Copa Holdings SA (CPA)vsSouthwest Airlines Company (LUV)
CPA
Copa Holdings SA
$129.15
+0.50%
INDUSTRIALS · Cap: $5.30B
LUV
Southwest Airlines Company
$39.24
+1.42%
INDUSTRIALS · Cap: $18.92B
Smart Verdict
WallStSmart Research — data-driven comparison
Southwest Airlines Company generates 654% more annual revenue ($30.07B vs $3.99B). CPA leads profitability with a 15.7% profit margin vs 2.8%. LUV appears more attractively valued with a PEG of 0.19. CPA earns a higher WallStSmart Score of 70/100 (B-).
CPA
Strong Buy70
out of 100
Grade: B-
LUV
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-0.3%
Fair Value
$150.21
Current Price
$129.15
$21.06 premium
Intrinsic value data unavailable for LUV.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 25 in profit
Conservative balance sheet, low leverage
Growing faster than its price suggests
Reasonable price relative to book value
Revenue surging 25.7% year-over-year
Growing faster than its price suggests
Reasonable price relative to book value
16.4% revenue growth
Earnings expanding 20.5% YoY
Areas to Watch
Weak financial health signals
Earnings declined 53.8%
Negative free cash flow — burning cash
Grey zone — moderate risk
2.8% margin — thin
Operating margin of 3.4%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : CPA
The strongest argument for CPA centers on P/E Ratio, Return on Equity, Debt/Equity. Profitability is solid with margins at 15.7% and operating margin at 8.7%. Revenue growth of 25.7% demonstrates continued momentum.
Bull Case : LUV
The strongest argument for LUV centers on PEG Ratio, Price/Book, Revenue Growth. Revenue growth of 16.4% demonstrates continued momentum. PEG of 0.19 suggests the stock is reasonably priced for its growth.
Bear Case : CPA
The primary concerns for CPA are Piotroski F-Score, EPS Growth, Free Cash Flow.
Bear Case : LUV
The primary concerns for LUV are Altman Z-Score, Profit Margin, Operating Margin. Thin 2.8% margins leave little buffer for downturns.
Key Dynamics to Monitor
LUV carries more volatility with a beta of 1.12 — expect wider price swings.
CPA is growing revenue faster at 25.7% — sustainability is the question.
CPA generates stronger free cash flow (-49M), providing more financial flexibility.
Monitor AIRLINES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
CPA scores higher overall (70/100 vs 66/100), backed by strong 15.7% margins and 25.7% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Copa Holdings SA
INDUSTRIALS · AIRLINES · USA
Copa Holdings, SA, provides airline passenger and cargo services. The company is headquartered in Panama City, Panama.
Visit Website →Southwest Airlines Company
INDUSTRIALS · AIRLINES · USA
Southwest Airlines Co., typically referred to as Southwest, is one of the major airlines of the United States and the world's largest low-cost carrier airline. It is headquartered in Dallas, Texas.
Visit Website →Compare with Other AIRLINES Stocks
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