9 Most Profitable Undervalued Stocks to Buy Now

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6. LATAM Airlines Group S.A. (NYSE:LTM)

On April 12, 2026, Goldman Sachs upgraded LATAM Airlines Group S.A. (NYSE:LTM) to Buy from Neutral with a price target of $63.40, down slightly from $64.10, after initiating coverage. The firm pointed to the company’s solid financial position and higher-income customer mix in Latin America, which it believes should help cushion the impact of ongoing macro volatility. Goldman also expects LATAM to pass through higher fuel costs via ticket pricing, with less demand impact compared to peers.

On March 25, 2026, Morgan Stanley analyst Jens Spiess upgraded LATAM to Overweight from Equal Weight with a price target of $60, trimmed from $61. The firm sees about 22% upside following recent share underperformance tied to rising fuel prices, noting the company’s “top-tier profitability,” manageable leverage, and partial fuel hedging as key strengths in navigating oil price volatility.

Similarly, Citi upgraded LATAM to Buy from Neutral with a price target of $58, up from $53. The firm believes the initial shock from higher oil prices is already reflected in Latin American airline stocks and said carriers are better positioned than in 2022 to absorb cost pressures. Citi views LATAM as among the least exposed in the region, supported by its recovery trajectory and relative resilience to fuel-driven headwinds.

LATAM Airlines Group S.A. (NYSE:LTM) provides passenger and cargo air transportation services across Latin America and international markets.

While we acknowledge the potential of LTM to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than LTM and that has 100x upside potential, check out our report about the cheapest AI stock.

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