United Airlines Holdings Inc (UAL) vs China Southern Airlines Company Limited (ZNH)

United Airlines Holdings Inc and China Southern Airlines Company Limited are both Airlines companies. United Airlines Holdings Inc is the larger, with a market value of $36.4B against $17.7B — 2.1× the size. China Southern Airlines Company Limited has negative trailing earnings, so its P/E is not meaningful; United Airlines Holdings Inc trades at 10.7×. United Airlines Holdings Inc grew revenue faster over the last twelve months: 8.47% against −2.66%. United Airlines Holdings Inc has the higher net margin (5.56% vs −9.08%) and the higher return on invested capital (11.5% vs 0.00%). Across the 19 metrics below, United Airlines Holdings Inc leads on 16 and China Southern Airlines Company Limited on 3.

Valuation

Metric UAL ZNH Airlines median
P/E 10.66 n/m 10.32
P/S 0.59 0.55 0.57
P/B 2.22 1.28 2.06
Price to free cash flow 14.08 n/m 13.20
EV/EBITDA 9.62 199.92 9.68
EV/Sales 0.74 1.02 0.89
Earnings yield 9.38% (11.51%) 2.85%
Free cash flow yield 7.10% (8.02%) 3.17%

Profitability

Metric UAL ZNH Airlines median
Gross margin 67.68% (0.11%) 42.57%
Operating margin 7.74% (7.90%) 4.18%
Net margin 5.56% (9.08%) 1.85%
Free cash flow margin 4.18% 0.00% 4.31%
Return on equity 23.26% 0.00% 10.75%
Return on assets 4.32% 0.00% 1.67%
Return on invested capital 11.48% 0.00% 3.19%

Growth

Metric UAL ZNH Airlines median
Revenue growth (TTM) 8.47% (2.66%) 9.79%
EPS growth (last fiscal year) 7.94% 57.67% —
Revenue growth, 5-year CAGR 30.93% 1.65% 25.83%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric UAL ZNH Airlines median
Debt to equity 1.59 2.82 0.81
Current ratio 0.78 0.23 0.60
Net debt to EBITDA 1.65 22.72 1.42

Dividend

Metric UAL ZNH Airlines median
Dividend yield — — 0.82%
Payout ratio 0.00 0.00 0.00

Size

Metric UAL ZNH Airlines median
Market cap 36.35b 17.69b 3.91b

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