Is United Airlines Stock a Good Investment?
United Airlines Investment Advice | UAL |
- Examine United Airlines' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research United Airlines' leadership team and their track record. Good management can help United Airlines navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Passenger Airlines space and any emerging trends that could impact United Airlines' business and its evolving consumer preferences.
- Compare United Airlines' performance and market position to its competitors. Analyze how United Airlines is positioned in terms of product offerings, innovation, and market share.
- Check if United Airlines pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about United Airlines' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in United Airlines Holdings stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if United Airlines Holdings is a good investment.
Sell | Buy |
Buy
Market Performance | Strong | Details | |
Volatility | Very steady | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Hyperactively responds to market trends | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine United Airlines Stock
Researching United Airlines' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 83.0% of the company outstanding shares are owned by institutional investors. The book value of United Airlines was at this time reported as 34.78. The company has Price/Earnings To Growth (PEG) ratio of 0.74. United Airlines Holdings recorded earning per share (EPS) of 8.39. The entity last dividend was issued on the 7th of January 2008. The firm had 4:1 split on the 21st of May 1996.
To determine if United Airlines is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding United Airlines' research are outlined below:
| Over 83.0% of the company outstanding shares are owned by institutional investors | |
| Latest headline from gurufocus.com: United Airlines Stock Surges 5 percent Amid Strong Financial Performance |
United Airlines Quarterly Liabilities And Stockholders Equity |
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United Airlines uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in United Airlines Holdings. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to United Airlines' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 16th of April 2024 Upcoming Quarterly Report | View | |
| 17th of July 2024 Next Financial Report | View | |
| 31st of March 2024 Next Fiscal Quarter End | View | |
| 27th of January 2025 Next Fiscal Year End | View | |
| 31st of December 2023 Last Quarter Report | View | |
| 31st of December 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact United Airlines' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises United Airlines' investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2018-04-17 | 2018-03-31 | 0.43 | 0.5 | 0.07 | 16 | ||
2011-04-21 | 2011-03-31 | -0.48 | -0.41 | 0.07 | 14 | ||
2023-04-18 | 2023-03-31 | -0.73 | -0.63 | 0.1 | 13 | ||
2013-04-25 | 2013-03-31 | -1.1 | -0.98 | 0.12 | 10 | ||
2014-01-23 | 2013-12-31 | 0.65 | 0.78 | 0.13 | 20 | ||
2010-04-27 | 2010-03-31 | -0.72 | -0.58 | 0.14 | 19 | ||
2012-04-26 | 2012-03-31 | -1.04 | -0.87 | 0.17 | 16 | ||
2012-01-26 | 2011-12-31 | 0.12 | 0.3 | 0.18 | 150 |
Know United Airlines' Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as United Airlines is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading United Airlines Holdings backward and forwards among themselves. United Airlines' institutional investor refers to the entity that pools money to purchase United Airlines' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Slate Path Capital Lp | 2024-09-30 | 5 M | Par Capital Management Inc | 2024-09-30 | 4.8 M | Morgan Stanley - Brokerage Accounts | 2024-09-30 | 4.3 M | Fmr Inc | 2024-09-30 | 4.3 M | Castle Hook Partners Lp | 2024-09-30 | 4.2 M | Citadel Advisors Llc | 2024-09-30 | 3.9 M | Newport Trust Co. | 2024-09-30 | 3.6 M | Balyasny Asset Management Llc | 2024-09-30 | 3.4 M | Charles Schwab Investment Management Inc | 2024-09-30 | 3.1 M | Vanguard Group Inc | 2024-09-30 | 36.2 M | Primecap Management Company | 2024-09-30 | 23.6 M |
United Airlines' market capitalization trends
The company currently falls under 'Large-Cap' category with a total capitalization of 31.43 B.Market Cap |
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United Airlines' profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.04 | 0.04 | |
| Return On Capital Employed | 0.09 | 0.09 | |
| Return On Assets | 0.04 | 0.04 | |
| Return On Equity | 0.28 | 0.30 |
Determining United Airlines' profitability involves analyzing its financial statements and using various financial metrics to determine if United Airlines is a good buy. For example, gross profit margin measures United Airlines' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of United Airlines' profitability and make more informed investment decisions.
United Airlines' Earnings Breakdown by Geography
Evaluate United Airlines' management efficiency
United Airlines Holdings has Return on Asset of 0.0411 % which means that on every $100 spent on assets, it made $0.0411 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.2725 %, implying that it generated $0.2725 on every 100 dollars invested. United Airlines' management efficiency ratios could be used to measure how well United Airlines manages its routine affairs as well as how well it operates its assets and liabilities. Return On Tangible Assets is expected to rise to 0.04 this year. Return On Capital Employed is expected to rise to 0.09 this year. At this time, United Airlines' Net Tangible Assets are quite stable compared to the past year. Return On Tangible Assets is expected to rise to 0.04 this year, although the value of Other Assets will most likely fall to about 3 B.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 28.44 | 29.87 | |
| Tangible Book Value Per Share | 6.32 | 6.64 | |
| Enterprise Value Over EBITDA | 5.64 | 9.94 | |
| Price Book Value Ratio | 1.45 | 1.49 | |
| Enterprise Value Multiple | 5.64 | 9.94 | |
| Price Fair Value | 1.45 | 1.49 | |
| Enterprise Value | 32.1 B | 33.7 B |
Evaluating the management effectiveness of United Airlines allows investors to assess its financial health and operational efficiency. Coupled with an analysis of its growth prospects and the current market dynamics, we evaluate the stock's true value and future potential. Key indicators such as revenue, earnings or debt levels are examined alongside external factors like economic trends and regulatory changes. The United Stock analysis seeks to determine whether the stock is undervalued, appropriately priced, or overvalued, thereby guiding your investment decisions.
Beta 1.393 |
Basic technical analysis of United Stock
As of the 20th of December, United Airlines has the Semi Deviation of 1.22, risk adjusted performance of 0.2611, and Coefficient Of Variation of 312.9. In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of United Airlines Holdings, as well as the relationship between them. Please validate United Airlines Holdings coefficient of variation, treynor ratio, as well as the relationship between the Treynor Ratio and semi variance to decide if United Airlines is priced more or less accurately, providing market reflects its prevalent price of 97.31 per share. Given that United Airlines Holdings has jensen alpha of 0.8811, we advise you to double-check United Airlines Holdings's current market performance to make sure the company can sustain itself at a future point.United Airlines' insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific United Airlines insiders, such as employees or executives, is commonly permitted as long as it does not rely on United Airlines' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases United Airlines insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Ward Laysha over a year ago Acquisition by Ward Laysha of 736 shares of United Airlines subject to Rule 16b-3 | ||
John Walker over a year ago Acquisition by John Walker of 2361 shares of United Airlines subject to Rule 16b-3 |
United Airlines' Outstanding Corporate Bonds
United Airlines issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. United Airlines Holdings uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most United bonds can be classified according to their maturity, which is the date when United Airlines Holdings has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
Understand United Airlines' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing United Airlines' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.2611 | |||
| Market Risk Adjusted Performance | 0.4608 | |||
| Mean Deviation | 2.05 | |||
| Semi Deviation | 1.22 | |||
| Downside Deviation | 1.91 | |||
| Coefficient Of Variation | 312.9 | |||
| Standard Deviation | 2.94 | |||
| Variance | 8.64 | |||
| Information Ratio | 0.3082 | |||
| Jensen Alpha | 0.8811 | |||
| Total Risk Alpha | 0.8427 | |||
| Sortino Ratio | 0.4737 | |||
| Treynor Ratio | 0.4508 | |||
| Maximum Drawdown | 16.69 | |||
| Value At Risk | (3.02) | |||
| Potential Upside | 6.47 | |||
| Downside Variance | 3.66 | |||
| Semi Variance | 1.5 | |||
| Expected Short fall | (2.54) | |||
| Skewness | 1.45 | |||
| Kurtosis | 3.8 |
| Risk Adjusted Performance | 0.2611 | |||
| Market Risk Adjusted Performance | 0.4608 | |||
| Mean Deviation | 2.05 | |||
| Semi Deviation | 1.22 | |||
| Downside Deviation | 1.91 | |||
| Coefficient Of Variation | 312.9 | |||
| Standard Deviation | 2.94 | |||
| Variance | 8.64 | |||
| Information Ratio | 0.3082 | |||
| Jensen Alpha | 0.8811 | |||
| Total Risk Alpha | 0.8427 | |||
| Sortino Ratio | 0.4737 | |||
| Treynor Ratio | 0.4508 | |||
| Maximum Drawdown | 16.69 | |||
| Value At Risk | (3.02) | |||
| Potential Upside | 6.47 | |||
| Downside Variance | 3.66 | |||
| Semi Variance | 1.5 | |||
| Expected Short fall | (2.54) | |||
| Skewness | 1.45 | |||
| Kurtosis | 3.8 |
Consider United Airlines' intraday indicators
United Airlines intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of United Airlines stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
United Airlines Corporate Filings
8K | 18th of December 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F4 | 26th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
10Q | 16th of October 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
| 31st of May 2024 Other Reports | ViewVerify |
United Stock media impact
Far too much social signal, news, headlines, and media speculation about United Airlines that are available to investors today. That information is available publicly through United media outlets and privately through word of mouth or via United internal channels. However, regardless of the origin, that massive amount of United data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of United Airlines news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of United Airlines relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to United Airlines' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive United Airlines alpha.
United Airlines Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards United Airlines can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
United Airlines Holdings Historical Investor Sentiment
Investor biases related to United Airlines' public news can be used to forecast risks associated with an investment in United. The trend in average sentiment can be used to explain how an investor holding United can time the market purely based on public headlines and social activities around United Airlines Holdings. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
United Airlines' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for United Airlines and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average United Airlines news discussions. The higher the estimate score, the more favorable the investor's outlook on United Airlines.
United Airlines Corporate Management
| Linda Jojo | CIO and Executive VP | Profile | |
| Brigitte Bokemeier | Principal VP | Profile | |
| Josh Earnest | Executive Advertising | Profile | |
| Jason Birnbaum | Chief Officer | Profile |
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in United Airlines Holdings. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in nation. You can also try the My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Is Passenger Airlines space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of United Airlines. If investors know United will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about United Airlines listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.15) | Earnings Share 8.39 | Revenue Per Share 170.467 | Quarterly Revenue Growth 0.025 | Return On Assets 0.0411 |
The market value of United Airlines Holdings is measured differently than its book value, which is the value of United that is recorded on the company's balance sheet. Investors also form their own opinion of United Airlines' value that differs from its market value or its book value, called intrinsic value, which is United Airlines' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because United Airlines' market value can be influenced by many factors that don't directly affect United Airlines' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between United Airlines' value and its price, as these two are different measures arrived at by various means. Investors typically determine if United Airlines is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, United Airlines' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.