JetBlue Airways Valuation
| JBLU Stock | USD 6.79 0.04 0.59% |
At this time, the firm appears to be overvalued. JetBlue Airways Corp retains a regular Real Value of $5.95 per share. The prevalent price of the firm is $6.79. Our model calculates the value of JetBlue Airways Corp from evaluating the firm fundamentals such as Return On Equity of -0.0899, current valuation of 6.12 B, and Return On Asset of -0.0015 as well as inspecting its technical indicators and probability of bankruptcy. In general, most investors encourage acquiring undervalued assets and selling overvalued assets since, at some point, asset prices and their ongoing real values will come together. Key fundamental drivers impacting JetBlue Airways' valuation include:
Price Book 0.688 | Enterprise Value 6.1 B | Enterprise Value Ebitda 12.2916 | Price Sales 0.2388 | Forward PE 56.1798 |
Overvalued
Today
Please note that JetBlue Airways' price fluctuation is moderately volatile at this time. Calculation of the real value of JetBlue Airways Corp is based on 3 months time horizon. Increasing JetBlue Airways' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for JetBlue Airways Corp is useful when determining the fair value of the JetBlue stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of JetBlue Airways. Since JetBlue Airways is currently traded on the exchange, buyers and sellers on that exchange determine the market value of JetBlue Stock. However, JetBlue Airways' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 6.79 | Real 5.95 | Target 5.36 | Hype 6.92 |
The real value of JetBlue Stock, also known as its intrinsic value, is the underlying worth of JetBlue Airways Corp Company, which is reflected in its stock price. It is based on JetBlue Airways' financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of JetBlue Airways' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence JetBlue Airways' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of JetBlue Airways Corp helps investors to forecast how JetBlue stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of JetBlue Airways more accurately as focusing exclusively on JetBlue Airways' fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use JetBlue Airways' intrinsic value based on its ongoing forecasts of JetBlue Airways' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against JetBlue Airways' closest peers. When choosing an evaluation method for JetBlue Airways Corp, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
JetBlue Airways Investments |
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JetBlue Valuation Trend
Knowing JetBlue Airways' actual value is paramount for traders to make sound investment determinations. JetBlue Airways' real value is not only important for the investor to make better decisions but also for a more accurate overall view of JetBlue Airways' financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both JetBlue Airways' enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
JetBlue Market Cap
JetBlue Airways Corp is rated fifth overall in market capitalization category among related companies. Market capitalization of Industrials industry is currently estimated at about 73.16 Billion. JetBlue Airways holds roughly 2.31 Billion in market capitalization claiming about 3% of equities under Industrials industry.JetBlue Airways Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining JetBlue Airways's current stock value. Our valuation model uses many indicators to compare JetBlue Airways value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across JetBlue Airways competition to find correlations between indicators driving JetBlue Airways's intrinsic value. More Info.JetBlue Airways Corp is rated third overall in price to earning category among related companies. It is rated fifth overall in price to book category among related companies fabricating about 0.06 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for JetBlue Airways Corp is roughly 16.89 . Price To Book Ratio is likely to gain to 0.90 in 2024. Comparative valuation analysis is a catch-all model that can be used if you cannot value JetBlue Airways by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for JetBlue Airways' Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the JetBlue Airways' earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates JetBlue Airways' worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in JetBlue Airways and how it compares across the competition.
About JetBlue Airways Valuation
The stock valuation mechanism determines the current worth of JetBlue Airways Corp on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of JetBlue Airways Corp. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of JetBlue Airways Corp based exclusively on its fundamental and basic technical indicators. By analyzing JetBlue Airways's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of JetBlue Airways's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of JetBlue Airways. We calculate exposure to JetBlue Airways's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to JetBlue Airways's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 1.8 B | 1.4 B | |
| Pretax Profit Margin | (0.03) | (0.03) | |
| Operating Profit Margin | (0.02) | (0.02) | |
| Net Loss | (0.03) | (0.03) | |
| Gross Profit Margin | 0.19 | 0.35 |
8 Steps to conduct JetBlue Airways' Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates JetBlue Airways' potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct JetBlue Airways' valuation analysis, follow these 8 steps:- Gather financial information: Obtain JetBlue Airways' financial statements, including balance sheets, income statements, and cash flow statements.
- Determine JetBlue Airways' revenue streams: Identify JetBlue Airways' primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research JetBlue Airways' industry and market trends, including the size of the market, growth rate, and competition.
- Establish JetBlue Airways' growth potential: Evaluate JetBlue Airways' management, business model, and growth potential.
- Determine JetBlue Airways' financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate JetBlue Airways' estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
JetBlue Airways Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as JetBlue Airways does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 332.9 M | |
| Quarterly Earnings Growth Y O Y | -0.56 | |
| Forward Price Earnings | 56.1798 |
JetBlue Airways Current Valuation Indicators
Valuation refers to the process of determining the present value of JetBlue Airways Corp and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value JetBlue we look at many different elements of the entity such as JetBlue's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. JetBlue Airways' valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final JetBlue Airways' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as JetBlue Airways, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use JetBlue Airways' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes JetBlue Airways' worth.When determining whether JetBlue Airways Corp is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if JetBlue Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Jetblue Airways Corp Stock. Highlighted below are key reports to facilitate an investment decision about Jetblue Airways Corp Stock: Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in JetBlue Airways Corp. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in bureau of economic analysis. You can also try the Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.
Complementary Tools for JetBlue Stock analysis
When running JetBlue Airways' price analysis, check to measure JetBlue Airways' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy JetBlue Airways is operating at the current time. Most of JetBlue Airways' value examination focuses on studying past and present price action to predict the probability of JetBlue Airways' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move JetBlue Airways' price. Additionally, you may evaluate how the addition of JetBlue Airways to your portfolios can decrease your overall portfolio volatility.
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Is JetBlue Airways' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of JetBlue Airways. If investors know JetBlue will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about JetBlue Airways listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.56) | Earnings Share (0.93) | Revenue Per Share 28.883 | Quarterly Revenue Growth (0.04) | Return On Assets (0) |
The market value of JetBlue Airways Corp is measured differently than its book value, which is the value of JetBlue that is recorded on the company's balance sheet. Investors also form their own opinion of JetBlue Airways' value that differs from its market value or its book value, called intrinsic value, which is JetBlue Airways' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because JetBlue Airways' market value can be influenced by many factors that don't directly affect JetBlue Airways' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between JetBlue Airways' value and its price as these two are different measures arrived at by different means. Investors typically determine if JetBlue Airways is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, JetBlue Airways' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.