Controladora Vuela Compania de Aviacion (NYSE:VLRS) Reaches New 1-Year Low – Here’s Why

Controladora Vuela Compania de Aviacion, S.A.B. de C.V. (NYSE:VLRS)’s share price hit a new 52-week low on Monday. The company traded as low as $5.46 and last traded at $5.5160, with a volume of 81,012 shares. The stock had previously closed at $5.68.

Wall Street Analyst Weigh In

VLRS has been the subject of a number of recent analyst reports. Wall Street Zen downgraded Controladora Vuela Compania de Aviacion from a “hold” rating to a “sell” rating in a research report on Saturday. UBS Group increased their target price on Controladora Vuela Compania de Aviacion from $9.00 to $11.00 and gave the stock a “buy” rating in a research report on Wednesday, August 5th. The Goldman Sachs Group cut their price objective on shares of Controladora Vuela Compania de Aviacion from $8.60 to $7.70 and set a “neutral” rating on the stock in a report on Tuesday, August 11th. Zacks Research cut shares of Controladora Vuela Compania de Aviacion from a “hold” rating to a “strong sell” rating in a research report on Thursday, October 15th. Finally, Weiss Ratings downgraded shares of Controladora Vuela Compania de Aviacion from a “sell (d)” rating to a “sell (e+)” rating in a research note on Friday, July 31st. Three analysts have rated the stock with a Buy rating, three have issued a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat.com, Controladora Vuela Compania de Aviacion presently has a consensus rating of “Hold” and an average price target of $9.40.

Controladora Vuela Compania de Aviacion Stock Up 8.5%

The stock’s 50 day moving average price is $6.48 and its 200 day moving average price is $7.76.

Controladora Vuela Compania de Aviacion (NYSE:VLRS) last announced its quarterly earnings results on Monday, October 26th. The transportation company reported ($0.23) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.61) by $0.38. The business had revenue of $1.04 billion for the quarter, compared to analysts’ expectations of $999.85 million. As a group, sell-side analysts forecast that Controladora Vuela Compania de Aviacion, S.A.B. de C.V. will post -2.49 earnings per share for the current year.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the business. Bank of America Corp DE raised its stake in shares of Controladora Vuela Compania de Aviacion by 55.4% in the 1st quarter. Bank of America Corp DE now owns 588,981 shares of the transportation company’s stock valued at $4,264,000 after purchasing an additional 209,978 shares in the last quarter. Dorsey Wright & Associates acquired a new position in shares of Controladora Vuela Compania de Aviacion during the first quarter valued at $1,840,000. Diversify Wealth Management LLC acquired a new stake in shares of Controladora Vuela Compania de Aviacion in the first quarter valued at approximately $1,279,000. Empowered Funds LLC acquired a new stake in Controladora Vuela Compania de Aviacion in the 1st quarter valued at approximately $1,103,000. Finally, AdvisorShares Investments LLC bought a new stake in Controladora Vuela Compania de Aviacion during the 1st quarter valued at $860,000. Institutional investors and hedge funds own 53.32% of the company’s stock.

About Controladora Vuela Compania de Aviacion

Controladora Vuela Compañía de Aviación, SAB. de C.V., operating under the Volaris brand, is a Mexican ultra-low-cost airline. The company provides scheduled passenger air transportation, along with ancillary services such as baggage, seat selection and other travel-related offerings.

Volaris began operations in 2006 and serves a broad network of destinations in Mexico, the United States, and Central America. Its business model emphasizes affordable base fares, high aircraft utilization and the separate sale of optional services.

Controladora Vuela is headquartered in Mexico City and is listed on the New York Stock Exchange under the symbol VLRS.