ANA vs Singapore Airlines Which Is More Favorable?

ANA and Singapore Airlines are two major players in the airline industry, both known for their exceptional service and strong customer loyalty. These airlines have been hit hard by the global pandemic, with travel restrictions and reduced demand impacting their financial performance. Investors are closely watching the stock performance of both companies, as they navigate the challenges of the current environment. The competition between ANA and Singapore Airlines is fierce, with investors weighing various factors in deciding where to place their bets in the airline sector.

ANA or Singapore Airlines?

When comparing ANA and Singapore 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 ANA and Singapore 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. ANA has a dividend yield of 0.01%, while Singapore Airlines has a dividend yield of 4.3%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. ANA reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Singapore Airlines reports a 5-year dividend growth of 0.00% year and a payout ratio of 42.90%.

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 ANA P/E ratio at 2.01 and Singapore Airlines's P/E ratio at 11.68. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. ANA P/B ratio is 0.28 while Singapore Airlines's P/B ratio is 2.24.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, ANA has seen a 5-year revenue growth of -0.37%, while Singapore Airlines's is -0.69%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with ANA's ROE at 14.65% and Singapore Airlines's ROE at 17.36%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $3.63 for ANA and $9.25 for Singapore Airlines. Over the past year, ANA's prices ranged from $3.51 to $4.62, with a yearly change of 31.62%. Singapore Airlines's prices fluctuated between $8.63 and $10.99, with a yearly change of 27.35%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.