LATAM Airlines reinstates guidance as analysts rate Latam Airlines stock Buy
Published on 10/16/2026 at 03:59 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSGuidance and operating resilience
- LATAM reinstated its 2026 outlook during its second-quarter earnings call on October 8, 2026.
- Second-quarter adjusted operating margin reached 5.40 percent despite a 93.00 percent increase in fuel costs.
- LATAM is scheduled to report third-quarter results on November 3, 2026.
LATAM Airlines reinstated its full-year 2026 guidance during its second-quarter earnings call, including adjusted EBITDA of USD 4.1 billion to USD 4.4 billion. Benzinga reported the call on October 8, 2026, when management also described the second quarter as the most difficult fuel environment of the year.
The company entered the period with a clear operating test. According to LATAM Airlines, second-quarter 2026 revenue reached USD 4.12 billion. The earnings-call transcript said revenue increased 28.00 percent year over year, while net income reached USD 125.00 million.
Fuel costs tested the model
The margin result gives investors the clearest measure of execution. Adjusted operating margin was 5.40 percent in the second quarter of 2026, even as total fuel costs rose 93.00 percent year over year. Capacity increased 8.90 percent and the consolidated load factor reached 81.80 percent, according to Benzinga.
What does the outlook imply?
The guidance range points to a stronger second half, but fuel and capacity remain the key variables. LATAM expects full-year revenue of USD 17.3 billion to USD 17.7 billion and capacity growth of 9.00 percent to 10.00 percent. Its adjusted net leverage target is equal to or below 1.60 times by year-end.
Three dated signals for investors
On September 21, 2026, S&P Global Ratings raised LATAM's issuer credit rating to BB+ from BB. On August 4, 2026, the company reported adjusted earnings per share of USD 0.44 against USD 0.41 consensus and revenue of USD 4.12 billion against USD 4.06 billion, according to MarketBeat. The October 8 guidance update is the latest of the three events.
Next reporting date
LATAM is scheduled to report third-quarter 2026 results on November 3, 2026, according to Yahoo Finance. The date gives the market a defined checkpoint for testing the reinstated outlook against fuel costs, demand and capacity execution.
NYSE context
LATAM Airlines stock was last at USD 48.50 on the NYSE on October 15, 2026 at 4:00 p.m. ET. Its latest reported quarter combined USD 125.00 million in net income with a 5.40 percent adjusted operating margin, keeping profitability and cash generation central to the November update.
Market context: Market report S&P 500.
