Air France-KLM vs Delta Air Lines Which Outperforms?

Air France-KLM and Delta Air Lines are two major players in the global aviation industry, with both companies having a significant presence in various markets around the world. Both stocks have been subject to substantial price fluctuations in recent years, influenced by factors such as fuel prices, competition, and geopolitical events. Investors interested in the airline industry may find it beneficial to compare and contrast the performance of Air France-KLM and Delta Air Lines stocks to make informed investment decisions.

Air France-KLM or Delta Air Lines?

When comparing Air France-KLM and Delta Air Lines, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Air France-KLM and Delta Air Lines.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Air France-KLM has a dividend yield of -%, while Delta Air Lines has a dividend yield of 1.0%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Air France-KLM reports a 5-year dividend growth of 0.00% year and a payout ratio of 37.23%. On the other hand, Delta Air Lines reports a 5-year dividend growth of 0.00% year and a payout ratio of 5.99%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Air France-KLM P/E ratio at 0.76 and Delta Air Lines's P/E ratio at 8.62. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Air France-KLM P/B ratio is -0.13 while Delta Air Lines's P/B ratio is 3.05.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Air France-KLM has seen a 5-year revenue growth of 4.35%, while Delta Air Lines's is 0.41%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Air France-KLM's ROE at -5.17% and Delta Air Lines's ROE at 39.94%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $0.83 for Air France-KLM and $64.62 for Delta Air Lines. Over the past year, Air France-KLM's prices ranged from $0.77 to $1.65, with a yearly change of 114.29%. Delta Air Lines's prices fluctuated between $35.28 and $66.22, with a yearly change of 87.70%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.