Controladora Vuela Compañía de Aviación (NYSE:VLRS) Shares Down 10% on Disappointing Earnings

Controladora Vuela Compañía de Aviación, S.A.B. de C.V. (NYSE:VLRS)’s stock price dropped 10% during mid-day trading on Monday following a dissappointing earnings announcement. The company traded as low as $6.82 and last traded at $6.99. Approximately 362,319 shares changed hands during mid-day trading, a decline of 34% from the average daily volume of 550,145 shares. The stock had previously closed at $7.77.

The transportation company reported $0.39 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.55 by ($0.16). Controladora Vuela Compañía de Aviación had a net margin of 5.99% and a return on equity of 71.50%. The business had revenue of $835.00 million during the quarter, compared to analyst estimates of $709.48 million.

Wall Street Analyst Weigh In

A number of brokerages have weighed in on VLRS. StockNews.com downgraded shares of Controladora Vuela Compañía de Aviación from a “strong-buy” rating to a “buy” rating in a report on Thursday, January 23rd. UBS Group lifted their target price on Controladora Vuela Compañía de Aviación from $10.00 to $14.00 and gave the stock a “buy” rating in a research report on Tuesday, January 7th. Itau BBA Securities started coverage on Controladora Vuela Compañía de Aviación in a report on Wednesday, February 12th. They issued an “outperform” rating and a $12.00 price target for the company. Finally, JPMorgan Chase & Co. lifted their price objective on Controladora Vuela Compañía de Aviación from $16.50 to $17.00 and gave the stock an “overweight” rating in a report on Tuesday, November 12th. Eight analysts have rated the stock with a buy rating, According to MarketBeat, the stock currently has an average rating of “Buy” and a consensus price target of $13.14.

Institutional Investors Weigh In On Controladora Vuela Compañía de Aviación

Several large investors have recently modified their holdings of the stock. Aigen Investment Management LP acquired a new stake in Controladora Vuela Compañía de Aviación in the 3rd quarter valued at $92,000. MQS Management LLC bought a new position in shares of Controladora Vuela Compañía de Aviación during the third quarter valued at $108,000. BNP Paribas Financial Markets boosted its stake in shares of Controladora Vuela Compañía de Aviación by 157.9% in the 3rd quarter. BNP Paribas Financial Markets now owns 84,252 shares of the transportation company’s stock valued at $533,000 after purchasing an additional 51,580 shares in the last quarter. Centiva Capital LP bought a new stake in shares of Controladora Vuela Compañía de Aviación in the 3rd quarter worth about $320,000. Finally, Quadrature Capital Ltd acquired a new stake in shares of Controladora Vuela Compañía de Aviación during the 3rd quarter worth about $130,000. 53.32% of the stock is currently owned by institutional investors.

Controladora Vuela Compañía de Aviación Stock Down 3.8 %

The firm has a market cap of $761.97 million, a price-to-earnings ratio of 3.94 and a beta of 2.45. The company has a debt-to-equity ratio of 1.09, a quick ratio of 0.69 and a current ratio of 0.70. The business’s 50-day moving average is $8.04 and its 200-day moving average is $7.30.

Controladora Vuela Compañía de Aviación Company Profile

Controladora Vuela Compañía de Aviación, SAB. de C.V., through its subsidiary, Concesionaria Vuela Compañía de Aviación, SAP.I. de C.V., provides air transportation services for passengers, cargo, and mail in Mexico and internationally. The company operates approximately 590 daily flights on routes connecting 43 cities in Mexico, 22 cities in the United States, 4 cities in Central America, and 2 cities in South America.