Qantas Airways
Market Cap
AU$10.1b
Last Updated
2019/10/20 10:31 UTC
Data Sources
Company Financials +
Executive Summary
Qantas Airways Limited provides passenger and freight air transportation services in Australia and internationally.
Snowflake
Fundamentals
Average dividend payer with mediocre balance sheet.
Similar Companies
Share Price & News
How has Qantas Airways's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
2.8%
QAN
2.4%
AU Airlines
0.4%
AU Market
1 Year Return
16.8%
QAN
8.7%
AU Airlines
9.8%
AU Market
Return vs Industry: QAN exceeded the Australian Airlines industry which returned 8.7% over the past year.
Return vs Market: QAN exceeded the Australian Market which returned 9.8% over the past year.
Shareholder returns
| QAN | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.8% | 2.4% | 0.4% |
| 30 Day | 5.2% | 3.9% | -1.1% |
| 90 Day | 16.8% | 10.0% | -0.6% |
| 1 Year | 21.9%16.8% | 14.3%8.7% | 16.1%9.8% |
| 3 Year | 122.5%100.9% | 82.9%63.6% | 36.1%17.9% |
| 5 Year | 417.0%330.3% | 127.1%88.6% | 49.4%15.7% |
Price Volatility Vs. Market
How volatile is Qantas Airways's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall St
Qantas Airways (ASX:QAN) Takes On Some Risk With Its Use Of Debt2 weeks ago | Simply Wall St
The Qantas Airways (ASX:QAN) Share Price Has Soared 324%, Delighting Many Shareholders1 month ago | Simply Wall St
What Did Qantas Airways Limited's (ASX:QAN) CEO Take Home Last Year?Valuation
Is Qantas Airways undervalued compared to its fair value and its price relative to the market?
11.95x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Undervalued: QAN (A$6.53) is trading above our estimate of fair value (A$6.28)
Significantly Undervalued: QAN is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: QAN is good value based on its PE Ratio (12x) compared to the Airlines industry average (12.4x).
PE vs Market: QAN is good value based on its PE Ratio (12x) compared to the Australian market (18.2x).
Price to Earnings Growth Ratio
Low PEG Ratio: QAN is poor value based on its PEG Ratio (2.6x)
Price to Book Ratio
PB vs Industry: QAN is overvalued based on its PB Ratio (2.9x) compared to the XO Airlines industry average (1.9x).
Next Steps
Future Growth
How is Qantas Airways forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
4.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: QAN's forecast earnings growth (4.7% per year) is above the savings rate (2.3%).
Earnings vs Market: QAN's earnings (4.7% per year) are forecast to grow slower than the Australian market (10.3% per year).
High Growth Earnings: QAN's earnings are forecast to grow, but not significantly.
Revenue vs Market: QAN's revenue (2.3% per year) is forecast to grow slower than the Australian market (3.6% per year).
High Growth Revenue: QAN's revenue (2.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
High Future ROE: QAN's Return on Equity is forecast to be high in 3 years time (25.4%)
Next Steps
Past Performance
How has Qantas Airways performed over the past 5 years?
49.8%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: QAN has become profitable over the past 5 years, growing earnings by 49.8% per year.
Accelerating Growth: QAN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: QAN had negative earnings growth (-6.5%) over the past year, making it difficult to compare to the Airlines industry average (-11.3%).
Return on Equity
High ROE: Whilst QAN's Return on Equity (25.93%) is high, this metric is skewed due to their high level of debt.
Return on Assets
ROA vs Industry: QAN has a higher Return on Assets than the Airlines industry average last year.
Return on Capital Employed
ROCE Improving: QAN's Return on Capital Employed has declined over the past 3 years.
Next Steps
Financial Health
How is Qantas Airways's financial position?
Financial Position Analysis
Short Term Liabilities: QAN's short term assets (A$4.2B) do not cover its short term liabilities (A$8.6B)
Long Term Liabilities: QAN's short term assets (4.2B) do not cover its long term liabilities (7.4B)
Debt to Equity History and Analysis
Debt Level: QAN's debt to equity ratio (115.9%) is considered high
Reducing Debt: QAN's debt to equity ratio has reduced from 180.5% to 115.9% over the past 5 years.
Debt Coverage: QAN's debt is well covered by operating cash flow (70.5%).
Interest Coverage: QAN's interest payments on its debt are well covered by EBIT (7.8x coverage).
Balance Sheet
Inventory Level: QAN has a high level of physical assets or inventory.
Debt Coverage by Assets: QAN's debt is covered by short term assets (assets are 1.052720x debt).
Next Steps
Dividend
What is Qantas Airways's current dividend yield, its reliability and sustainability?
3.98%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: QAN's dividend (3.98%) is higher than the bottom 25% of dividend payers in the Australian market (2.44%).
High Dividend: QAN's dividend (3.98%) is low compared to the top 25% of dividend payers in the Australian market (5.59%).
Stable Dividend: QAN's dividend payments have been volatile in the past 10 years.
Growing Dividend: QAN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (45.8%), QAN's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: QAN's dividends in 3 years are forecast to be well covered by earnings (37.6% payout ratio).
Next Steps
Management
What is the CEO of Qantas Airways's salary, the management and board of directors tenure and is there insider trading?
3.4yrs
Average management tenure
CEO
Alan Joyce (53yo)
10.9yrs
Tenure
AU$6,565,000
Compensation
Mr. Alan Joseph Joyce, AC, BApplSc(Phy)(Math)(Hons), MSc(MgtSc), MA, FRAeS, FTSE has been the Chief Executive Officer and President of Qantas Group at Qantas Freight Enterprises Ltd. since November 2008 an ...
CEO Compensation Analysis
Compensation vs. Market: Alan's total compensation ($USD4.49M) is about average for companies of similar size in the Australian market ($USD2.81M).
Compensation vs Earnings: Alan's compensation has been consistent with company performance over the past year.
Management Age and Tenure
3.4yrs
Average Tenure
Experienced Management: QAN's management team is considered experienced (3.4 years average tenure).
Board Age and Tenure
6.2yrs
Average Tenure
62yo
Average Age
Experienced Board: QAN's board of directors are considered experienced (6.2 years average tenure).
Insider Trading
Insider Buying: QAN insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chief Executive Officer CEO, MD & Executive Director |
| Shares | 97,768 |
| Max Price | AU$5.99 |
| Entity | Individual |
| Role | Chief Executive Officer CEO, MD & Executive Director |
| Shares | 1,519,012 |
| Max Price | AU$5.91 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 3,000 |
| Max Price | AU$5.68 |
| Entity | Company |
| Shares | 60,499,691 |
| Max Price | AU$5.96 |
| Entity | Company |
| Shares | 63,841,783 |
| Max Price | AU$5.65 |
| Entity | Individual |
| Role | Chairman of the Board Independent Chairman |
| Shares | 30,000 |
| Max Price | AU$5.73 |
| Entity | Company |
| Shares | 461,480 |
| Max Price | AU$5.80 |
| Entity | Company |
| Shares | 233,434 |
| Max Price | AU$5.75 |
| Entity | Company |
| Shares | 981 |
| Max Price | AU$5.79 |
| Entity | Company |
| Shares | 1,100 |
| Max Price | AU$5.90 |
| Entity | Company |
| Shares | 8,476,678 |
| Max Price | AU$6.18 |
| Entity | Company |
| Shares | 2,940,434 |
| Max Price | AU$5.59 |
| Entity | Company |
| Shares | 2,291,622 |
| Max Price | AU$5.86 |
| Entity | Company |
| Shares | 40,736,080 |
| Max Price | AU$6.77 |
| Entity | Company |
| Shares | 20,817,925 |
| Max Price | AU$6.85 |
Ownership Breakdown
Management Team
Andrew David (58yo)
Chief Executive Officer of Qantas Domestic & Freight
- Tenure: 4.6yrs
- Compensation: AU$2.37m
Alan Joyce (53yo)
CEO, MD & Executive Director
- Tenure: 10.9yrs
- Compensation: AU$6.57m
Lesley Grant
Group Executive of People
- Tenure: 1.9yrs
- Compensation: AU$1.38m
Gareth Evans
Chief Executive Officer of Jetstar Group
- Tenure: 2.2yrs
- Compensation: AU$2.60m
Olivia Wirth
Chief Executive Officer of Qantas Loyalty
- Tenure: 2.2yrs
- Compensation: AU$1.95m
Andrew Finch
General Counsel
- Tenure: 6.9yrs
Vanessa Hudson
Chief Financial Officer
- Tenure: 0yrs
Rob Marcolina
Group Executive of Strategy
- Tenure: 0yrs
Tino La Spina
Chief Executive Officer of Qantas International
- Tenure: 0yrs
- Compensation: AU$2.33m
Frances Reyk
Head of Investor Relations
- Tenure: 0yrs
Board Members
Richard Goodmanson (71yo)
Independent Non-Executive Director
- Tenure: 11.3yrs
- Compensation: AU$309.00k
Paul Rayner (65yo)
Independent Non Executive Director
- Tenure: 11.3yrs
- Compensation: AU$317.00k
Richard James Goyder (59yo)
Independent Chairman
- Tenure: 1yrs
- Compensation: AU$584.00k
Belinda Hutchinson (66yo)
Independent Non-Executive Director
- Tenure: 1.5yrs
- Compensation: AU$283.00k
Barbara Ward (65yo)
Independent Non-Executive Director
- Tenure: 11.3yrs
- Compensation: AU$320.00k
Alan Joyce (53yo)
CEO, MD & Executive Director
- Tenure: 10.9yrs
- Compensation: AU$6.57m
Michael L'Estrange (66yo)
Independent Non-Executive Director
- Tenure: 3.5yrs
- Compensation: AU$223.00k
Jacquie Hey (53yo)
Independent Non-Executive Director
- Tenure: 6.2yrs
- Compensation: AU$211.00k
Maxine Brenner (57yo)
Independent Non-Executive Director
- Tenure: 6.2yrs
- Compensation: AU$364.00k
Todd Sampson (48yo)
Independent Non-Executive Director
- Tenure: 4.7yrs
- Compensation: AU$271.00k
Company Information
Qantas Airways Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Qantas Airways Limited
- Ticker: QAN
- Exchange: ASX
- Founded: 1920
- Industry: Airlines
- Sector: Transportation
- Market Cap: AU$10.095b
- Shares outstanding: 1.55b
- Website: https://www.qantas.com
Number of Employees
Location
- Qantas Airways Limited
- 10 Bourke Road
- Mascot
- New South Wales
- 2020
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| QUBS.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Aug 1995 |
| QAN | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Aug 1995 |
| QAN | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Aug 1995 |
| QAN | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Aug 1995 |
| QABS.Y | OTCPK (Pink Sheets LLC) | SPONSORED ADR NE | US | USD | Apr 2014 |
Biography
Qantas Airways Limited provides passenger and freight air transportation services in Australia and internationally. The company also offers air cargo and express freight services; and customer loyalty prog ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/20 10:31 |
| End of Day Share Price | 2019/10/18 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2019/06/30 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.