Asiana Airlines vs United Airlines Which Is More Promising?

Asiana Airlines and United Airlines are two major players in the aviation industry, each offering unique investment opportunities to shareholders. Asiana Airlines, based in South Korea, has shown consistent growth in recent years, benefiting from the expanding Asian market. On the other hand, United Airlines, a prominent US carrier, has faced challenges such as regulatory issues and a competitive market. Investors must carefully assess the financial health and market performance of both airlines to make informed decisions about investing in their stocks.

Asiana Airlines or United Airlines?

When comparing Asiana Airlines and United 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 Asiana Airlines and United 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. Asiana Airlines has a dividend yield of -%, while United Airlines has a dividend yield of -%. 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 Airlines reports a 5-year dividend growth of 0.00% 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 8.08 and United Airlines's P/E ratio at 11.43. 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 1.37 while United Airlines's P/B ratio is 2.76.

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 -0.02%, while United Airlines's is 0.07%. 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 Airlines's ROE at 27.31%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₩10010.00 for Asiana Airlines and $95.87 for United Airlines. Over the past year, Asiana Airlines's prices ranged from ₩8780.00 to ₩14610.00, with a yearly change of 66.40%. United Airlines's prices fluctuated between $37.02 and $105.09, with a yearly change of 183.87%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.