Yahoo Finance Copa Holdings (CPA) May Traffic Increases From 2023 Levels
Copa Holdings, S.A. CPA reported solid traffic numbers for May 2024 on the back of upbeat air-travel demand. Driven by high passenger volumes, revenue passenger miles (a measure of traffic) rose in double digits in May on a year-over-year basis.
To match the demand swell, CPA is increasing its capacity. In May, available seat miles (a measure of capacity) increased 7.2% year over year. Revenue passenger miles increased 8.7%. With traffic growth outpacing capacity expansion, the load factor (percentage of seats filled by passengers) improved to 87.3% from 86.1% in May 2023.
Upbeat air travel demand has been aiding Copa Holdings' revenues. Management expects the current-year load factor (percentage of seats filled by passengers) to be 87%, assuming that the rosy traffic scenario continues. For 2024, the company expects consolidated capacity or available seat miles to register 10% growth year over year. Operating margin is projected in the 21-23% band.
Copa Holdings, S.A. Price
Copa Holdings, S.A. price | Copa Holdings, S.A. Quote
Given the buoyant traffic scenario, Copa Holdings is not the only airline to report impressive traffic numbers for May. Ryanair Holdings RYAAY, a European carrier, also reported solid traffic numbers for May 2024, driven by upbeat air-travel demand.
The number of passengers transported on Ryanair flights was 18.9 million in May 2024, indicating an 11% year-over-year increase. RYAAY’s traffic in May was much more than the April reading of 17.3 million and the March reading of 13.6 million. May load factor improved to 95% from 94% in the year-ago period. Notably, RYAAY operated more than 105,000 flights in May 2024.
Zacks Rank and Other Stocks to Consider
Currently, CPA sports a Zacks Rank #1 (Strong Buy).
Some other top-ranked stocks for investors’ consideration in the Zacks Transportation sector include GATX Corporation (GATX) and Trinity Industries, Inc. (TRN). Each stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
GATX has an encouraging earnings surprise history. The company has surpassed the Zacks Consensus Estimate in three of the last four quarters (missing the mark in the other). The average beat is 7.49%.
The Zacks Consensus Estimate for 2024 earnings has been revised 3% upward over the past 90 days. GATX has an expected earnings growth rate of 6.79% for 2024. Shares of the company have rallied 18.4% in the past year.
Trinity raised 2024 earnings per share guidance to the range of $1.35 to $1.55 (which excludes items outside of the company’s core business operations) from $1.30 to $1.50 guided previously.
Over the past 30 days, the Zacks Consensus Estimate for TRN’s 2024 earnings has been revised 2.7% upward. For 2024, TRN’s earnings are expected to grow 8.70% year over year.
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Ryanair Holdings PLC (RYAAY) : Free Stock Analysis Report
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