NasdaqGS:UAL

Stock Analysis Report

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Executive Summary

United Airlines Holdings, Inc., through its subsidiaries, provides air transportation services in North America, Asia, Europe, Africa, the Pacific, the Middle East, and Latin America. More Details


Snowflake Analysis

Exceptional growth potential and slightly overvalued.


Similar Companies

Share Price & News

How has United Airlines Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: UAL has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-11.7%

UAL

-8.7%

US Airlines

-4.1%

US Market


1 Year Return

-63.4%

UAL

-44.8%

US Airlines

12.0%

US Market

Return vs Industry: UAL underperformed the US Airlines industry which returned -44.8% over the past year.

Return vs Market: UAL underperformed the US Market which returned 12% over the past year.


Shareholder returns

UALIndustryMarket
7 Day-11.7%-8.7%-4.1%
30 Day-3.4%3.0%-0.2%
90 Day7.0%17.7%2.8%
1 Year-63.4%-63.4%-44.5%-44.8%14.6%12.0%
3 Year-43.7%-43.7%-34.6%-36.3%35.8%26.8%
5 Year-45.4%-45.4%-30.6%-33.1%75.2%55.6%

Price Volatility Vs. Market

How volatile is United Airlines Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is United Airlines Holdings undervalued compared to its fair value and its price relative to the market?

32.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: UAL ($33.57) is trading below our estimate of fair value ($49.8)

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


Price To Earnings Ratio

PE vs Industry: UAL is unprofitable, so we can't compare its PE Ratio to the XN Airlines industry average.

PE vs Market: UAL is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: UAL is overvalued based on its PB Ratio (1.4x) compared to the US Airlines industry average (0.8x).


Next Steps

Future Growth

How is United Airlines Holdings forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

90.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: UAL is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).

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

High Growth Earnings: UAL's is expected to become profitable in the next 3 years.

Revenue vs Market: UAL's revenue (27.6% per year) is forecast to grow faster than the US market (10% per year).

High Growth Revenue: UAL's revenue (27.6% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: UAL's Return on Equity is forecast to be high in 3 years time (27.7%)


Next Steps

Past Performance

How has United Airlines Holdings performed over the past 5 years?

-42.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: UAL is currently unprofitable.

Growing Profit Margin: UAL is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: UAL is unprofitable, and losses have increased over the past 5 years at a rate of 42.3% per year.

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

Earnings vs Industry: UAL is unprofitable, making it difficult to compare its past year earnings growth to the Airlines industry (-38.5%).


Return on Equity

High ROE: UAL has a negative Return on Equity (-64.7%), as it is currently unprofitable.


Next Steps

Financial Health

How is United Airlines Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: UAL's short term assets ($16.5B) exceed its short term liabilities ($15.8B).

Long Term Liabilities: UAL's short term assets ($16.5B) do not cover its long term liabilities ($38.4B).


Debt to Equity History and Analysis

Debt Level: UAL's debt to equity ratio (383.8%) is considered high.

Reducing Debt: UAL's debt to equity ratio has increased from 131% to 383.8% over the past 5 years.

Debt Coverage: UAL's operating cash flow is negative, therefore debt is not well covered.

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


Balance Sheet


Next Steps

Dividend

What is United Airlines Holdings's current dividend yield, its reliability and sustainability?

0.012%

Forecast Dividend Yield


Dividend Yield vs Market

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

High Dividend: Unable to evaluate UAL'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 UAL's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if UAL'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 UAL's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

0.4yrs

Average management tenure


CEO

J. Kirby (53 yo)

0.42

Tenure

US$16,779,485

Compensation

Mr. J. Scott Kirby has been Chief Executive Officer of United Airlines Inc. since May 20, 2020 and served as its President. He has been Chief Executive Officer and Director of United Airlines Holdings, Inc ...


CEO Compensation Analysis

Compensation vs Market: J.'s total compensation ($USD16.78M) is above average for companies of similar size in the US market ($USD11.21M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Oscar Munoz
Executive Chairman of the Board0.42yrUS$12.64m0.086%
$ 8.4m
J. Kirby
CEO & Director0.42yrUS$16.78m0.053%
$ 5.2m
Brett Hart
President0.42yrUS$4.02m0.029%
$ 2.9m
Gerald Laderman
Executive VP & CFO2.42yrsUS$3.62m0.022%
$ 2.1m
Gregory Hart
Executive Vice President of Strategy & Planning0.33yrUS$4.34m0.0093%
$ 904.6k
Jonathan Roitman
Executive VP & COO0.33yrno data0.0020%
$ 191.5k
Linda Jojo
Executive VP of Technology & Chief Digital Officer3.42yrsno data0.0099%
$ 965.1k
Michael Leskinen
Vice President of Corporate Development & Investor Relationsno datano datano data
Josh Earnest
Senior VP & Chief Communications Officer2.42yrsno datano data
David Hilfman
Senior Vice President of Worldwide Salesno datano datano data
Kate Gebo
Executive Vice President of Human Resources & Labor Relationsno datano data0.0091%
$ 885.0k
Douglas Leo
Senior Vice President of Revenue Managementno datano datano data

0.4yrs

Average Tenure

54yo

Average Age

Experienced Management: UAL's management team is not considered experienced ( 0.4 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Oscar Munoz
Executive Chairman of the Board0.42yrUS$12.64m0.086%
$ 8.4m
J. Kirby
CEO & Director0.42yrUS$16.78m0.053%
$ 5.2m
David Vitale
Independent Director14.58yrsUS$350.75k0.0067%
$ 657.4k
Edward Philip
Lead Independent Director0.42yrUS$338.67k0.0025%
$ 242.3k
Walter Isaacson
Independent Director14.58yrsUS$333.35k0.0066%
$ 640.8k
James Whitehurst
Independent Director4.58yrsUS$357.65k0.0063%
$ 613.5k
Barney Harford
Independent Director4.5yrsUS$372.18k0.036%
$ 3.5m
James Kennedy
Independent Director4.58yrsUS$366.43k0.0034%
$ 330.2k
Carolyn Corvi
Independent Director10.75yrsUS$329.37k0.0054%
$ 530.4k
Edward Shapiro
Independent Director4.5yrsUS$369.09k0%
$ 0
Todd Insler
Director4.58yrsUS$32.25kno data
Sito Pantoja
Director4.58yrsUS$38.93kno data

4.6yrs

Average Tenure

58yo

Average Age

Experienced Board: UAL's board of directors are considered experienced (4.6 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 been diluted in the past year, with total shares outstanding growing by 15%.


Top Shareholders

Company Information

United Airlines Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: United Airlines Holdings, Inc.
  • Ticker: UAL
  • Exchange: NasdaqGS
  • Founded: 1934
  • Industry: Airlines
  • Sector: Transportation
  • Market Cap: US$9.769b
  • Shares outstanding: 290.99m
  • Website: https://www.united.com

Number of Employees


Location

  • United Airlines Holdings, Inc.
  • 233 South Wacker Drive
  • Chicago
  • Illinois
  • 60606
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
UALNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJan 2006
UAL1DB (Deutsche Boerse AG)YesCommon StockDEEURJan 2006
UAL *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 2006
0LIULSE (London Stock Exchange)YesCommon StockGBUSDJan 2006
U1AL34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 2 REPR 1 COMBRBRLDec 2019

Biography

United Airlines Holdings, Inc., through its subsidiaries, provides air transportation services in North America, Asia, Europe, Africa, the Pacific, the Middle East, and Latin America. It transports people ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/30 03:50
End of Day Share Price2020/10/29 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.