Alaska Air Group Inc (ALK)vsUnited Airlines Holdings Inc (UAL)
ALK
Alaska Air Group Inc
$39.28
+2.08%
INDUSTRIALS · Cap: $4.41B
UAL
United Airlines Holdings Inc
$92.95
-0.65%
INDUSTRIALS · Cap: $30.29B
Smart Verdict
WallStSmart Research — data-driven comparison
United Airlines Holdings Inc generates 315% more annual revenue ($59.07B vs $14.24B). UAL leads profitability with a 5.7% profit margin vs 0.7%. ALK appears more attractively valued with a PEG of 1.20. UAL earns a higher WallStSmart Score of 60/100 (C).
ALK
Hold49
out of 100
Grade: D+
UAL
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-919.5%
Fair Value
$5.64
Current Price
$39.28
$33.64 premium
Margin of Safety
+43.5%
Fair Value
$201.55
Current Price
$92.95
$108.60 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Attractively priced relative to earnings
Every $100 of equity generates 24 in profit
Reasonable price relative to book value
Areas to Watch
2.8% revenue growth
ROE of 2.4% — below average capital efficiency
0.7% margin — thin
Operating margin of 3.2%
4.8% revenue growth
5.7% margin — thin
Expensive relative to growth rate
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : ALK
The strongest argument for ALK centers on Price/Book. PEG of 1.20 suggests the stock is reasonably priced for its growth.
Bull Case : UAL
The strongest argument for UAL centers on P/E Ratio, Return on Equity, Price/Book.
Bear Case : ALK
The primary concerns for ALK are Revenue Growth, Return on Equity, Profit Margin. A P/E of 46.4x leaves little room for execution misses. Thin 0.7% margins leave little buffer for downturns.
Bear Case : UAL
The primary concerns for UAL are Revenue Growth, Profit Margin, PEG Ratio. Debt-to-equity of 2.39 is elevated, increasing financial risk.
Key Dynamics to Monitor
UAL carries more volatility with a beta of 1.25 — expect wider price swings.
UAL is growing revenue faster at 4.8% — sustainability is the question.
ALK generates stronger free cash flow (-440M), providing more financial flexibility.
Monitor AIRLINES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
UAL scores higher overall (60/100 vs 49/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Alaska Air Group Inc
INDUSTRIALS · AIRLINES · USA
Alaska Air Group is an airline holding company based in SeaTac, Washington, United States.
United Airlines Holdings Inc
INDUSTRIALS · AIRLINES · USA
United Airlines Holdings, Inc. (formerly known as United Continental Holdings, Inc., UAL Corporation, Allegis Corporation and founded originally as UAL, Inc.) is a publicly traded airline holding company headquartered in the Willis Tower in Chicago. UAH owns and operates United Airlines, Inc.
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