NasdaqGS:JBLU

Stock Analysis Report

Executive Summary

JetBlue Airways Corporation, a passenger carrier company, provides air transportation services.

Snowflake

Fundamentals

Adequate balance sheet and fair value.


Similar Companies

Share Price & News

How has JetBlue Airways's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.7%

JBLU

1.3%

US Airlines

0.5%

US Market


1 Year Return

2.7%

JBLU

-1.2%

US Airlines

6.8%

US Market

Return vs Industry: JBLU exceeded the US Airlines industry which returned -1.2% over the past year.

Return vs Market: JBLU underperformed the US Market which returned 6.8% over the past year.


Shareholder returns

JBLUIndustryMarket
7 Day0.7%1.3%0.5%
30 Day0.2%-2.6%-0.8%
90 Day-10.5%-6.8%-0.9%
1 Year2.7%2.7%0.3%-1.2%9.2%6.8%
3 Year-8.7%-8.7%28.5%23.5%45.6%36.2%
5 Year54.7%54.7%52.6%43.8%63.2%45.4%

Price Volatility Vs. Market

How volatile is JetBlue Airways's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is JetBlue Airways undervalued compared to its fair value and its price relative to the market?

11.77x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: JBLU ($16.96) is trading above our estimate of fair value ($1.87)

Significantly Below Fair Value: JBLU is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: JBLU is poor value based on its PE Ratio (11.8x) compared to the Airlines industry average (8.7x).

PE vs Market: JBLU is good value based on its PE Ratio (11.8x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: JBLU is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: JBLU is good value based on its PB Ratio (1.1x) compared to the US Airlines industry average (1.7x).


Next Steps

Future Growth

How is JetBlue Airways forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

16.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: JBLU's forecast earnings growth (16.9% per year) is above the savings rate (2.7%).

Earnings vs Market: JBLU's earnings (16.9% per year) are forecast to grow faster than the US market (14.6% per year).

High Growth Earnings: JBLU's earnings are forecast to grow, but not significantly.

Revenue vs Market: JBLU's revenue (6.8% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: JBLU's revenue (6.8% 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 (12.1%).


Next Steps

Past Performance

How has JetBlue Airways performed over the past 5 years?

3.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: JBLU's earnings have grown by 3.5% per year over the past 5 years.

Accelerating Growth: JBLU's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: JBLU had negative earnings growth (-45.3%) over the past year, making it difficult to compare to the Airlines industry average (-30.9%).


Return on Equity

High ROE: JBLU's Return on Equity (9.4%) is considered low.


Return on Assets

ROA vs Industry: JBLU's Return on Assets is below or equal to the Airlines industry average last year.


Return on Capital Employed

ROCE Improving: JBLU's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is JetBlue Airways's financial position?


Financial Position Analysis

Short Term Liabilities: JBLU's short term assets ($1.5B) do not cover its short term liabilities ($2.9B)

Long Term Liabilities: JBLU's short term assets (1.5B) do not cover its long term liabilities (3.7B)


Debt to Equity History and Analysis

Debt Level: JBLU's debt to equity ratio (29.7%) is considered satisfactory

Reducing Debt: JBLU's debt to equity ratio has reduced from 103.1% to 29.7% over the past 5 years.

Debt Coverage: JBLU's debt is well covered by operating cash flow (105%).

Interest Coverage: JBLU's interest payments on its debt are well covered by EBIT (9.9x coverage).


Balance Sheet

Inventory Level: JBLU has a high level of physical assets or inventory.

Debt Coverage by Assets: JBLU's debt is covered by short term assets (assets are 1.054550x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage2.2%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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.


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of JBLU's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of JetBlue Airways's salary, the management and board of directors tenure and is there insider trading?

1.8yrs

Average management tenure


CEO

Robin Hayes (52yo)

4.7yrs

Tenure

US$3,585,420

Compensation

Mr. Robin Hayes has been the Chief Executive Officer of JetBlue Airways Corporation since February 16, 2015 and served as its President since January 1, 2014. Mr. Hayes served as the Chief Commercial Offic ...


CEO Compensation Analysis

Compensation vs. Market: Robin's total compensation ($USD3.59M) is about average for companies of similar size in the US market ($USD6.81M).

Compensation vs Earnings: Robin's compensation has been consistent with company performance over the past year.


Management Age and Tenure

1.8yrs

Average Tenure

48yo

Average Age

Experienced Management: JBLU's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Age and Tenure

9.5yrs

Average Tenure

59yo

Average Age

Experienced Board: JBLU's board of directors are considered experienced (9.5 years average tenure).


Insider Trading

Insider Buying: JBLU insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$44,16409 Aug 19
Stephen Priest
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares2,335
Max PriceUS$18.91
SellUS$58,27701 Aug 19
Brandon Nelson
EntityIndividual
Role
Chief Legal Officer
General Counsel & Corporate Secretary
Shares3,000
Max PriceUS$19.43

Ownership Breakdown


Management Team

  • Joanna Geraghty (46yo)

    President & COO

    • Tenure: 1.3yrs
    • Compensation: US$1.93m
  • David Fintzen

    Director of Investors Relation

    • Tenure: 0yrs
  • Robin Hayes (52yo)

    CEO & Director

    • Tenure: 4.7yrs
    • Compensation: US$3.59m
  • Brandon Nelson (44yo)

    General Counsel & Corporate Secretary

    • Tenure: 1.3yrs
  • Dave Clark

    Vice President of Sales & Revenue Management

    • Tenure: 2.7yrs
  • Eash Sundaram (48yo)

    Chief Digital & Technology Officer

    • Tenure: 1.8yrs
    • Compensation: US$1.16m
  • Alexander Chatkewitz (54yo)

    VP, Controller & Chief Accounting Officer

    • Tenure: 4.8yrs
    • Compensation: US$515.73k
  • Steve Priest (48yo)

    Chief Financial Officer

    • Tenure: 2.7yrs
    • Compensation: US$1.50m
  • Doug McGraw

    Chief Communications Officer

    • Tenure: 1.6yrs
  • Elizabeth Windram

    Vice President of Marketing

    • Tenure: 1.6yrs

Board Members

  • Frank Sica (68yo)

    Independent Vice Chairman

    • Tenure: 11.4yrs
    • Compensation: US$175.00k
  • Virginia Gambale (59yo)

    Independent Director

    • Tenure: 13.4yrs
    • Compensation: US$200.00k
  • Peter Boneparth (59yo)

    Independent Director

    • Tenure: 10.8yrs
    • Compensation: US$212.59k
  • Joel Clinton Peterson (72yo)

    Independent Chairman

    • Tenure: 11.4yrs
    • Compensation: US$228.75k
  • Ellen Jewett (60yo)

    Independent Director

    • Tenure: 8.3yrs
    • Compensation: US$187.50k
  • Stephan Gemkow (59yo)

    Independent Director

    • Tenure: 11.2yrs
    • Compensation: US$175.00k
  • Teri McClure (55yo)

    Independent Director

    • Tenure: 0.3yrs
  • Thomas Winkelmann (60yo)

    Independent Director

    • Tenure: 6.4yrs
    • Compensation: US$183.33k
  • Robin Hayes (52yo)

    CEO & Director

    • Tenure: 4.7yrs
    • Compensation: US$3.59m
  • Sarah O’Hagan (46yo)

    Independent Director

    • Tenure: 1.2yrs
    • Compensation: US$68.33k

Company Information

JetBlue Airways Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: JetBlue Airways Corporation
  • Ticker: JBLU
  • Exchange: NasdaqGS
  • Founded: 1998
  • Industry: Airlines
  • Sector: Transportation
  • Market Cap: US$5.025b
  • Shares outstanding: 296.27m
  • Website: https://www.jetblue.com

Number of Employees


Location

  • JetBlue Airways Corporation
  • 27-01 Queens Plaza North
  • Long Island City
  • New York
  • 11101
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
JBLUNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDApr 2002
JAWDB (Deutsche Boerse AG)YesCommon StockDEEURApr 2002
JBLU *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNApr 2002
0JOTLSE (London Stock Exchange)YesCommon StockGBUSDApr 2002

Biography

JetBlue Airways Corporation, a passenger carrier company, provides air transportation services. As of December 31, 2018, the company operated a fleet of 63 Airbus A321 aircraft, 130 Airbus A320 aircraft, a ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 23:41
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.