Morningstar

Morningstar, Inc.

Equity Bottom-Up

U.S. legacy airlines consistently generated returns below cost of capital until a postrecession shakeout and wave of consolidation allowed four carriers--Southwest Airlines, American Airlines, Delta Air Lines, and United Airlines--to capture nearly 80% of the domestic market, ushering in record profit margins and consistent economic profits. Airline profit margins peaked in 2015 at record levels on the back of falling oil prices, rationalized supply, and elevated fares.After merging with…

United Airlines posted solid second-quarter results after temporarily solving supply constraints from suspended MAX aircraft, leveraging strong passenger demand, and capitalizing on sub-optimal flying from peers. We’re maintaining our $89 fair value estimate. Total passenger revenue expanded 6% against the backdrop of 3.6% capacity growth, and adjusted pretax margins finished around 12%. With capacity growth at the midpoint of management’s 3%-4% guided range, we lowered our full-year…

We plan to raise our fair value estimate around 2%-3% for no-moat United Airlines due to time value of money adjustments and after the carrier lowered CASM-ex (non-fuel unit costs) while simultaneously managing MAX groundings, a government shutdown, and spurts of severe weather in the first quarter. Concurrent with United’s lower year-over-year non-fuel unit costs, it grew unit revenue thanks to decent results in Latin American and Pacific markets. We find United’s late-cycle results impressive…

United States

United Airlines Holdings Inc is an airline holding company.  The Company owns and operates airlines that transports persons, property and mail throughout the United States and abroad.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00