JetBlue Airways (NasdaqGS:JBLU) - Share price, News & Analysis

JBLU fundamental analysis
Snowflake Score
Valuation	5/6
Future Growth	4/6
Past Performance	0/6
Financial Health	2/6
Dividends	0/6

JBLU Stock Overview

JetBlue Airways Corporation provides air passenger transportation services.

Rewards

Trading at 88.7% below our estimate of its fair value

Earnings are forecast to grow 81.19% per year

Risk Analysis

No risks detected for JBLU from our risk checks.

JetBlue Airways Competitors

Price History & Performance

Summary of all time highs, changes and price drops for JetBlue Airways
Historical stock prices
Current Share Price	US$8.62
52 Week High	US$17.36
52 Week Low	US$7.99
Beta	1.48
1 Month Change	-18.76%
3 Month Change	-40.80%
1 Year Change	-49.83%
3 Year Change	-53.38%
5 Year Change	-62.24%
Change since IPO	-35.35%

Recent News & Updates

Jun 24

JetBlue: One Airline To Avoid

JetBlue continues to increase bids for Spirit Airlines, though that management team has preference for a competing bid from Frontier. The airline would watch the net debt loads soar to ~$6.6 billion. The stock has underperformed this year due to the large cash bid and investors should continue avoiding JetBlue until the offer is terminated.

Jun 10

Is JetBlue Airways (NASDAQ:JBLU) Using Too Much Debt?

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...

Shareholder Returns

	JBLU	US Airlines	US Market
7D	0.9%	5.2%	6.6%
1Y	-49.8%	-34.1%	-18.4%

Return vs Industry: JBLU underperformed the US Airlines industry which returned -34.2% over the past year.

Return vs Market: JBLU underperformed the US Market which returned -18.5% over the past year.

Price Volatility

Is JBLU's price volatile compared to industry and market?
JBLU volatility
JBLU Average Weekly Movement	8.9%
Airlines Industry Average Movement	8.9%
Market Average Movement	8.1%
10% most volatile stocks in US Market	16.6%
10% least volatile stocks in US Market	3.2%

Stable Share Price: JBLU is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: JBLU's weekly volatility (9%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1998	23,500	Robin Hayes	https://www.jetblue.com

JetBlue Airways Corporation provides air passenger transportation services. As of December 31, 2021, the company operated a fleet of 63 Airbus A321 aircraft, 8 Airbus A220 aircraft, 21 Airbus A321neo aircraft, 130 Airbus A320 aircraft, and 60 Embraer E190 aircraft. It also served 107 destinations in the 31 states in the United States, the District of Columbia, the Commonwealth of Puerto Rico, the U.S.

JetBlue Airways Fundamentals Summary

How do JetBlue Airways's earnings and revenue compare to its market cap?
JBLU fundamental statistics
Market Cap	US$2.77b
Earnings (TTM)	-US$190.00m
Revenue (TTM)	US$7.04b

0.4x

P/S Ratio

-14.6x

P/E Ratio

Is JBLU overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
JBLU income statement (TTM)
Revenue	US$7.04b
Cost of Revenue	US$5.76b
Gross Profit	US$1.28b
Other Expenses	US$1.47b
Earnings	-US$190.00m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	-0.59
Gross Margin	18.21%
Net Profit Margin	-2.70%
Debt/Equity Ratio	99.4%

How did JBLU perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is JBLU undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for JBLU?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for JBLU. This is calculated by dividing JBLU's market cap by their current preferred multiple.
What is JBLU's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$2.77b

JBLU key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.7x
Enterprise Value/EBITDA	-25.8x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does JBLU's PS Ratio compare to its peers?

JBLU PS Ratio vs Peers

The above table shows the PS ratio for JBLU vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PS	Estimated Growth	Market Cap
Peer Average	1x

Forward PS

Price-To-Sales vs Peers: JBLU is good value based on its Price-To-Sales Ratio (0.4x) compared to the peer average (1x).

Price to Earnings Ratio vs Industry

How does JBLU's PE Ratio compare vs other companies in the U.S. Airlines Industry?

Price-To-Sales vs Industry: JBLU is good value based on its Price-To-Sales Ratio (0.4x) compared to the US Airlines industry average (0.6x)

Price to Sales Ratio vs Fair Ratio

What is JBLU's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

JBLU PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.4x
Fair PS Ratio	0.9x

Price-To-Sales vs Fair Ratio: JBLU is good value based on its Price-To-Sales Ratio (0.4x) compared to the estimated Fair Price-To-Sales Ratio (0.9x).

Share Price vs Fair Value

What is the Fair Price of JBLU when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: JBLU ($8.62) is trading below our estimate of fair value ($76.18)

Significantly Below Fair Value: JBLU is trading below fair value by more than 20%.

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate JBLU's PEG Ratio to determine if it is good value.

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Future Growth

How is JetBlue Airways forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

81.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: JBLU is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: JBLU is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: JBLU is expected to become profitable in the next 3 years.

Revenue vs Market: JBLU's revenue (9.2% per year) is forecast to grow faster than the US market (8.4% per year).

High Growth Revenue: JBLU's revenue (9.2% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: JBLU's Return on Equity is forecast to be low in 3 years time (13%).

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Past Performance

How has JetBlue Airways performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-58.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: JBLU is currently unprofitable.

Growing Profit Margin: JBLU is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: JBLU is unprofitable, and losses have increased over the past 5 years at a rate of 58.4% per year.

Accelerating Growth: Unable to compare JBLU's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: JBLU is unprofitable, making it difficult to compare its past year earnings growth to the Airlines industry (44%).

Return on Equity

High ROE: JBLU has a negative Return on Equity (-5.28%), as it is currently unprofitable.

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Financial Health

How is JetBlue Airways's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: JBLU's short term assets ($3.3B) do not cover its short term liabilities ($4.0B).

Long Term Liabilities: JBLU's short term assets ($3.3B) do not cover its long term liabilities ($6.2B).

Debt to Equity History and Analysis

Debt Level: JBLU's net debt to equity ratio (22%) is considered satisfactory.

Reducing Debt: JBLU's debt to equity ratio has increased from 33.5% to 99.4% over the past 5 years.

Debt Coverage: JBLU's debt is well covered by operating cash flow (47.9%).

Interest Coverage: Insufficient data to determine if JBLU's interest payments on its debt are well covered by EBIT.

Balance Sheet

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Dividend

What is JetBlue Airways's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate JBLU's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate JBLU's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if JBLU's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if JBLU's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as JBLU has not reported any payouts.

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Management

How experienced are the management team and are they aligned to shareholders interests?

4.0yrs

Average management tenure

CEO

Robin Hayes (54 yo)

7.33yrs

Tenure

US$3,449,755

Compensation

Mr. Robin N. Hayes serves as Chief Executive Officer and Director at JetBlue Airways Corporation since February 16, 2015 and served as its President since January 1, 2014 until May 2018. Mr. Hayes served a...

CEO Compensation Analysis

Compensation vs Market: Robin's total compensation ($USD3.45M) is below average for companies of similar size in the US market ($USD6.89M).

Compensation vs Earnings: Robin's compensation has increased whilst the company is unprofitable.

Leadership Team

Experienced Management: JBLU's management team is considered experienced (4 years average tenure).

Board Members

Experienced Board: JBLU's board of directors are considered experienced (3.8 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/06/26 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31