EVA Airways vs Asiana

EVA Airways and Asiana are two major players in the airline industry, each with its own strengths and weaknesses. EVA Airways is a Taiwanese airline known for its excellent customer service and strong financial performance. On the other hand, Asiana is a South Korean airline that has faced some challenges in recent years, including financial difficulties and changes in leadership. Investors looking to invest in airline stocks should carefully consider the performance and outlook of both companies before making a decision.

EVA Airways or Asiana?

When comparing EVA Airways and Asiana, 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 EVA Airways and Asiana.

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. EVA Airways has a dividend yield of 4.96%, while Asiana has a dividend yield of 8.27%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. EVA Airways reports a 5-year dividend growth of 35.04% year and a payout ratio of 18.14%. On the other hand, Asiana reports a 5-year dividend growth of 13.94% year and a payout ratio of 60.82%.

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 EVA Airways P/E ratio at 8.29 and Asiana's P/E ratio at 9.62. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. EVA Airways P/B ratio is 1.83 while Asiana's P/B ratio is 1.09.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, EVA Airways has seen a 5-year revenue growth of 0.03%, while Asiana's is -0.01%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with EVA Airways's ROE at 22.88% and Asiana's ROE at 11.59%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are NT$36.35 for EVA Airways and ฿8.70 for Asiana. Over the past year, EVA Airways's prices ranged from NT$25.90 to NT$39.35, with a yearly change of 51.93%. Asiana's prices fluctuated between ฿5.95 and ฿11.20, with a yearly change of 88.24%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.