Asiana vs Delta Which Is More Lucrative?

Asiana Airlines and Delta Air Lines are two major players in the aviation industry, each with a significant presence in the global market. While both companies have faced their fair share of challenges, their stock performance tells a different story. Asiana's stock has been struggling in recent years due to financial difficulties and decreased demand, while Delta's stock has remained relatively stable and strong thanks to its strong operational performance and strategic investments. In this analysis, we will compare and contrast the stocks of Asiana and Delta to determine which may be the better investment option.

Asiana or Delta?

When comparing Asiana and Delta, 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 and Delta.

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 has a dividend yield of 8.13%, while Delta has a dividend yield of 1.04%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Asiana reports a 5-year dividend growth of 13.94% year and a payout ratio of 60.82%. On the other hand, Delta reports a 5-year dividend growth of 4.56% 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 P/E ratio at 9.79 and Delta's P/E ratio at 20.69. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Asiana P/B ratio is 1.11 while Delta's P/B ratio is 1.26.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Asiana has seen a 5-year revenue growth of -0.01%, while Delta's is 0.17%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Asiana's ROE at 11.59% and Delta's ROE at 6.26%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ฿8.80 for Asiana and ₹117.55 for Delta. Over the past year, Asiana's prices ranged from ฿5.95 to ฿11.20, with a yearly change of 88.24%. Delta's prices fluctuated between ₹104.45 and ₹159.80, with a yearly change of 52.99%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.