Copa Holdings SA (CPA) is slightly overvalued and Southwest Airlines Co (LUV) is overvalued.
Both trade above our estimate of their intrinsic value. CPA is the closer of the two: -19%, against -64% for LUV.
Values as of the 22 Sept 2026 close.
7.0x EV/EBITDAR, with aircraft leases counted as debt, values the shares at $113.30; the price of $135.13 is 19% above that value.
Leak Score 59/100 on 3 of 12 signals
7.0x EV/EBITDAR, with aircraft leases counted as debt, values the shares at $25.69; the price of $42.08 is 64% above that value.
Leak Score 43/100 on 10 of 12 signals
| Metric | CPA | LUV |
|---|---|---|
| Verdict | Slightly overvalued | Overvalued |
| Price | $135.13 | $42.08 |
| Intrinsic value | $113.30 | $25.69 |
| Margin of safety | -19% | -64% |
| Leak Score | 59/100 (3/12) | 43/100 (10/12) |
| Market cap | $5.6B | $20.6B |
| Revenue growth, 5 years | 35.2% | 25.4% |
| Operating margin | 19.4% | 4.3% |
| Net margin | 15.7% | 2.8% |
| Return on equity | 23.1% | 11.1% |
| Debt to equity | 0.89 | 0.97 |
| P/E | 8.9x | 25.5x |
| Forward P/E | 7.0x | 9.1x |
| P/B | 1.9x | 2.9x |
| Dividend yield | 5.2% | 1.9% |