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Best Airline Stocks to Buy Now (2025)

Top airline stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best airline stocks to buy now. Learn More.

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best airline stocks to buy right now are:

Latam Airlines Group Sa (NYSE:LTM) is the #1 top airline stock out of 18 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Latam Airlines Group Sa (NYSE:LTM) is: Value: B, Growth: C, Momentum: C, Sentiment: B, Safety: B, Financials: B, and AI: B.

Latam Airlines Group Sa (NYSE:LTM) has a Due Diligence Score of 32, which is 1 points higher than the airline industry average of 31.

LTM passed 11 out of 33 due diligence checks and has average fundamentals.

Sun Country Airlines Holdings (NASDAQ:SNCY) is the #2 top airline stock out of 18 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Sun Country Airlines Holdings (NASDAQ:SNCY) is: Value: B, Growth: B, Momentum: D, Sentiment: C, Safety: C, Financials: B, and AI: B.

Sun Country Airlines Holdings (NASDAQ:SNCY) has a Due Diligence Score of 53, which is 22 points higher than the airline industry average of 31.

SNCY passed 18 out of 33 due diligence checks and has strong fundamentals. Sun Country Airlines Holdings has seen its stock lose -2.14% over the past year, underperforming other airline stocks by -20 percentage points.

Sun Country Airlines Holdings has an average 1 year price target of $16.67, an upside of 40.41% from Sun Country Airlines Holdings's current stock price of $11.87.

Sun Country Airlines Holdings stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 3 analysts covering Sun Country Airlines Holdings, 66.67% have issued a Strong Buy rating, 0% have issued a Buy, 33.33% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Skywest (NASDAQ:SKYW) is the #3 top airline stock out of 18 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Skywest (NASDAQ:SKYW) is: Value: C, Growth: C, Momentum: C, Sentiment: B, Safety: C, Financials: C, and AI: C.

Skywest (NASDAQ:SKYW) has a Due Diligence Score of 34, which is 3 points higher than the airline industry average of 31.

SKYW passed 14 out of 38 due diligence checks and has average fundamentals. Skywest has seen its stock return 26.33% over the past year, overperforming other airline stocks by 9 percentage points.

Skywest has an average 1 year price target of $121.00, an upside of 17.02% from Skywest's current stock price of $103.40.

Skywest stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 2 analysts covering Skywest, 50% have issued a Strong Buy rating, 50% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 5 airline stocks that have issued dividends in the past year, the 3 airline stocks with the highest dividend yields are:

Allegiant Travel Co (NASDAQ:ALGT) has an annual dividend yield of N/A, which is N/A percentage points lower than the airline industry average of 1.81%. Allegiant Travel Co's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Allegiant Travel Co's dividend has shown consistent growth over the last 10 years.

Allegiant Travel Co's dividend payout ratio of -5.1% indicates that its dividend yield might not be sustainable for the long-term.

Copa Holdings Sa (NYSE:CPA) has an annual dividend yield of 2.98%, which is 1 percentage points higher than the airline industry average of 1.81%. Copa Holdings Sa's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Copa Holdings Sa's dividend has shown consistent growth over the last 10 years.

Copa Holdings Sa's dividend payout ratio of 33.2% indicates that its dividend yield is sustainable for the long-term.

Southwest Airlines Co (NYSE:LUV) has an annual dividend yield of 1.68%, which is the same as the airline industry average of 1.81%. Southwest Airlines Co's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Southwest Airlines Co's dividend has shown consistent growth over the last 10 years.

Southwest Airlines Co's dividend payout ratio of 80% indicates that its dividend yield is sustainable for the long-term.

Airline stocks were up 1.24% in the last day, and up 6.45% over the last week.

We couldn't find a catalyst for why airline stocks are up.

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued airline stocks right now are:

Copa Holdings Sa (NYSE:CPA) is the most undervalued airline stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Copa Holdings Sa has a valuation score of 71, which is 34 points higher than the airline industry average of 37. It passed 5 out of 7 valuation due diligence checks.

Copa Holdings Sa's stock has gained 13.73% in the past year. It has underperformed other stocks in the airline industry by -4 percentage points.

United Airlines Holdings (NASDAQ:UAL) is the second most undervalued airline stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

United Airlines Holdings has a valuation score of 71, which is 34 points higher than the airline industry average of 37. It passed 5 out of 7 valuation due diligence checks.

United Airlines Holdings's stock has gained 64.27% in the past year. It has overperformed other stocks in the airline industry by 47 percentage points.

Latam Airlines Group Sa (NYSE:LTM) is the third most undervalued airline stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Latam Airlines Group Sa has a valuation score of 29, which is -8 points higher than the airline industry average of 37. It passed 2 out of 7 valuation due diligence checks. Although this number is below the industry average, our proven quant model rates LTM a Valuation Rating of "B".

53.85% of airline stocks rated by analysts are a strong buy right now. On average, analysts expect airline stocks to rise by 32.11% over the next year.

6.25% of airline stocks have a Zen Rating of A (Strong Buy), 25% of airline stocks are rated B (Buy), 37.5% are rated C (Hold), 12.5% are rated D (Sell), and 18.75% are rated F (Strong Sell).