United Airlines vs Delta Which Is More Lucrative?

United Airlines and Delta Air Lines are two major players in the aviation industry, with their stocks being closely watched by investors. Both companies have faced their fair share of challenges, including the impact of the COVID-19 pandemic on travel demand. United Airlines has seen fluctuations in its stock price due to a variety of factors, while Delta has focused on managing costs and increasing operational efficiency. Investors keen on the airline sector are closely monitoring the developments in United Airlines and Delta stocks to make informed investment decisions.

United Airlines or Delta?

When comparing United Airlines 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 United Airlines 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. United Airlines has a dividend yield of -%, while Delta has a dividend yield of 1.03%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. United Airlines reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. 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 United Airlines P/E ratio at 11.33 and Delta's P/E ratio at 20.82. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. United Airlines P/B ratio is 2.74 while Delta's P/B ratio is 1.27.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, United Airlines has seen a 5-year revenue growth of 0.06%, while Delta's is 0.17%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with United Airlines's ROE at 27.31% and Delta's ROE at 6.26%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $94.92 for United Airlines and ₹120.10 for Delta. Over the past year, United Airlines's prices ranged from $37.02 to $105.09, with a yearly change of 183.87%. 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.