Beruflich Dokumente
Kultur Dokumente
$115.41
TARGET PRICE
BUY
RECOMMENDATION
26.06%
UPSIDE
$91.55
CLOSING PRICE
January 4th 2017
$
STRONG COMPETITIVE FAVORABLE LEADING OPERATING CONSISTENT FINANCIAL
POSITIONING DYNAMICS METRICS PERFORMANCE
$
STRONG COMPETITIVE FAVORABLE LEADING OPERATING CONSISTENT FINANCIAL
POSITIONING DYNAMICS METRICS PERFORMANCE
LEGACY NETWORK
THAT NEED A HUB
AIRLINES
STRONG COMPETITVE FAVORABLE STRONG POSITIVE RISKS
POSITIONING DYNAMICS PERFORMANCE VALUATION
$
STRONG COMPETITIVE FAVORABLE LEADING OPERATING CONSISTENT FINANCIAL
POSITIONING DYNAMICS METRICS PERFORMANCE
Geographic Location
Latin Americas
Most On Time
Carrier
(FlightStats)
Airplane manufacturers
Covenants
2020
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2021
+2%
Source: Company Data & Team Estimates
HIGHEST
LOAD FACTOR 3Q 16: 84%
80.4%
79.2%
79.2%
76.7%
76.9%
76.7%
76.4%
75.9%
75.4%
75.2%
74.6%
74.0%
73.1%
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Source: Company Data & Team Estimates
0.070.0746
Ex-Fuel Cost per ASM
Trend
0.0722
LOWER MAINTENANCE
0.0704 COSTS
+15 years
EXPERIENCE
Jose Montero
CFO
Michael New
VP of Safety
Pedro Heilbron Daniel Gunn
Catalina Bretn CEO COO
WINGO General Manager
352,651 378,665
326,427 313,586 320,646
(195,014) (175,416)
(209,752) (220,340) (226,412)
2017 2018 2019 2020 2021
Operating Cash Flow CAPEX Cash Flow Net Borrowing Free Cash Flow to Equity
70%
+ $ 30%
= $115.41
$115.41
TARGET PRICE
26.06%
FREE CASH FLOW
DISCOUNTED CASH
FLOW FCFE
PRICE: $117.87
TICKER PEER NAME PRICE(JAN4TH) ROI (5Y) GROWTH(5Y) MKT CAP (US$ BN)
CPA Mix on ROI (12.31%) & Growth (14.30%) explains historical premium behavior on multiple.
YIELD
GDP
JET FUEL
INTEREST RATES
UTILIZATION HOURS
20
$
Deterioration of GDP Lower Margins
Growth
Uncertainty about
Reforms in USA Other South Brazil
American 13%
Countries
23% Central
America and
Venezuela Caribbean
2% 13%
Colombia
Yield Demand 8%
Jet Fuel
50.8 48 51.4
37
Yearly Average
1.32
1.41
1.39
1.32
1.31
1.36
1.29
1.29
1.42
1.44
1.28
Operating Expenses
Of Fuel Consumption 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Lower Labor
Cost per ASM
Jet Fuel
Labor Cost
Operating Expenses
BLOC HOUR
120.69 121.93
113.37 116.42
LABOR COST 110.69 109.15 111.08
109.45 112.39
105.07 107.31 104.97
101.62 103.45 101.43
97.67 99.44
Pass. Servicing/Rev 92.69
86.97
UPSIDE
BUY
RECOMMENDATION
Total 12M Return
with dividends:
29.22% $91.55
CLOSING PRICE
January 4th 2017
$
STRONG COMPETITIVE FAVORABLE LEADING OPERATING CONSISTENT FINANCIAL
POSITIONING DYNAMICS METRICS PERFORMANCE