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China Southern Airlines Co Ltd
OTC:CHKIF

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China Southern Airlines Co Ltd
OTC:CHKIF
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Price: 0.55 USD Market Closed
Market Cap: $18.2B

EV/OCF

6.8
Current
14%
Cheaper
vs 3-y average of 8

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
6.8
=
Enterprise Value
$266.2B
/
Operating Cash Flow
¥38.2B

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
6.8
=
Enterprise Value
$266.2B
/
Operating Cash Flow
¥38.2B

Valuation Scenarios

China Southern Airlines Co Ltd is trading below its 3-year average

If EV/OCF returns to its 3-Year Average (8), the stock would be worth $0.64 (17% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+205%
Average Upside
73%
Scenario EV/OCF Value Implied Price Upside/Downside
Current Multiple 6.8 $0.55
0%
3-Year Average 8 $0.64
+17%
5-Year Average 10.2 $0.82
+50%
Industry Average 8.2 $0.67
+21%
Country Average 20.8 $1.68
+205%

Forward EV/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward EV/OCF

Peer Comparison

All Multiples
EV/OCF
P/E
All Countries
Close

Market Distribution

Lower than 98% of companies in China
Percentile
2st
Based on 6 190 companies
2st percentile
1
Low
0 — 11.5
Typical Range
11.5 — 39.2
High
39.2 —
Distribution Statistics
China
Min 0
30th Percentile 11.5
Median 20.8
70th Percentile 39.2
Max 266 666.7

China Southern Airlines Co Ltd
Glance View

Market Cap
18.2B USD
Industry
Airlines

China Southern Airlines Co Ltd, one of Asia's leading carriers, traces its roots back to 1988, when the Chinese government restructured its aviation industry, paving the way for this regional behemoth to take to the skies. With its headquarters strategically placed in Guangzhou, this airline has meticulously built its vast network, connecting over 200 destinations across more than 40 countries worldwide. The company's business model hinges on a robust blend of passenger and cargo services. Passenger transport remains the linchpin of its operations, with its fleet comprising more than 600 aircraft. Domestic flights within China contribute significantly to its revenue streams, though its international operations, particularly to key global hubs like Los Angeles, Sydney, and Paris, also play a critical role in driving earnings. To bolster its core business, China Southern has invested substantially in ancillary services that support its primary operations. These include partnerships with global airlines through codeshare agreements and membership in the SkyTeam alliance, which extends its connectivity beyond its standalone reach. The company also leverages the synergies of its subsidiaries, which provide additional aviation services ranging from aircraft maintenance to airport ground handling. Another revenue stream stems from its cargo operations, which have become increasingly vital, especially amidst the shifts in global trade dynamics. Despite the challenges of the ever-fluctuating aviation market, China Southern Airlines continues to adapt by embracing new technologies and optimizing efficiency across its operations, ensuring that it remains a formidable player in the competitive airline industry.

CHKIF Intrinsic Value
1.64 USD
Undervaluation 67%
Intrinsic Value
Price $0.55
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