📊 LILAB Key Takeaways
Is LILAB a Good Investment? Thesis Analysis
Liberty Latin America exhibits severe financial distress with unsustainable leverage (14.89x debt/equity) and critically insufficient interest coverage (0.3x), unable to service $8.3B debt from operating income. The company generates positive free cash flow of $305.9M but reports a net loss of $611.2M, reflecting a capital structure broken by interest burden. Operating margins of 2.4% with declining revenue (-0.1% YoY) in a structurally declining cable/pay TV industry create an untenable long-term situation requiring debt restructuring.
Why Buy LILAB? Key Strengths
- Positive operating cash flow of $805.9M and free cash flow of $305.9M provide near-term flexibility for debt service
- Cash reserves of $783.9M create a liquidity cushion against immediate solvency risk
- Current ratio of 1.14x maintains minimal operational liquidity to meet short-term obligations
LILAB Investment Risks to Consider
- Interest coverage of 0.3x is critically unsustainable - operating income covers only 30% of interest expense, necessitating debt restructuring or bankruptcy
- Extreme leverage at 14.89x debt/equity with $8.3B debt against $555.6M equity represents structural insolvency requiring major deleveraging
- Negative net margin of -13.8% and declining revenue in secular cable decline limits ability to generate sustainable profitability and reduce leverage
Key Metrics to Watch
- Interest coverage ratio trajectory and debt refinancing ability
- Free cash flow to total debt ratio as measure of deleveraging progress
- Operating margin sustainability amid revenue contraction
LILAB Financial Metrics
💡 AI Analyst Insight
Liberty Latin America Ltd. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
LILAB Profitability Ratios
LILAB vs Default Sector
How Liberty Latin America Ltd. compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is LILAB Overvalued or Undervalued?
Based on fundamental analysis, Liberty Latin America Ltd. shows some fundamental concerns relative to the Default sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
LILAB Balance Sheet & Liquidity
LILAB 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: Liberty Latin America Ltd.'s revenue has remained relatively flat over the 5-year period, with a 6% decline. The most recent EPS of $-0.35 indicates the company is currently unprofitable.
LILAB Growth Metrics (YoY)
LILAB Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.1B | $3.3M | $0.02 |
| Q2 2025 | $1.1B | -$42.7M | $-0.22 |
| Q1 2025 | $1.1B | -$500.0K | $0.00 |
| Q3 2024 | $1.1B | $29.2M | $0.14 |
| Q2 2024 | $1.1B | -$30.5M | $-0.14 |
| Q1 2024 | $1.1B | -$500.0K | $0.00 |
| Q3 2023 | $1.1B | $29.2M | $0.14 |
| Q2 2023 | $1.1B | -$11.5M | $-0.05 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
LILAB Capital Allocation
LILAB SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for Liberty Latin America Ltd. (CIK: 0001712184)
📋 Recent SEC Filings
❓ Frequently Asked Questions about LILAB
What is the AI rating for LILAB?
Liberty Latin America Ltd. (LILAB) has an AI rating of STRONG SELL with 88% confidence, based on fundamental analysis of SEC EDGAR filings.
What are LILAB's key strengths?
Claude: Positive operating cash flow of $805.9M and free cash flow of $305.9M provide near-term flexibility for debt service. Cash reserves of $783.9M create a liquidity cushion against immediate solvency risk.
What are the risks of investing in LILAB?
Claude: Interest coverage of 0.3x is critically unsustainable - operating income covers only 30% of interest expense, necessitating debt restructuring or bankruptcy. Extreme leverage at 14.89x debt/equity with $8.3B debt against $555.6M equity represents structural insolvency requiring major deleveraging.
What is LILAB's revenue and growth?
Liberty Latin America Ltd. reported revenue of $4.4B.
Does LILAB pay dividends?
Liberty Latin America Ltd. does not currently pay dividends.
Where can I find LILAB SEC filings?
Official SEC filings for Liberty Latin America Ltd. (CIK: 0001712184) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LILAB's EPS?
Liberty Latin America Ltd. has a diluted EPS of $-3.06.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is LILAB a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Liberty Latin America Ltd. has a STRONG SELL rating with 88% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is LILAB stock overvalued or undervalued?
Valuation metrics for LILAB: ROE of -110.0% (sector avg: 15%), net margin of -13.8% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy LILAB stock in 2026?
Our dual AI analysis gives Liberty Latin America Ltd. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is LILAB's free cash flow?
Liberty Latin America Ltd.'s operating cash flow is $805.9M, with capital expenditures of $500.0M. FCF margin is 6.9%.
How does LILAB compare to other Default stocks?
Vs Default sector averages: Net margin -13.8% (avg: 12%), ROE -110.0% (avg: 15%), current ratio 1.14 (avg: 1.8).