Copa Holdings, S.A. (NYSE: CPA) is considered one of the best airline stocks to buy by hedge funds, with Citi analysts reaffirming a ‘Buy’ rating and $159 price target on July 15. The company saw substantial traffic in June, leading to a bullish outlook on its performance.

In June, Copa Holdings confirmed a 6.3% year-over-year increase in passenger traffic and a 5.3% increase in capacity, resulting in a load factor of 87.5%. These strong growth metrics have contributed to the positive sentiment towards the airline’s stock.

Citi continues to view Copa as its preferred carrier in the Americas, with June showing RPM growth of 6.4% and a load factor of 87.2%. The airline’s ability to outpace capacity increases with strong demand growth further solidifies its position in the market.

Copa Holdings, S.A. operates Copa Airlines and Wingo, providing airline passenger and cargo services across Latin America. With a hub in Panama City, the company offers flights to various destinations in North, Central, and South America, as well as the Caribbean.

While Copa Holdings presents investment potential, some believe that certain AI stocks offer greater upside potential and less downside risk. For those seeking an undervalued AI stock with growth potential, exploring other options may be beneficial.

Read more at Yahoo Finance: Citi Affirms ‘Buy’ Rating on Copa Holdings (CPA) on Strong Growth Metrics