Asiana Airlines vs UNITED Which Offers More Value?

Asiana Airlines and United Airlines are both major players in the aviation industry, with each company offering unique opportunities for investors. Asiana Airlines, based in South Korea, has a strong presence in the Asian market and is known for its excellent customer service and operational efficiency. On the other hand, United Airlines, based in the United States, has a large domestic and international network and has been working on improving its financial performance in recent years. Both stocks have their own strengths and weaknesses, making them interesting options for investors looking to diversify their portfolios in the aviation sector.

Asiana Airlines or UNITED?

When comparing Asiana Airlines and UNITED, 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 Asiana Airlines and UNITED.

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. Asiana Airlines has a dividend yield of -%, while UNITED has a dividend yield of 3.0%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Asiana Airlines reports a 5-year dividend growth of 0.00% year and a payout ratio of 182.07%. On the other hand, UNITED reports a 5-year dividend growth of 6.43% year and a payout ratio of 0.00%.

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 Asiana Airlines P/E ratio at 8.16 and UNITED's P/E ratio at 51.38. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Asiana Airlines P/B ratio is 1.39 while UNITED's P/B ratio is 1.40.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Asiana Airlines has seen a 5-year revenue growth of -0.75%, while UNITED's is -0.46%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Asiana Airlines's ROE at 17.20% and UNITED's ROE at 2.56%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₩10110.00 for Asiana Airlines and ¥798.00 for UNITED. Over the past year, Asiana Airlines's prices ranged from ₩8780.00 to ₩14610.00, with a yearly change of 66.40%. UNITED's prices fluctuated between ¥670.00 and ¥953.00, with a yearly change of 42.24%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.