other companies in the Airlines industry and the overall market, COPA HOLDINGS SA's return on equity significantly exceeds that of the industry average and is above that of the S&P 500.
- Powered by its strong earnings growth of 133.33% and other important driving factors, this stock has surged by 71.24% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, CPA should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- COPA HOLDINGS SA reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, COPA HOLDINGS SA increased its bottom line by earning $7.35 versus $7.02 in the prior year. This year, the market expects an improvement in earnings ($9.73 versus $7.35).
- You can view the full Copa Holdings Ratings Report.