UAL Valuation

United Airlines Holdings Inc

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105.000

-0.08(-0.076%)1D

Overview
Forecast
Valuation
Earnings

UAL Relative Valuation

UAL's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, UAL is overvalued; if below, it's undervalued.

Historical Valuation

United Airlines Holdings Inc (UAL) is now in the Overvalued zone, suggesting that its current forward PS ratio of 0.56 is considered Overvalued compared with the five-year average of 2.65. The fair price of United Airlines Holdings Inc (UAL) is between 55.28 to 96.71 according to relative valuation methord. Compared to the current price of 105.08 USD , United Airlines Holdings Inc is Overvalued By 8.66%.

Relative Value

Fair Zone

55.28-96.71

Current Price：105.08

8.66%

Overvalued

9.24

Trailing

Forward

6.13

EV/EBITDA

United Airlines Holdings Inc. (UAL) has a current EV/EBITDA of 6.13. The 5-year average EV/EBITDA is 6.30. The thresholds are as follows: Strongly Undervalued below -21.62, Undervalued between -21.62 and -7.66, Fairly Valued between 20.26 and -7.66, Overvalued between 20.26 and 34.22, and Strongly Overvalued above 34.22. The current Forward EV/EBITDA of 6.13 falls within the Historic Trend Line -Fairly Valued range.

9.64

EV/EBIT

United Airlines Holdings Inc. (UAL) has a current EV/EBIT of 9.64. The 5-year average EV/EBIT is 56.81. The thresholds are as follows: Strongly Undervalued below -368.29, Undervalued between -368.29 and -155.74, Fairly Valued between 269.36 and -155.74, Overvalued between 269.36 and 481.91, and Strongly Overvalued above 481.91. The current Forward EV/EBIT of 9.64 falls within the Historic Trend Line -Fairly Valued range.

0.56

United Airlines Holdings Inc. (UAL) has a current PS of 0.56. The 5-year average PS is 0.38. The thresholds are as follows: Strongly Undervalued below 0.11, Undervalued between 0.11 and 0.24, Fairly Valued between 0.52 and 0.24, Overvalued between 0.52 and 0.66, and Strongly Overvalued above 0.66. The current Forward PS of 0.56 falls within the Overvalued range.

3.44

P/OCF

United Airlines Holdings Inc. (UAL) has a current P/OCF of 3.44. The 5-year average P/OCF is 3.68. The thresholds are as follows: Strongly Undervalued below -6.56, Undervalued between -6.56 and -1.44, Fairly Valued between 8.80 and -1.44, Overvalued between 8.80 and 13.92, and Strongly Overvalued above 13.92. The current Forward P/OCF of 3.44 falls within the Historic Trend Line -Fairly Valued range.

14.01

P/FCF

United Airlines Holdings Inc. (UAL) has a current P/FCF of 14.01. The 5-year average P/FCF is 0.31. The thresholds are as follows: Strongly Undervalued below -46.78, Undervalued between -46.78 and -23.23, Fairly Valued between 23.86 and -23.23, Overvalued between 23.86 and 47.40, and Strongly Overvalued above 47.40. The current Forward P/FCF of 14.01 falls within the Historic Trend Line -Fairly Valued range.

United Airlines Holdings Inc (UAL) has a current Price-to-Book (P/B) ratio of 2.54. Compared to its 3-year average P/B ratio of 2.08 , the current P/B ratio is approximately 22.08% higher. Relative to its 5-year average P/B ratio of 2.39, the current P/B ratio is about 6.37% higher. United Airlines Holdings Inc (UAL) has a Forward Free Cash Flow (FCF) yield of approximately 11.89%. Compared to its 3-year average FCF yield of 7.42%, the current FCF yield is approximately 60.17% lower. Relative to its 5-year average FCF yield of -1.00% , the current FCF yield is about -1294.56% lower.

2.54

P/B

Median3y

2.08

Median5y

2.39

11.89

FCF Yield

Median3y

7.42

Median5y

-1.00

Competitors Valuation Multiple

The average P/S ratio for UAL's competitors is 0.43, providing a benchmark for relative valuation. United Airlines Holdings Inc Corp (UAL) exhibits a P/S ratio of 0.56, which is 28.91% above the industry average. Given its robust revenue growth of 1.67%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

UAL.O

United Airlines Holdings Inc

Southwest Airlines Co

Controladora Vuela Compania de Aviacion SAB de CV

American Airlines Group Inc

0.15

0.40%

8.83B

Performance Decomposition

Market capitalization of UAL increased by 138.60% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 3.98 to 10.53.

The secondary factor is the Revenue Growth, contributed 1.67%to the performance.

Overall, the performance of UAL in the past 1 year is driven by P/E Change. Which is more unsustainable.

1.67%

14.99B → 15.24B

Revenue Growth

-27.63%

8.83 → 6.39

Margin Expansion

164.56%

3.98 → 10.53

P/E Change

138.60%