Copa Holdings S.A. Class A Common Stock (CPA)

FairStock Score: 74/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach an airline with caution. Copa has operated since 1947 and flies 125 aircraft through a Panama hub, which gives it a useful regional network. In fiscal Q2 2026 it earned $68.2M on $1.1B of revenue, a 6.44% net margin—solid for airlines. But the provided figures show profit growth of -54.22%, so earnings are volatile. FairStock calculates ROE at 23.07%, yet ROCE is only 7.35%, meaning returns on total capital are modest. Debt-to-equity of 0.89 and an Altman Z-Score of 1.48 suggest a leveraged balance sheet. Trailing free cash flow is -$77.0M, a -1.6% FCF yield, which raises questions about the 5.19% dividend. The Piotroski F-Score is 3/9, confirming weak financial momentum. At the 2026-10-13 close of $134.97, FairStock's P/E is 8.86, P/B 1.92, and EV/EBITDA 8.69. The Graham Number is $155.30, giving a 13.09% margin of safety—positive but not wide. FairStock Score is 74/100. The Lynch category is none because there are only 0 years of filed results, not enough for its three-year rule. Copa may have a regional niche, but airlines rarely possess a durable moat. I would want a larger discount to compensate for cyclicality, leverage, and negative free cash flow. The price is not expensive, but the business quality and cash generation do not yet offer a compelling margin of safety.

In plain English: Copa is a Panama-based airline that flies passengers and cargo across the Americas. In its latest quarter it made a profit, but the broader numbers show high borrowing, weak cash generation, and uneven earnings. The stock price looks somewhat below a rough estimate of value, but not deeply cheap given those risks.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer