UNITED vs EVA Airways Which Is Stronger?

United Airlines and EVA Airways are two major players in the aviation industry, each offering unique opportunities for investors. United Airlines, a US-based carrier, has a strong presence in the American market and operates an extensive global network. On the other hand, EVA Airways, a Taiwanese airline, is known for its exceptional service and reputation for punctuality. Both companies have faced challenges in the wake of the COVID-19 pandemic, but have also shown resilience and adaptability in navigating these turbulent times. Investing in either United or EVA Airways stocks could offer potential returns for those looking to capitalize on the recovery of the airline industry.

UNITED or EVA Airways?

When comparing UNITED and EVA 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 UNITED and EVA 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. UNITED has a dividend yield of 3.01%, while EVA Airways has a dividend yield of 3.96%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. UNITED reports a 5-year dividend growth of 6.43% year and a payout ratio of 0.00%. On the other hand, EVA Airways reports a 5-year dividend growth of 35.04% 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 P/E ratio at 51.38 and EVA Airways's P/E ratio at 9.14. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. UNITED P/B ratio is 1.40 while EVA Airways's P/B ratio is 2.11.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, UNITED has seen a 5-year revenue growth of -0.46%, while EVA Airways's is 0.03%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with UNITED's ROE at 2.56% and EVA Airways's ROE at 24.76%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ¥793.00 for UNITED and NT$45.45 for EVA Airways. Over the past year, UNITED's prices ranged from ¥670.00 to ¥953.00, with a yearly change of 42.24%. EVA Airways's prices fluctuated between NT$29.95 and NT$48.25, with a yearly change of 61.10%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.