UNITED AIRLINES HOLDINGS INC (UAL) Stock Fundamental Analysis
USA - NASDAQ:UAL - US9100471096 - Common Stock
95.33 USD
+0.5 (+0.53%)
95.33 USD
0 (0%)
Taking everything into account, UAL scores 4 out of 10 in our fundamental rating. UAL was compared to 21 industry peers in the Passenger Airlines industry. UAL has a medium profitability rating, but doesn't score so well on its financial health evaluation. UAL has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
UAL had positive earnings in the past year.
UAL had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: UAL reported negative net income in multiple years.
Of the past 5 years UAL 4 years had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 4.29%, UAL is doing good in the industry, outperforming 76.19% of the companies in the same industry.
Looking at the Return On Equity, with a value of 24.75%, UAL belongs to the top of the industry, outperforming 80.95% of the companies in the same industry.
With a decent Return On Invested Capital value of 8.57%, UAL is doing good in the industry, outperforming 76.19% of the companies in the same industry.
UAL had an Average Return On Invested Capital over the past 3 years of 6.63%. This is significantly below the industry average of 14.49%.
The 3 year average ROIC (6.63%) for UAL is below the current ROIC(8.57%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.29% | ||
| ROE | 24.75% | ||
| ROIC | 8.57% |
ROA(3y)3.01%
ROA(5y)-1.15%
ROE(3y)21.2%
ROE(5y)-18.81%
ROIC(3y)6.63%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of UAL (5.71%) is better than 76.19% of its industry peers.
In the last couple of years the Profit Margin of UAL has declined.
UAL has a Operating Margin of 9.32%. This is in the better half of the industry: UAL outperforms 71.43% of its industry peers.
UAL's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 64.15%, UAL is doing good in the industry, outperforming 71.43% of the companies in the same industry.
In the last couple of years the Gross Margin of UAL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.32% | ||
| PM (TTM) | 5.71% | ||
| GM | 64.15% |
OM growth 3YN/A
OM growth 5Y-2.78%
PM growth 3YN/A
PM growth 5Y-4.52%
GM growth 3Y6.86%
GM growth 5Y0.39%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), UAL is destroying value.
UAL has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for UAL has been increased compared to 5 years ago.
The debt/assets ratio for UAL has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of UAL is 6.70, which is on the high side as it means it would take UAL, 6.70 years of fcf income to pay off all of its debts.
UAL has a Debt to FCF ratio of 6.70. This is in the better half of the industry: UAL outperforms 76.19% of its industry peers.
A Debt/Equity ratio of 1.56 is on the high side and indicates that UAL has dependencies on debt financing.
The Debt to Equity ratio of UAL (1.56) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.56 | ||
| Debt/FCF | 6.7 | ||
| Altman-Z | N/A |
ROIC/WACC0.98
WACC8.79%
2.3 Liquidity
UAL has a Current Ratio of 0.70. This is a bad value and indicates that UAL is not financially healthy enough and could expect problems in meeting its short term obligations.
UAL has a Current ratio of 0.70. This is in the better half of the industry: UAL outperforms 71.43% of its industry peers.
UAL has a Quick Ratio of 0.70. This is a bad value and indicates that UAL is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Quick ratio value of 0.65, UAL is doing good in the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 17.95% over the past year.
UAL shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.65% yearly.
UAL shows a small growth in Revenue. In the last year, the Revenue has grown by 4.23%.
UAL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.70% yearly.
EPS 1Y (TTM)17.95%
EPS 3YN/A
EPS 5Y-2.65%
EPS Q2Q%-6.52%
Revenue 1Y (TTM)4.23%
Revenue growth 3Y32.31%
Revenue growth 5Y5.7%
Sales Q2Q%1.67%
3.2 Future
UAL is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.61% yearly.
Based on estimates for the next years, UAL will show a small growth in Revenue. The Revenue will grow by 2.88% on average per year.
EPS Next Y-2.09%
EPS Next 2Y9.64%
EPS Next 3Y11.39%
EPS Next 5Y-0.61%
Revenue Next Year4.04%
Revenue Next 2Y5.78%
Revenue Next 3Y5.93%
Revenue Next 5Y2.88%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 8.38, the valuation of UAL can be described as reasonable.
Based on the Price/Earnings ratio, UAL is valued cheaply inside the industry as 90.48% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 27.86. UAL is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 7.50, which indicates a rather cheap valuation of UAL.
UAL's Price/Forward Earnings ratio is rather cheap when compared to the industry. UAL is cheaper than 80.95% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.29, UAL is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.38 | ||
| Fwd PE | 7.5 |
4.2 Price Multiples
UAL's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. UAL is cheaper than 85.71% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, UAL is valued cheaper than 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.63 | ||
| EV/EBITDA | 4.31 |
4.3 Compensation for Growth
UAL has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y9.64%
EPS Next 3Y11.39%
5. Dividend
5.1 Amount
No dividends for UAL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
95.33
+0.5 (+0.53%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners87.79%
Inst Owner Change-2.23%
Ins Owners0.55%
Ins Owner Change-0.07%
Market Cap30.86B
Analysts82.22
Price Target111.14 (16.58%)
Short Float %4.61%
Short Ratio2.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.75%
Min EPS beat(2)0.48%
Max EPS beat(2)19.01%
EPS beat(4)4
Avg EPS beat(4)7.8%
Min EPS beat(4)0.48%
Max EPS beat(4)19.01%
EPS beat(8)8
Avg EPS beat(8)16.83%
EPS beat(12)12
Avg EPS beat(12)17.63%
EPS beat(16)15
Avg EPS beat(16)15.57%
Revenue beat(2)0
Avg Revenue beat(2)-1.54%
Min Revenue beat(2)-1.76%
Max Revenue beat(2)-1.32%
Revenue beat(4)1
Avg Revenue beat(4)-0.78%
Min Revenue beat(4)-1.76%
Max Revenue beat(4)0.55%
Revenue beat(8)1
Avg Revenue beat(8)-0.74%
Revenue beat(12)4
Avg Revenue beat(12)-0.46%
Revenue beat(16)6
Avg Revenue beat(16)-0.45%
PT rev (1m)1.07%
PT rev (3m)14.33%
EPS NQ rev (1m)-0.16%
EPS NQ rev (3m)-7.99%
EPS NY rev (1m)0.08%
EPS NY rev (3m)0.71%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)1.25%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.38 | ||
| Fwd PE | 7.5 | ||
| P/S | 0.53 | ||
| P/FCF | 7.63 | ||
| P/OCF | 3.2 | ||
| P/B | 2.31 | ||
| P/tB | 5 | ||
| EV/EBITDA | 4.31 |
EPS(TTM)11.37
EY11.93%
EPS(NY)12.72
Fwd EY13.34%
FCF(TTM)12.49
FCFY13.1%
OCF(TTM)29.81
OCFY31.27%
SpS179.12
BVpS41.31
TBVpS19.08
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.29% | ||
| ROE | 24.75% | ||
| ROCE | 11.21% | ||
| ROIC | 8.57% | ||
| ROICexc | 12.68% | ||
| ROICexgc | 16.28% | ||
| OM | 9.32% | ||
| PM (TTM) | 5.71% | ||
| GM | 64.15% | ||
| FCFM | 6.97% |
ROA(3y)3.01%
ROA(5y)-1.15%
ROE(3y)21.2%
ROE(5y)-18.81%
ROIC(3y)6.63%
ROIC(5y)N/A
ROICexc(3y)9.5%
ROICexc(5y)N/A
ROICexgc(3y)12.05%
ROICexgc(5y)N/A
ROCE(3y)8.68%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-0.15%
ROICexc growth 3YN/A
ROICexc growth 5Y0.65%
OM growth 3YN/A
OM growth 5Y-2.78%
PM growth 3YN/A
PM growth 5Y-4.52%
GM growth 3Y6.86%
GM growth 5Y0.39%
F-Score6
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.56 | ||
| Debt/FCF | 6.7 | ||
| Debt/EBITDA | 2.51 | ||
| Cap/Depr | 191.43% | ||
| Cap/Sales | 9.67% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 115.83% | ||
| Profit Quality | 122.18% | ||
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | N/A |
F-Score6
WACC8.79%
ROIC/WACC0.98
Cap/Depr(3y)218.82%
Cap/Depr(5y)162.13%
Cap/Sales(3y)11.3%
Cap/Sales(5y)10.74%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)17.95%
EPS 3YN/A
EPS 5Y-2.65%
EPS Q2Q%-6.52%
EPS Next Y-2.09%
EPS Next 2Y9.64%
EPS Next 3Y11.39%
EPS Next 5Y-0.61%
Revenue 1Y (TTM)4.23%
Revenue growth 3Y32.31%
Revenue growth 5Y5.7%
Sales Q2Q%1.67%
Revenue Next Year4.04%
Revenue Next 2Y5.78%
Revenue Next 3Y5.93%
Revenue Next 5Y2.88%
EBIT growth 1Y10.47%
EBIT growth 3YN/A
EBIT growth 5Y2.75%
EBIT Next Year55.18%
EBIT Next 3Y23.65%
EBIT Next 5YN/A
FCF growth 1Y136.49%
FCF growth 3YN/A
FCF growth 5Y9.97%
OCF growth 1Y9.15%
OCF growth 3Y65.94%
OCF growth 5Y6.45%