Liberty Latin America FY Revenue Misses Expectations

Written by Emily J. Thompson, Senior Investment Analyst

Source: seekingalpha

Updated: 9 hours ago

0mins

LILA+9.38%

Should l Buy LILA?

Source: seekingalpha

Financial Overview: Liberty Latin America reported FY revenue of $1.16 billion, reflecting a modest 0.9% year-over-year growth, yet it fell short of expectations by $3.25 billion, indicating significant competitive pressures in the market.
Operating Income Fluctuation: For the three months ending December 31, 2025, the operating income was $126 million, up from $119 million in 2024, although overall profitability remains challenged, highlighting difficulties in cost control and revenue growth.
Market Reaction Analysis: The failure to meet revenue expectations has led to persistent undervaluation of Liberty Latin America, raising investor concerns about the company's future growth potential, which may adversely affect its stock performance.
Strategic Adjustment Necessity: Following setbacks in Costa Rica, the company must reassess its market strategy to adapt to the evolving industry landscape and enhance competitiveness, ensuring sustainable growth moving forward.

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Analyst Views on LILA

Wall Street analysts forecast LILA stock price to rise

1 Analyst Rating

1 Buy

0 Hold

0 Sell

Moderate Buy

Current: 7.730

Low

13.00

Averages

13.00

High

13.00

Current: 7.730

Low

13.00

Averages

13.00

High

13.00

Benchmark

Matthew Harrigan

Buy

maintain

$12 -> $13

2025-11-10

Reason

Benchmark

Matthew Harrigan

Price Target

$12 -> $13

AI Analysis

2025-11-10

maintain

Buy

Reason

Benchmark analyst Matthew Harrigan raised the firm's price target on Liberty Latin America to $13 from $12 and keeps a Buy rating on the shares. The firm has "high confidence the stock should continue to rebound significantly" as it views the just reported 7% Q3 rebased EBITDA growth as indicative of sustainable performance, the analyst tells investors.

About LILA

Liberty Latin America Ltd. is a communications company operating in over 20 countries across Latin America and the Caribbean under the consumer brands BTC, Flow, Liberty and Mas Movil. Its segments include C&W Caribbean, C&W Panam, Liberty Puerto Rico, Liberty Costa Rica and Liberty Networks. The communications and entertainment services that it offers to its residential and business customers in the region include digital video, broadband Internet, telephony and mobile services. Its business products and services include enterprise-grade connectivity, data center, hosting and managed solutions, as well as information technology solutions with customers ranging from small and medium enterprises to international companies and governmental agencies. In addition, it operates a subsea and terrestrial fiber optic cable network that connects over 30 markets in the region. It is also focused on leveraging its full-service product suite to deliver fixed-mobile convergence offerings.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.

Liberty Latin America Reports Q4 Operating Income Growth

9 hours agoYahoo Finance

Operating Income Growth: Liberty Latin America reported a Q4 operating income of $126 million, significantly up from the previous year, indicating strong performance in the Latin American market.
Market Performance Improvement: This growth reflects the company's expansion and enhanced customer base in Latin America, which is expected to further drive future revenue growth and market share increase.
Investor Confidence Boost: With the rise in operating income, investor confidence in the company's future profitability and market competitiveness has also strengthened, potentially leading to positive impacts on stock price.
Strategic Development Focus: Company management stated that they will continue to focus on improving service quality and customer experience to solidify their leadership position in the Latin American telecommunications market.