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China Airlines Ltd
TWSE:2610

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China Airlines Ltd
TWSE:2610
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Price: 17.9 TWD -1.38% Market Closed
Market Cap: NT$108.9B

EV/IC

0.5
Current
21%
Cheaper
vs 3-y average of 0.6

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
0.5
=
Enterprise Value
NT$145.7B
/
Invested Capital
NT$292.9B

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
0.5
=
Enterprise Value
NT$145.7B
/
Invested Capital
NT$292.9B

Valuation Scenarios

China Airlines Ltd is trading below its 3-year average

If EV/IC returns to its 3-Year Average (0.6), the stock would be worth NT$22.79 (27% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+147%
Average Upside
63%
Scenario EV/IC Value Implied Price Upside/Downside
Current Multiple 0.5 NT$17.9
0%
3-Year Average 0.6 NT$22.79
+27%
5-Year Average 0.6 NT$23.92
+34%
Industry Average 0.7 NT$25.61
+43%
Country Average 1.2 NT$44.13
+147%

Forward EV/IC
Today’s price vs future invested capital

Not enough data available to calculate forward EV/IC

Peer Comparison

All Multiples
EV/IC
P/E
All Countries
Close

Market Distribution

Lower than 90% of companies in Taiwan
Percentile
10th
Based on 869 companies
10th percentile
0.5
Low
0 — 0.9
Typical Range
0.9 — 1.8
High
1.8 —
Distribution Statistics
Taiwan
Min 0
30th Percentile 0.9
Median 1.2
70th Percentile 1.8
Max 1 954.3

China Airlines Ltd
Glance View

Market Cap
108.9B TWD
Industry
Airlines

China Airlines Ltd., perched in the bustling aviation hub of Taiwan, flies as the island's largest airline, weaving a network that connects East Asia to the rest of the globe. With its headquarters nestled near the Taipei Taoyuan International Airport, the carrier operates a fleet that adeptly balances regional and long-haul routes. The modernization of its fleet, leveraging efficient and environmentally friendlier aircraft, underscores its commitment to safety, sustainability, and passenger comfort. Cargo operations also play a starring role, as the airline capitalizes on Taiwan's strategic location to become a critical link in the global supply chain, particularly for electronics and other high-value goods. The company's business model hinges on a mix of passenger and freight services, with the former primarily driving revenue through ticket sales across its expansive route network, while the latter capitalizes on the ever-growing demand for air cargo, which has surged during periods of global trade disruptions. China Airlines also benefits from ancillary services, such as partnerships and code-share agreements with other major airlines, enhancing connectivity and ensuring a steady flow of passengers. Additionally, it offers a frequent flyer program that cultivates customer loyalty. Through these intertwined operations, China Airlines remains a pivotal player in reinforcing Taiwan's connectivity with the world, navigating the complexities of the aviation industry with resilience and strategic foresight.

Intrinsic Value
33.79 TWD
Undervaluation 47%
Intrinsic Value
Price NT$17.9
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