International Consolidated Airlines Group SA (ICAGY) Hits Fresh High: Is There Still Room to Run?

Core Viewpoint - International Consolidated Airlines Group SA (ICAGY) has shown strong stock performance, with a 5.5% increase over the past month and a 44.4% gain since the beginning of the year, outperforming both the Zacks Transportation sector and the Zacks Transportation - Airline industry [1][2]. Financial Performance - The company has consistently exceeded earnings expectations, reporting an EPS of $1.29 against a consensus estimate of $0.5 in its last earnings report [2]. - For the current fiscal year, the expected earnings are $1.62 per share on revenues of $38.55 billion, reflecting a 31.71% increase in EPS and a 10.94% increase in revenues [3]. - Projections for the next fiscal year indicate earnings of $1.7 per share on revenues of $39.99 billion, representing year-over-year changes of 4.94% and 3.73%, respectively [3]. Valuation Metrics - The stock currently trades at a valuation of 6.7X current fiscal year EPS estimates, below the peer industry average of 10.1X [7]. - The trailing cash flow basis shows the stock trading at 4.6X, matching its peer group's average [7]. - The PEG ratio stands at 0.65, positioning the company favorably among value stocks [7]. Style Scores and Zacks Rank - International Consolidated Airlines Group has a Value Score of A, a Growth Score of A, and a Momentum Score of B, resulting in a combined VGM Score of A [6]. - The company holds a Zacks Rank of 1 (Strong Buy), supported by positive earnings estimate revisions from analysts [8]. - The alignment with Zacks Rank of 1 or 2 and Style Scores of A or B suggests potential for the company's shares in the near future [9].