Key Takeaways
Investment perspective, in general, refers to a viewpoint or opinion regarding investment opportunity in Wheels Up. It encompasses the assessment of an investment's potential risks and rewards, and expectations for its
performance over time. Several factors influence the investment perspective on Wheels Up, including investment goals, risk tolerance, time horizon, market conditions, and research and analysis. Investors have varying goals, such as capital preservation, income generation, or long-term growth. Risk tolerance plays a significant role in shaping an investor's perspective, with some being more risk-averse and others willing to take on higher risks for potential returns.
How important is Wheels Up's Liquidity
Wheels Up
financial leverage refers to using borrowed capital as a funding source to finance Wheels Up Experience ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Wheels Up financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Wheels Up's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Wheels Up's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the
breakdown between Wheels Up's total debt and its cash.
Wheels Up Gross Profit
Wheels Up Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Wheels Up previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Wheels Up Gross Profit growth over the last 10 years. Please check Wheels Up's
gross profit and other
fundamental indicators for more details.
Going after Wheels Financials
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Revenue Breakdown
Let me now analyze Wheels Up revenue. Based on the latest financial disclosure, Wheels Up Experience reported 1.58
B of revenue. This is 54.85% lower than that of the Ground Transportation sector and about the same as
Industrials (which currently averages 1.56
B) industry. The revenue for all United States stocks is 83.26% higher than that of Wheels Up. As for Corporacion America we see revenue of 1.38
B, which is 11.45% lower than that of the Industrials
| Wheels | 1.58 Billion |
| Sector | 1.56 Billion |
| Corporacion | 1.38 Billion |
Full-scale evaluation
null
Our Bottom Line On Wheels Up Experience
While many of the other players within the airports & air services industry are still a little expensive, even after the recent corrections, Wheels Up may offer a potential longer-term growth to retail investors. Taking everything into account, as of the 23rd of December 2023, we believe that at this point, Wheels Up is
undervalued with
about average probability of distress within the next 2 years.
Our ongoing buy vs. sell advice on the enterprise is
Cautious Hold. .
Building efficient market-beating portfolios requires time, education, and a lot of computing power!
The Portfolio Architect is an AI-driven system that provides multiple benefits to our users by leveraging cutting-edge machine learning algorithms, statistical analysis, and predictive modeling to automate the process of asset selection and portfolio construction, saving time and reducing human error for individual and institutional investors.
Try AI Portfolio ArchitectEditorial Staff
Raphi Shpitalnik is a Junior Member of Macroaxis Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time basis at the beginning of the pandemic and eventually acquired a real taste for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Wheels Up Experience. Please refer to our
Terms of Use for any information regarding our disclosure principles.
Would you like to provide feedback on the content of this article?
You can get in touch with us directly or send us a quick note via email to
editors@macroaxis.com
