Air China (AIRYY) and The Competition Head-To-Head Contrast

Air China (OTCMKTS:AIRYY) is one of 78 public companies in the “Passenger Airlines” industry, but how does it contrast to its peers? We will compare Air China to related businesses based on the strength of its analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.

Profitability

This table compares Air China and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Air China	-3.02%	-14.97%	-1.71%
Air China Competitors	-8.88%	4.79%	1.10%

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Air China and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Air China	0	1	0	0	2.00
Air China Competitors	1526	4063	6683	354	2.46

As a group, “Passenger Airlines” companies have a potential upside of 8.99%. Given Air China’s peers stronger consensus rating and higher probable upside, analysts plainly believe Air China has less favorable growth aspects than its peers.

Volatility and Risk

Air China has a beta of 0.11, indicating that its share price is 89% less volatile than the S&P 500. Comparatively, Air China’s peers have a beta of 18.44, indicating that their average share price is 1,744% more volatile than the S&P 500.

Insider & Institutional Ownership

43.2% of shares of all “Passenger Airlines” companies are owned by institutional investors. 11.2% of shares of all “Passenger Airlines” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Air China and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Air China	$23.86 billion	-$248.70 million	-10.55
Air China Competitors	$15.21 billion	$637.69 million	18.88

Air China has higher revenue, but lower earnings than its peers. Air China is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

Air China peers beat Air China on 10 of the 12 factors compared.

About Air China

Air China Limited, together with its subsidiaries, provides air passenger, air cargo, and airline-related services in Mainland China, Hong Kong, Macau, Taiwan, China, and internationally. The company operates in Airline Operations and Other Operations segments. It provides aircraft engineering and airport ground handling services. The company is also involved in the import and export trading activities; and provision of cabin, airline catering, air ticketing, human resources, aircraft overhaul and maintenance, and financial services. Air China Limited was founded in 1988 and is headquartered in Beijing, the People's Republic of China.