American Airlines vs United International Transportation

American Airlines and United International are two of the largest players in the transportation industry, specifically in the airline sector. Both companies have a strong presence in the domestic and international markets, providing services to millions of passengers each year. While American Airlines has a broader route network and more extensive fleet, United International boasts a more diverse portfolio of international destinations. Investors interested in transportation stocks have a choice between these two industry giants, each with its own strengths and weaknesses.

American Airlines or United International Transportation?

When comparing American Airlines and United International Transportation, 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 American Airlines and United International Transportation.

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. American Airlines has a dividend yield of -%, while United International Transportation has a dividend yield of 1.71%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. American Airlines reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, United International Transportation reports a 5-year dividend growth of 5.92% year and a payout ratio of 38.46%.

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 American Airlines P/E ratio at -65.32 and United International Transportation's P/E ratio at 21.77. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. American Airlines P/B ratio is -1.67 while United International Transportation's P/B ratio is 3.13.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, American Airlines has seen a 5-year revenue growth of -0.16%, while United International Transportation's is 0.32%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with American Airlines's ROE at 2.35% and United International Transportation's ROE at 14.79%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $12.00 for American Airlines and ر.س83.30 for United International Transportation. Over the past year, American Airlines's prices ranged from $9.07 to $16.15, with a yearly change of 78.06%. United International Transportation's prices fluctuated between ر.س59.60 and ر.س98.60, with a yearly change of 65.44%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.