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Qantas Airways Ltd
ASX:QAN

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Qantas Airways Ltd
ASX:QAN
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Price: 8.48 AUD 0.83%
Market Cap: AU$12.8B

P/E

7.9
Current
15%
Cheaper
vs 3-y average of 9.3

Price to Earnings (P/E) ratio shows how much investors pay for each dollar of a company`s earnings. It`s calculated by dividing the company`s market value by its total earnings.

P/E
7.9
=
Market Cap
AU$12.8B
/
Net Income
AU$1.6B

Price to Earnings (P/E) ratio shows how much investors pay for each dollar of a company`s earnings. It`s calculated by dividing the company`s market value by its total earnings.

P/E
7.9
=
Market Cap
AU$12.8B
/
Net Income
AU$1.6B

Valuation Scenarios

Qantas Airways Ltd is trading below its 3-year average

If P/E returns to its 3-Year Average (9.3), the stock would be worth AU$9.96 (17% upside from current price).

Statistics
Positive Scenarios
3/4
Maximum Downside
-21%
Maximum Upside
+182%
Average Upside
50%
Scenario P/E Value Implied Price Upside/Downside
Current Multiple 7.9 AU$8.48
0%
3-Year Average 9.3 AU$9.96
+17%
5-Year Average 6.2 AU$6.69
-21%
Industry Average 9.7 AU$10.39
+23%
Country Average 22.3 AU$23.95
+182%

Forward P/E
Today’s price vs future net income

Today's Market Cap Net Income Forward P/E
AU$12.8B
/
Jan 2026
AU$1.6B
=
7.9
Current
AU$12.8B
/
Jun 2026
AU$1.7B
=
7.6
Forward
AU$12.8B
/
Jun 2027
AU$1.9B
=
6.7
Forward
AU$12.8B
/
Jun 2028
AU$2.1B
=
6.1
Forward
AU$12.8B
/
Jun 2029
AU$2.2B
=
5.9
Forward
AU$12.8B
/
Jun 2030
AU$2.2B
=
5.8
Forward

Forward P/E shows whether today’s P/E still looks high or low once future net income are taken into account.

Market Distribution

Lower than 92% of companies in Australia
Percentile
8th
Based on 1 271 companies
8th percentile
7.9
Low
0 — 15.9
Typical Range
15.9 — 36.3
High
36.3 —
Distribution Statistics
Australia
Min 0
30th Percentile 15.9
Median 22.3
70th Percentile 36.3
Max 5 709.2

Qantas Airways Ltd
Glance View

Qantas Airways Ltd., affectionately known as the "Flying Kangaroo," stands as a titan in the aviation industry with a storied history dating back to 1920. Originating from the expanses of the Queensland outback, Qantas has evolved into Australia’s flagship airline, building a reputation for safety, innovation, and exceptional service. Its comprehensive operations extend far beyond merely ferrying passengers across continents. Qantas operates via two distinct segments: Qantas Domestic and Qantas International, covering a vast network that stretches over more than 85 destinations across 20 countries. This robust network is bolstered by its loyalty program, Qantas Frequent Flyer, which not only enhances customer retention but also contributes significantly to its bottom line through partnerships and financial services. At the core of Qantas's business model is its ability to strategically leverage its brand and operational efficiencies in a highly competitive market. By investing in fleet modernization and technological advancements, the airline enhances fuel efficiency and delivers a premium flying experience. Ancillary services, such as flight upgrades, baggage fees, and in-flight purchases, augment their revenue streams. Moreover, their dedication to sustainability, reflected in initiatives like carbon offset programs, aligns with increasingly eco-conscious consumer preferences, further solidifying customer loyalty. Consequently, despite the challenges synonymous with the aviation industry, including fluctuating fuel prices and economic cycles, Qantas sustains its profitability by maintaining operational excellence and a diversified business approach.

QAN Intrinsic Value
14.55 AUD
Undervaluation 42%
Intrinsic Value
Price AU$8.48
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