Air China (OTCMKTS:AIRYY) and A.P. Møller - Mærsk A/S (OTCMKTS:AMKBY) are both large-cap transportation companies, but which is the better business? We will compare the two companies based on the strength of their earnings, valuation, risk, institutional ownership, dividends, profitability and analyst recommendations.
Analyst Ratings
This is a summary of recent ratings and recommmendations for Air China and A.P. Møller - Mærsk A/S, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
|---|
| Air China | 0 | 0 | 0 | 0 | N/A |
| A.P. Møller - Mærsk A/S | 2 | 2 | 9 | 0 | 2.54 |
Profitability
This table compares Air China and A.P. Møller - Mærsk A/S's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
|---|
| Air China | -10.16% | -11.22% | -3.65% |
| A.P. Møller - Mærsk A/S | 3.88% | 5.59% | 2.91% |
Institutional and Insider Ownership
0.1% of A.P. Møller - Mærsk A/S shares are held by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.
Dividends
Air China pays an annual dividend of $0.09 per share and has a dividend yield of 0.5%. A.P. Møller - Mærsk A/S pays an annual dividend of $0.17 per share and has a dividend yield of 1.4%. Air China pays out 3.9% of its earnings in the form of a dividend. A.P. Møller - Mærsk A/S pays out 141.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.
Volatility & Risk
Air China has a beta of 1.52, meaning that its share price is 52% more volatile than the S&P 500. Comparatively, A.P. Møller - Mærsk A/S has a beta of 1.32, meaning that its share price is 32% more volatile than the S&P 500.
Valuation & Earnings
This table compares Air China and A.P. Møller - Mærsk A/S's gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
|---|
| Air China | $33.09 billion | 0.38 | $929.02 million | $2.28 | 7.53 |
| A.P. Møller - Mærsk A/S | $38.89 billion | 1.27 | $-84,000,000.00 | $0.12 | 103.08 |
Air China has higher earnings, but lower revenue than A.P. Møller - Mærsk A/S. Air China is trading at a lower price-to-earnings ratio than A.P. Møller - Mærsk A/S, indicating that it is currently the more affordable of the two stocks.
Summary
A.P. Møller - Mærsk A/S beats Air China on 9 of the 13 factors compared between the two stocks.
