Azul S.A. - Sponsored ADR (AZUL) vs Frontier Group Holdings, Inc. (ULCC)

Azul S.A. - Sponsored ADR and Frontier Group Holdings, Inc. are both Airlines companies. Frontier Group Holdings, Inc. is the larger, with a market value of $1.5B against $773.6M — 1.9× the size. Frontier Group Holdings, Inc. grew revenue faster over the last twelve months: 9.95% against 1.24%. Frontier Group Holdings, Inc. has the higher net margin (−9.29% vs −21.2%) and the lower return on invested capital (0.00% vs 11.4%). Across the 17 metrics below, Azul S.A. - Sponsored ADR leads on 9 and Frontier Group Holdings, Inc. on 8.

Valuation

Metric AZUL ULCC Airlines median
P/E n/m n/m 8.50
P/S 0.15 0.36 0.55
P/B n/m 10.86 2.03
Price to free cash flow n/m n/m 11.38
EV/EBITDA 4.73 n/m 8.59
EV/Sales 1.07 0.27 0.82
Earnings yield (294.64%) (26.17%) (0.95%)
Free cash flow yield (7.56%) (11.11%) 3.39%

Profitability

Metric AZUL ULCC Airlines median
Gross margin 51.86% 24.07% 52.09%
Operating margin 11.86% (9.82%) 6.13%
Net margin (21.22%) (9.29%) 1.85%
Free cash flow margin (1.13%) (3.95%) 4.20%
Return on equity 26.60% (120.25%) 12.34%
Return on assets (15.34%) (5.61%) 1.67%
Return on invested capital 11.42% 0.00% 4.44%

Growth

Metric AZUL ULCC Airlines median
Revenue growth (TTM) 1.24% 9.95% 9.79%
EPS growth (last fiscal year) (18.57%) (262.16%) 9.88%
Revenue growth, 5-year CAGR 4.54% 24.40% 25.83%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric AZUL ULCC Airlines median
Debt to equity (3.65) 4.29 0.78
Current ratio 0.42 0.58 0.60
Net debt to EBITDA 4.91 0.23 1.42

Dividend

Metric AZUL ULCC Airlines median
Dividend yield — — 1.36%
Payout ratio — — 0.21

Size

Metric AZUL ULCC Airlines median
Market cap 773.58m 1.49b 2.08b

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