LATAM Airlines Group (NYSE:LTM) Shares Gap Down – Time to Sell?

LATAM Airlines Group S.A. (NYSE:LTM) shares gapped down before the market opened on Tuesday . The stock had previously closed at $64.85, but opened at $61.96. LATAM Airlines Group shares last traded at $62.0770, with a volume of 1,725,483 shares trading hands.

Wall Street Analysts Forecast Growth

LTM has been the subject of several recent analyst reports. Barclays restated an “overweight” rating and set a $75.00 target price (up from $60.00) on shares of LATAM Airlines Group in a research note on Thursday, February 5th. Wall Street Zen upgraded LATAM Airlines Group from a “buy” rating to a “strong-buy” rating in a research note on Saturday, November 22nd. Zacks Research raised LATAM Airlines Group from a “hold” rating to a “strong-buy” rating in a report on Friday, January 9th. Weiss Ratings reiterated a “hold (c)” rating on shares of LATAM Airlines Group in a report on Thursday, January 22nd. Finally, The Goldman Sachs Group restated a “buy” rating and set a $58.50 price objective on shares of LATAM Airlines Group in a research note on Friday, December 5th. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and one has given a Hold rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Buy” and a consensus target price of $66.75.

LATAM Airlines Group Price Performance

The stock has a market capitalization of $18.71 billion, a price-to-earnings ratio of 12.43, a price-to-earnings-growth ratio of 0.43 and a beta of 3.88. The company has a 50-day simple moving average of $57.51 and a two-hundred day simple moving average of $49.75.

LATAM Airlines Group (NYSE:LTM) last posted its earnings results on Tuesday, February 3rd. The transportation company reported $1.69 EPS for the quarter, topping the consensus estimate of $1.35 by $0.34. The firm had revenue of $3.95 billion during the quarter, compared to analysts’ expectations of $3.81 billion. LATAM Airlines Group had a net margin of 10.07% and a return on equity of 136.61%. Research analysts anticipate that LATAM Airlines Group S.A. will post 3.37 EPS for the current year.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of LTM. Farther Finance Advisors LLC raised its stake in shares of LATAM Airlines Group by 49.1% during the fourth quarter. Farther Finance Advisors LLC now owns 747 shares of the transportation company’s stock valued at $40,000 after purchasing an additional 246 shares in the last quarter. Leonteq Securities AG acquired a new position in shares of LATAM Airlines Group during the fourth quarter valued at approximately $78,000. Caitong International Asset Management Co. Ltd lifted its position in LATAM Airlines Group by 761.1% in the second quarter. Caitong International Asset Management Co. Ltd now owns 2,170 shares of the transportation company’s stock worth $88,000 after purchasing an additional 1,918 shares during the period. Tower Research Capital LLC TRC bought a new position in LATAM Airlines Group during the 2nd quarter valued at $90,000. Finally, Rhumbline Advisers increased its position in shares of LATAM Airlines Group by 113.8% during the 1st quarter. Rhumbline Advisers now owns 3,194 shares of the transportation company’s stock valued at $100,000 after purchasing an additional 1,700 shares during the period.

LATAM Airlines Group Company Profile

LATAM Airlines Group SA is a Chilean-based airline holding company formed in 2012 through the merger of LAN Airlines of Chile and TAM Linhas Aéreas of Brazil. The Group offers passenger and cargo air transportation services across South America and beyond, operating under a multi‐brand strategy that encompasses several nationally recognized carriers. Headquartered in Santiago, Chile, LATAM is structured to serve diverse market segments with full-service, premium and low‐cost offerings.

The core business activities of LATAM Airlines Group include scheduled domestic and international passenger flights, air cargo services and maintenance, repair and overhaul (MRO) capabilities through its technical divisions.