LATAM AIRLINES GROUP S.A.

LTMdata completeness 100%11 fiscal years on file

Data notes: no data for concept 'interestExpense'

The thesis, from the filings

LATAM AIRLINES GROUP S.A. earns about 3% on invested capital, below its ~9% cost of capital, but has diluted owners by 94591% over 5 years — no moat visible in the numbers. The estimate methods put fair value between $0.02 and $0.05 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$4.88B1$9.36B2$11.6B3$12.8B3$14.3B3
Net income−$4.65B4$1.34B5$581.8M6$977M6$1.46B6
Operating cash flow−$174.2M7$96.8M8$2.26B9$3.11B9$3.74B9
Capital expenditure$597.1M10$780.5M11$795.8M12$1.33B12$1.78B12
Free cash flow (derived)−$771.3M7−$683.7M8$1.47B9$1.78B9$1.96B9
Total debt$14.3B13$7.41B13$6.94B14$7.15B14$8.09B14
Cash & equivalents$1.05B15$1.22B16$1.71B16$1.96B16$2.15B16
Diluted shares606.4M605.23B604.44B604.44B574.22B

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$0.02
your share of equity
Profit it earned you last year
$0.03
Free cash flow it threw off
$0.03
Debt you’d be carrying
$0.14

10 shares is a claim on $0.02 of net worth that earned you $0.03 and generated $0.03 of cash last year, against $0.14 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
3% avg · 5y
FY21 -52%FY22 21%FY23 10%FY24 17%FY25 20%

It earned about 3% on invested capital against a ~9% cost of capital — below the cost of funding. The numbers show no moat.

seeing a moat in the numbers →
Management signal · capital allocation
+94591% shares · 5y

Share count is up 94591% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has fallen 43% — deleveraging.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0

The 3 estimate methods that apply put fair value between $0.02 and $0.05 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$0.05
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth5.0%
  • fcfBase$1.78B
DCF · Growth Exit 5Y
$0.04
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth5.0%
  • fcfBase$1.78B
Earnings Power Value
$0.02
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$977M
  • growthAssumed0.0%
Graham Number
$0.01
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years5.0%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $0.04
The three cases
Bear0.0%$0.03
Base5.0%$0.04
Bull10.0%$0.06

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 5.0%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 20-F · period ending 2021-12-31 · accession 0001628280-24-006398 (Revenue)
  2. 20-F · period ending 2022-12-31 · accession 0001628280-25-012639 (Revenue)
  3. 20-F · period ending 2023-12-31 · accession 0001047716-26-000046 (Revenue)
  4. 20-F · period ending 2021-12-31 · accession 0001628280-24-006398 (ProfitLossAttributableToOwnersOfParent)
  5. 20-F · period ending 2022-12-31 · accession 0001628280-25-012639 (ProfitLossAttributableToOwnersOfParent)
  6. 20-F · period ending 2023-12-31 · accession 0001047716-26-000046 (ProfitLossAttributableToOwnersOfParent)
  7. 20-F · period ending 2021-12-31 · accession 0001628280-24-006398 (CashFlowsFromUsedInOperatingActivities)
  8. 20-F · period ending 2022-12-31 · accession 0001628280-25-012639 (CashFlowsFromUsedInOperatingActivities)
  9. 20-F · period ending 2023-12-31 · accession 0001047716-26-000046 (CashFlowsFromUsedInOperatingActivities)
  10. 20-F · period ending 2021-12-31 · accession 0001628280-24-006398 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  11. 20-F · period ending 2022-12-31 · accession 0001628280-25-012639 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  12. 20-F · period ending 2023-12-31 · accession 0001047716-26-000046 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  13. 20-F · period ending 2021-12-31 · accession 0001213900-23-019107 (ShortTermBorrowings)
  14. 20-F · period ending 2023-12-31 · accession 0001047716-26-000046 (Borrowings)
  15. 20-F · period ending 2021-12-31 · accession 0001628280-25-012639 (CashAndCashEquivalents)
  16. 20-F · period ending 2022-12-31 · accession 0001047716-26-000046 (CashAndCashEquivalents)