Air France-KLM vs Japan Airlines

Air France-KLM and Japan Airlines are two major players in the global aviation industry, each with its own unique strengths and challenges. As two of the largest airlines in their respective regions, both companies have faced fluctuations in their stock prices due to factors such as economic conditions, fuel prices, and competition. Investors may be interested in comparing the performance of Air France-KLM and Japan Airlines stocks to determine the potential for growth and profitability in the aviation sector.

Air France-KLM or Japan Airlines?

When comparing Air France-KLM and Japan Airlines, 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 Japan Airlines.

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 Japan Airlines has a dividend yield of -%. 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 41.30%. On the other hand, Japan Airlines reports a 5-year dividend growth of 0.00% year and a payout ratio of 37.52%.

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 0.95 and Japan Airlines's P/E ratio at 6.13. 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 -0.07 while Japan Airlines's P/B ratio is 0.58.

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 Japan Airlines's is 0.61%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Air France-KLM's ROE at -9.39% and Japan Airlines's ROE at 9.66%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $0.94 for Air France-KLM and $8.10 for Japan Airlines. Over the past year, Air France-KLM's prices ranged from $0.77 to $1.65, with a yearly change of 114.29%. Japan Airlines's prices fluctuated between $7.27 and $10.17, with a yearly change of 39.89%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.