UNITED AIRLINES HOLDINGS INC (UAL1.DE) Stock Fundamental Analysis
FRA:UAL1 - Deutsche Boerse Ag - US9100471096 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to UAL1. UAL1 was compared to 12 industry peers in the Passenger Airlines industry. While UAL1 is still in line with the averages on profitability rating, there are concerns on its financial health. UAL1 has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
UAL1 had positive earnings in the past year.
In the past year UAL1 had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: UAL1 reported negative net income in multiple years.
Of the past 5 years UAL1 4 years had a positive operating cash flow.
1.2 Ratios
UAL1 has a Return On Assets of 4.25%. This is in the better half of the industry: UAL1 outperforms 75.00% of its industry peers.
UAL1's Return On Equity of 24.84% is amongst the best of the industry. UAL1 outperforms 91.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 7.84%, UAL1 is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for UAL1 is in line with the industry average of 7.31%.
The 3 year average ROIC (6.63%) for UAL1 is below the current ROIC(7.84%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.25% | ||
| ROE | 24.84% | ||
| ROIC | 7.84% |
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
Looking at the Profit Margin, with a value of 5.52%, UAL1 is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
UAL1's Profit Margin has declined in the last couple of years.
UAL1 has a better Operating Margin (9.13%) than 75.00% of its industry peers.
UAL1's Operating Margin has declined in the last couple of years.
UAL1's Gross Margin of 63.26% is amongst the best of the industry. UAL1 outperforms 83.33% of its industry peers.
UAL1's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.13% | ||
| PM (TTM) | 5.52% | ||
| GM | 63.26% |
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
UAL1 has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
UAL1 has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, UAL1 has more shares outstanding
UAL1 has a better debt/assets ratio than last year.
2.2 Solvency
UAL1 has an Altman-Z score of 1.32. This is a bad value and indicates that UAL1 is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of UAL1 (1.32) is better than 75.00% of its industry peers.
The Debt to FCF ratio of UAL1 is 6.51, which is on the high side as it means it would take UAL1, 6.51 years of fcf income to pay off all of its debts.
UAL1 has a Debt to FCF ratio of 6.51. This is comparable to the rest of the industry: UAL1 outperforms 58.33% of its industry peers.
UAL1 has a Debt/Equity ratio of 1.72. This is a high value indicating a heavy dependency on external financing.
UAL1 has a Debt to Equity ratio of 1.72. This is comparable to the rest of the industry: UAL1 outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.72 | ||
| Debt/FCF | 6.51 | ||
| Altman-Z | 1.32 |
ROIC/WACC0.88
WACC8.89%
2.3 Liquidity
A Current Ratio of 0.81 indicates that UAL1 may have some problems paying its short term obligations.
UAL1's Current ratio of 0.81 is in line compared to the rest of the industry. UAL1 outperforms 50.00% of its industry peers.
UAL1 has a Quick Ratio of 0.81. This is a bad value and indicates that UAL1 is not financially healthy enough and could expect problems in meeting its short term obligations.
UAL1 has a Quick ratio (0.74) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.27% over the past year.
Measured over the past years, UAL1 shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.65% on average per year.
Looking at the last year, UAL1 shows a small growth in Revenue. The Revenue has grown by 6.23% in the last year.
The Revenue has been growing slightly by 5.70% on average over the past years.
EPS 1Y (TTM)5.27%
EPS 3YN/A
EPS 5Y-2.65%
EPS Q2Q%63%
Revenue 1Y (TTM)6.23%
Revenue growth 3Y32.31%
Revenue growth 5Y5.7%
Sales Q2Q%7.85%
3.2 Future
The Earnings Per Share is expected to grow by 4.68% on average over the next years.
Based on estimates for the next years, UAL1 will show a small growth in Revenue. The Revenue will grow by 3.39% on average per year.
EPS Next Y27.16%
EPS Next 2Y19.29%
EPS Next 3Y15.48%
EPS Next 5Y4.68%
Revenue Next Year8.72%
Revenue Next 2Y7.66%
Revenue Next 3Y6.54%
Revenue Next 5Y3.39%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 7.55, the valuation of UAL1 can be described as very cheap.
UAL1's Price/Earnings ratio is a bit cheaper when compared to the industry. UAL1 is cheaper than 66.67% of the companies in the same industry.
UAL1's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.35.
UAL1 is valuated cheaply with a Price/Forward Earnings ratio of 5.93.
Compared to the rest of the industry, the Price/Forward Earnings ratio of UAL1 indicates a somewhat cheap valuation: UAL1 is cheaper than 66.67% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, UAL1 is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.55 | ||
| Fwd PE | 5.93 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, UAL1 is valued expensively inside the industry as 83.33% of the companies are valued cheaper.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UAL1 indicates a rather cheap valuation: UAL1 is cheaper than 83.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.82 | ||
| EV/EBITDA | 3.8 |
4.3 Compensation for Growth
UAL1's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
UAL1 has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as UAL1's earnings are expected to grow with 15.48% in the coming years.
PEG (NY)0.28
PEG (5Y)N/A
EPS Next 2Y19.29%
EPS Next 3Y15.48%
5. Dividend
5.1 Amount
UAL1 does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:UAL1 (3/7/2025, 7:00:00 PM)
73.5
-9.71 (-11.67%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners87.82%
Inst Owner ChangeN/A
Ins Owners0.47%
Ins Owner ChangeN/A
Market Cap24.06B
Analysts84.44
Price Target132.73 (80.59%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
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)5.85%
Min EPS beat(2)4.11%
Max EPS beat(2)7.59%
EPS beat(4)4
Avg EPS beat(4)22.51%
Min EPS beat(4)4.11%
Max EPS beat(4)74.16%
EPS beat(8)8
Avg EPS beat(8)19.23%
EPS beat(12)11
Avg EPS beat(12)13.75%
EPS beat(16)14
Avg EPS beat(16)14.11%
Revenue beat(2)1
Avg Revenue beat(2)-0.02%
Min Revenue beat(2)-0.59%
Max Revenue beat(2)0.55%
Revenue beat(4)1
Avg Revenue beat(4)-0.45%
Min Revenue beat(4)-1.47%
Max Revenue beat(4)0.55%
Revenue beat(8)2
Avg Revenue beat(8)-0.36%
Revenue beat(12)4
Avg Revenue beat(12)-0.53%
Revenue beat(16)7
Avg Revenue beat(16)-0.34%
PT rev (1m)3.35%
PT rev (3m)33.65%
EPS NQ rev (1m)3.41%
EPS NQ rev (3m)76.83%
EPS NY rev (1m)0.2%
EPS NY rev (3m)8.57%
Revenue NQ rev (1m)0.19%
Revenue NQ rev (3m)2.3%
Revenue NY rev (1m)0.18%
Revenue NY rev (3m)1.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.55 | ||
| Fwd PE | 5.93 | ||
| P/S | 0.46 | ||
| P/FCF | 6.82 | ||
| P/OCF | 2.77 | ||
| P/B | 2.06 | ||
| P/tB | 4.78 | ||
| EV/EBITDA | 3.8 |
EPS(TTM)9.74
EY13.25%
EPS(NY)12.39
Fwd EY16.86%
FCF(TTM)10.78
FCFY14.66%
OCF(TTM)26.58
OCFY36.16%
SpS160.56
BVpS35.66
TBVpS15.38
PEG (NY)0.28
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.25% | ||
| ROE | 24.84% | ||
| ROCE | 10.26% | ||
| ROIC | 7.84% | ||
| ROICexc | 10.97% | ||
| ROICexgc | 13.69% | ||
| OM | 9.13% | ||
| PM (TTM) | 5.52% | ||
| GM | 63.26% | ||
| FCFM | 6.71% |
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-Score8
Asset Turnover0.77
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.72 | ||
| Debt/FCF | 6.51 | ||
| Debt/EBITDA | 2.67 | ||
| Cap/Depr | 191.77% | ||
| Cap/Sales | 9.84% | ||
| Interest Coverage | 3.49 | ||
| Cash Conversion | 116.09% | ||
| Profit Quality | 121.63% | ||
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.74 | ||
| Altman-Z | 1.32 |
F-Score8
WACC8.89%
ROIC/WACC0.88
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)5.27%
EPS 3YN/A
EPS 5Y-2.65%
EPS Q2Q%63%
EPS Next Y27.16%
EPS Next 2Y19.29%
EPS Next 3Y15.48%
EPS Next 5Y4.68%
Revenue 1Y (TTM)6.23%
Revenue growth 3Y32.31%
Revenue growth 5Y5.7%
Sales Q2Q%7.85%
Revenue Next Year8.72%
Revenue Next 2Y7.66%
Revenue Next 3Y6.54%
Revenue Next 5Y3.39%
EBIT growth 1Y0.87%
EBIT growth 3YN/A
EBIT growth 5Y2.75%
EBIT Next Year83.98%
EBIT Next 3Y28.36%
EBIT Next 5YN/A
FCF growth 1Y1573.08%
FCF growth 3YN/A
FCF growth 5Y9.97%
OCF growth 1Y36.67%
OCF growth 3Y65.94%
OCF growth 5Y6.45%