The stock of Controladora Vuela Cia De Aviacion ADR (NYSE: VLRS) has decreased by -12.61 when compared to last closing price of 7.77.Despite this, the company has seen a loss of -16.28% in its stock price over the last five trading days. seekingalpha.com reported 2025-02-24 that Controladora Vuela Compania de Aviacion, S.A.B. de C.V. (NYSE:VLRS ) Q4 2024 Earnings Conference Call February 24, 2025 11:00 AM ET Company Participants Ricardo Martinez – Investor Relations Director Enrique Javier Beltranena Mejicano – President and Chief Executive Officer Holger Blankenstein – Executive Vice President, Airline Commercial and Operations Jaime Esteban Pous Fernandez – Chief Financial Officer Conference Call Participants Michael Linenberg – Deutsche Bank Duane Pfennigwerth – Evercore ISI Thomas Fitzgerald – TD Cowen Jay Singh – Citi Jens Spiess – Morgan Stanley Rafael Simonetti – UBS Operator Good morning, everyone.
Is It Worth Investing in Controladora Vuela Cia De Aviacion ADR (NYSE: VLRS) Right Now?
The price-to-earnings ratio for Controladora Vuela Cia De Aviacion ADR (NYSE: VLRS) is 4.10x, which is above its average ratio. Moreover, the 36-month beta value for VLRS is 2.46. Analysts have varying opinions on the stock, with 8 analysts rating it as a “buy,” 5 as “overweight,” 1 as “hold,” and 0 as “sell.”
The public float for VLRS is 94.12M and currently, short sellers hold a 0.24% of that float. On February 25, 2025, VLRS’s average trading volume was 558.80K shares.
VLRS’s Market Performance
VLRS’s stock has seen a -16.28% decrease for the week, with a -23.36% drop in the past month and a -17.80% fall in the past quarter. The volatility ratio for the week is 7.34%, and the volatility levels for the past 30 days are at 4.54% for Controladora Vuela Cia De Aviacion ADR. The simple moving average for the past 20 days is -16.14% for VLRS’s stock, with a -5.26% simple moving average for the past 200 days.
Analysts’ Opinion of VLRS
Many brokerage firms have already submitted their reports for VLRS stocks, with Itau BBA repeating the rating for VLRS by listing it as a “Outperform.” The predicted price for VLRS in the upcoming period, according to Itau BBA is $12 based on the research report published on February 12, 2025 of the current year 2025.
TD Cowen, on the other hand, stated in their research note that they expect to see VLRS reach a price target of $14, previously predicting the price at $13. The rating they have provided for VLRS stocks is “Buy” according to the report published on October 24th, 2024.
TD Cowen gave a rating of “Buy” to VLRS, setting the target price at $13 in the report published on October 22nd of the previous year.
VLRS Trading at -16.43% from the 50-Day Moving Average
After a stumble in the market that brought VLRS to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -29.05% of loss for the given period.
Volatility was left at 4.54%, however, over the last 30 days, the volatility rate increased by 7.34%, as shares sank -23.96% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -18.68% lower at present.
During the last 5 trading sessions, VLRS fell by -16.28%, which changed the moving average for the period of 200-days by -19.26% in comparison to the 20-day moving average, which settled at $8.10. In addition, Controladora Vuela Cia De Aviacion ADR saw -8.74% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at VLRS starting from DIAMONDSTREAM PARTNERS FUND II, who proposed sale 20,000 shares at the price of $8.29 back on Dec 17 ’24. After this action, DIAMONDSTREAM PARTNERS FUND II now owns shares of Controladora Vuela Cia De Aviacion ADR, valued at $165,888 using the latest closing price.
William Dean Donovan, the Director of Controladora Vuela Cia De Aviacion ADR, proposed sale 5,000 shares at $8.29 during a trade that took place back on Dec 13 ’24, which means that William Dean Donovan is holding shares at $41,450 based on the most recent closing price.
Stock Fundamentals for VLRS
Current profitability levels for the company are sitting at:
- 0.14 for the present operating margin
- 0.19 for the gross margin
The net margin for Controladora Vuela Cia De Aviacion ADR stands at 0.06. The total capital return value is set at 0.12. Equity return is now at value 85.14, with 3.66 for asset returns.
Based on Controladora Vuela Cia De Aviacion ADR (VLRS), the company’s capital structure generated 0.92 points at debt to capital in total, while cash flow to debt ratio is standing at 0.27. The debt to equity ratio resting at 11.64. The interest coverage ratio of the stock is 1.83.
Currently, EBITDA for the company is 721.02 million with net debt to EBITDA at 5.68. When we switch over and look at the enterprise to sales, we see a ratio of 1.17. The receivables turnover for the company is 18.75for trailing twelve months and the total asset turnover is 0.58. The liquidity ratio also appears to be rather interesting for investors as it stands at 0.73.
Conclusion
To wrap up, the performance of Controladora Vuela Cia De Aviacion ADR (VLRS) has been bad in recent times. The stock has received a bullish of “buy” and “hold” ratings from analysts. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
