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Air Canada
TSX:AC

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Air Canada
TSX:AC
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Price: 21.25 CAD 2.02% Market Closed
Market Cap: CA$6.3B

Relative Value

The Relative Value of one AC stock under the Base Case scenario is 34.64 CAD. Compared to the current market price of 21.25 CAD, Air Canada is Undervalued by 39%.

Relative Value is the estimated value of a stock based on various valuation multiples like P/E and EV/EBIT ratios. It offers a quick snapshot of a stock's valuation in relation to its peers and historical norms.

AC Relative Value
Base Case
34.64 CAD
Undervaluation 39%
Relative Value
Price
Worst Case
Base Case
Best Case

Multiples Across Competitors

AC Competitors Multiples
Air Canada Competitors

All Multiples
P/S
P/E
EV/EBITDA
EV/EBIT
All Countries
Close
Market Cap P/S P/E EV/EBITDA EV/EBIT
CA
Air Canada
TSX:AC
6.3B CAD 0.3 -21.3 3.5 16.8
US
Delta Air Lines Inc
NYSE:DAL
49.1B USD 0.8 9.8 6.9 9.8
US
United Airlines Holdings Inc
NASDAQ:UAL
37.7B USD 0.6 11.2 9.2 9.2
US
Southwest Airlines Co
NYSE:LUV
28.1B USD 1 63.7 14.8 68.8
UK
International Consolidated Airlines Group SA
LSE:IAG
20.2B GBP 0.6 7.1 4.7 7.1
CH
Kinarus Therapeutics Holding AG
SIX:KNRS
19.5B CHF 0 -1 404.3 -1 404.9 -1 404.9
CN
Air China Ltd
SSE:601111
158.4B CNY 0.9 585.1 -7 535.8 -7 535.8
CN
China Southern Airlines Co Ltd
SSE:600029
149.5B CNY 0.8 -110.4 40.3 40.3
IE
Ryanair Holdings PLC
LSE:RYA
15.4B EUR 1.1 8 4.5 6.8
IN
Interglobe Aviation Ltd
NSE:INDIGO
1.9T INR 2.2 58.5 9.6 18.5
CN
China Eastern Airlines Corp Ltd
SSE:600115
140.7B CNY 1 -70.9 147.2 147.2
P/E Multiple
Earnings Growth PEG
CA
Air Canada
TSX:AC
Average P/E: 106.2
Negative Multiple: -21.3
-21%
N/A
US
Delta Air Lines Inc
NYSE:DAL
9.8
6%
1.6
US
United Airlines Holdings Inc
NASDAQ:UAL
11.2
18%
0.6
US
Southwest Airlines Co
NYSE:LUV
63.7
87%
0.7
UK
International Consolidated Airlines Group SA
LSE:IAG
7.1
12%
0.6
CH
Kinarus Therapeutics Holding AG
SIX:KNRS
Negative Multiple: -1 404.3 N/A N/A
CN
Air China Ltd
SSE:601111
585.1
N/A N/A
CN
China Southern Airlines Co Ltd
SSE:600029
Negative Multiple: -110.4 N/A N/A
IE
R
Ryanair Holdings PLC
LSE:RYA
8
14%
0.6
IN
Interglobe Aviation Ltd
NSE:INDIGO
58.5
11%
5.3
CN
China Eastern Airlines Corp Ltd
SSE:600115
Negative Multiple: -70.9 N/A N/A
EV/EBITDA Multiple
EBITDA Growth EV/EBITDA to Growth
CA
Air Canada
TSX:AC
Average EV/EBITDA: 26.8
3.5
10%
0.3
US
Delta Air Lines Inc
NYSE:DAL
6.9
11%
0.6
US
United Airlines Holdings Inc
NASDAQ:UAL
9.2
31%
0.3
US
Southwest Airlines Co
NYSE:LUV
14.8
33%
0.4
UK
International Consolidated Airlines Group SA
LSE:IAG
4.7
8%
0.6
CH
Kinarus Therapeutics Holding AG
SIX:KNRS
Negative Multiple: -1 404.9 N/A N/A
CN
Air China Ltd
SSE:601111
Negative Multiple: -7 535.8 N/A N/A
CN
China Southern Airlines Co Ltd
SSE:600029
40.3
102%
0.4
IE
R
Ryanair Holdings PLC
LSE:RYA
4.5
10%
0.4
IN
Interglobe Aviation Ltd
NSE:INDIGO
9.6
12%
0.8
CN
China Eastern Airlines Corp Ltd
SSE:600115
147.2
286%
0.5