Delta vs JetBlue Airways Which Is Superior?
Delta and JetBlue Airways are two major players in the competitive airline industry, each offering unique strengths and weaknesses that drive their stock performance. Delta, as one of the largest airlines in the world, has a strong global presence and a long-standing reputation for reliability. In contrast, JetBlue is known for its focus on customer service and cost-effective pricing strategies. Both companies have faced challenges in recent years due to industry disruptions, economic downturns, and the ongoing impact of the global pandemic. Investors closely monitor the performance of these stocks to gauge the health of the airline sector and make informed decisions about their investment portfolios.
Delta or JetBlue Airways?
When comparing Delta and JetBlue Airways, 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 Delta and JetBlue Airways.
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.
Delta has a dividend yield of 1.02%, while JetBlue Airways has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Delta reports a 5-year dividend growth of 4.56% year and a payout ratio of 0.00%. On the other hand, JetBlue Airways 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 Delta P/E ratio at 21.12 and JetBlue Airways's P/E ratio at -2.94. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Delta P/B ratio is 1.29 while JetBlue Airways's P/B ratio is 0.95.
Growth Investors:
Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Delta has seen a 5-year revenue growth of 0.17%, while JetBlue Airways's is 0.18%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Delta's ROE at 6.26% and JetBlue Airways's ROE at -30.20%.
Retail Investors:
Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₹122.53 for Delta and $7.22 for JetBlue Airways. Over the past year, Delta's prices ranged from ₹104.45 to ₹159.80, with a yearly change of 52.99%. JetBlue Airways's prices fluctuated between $4.50 and $8.07, with a yearly change of 79.33%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.