American Airlines Group (AAL)vsUnited Airlines Holdings Inc (UAL)
AAL
American Airlines Group
$12.79
-4.19%
INDUSTRIALS · Cap: $8.46B
UAL
United Airlines Holdings Inc
$96.62
-2.97%
INDUSTRIALS · Cap: $32.32B
Smart Verdict
WallStSmart Research — data-driven comparison
United Airlines Holdings Inc generates 8% more annual revenue ($60.47B vs $55.99B). UAL leads profitability with a 6.1% profit margin vs 0.4%. AAL appears more attractively valued with a PEG of 0.51. UAL earns a higher WallStSmart Score of 67/100 (B-).
AAL
Hold47
out of 100
Grade: D+
UAL
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+72.3%
Fair Value
$51.88
Current Price
$12.79
$39.09 discount
Margin of Safety
+14.6%
Fair Value
$133.39
Current Price
$96.62
$36.77 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Generating 3.4B in free cash flow
Attractively priced relative to earnings
Earnings expanding 84.5% YoY
Every $100 of equity generates 26 in profit
Reasonable price relative to book value
Generating 3.1B in free cash flow
Areas to Watch
ROE of 0.0% — below average capital efficiency
0.4% margin — thin
Weak financial health signals
Premium valuation, high expectations priced in
6.1% margin — thin
Operating margin of 4.3%
Expensive relative to growth rate
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : AAL
The strongest argument for AAL centers on PEG Ratio, Free Cash Flow. Revenue growth of 10.8% demonstrates continued momentum. PEG of 0.51 suggests the stock is reasonably priced for its growth.
Bull Case : UAL
The strongest argument for UAL centers on P/E Ratio, EPS Growth, Return on Equity. Revenue growth of 10.6% demonstrates continued momentum.
Bear Case : AAL
The primary concerns for AAL are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 41.3x leaves little room for execution misses. Thin 0.4% margins leave little buffer for downturns.
Bear Case : UAL
The primary concerns for UAL are Profit Margin, Operating Margin, PEG Ratio. Debt-to-equity of 2.39 is elevated, increasing financial risk.
Key Dynamics to Monitor
AAL carries more volatility with a beta of 1.28 — expect wider price swings.
AAL is growing revenue faster at 10.8% — sustainability is the question.
AAL generates stronger free cash flow (3.4B), providing more financial flexibility.
Monitor AIRLINES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
UAL scores higher overall (67/100 vs 47/100) and 10.6% revenue growth. AAL offers better value entry with a 72.3% margin of safety. Both earn "Strong 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.
American Airlines Group
INDUSTRIALS · AIRLINES · USA
American Airlines Group Inc. is an American publicly traded airline holding company headquartered in Fort Worth, Texas.
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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