Grupo Aeroportuario del Pacifico SAB de CV (PAC, Financial), a prominent player in the transportation industry, has experienced a notable 12.70% increase in its stock price over the past three months, despite a recent weekly dip of 2.72%. Currently, the company boasts a market capitalization of $8.36 billion and a stock price of $165.52. According to GuruFocus calculations, the GF Value of PAC is $236.92, suggesting that the stock is significantly undervalued. This valuation marks a decrease from the past GF Value of $273.3 three months ago, yet both assessments categorize the stock as significantly undervalued.
Overview of Grupo Aeroportuario del Pacifico
Grupo Aeroportuario del Pacifico SAB de CV operates within the transportation sector, focusing on the construction, development, and management of airports across Mexico. The company's operations are primarily concentrated in its Guadalajara segment, although it also manages airports in Tijuana, Puerto Vallarta, and several other locations. This strategic positioning allows PAC to generate the majority of its revenue from these bustling hubs. 
Assessing Profitability
PAC's financial health is robust, with a Profitability Rank of 10/10. The company's Operating Margin stands at an impressive 45.02%, outperforming 96.27% of its peers in the industry. Additionally, its Return on Equity (ROE) is 49.39%, and Return on Assets (ROA) is 13.87%, both metrics surpassing the majority of competitors. The Return on Invested Capital (ROIC) is also strong at 18.14%. These figures not only highlight PAC's efficiency in generating profits from its investments but also its superior performance relative to other companies in the sector. 
Growth Trajectory
The company's Growth Rank is equally impressive at 10/10. PAC has demonstrated significant growth, with a 3-Year Revenue Growth Rate per Share of 42.80% and a 5-Year Rate of 20.90%, both metrics ranking well above industry averages. Looking ahead, the estimated Total Revenue Growth Rate for the next three to five years is 3.70%. Furthermore, the 3-Year EPS without NRI Growth Rate stands at a remarkable 64.30%, with a 5-Year Rate at 19.50%. These growth rates underscore PAC's strong market position and its potential for sustained profitability. 
Investor Interest
Notable investors such as Jim Simons have taken an interest in PAC, holding approximately 541,900 shares, which accounts for 1.07% of the company's stock. This endorsement by high-profile investors further validates the company's strong market position and growth prospects.
Competitive Landscape
PAC operates in a competitive sector, with key rivals including Grupo Aeroportuario del Sureste SAB de CV (MEX:ASURB, Financial) and Grupo Aeroportuario del Centro Norte SAB de CV (MEX:OMAB, Financial), boasting market caps of $9.13 billion and $3.36 billion, respectively. Another significant competitor is Airports Of Thailand PLC (BKK:AOT, Financial), with a market cap of $23.16 billion. Despite the stiff competition, PAC's superior profitability and growth metrics suggest it is well-positioned to maintain, if not enhance, its market standing.
Conclusion
In conclusion, Grupo Aeroportuario del Pacifico SAB de CV's recent stock performance and financial metrics paint a picture of a robust company with solid growth prospects. The stock's current undervaluation, according to GF Value, combined with its high profitability and growth ranks, makes it an attractive option for investors looking for value in the transportation sector. As the company continues to expand and optimize its operations, it remains a compelling choice for both new and seasoned investors.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
