Ian Bezek
Investor/Writer, Latin American Equities, Former Analyst at Kerrisdale
Corporación América Airports has removed the top complaint against it by declaring a 91-cent dividend, nearly a 4% yield. The quarter was solid given higher oil prices and an airline failure in its largest market: revenue rose 8% on flat traffic and adjusted EBITDA fell only 4%. The valuation, under 6x EBITDA, has not risen since the COVID lows, while EBITDA has grown hundreds of percent. x.com x.com x.com
Corporación América Airports is growing strongly despite the Iran war: Q1 revenue rose 20.1% to $537 million, beating expectations by over $50 million. High jet fuel prices are a real risk and likely keep the stock below $30, but the impact is worst in Asia, where it has no airports, and stays manageable in the Americas while crude holds around $100. Oil remains below its 2022 peak, when Mexican airports and CAAP trounced the S&P 500. x.com x.com x.com
GE Aerospace earns most of its money servicing a huge installed engine base, and record air traffic keeps that base turning. Engines sell at up to 70% off, while shop visits bring up to 70% of lifetime revenue; services were about 70% of 2025's $42B revenue, with a $210B backlog. At 43x earnings versus a 37x five-year average it is not cheap, a premium backed by the end of the conglomerate discount, margins and visibility. A correction would come only with a normal general market pullback. x.com … Show more
United Airlines is showing that even a supposedly uninvestable airline can produce powerful earnings growth. Despite razor-thin margins, fuel, labor, debt and cyclical demand, Q1 FY26 revenue rose 11% to $14.6 billion, operating income 64% to $997 million, net income 81% to $699 million and diluted EPS 84% to $2.14. The quarter earns an A grade. x.com
easyJet looks incredibly attractive after oil-driven pressure pushed its shares down, because strong European leisure demand should keep supporting the business. It earns over £10B of revenue and £703M of operating profit against a market cap below £3B, is back to net profit and yields about 3.5%. Its load factor is 92%, travel demand has held up through cost-of-living pressures, and budget airlines often gain share in weak economies as travellers trade down. x.com
Airline stocks are a no-brainer long as Delta Air Lines lifts off its 10-month EMA on the monthly chart despite oil and rate pressures. x.com
