LATAM Airlines Group (FRA:LFL0) Moat Score: 5/10 (As of Jul. 09, 2026)


FRA:LFL0 LATAM Airlines Group SA FRA:LFL0
65 GF Score
Price €47.40
GF Value €31.15
Valuation Significantly Overvalued
! 3 Warning Signs
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What is LATAM Airlines Group Moat Score?

LATAM Airlines Group FRA:LFL0 -2.47% 65 Moat Score is 5 as of Jul. 09, 2026. GuruFocus rates FRA:LFL0 with a GF Score™ of 65/100 and a GF Value™ of €31.15 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 1,057 Transportation companies, LATAM Airlines Group ranks better than 93.38% on this metric.

LATAM Airlines Group has the Moat Score of 5, which implies that the company might have Narrow Moat - Solid narrow moat.

LATAM Airlines Group has Narrow Moat: LATAM Airlines Group SA has a solid market position in South America with some brand strength and customer loyalty. However, the airline industry is highly competitive with limited pricing power, keeping its moat at a solid narrow level.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes LATAM Airlines Group might have Narrow Moat - Solid narrow moat.

LATAM Airlines Group  (FRA:LFL0) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

LATAM Airlines Group Moat Score Related Terms

FRA:LFL0 vs DAL, UAL, LUV: Moat Score Comparison

For the Airlines subindustry, LATAM Airlines Group's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

LATAM Airlines Group Moat Score vs Transportation Industry

For the Transportation industry and Industrials sector, LATAM Airlines Group's Moat Score distribution charts can be found below:

* The bar in red indicates where LATAM Airlines Group's Moat Score falls into.


FRA:LFL0
65GF Score
LATAM Airlines Group SA FRA:LFL0
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 5 mean?
LATAM Airlines Group (FRA:LFL0) has a Moat Score of 5 as of Jul. 09, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, LATAM Airlines Group ranks #70 out of 1057 companies in the Transportation industry, placing it in the top 6.6%.
Is LATAM Airlines Group's Moat Score too high?
LATAM Airlines Group's current Moat Score is 5. Based on the distribution chart, LATAM Airlines Group ranks #70 out of 1057 companies in the Transportation industry, which is in the top quartile — a strong position relative to peers. Overall, LATAM Airlines Group has a GF Score™ of 65/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does LATAM Airlines Group's Moat Score compare to DAL and UAL?
According to the Transportation industry distribution chart, LATAM Airlines Group ranks #70 out of 1057 companies for Moat Score. This places LATAM Airlines Group in the top 7% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Transportation company?
A good Moat Score depends on the Transportation industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. LATAM Airlines Group's current Moat Score is 5. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LATAM Airlines Group stock overvalued right now?
Based on GuruFocus' analysis, LATAM Airlines Group (FRA:LFL0) is currently considered Significantly Overvalued. The stock's GF Value™ is €31.15, compared to a current price of €47.40 — trading 52.2% above its estimated fair value. The current Moat Score is 5. LATAM Airlines Group's overall GF Score™ is 65/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For LATAM Airlines Group (FRA:LFL0), the current Moat Score is 5 as of Jul. 09, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is LATAM Airlines Group (FRA:LFL0) Overvalued in 2026?

Based on GuruFocus' analysis, LATAM Airlines Group stock appears to be overvalued. The current stock price of €47.40 is trading 52.2% above its estimated GF Value™ of €31.15. GuruFocus considers LATAM Airlines Group to be Significantly Overvalued.

Key valuation signals for FRA:LFL0:

  • Moat Score: 5
  • GF Value™: €31.15 vs. price of €47.40 (52.2% above fair value)
  • GF Score™: 65/100 with 3 warning signs

No single metric tells the full story. See the FRA:LFL0 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

LATAM Airlines Group Business Description

Address Presidente Riesco 5711, 20th Floor, Las Condes, Santiago, CHL
LATAM Airlines Group SA is a Chilean-based airline company involved in the transportation of passengers and cargo. The company provides domestic services in Brazil, Chile, Peru, Colombia and Ecuador, as well as regional flights and long-haul operations. It carries out cargo operations using both belly space on passenger flights and dedicated freighter aircraft. The group also offers complementary services, such as ground handling, courier, logistics, and maintenance.
65GF Score

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Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€47.40
Price
€31.15
GF Value