Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key ...

MEXICO CITY, Nov. 07, 2024 (GLOBE NEWSWIRE) -- Controladora Vuela Compañía de Aviación, S.A.B. de C.V. (NYSE: VLRS and BMV: VOLAR) (“Volaris” or “the Company”), the ultra-low-cost carrier (ULCC) serving Mexico, the United States, Central and South America, reports its October 2024 preliminary traffic results. In October, Volaris' ASM capacity decreased by 6.8% year-over-year due to the Pratt & Whitney engine inspections offset by fewer aircraft groundings following the return of the initial batch of inspect ...

Shares of Controladora Vuela (VLRS) have gained 19.8% over the past four weeks to close the last trading session at $7.45, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $12.92 indicates a potential upside of 73.4%.The average comprises nine short-term price targets ranging from a low of $10 to a high of $16.50, with a standard deviation of $2.11. While the lowest estimate indi ...

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being under ...

Financial Data and Key Metrics Changes - Total operating revenue for Q3 2024 was $3.2 billion, matching the full year operating revenue of 2023, despite a 14% reduction in capacity [6][23] - EBIT totaled $126 million, an increase of over 100% compared to $39 million in Q3 2023, with an EBIT margin of 15.5%, up 11 percentage points [25] - Net income was $37 million compared to a net loss of $39 million in Q3 2023, translating to earnings per ADS of $0.32 [25] - The net debt-to-EBITDA ratio improved from 3.5 times in Q3 2023 to 2.7 times in Q3 2024, one of the lowest levels in the company's history [11][27] Business Line Data and Key Metrics Changes - Ancillary revenues as a percentage of total operating revenues increased from 34% in 2019 to 51% over the past 12 months [7] - Average load factor for Q3 2024 was 87.4%, a 1 percentage point increase year-over-year, with a domestic load factor of 90% and an international load factor of 83.4% [16] - Non-ticket revenue as a percentage of total revenue remained strong and stable at 50% [19] Market Data and Key Metrics Changes - Approximately 40% of total ASMs are currently in the international market, with plans to shift more capacity to the US-Mexico transborder market [18] - The company achieved a remarkable system schedule completion rate of 98.5% while controlling costs despite an aging fleet [8] Company Strategy and Development Direction - The company aims to prioritize profitability over market share, with structural flexibility allowing for capacity adjustments based on market conditions [13][56] - Volaris is focusing on expanding its offerings in the US-Mexico transborder market, leveraging its cost advantage over North American ULCCs and legacy airlines [18][21] - The company plans to maintain a balanced growth strategy between domestic and international routes [54] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate challenges, highlighting improved turnaround times and a solid outlook for engine redeliveries [12][51] - The new administration in Mexico is expected to maintain continuity in aviation policies, with a focus on promoting healthy sector development [37][40] - Booking trends remain strong, with expectations for total revenue for the full year 2024 to be close to 2023 levels despite a double-digit reduction in capacity [20] Other Important Information - The company has hedged approximately 30% of projected fuel consumption for the high season months of November 2024 through January 2025 at an average strike price of $2.25 per gallon [32] - The average age of the fleet is 6.3 years, with a total of 137 aircraft as of September 30, 2024 [29] Q&A Session Summary Question: Capacity outlook for the first quarter and first half of 2025 - Management expects growth in the mid-teens for the first half of 2025, subject to finalization [35][36] Question: Impact of recent FX depreciation on fares - The company aims to increase US dollar collections to 50% to mitigate FX impacts, with 90% of cash held in US dollars [39] Question: Profitability of international routes versus domestic - Growth is expected to be balanced between domestic and international routes, with higher ancillary revenues on international routes [54] Question: Timing expectations for Pratt & Whitney engine recalls - Significant progress has been made, with a reduction in overall wing-to-wing time for engine maintenance [51] Question: Future growth from international bus routes - The company already operates many niche routes that previously relied on bus travel, with opportunities for growth in these segments [43] Question: Other operating income expectations for 2025 - A slight decrease is expected due to fewer aircraft on average during the year [46] Question: Bookings and fares outlook for early 2025 - Solid bookings are anticipated into the fourth quarter, with a healthy fare environment expected to continue into early 2025 [48]

Controladora Vuela (VLRS) reported $813 million in revenue for the quarter ended September 2024, representing a year-over-year decline of 4.1%. EPS of $0.32 for the same period compares to -$0.33 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $795.89 million, representing a surprise of +2.15%. The company delivered an EPS surprise of +68.42%, with the consensus EPS estimate being $0.19.While investors closely watch year-over-year changes in headline numbers -- revenue and earnin ...

MEXICO CITY, Oct. 22, 2024 (GLOBE NEWSWIRE) -- Controladora Vuela Compañía de Aviación, S.A.B. de C.V. (NYSE: VLRS and BMV: VOLAR) (“Volaris” or “the Company”), the ultra-low-cost carrier (ULCC) serving Mexico, the United States, Central and South America, today reports its unaudited financial results for the third quarter of 20241. Third Quarter 2024 Highlights(All figures are reported in U.S. dollars and compared to 3Q 2023 unless otherwise noted) Net income of $37 million. Earnings per American Depositar ...

Controladora Vuela (VLRS) came out with quarterly earnings of $0.32 per share, beating the Zacks Consensus Estimate of $0.19 per share. This compares to loss of $0.33 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 68.42%. A quarter ago, it was expected that this operator of low-cost airline Volaris would post earnings of $0.05 per share when it actually produced earnings of $0.09, delivering a surprise of 80%.Over the last fo ...

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Company Overview - Controladora Vuela Compania de Aviacion, SAB de CV (NYSE: VLRS), also known as Volaris, is a low-cost Mexican passenger airline [1] - The company has been making significant operational strides and unlocking efficiency gains despite temporary capacity reductions [1] Operational Performance - Volaris has demonstrated strong operational improvements, even with reduced capacity [1] - The company is focused on efficiency gains, which are contributing to its operational success [1] Industry Context - The airline industry, particularly low-cost carriers, is a competitive sector where operational efficiency is crucial [1] - Volaris' ability to maintain operational strides in a challenging environment highlights its resilience and strategic focus [1]