CAPA > Aviation Analysis > So you think you know your airline market capitalisation: Part 3

Southwest is the leading US carrier, with a market cap of USD8.65 billion, just ahead of Delta (USD8.47 billion) and United-Continental (USD7.4 billion). Southwest should move further ahead with the acquisition of AirTran (USD990 million).

Alaska Airlines (with an operational fleet of 116 aircraft) is valued at just USD120 million less than American Airlines, which has a fleet of 616 aircraft, at USD2.03 billion and USD2.15 billion, respectively.

WestJet's valuation is some 2.8 times Air Canada's.

AirAsia is valued at USD200 million more than Malaysia Airlines.

Cebu Pacific is almost twice as valuable as Philippine Airlines.

Air Arabia is valued at 5.5 times Royal Jordanian's market cap. The LCC Air Arabia is planning to establish a base in Jordan soon.

Latin America’s GOL, COPA, TAM and LAN are valued at USD18.2 billion – more than Delta, United-Continental and American Airlines combined.

Ryanair and easyJet are worth USD9.46 billion – more than IAG (British Airways/Iberia), Aer Lingus, flybe, Jet2 and Vueling combined.

Lufthansa, IAG (BA-Iberia), Air-France-KLM, Ryanair and easyJet are valued at a combined USD30.3 billion. China’s big three airlines (Air China, China Eastern and China Southern) are valued at USD37.3 billion, or 23% more. The remaining European listed airlines are valued at just USD11.0 billion.

China’s listed airlines (including Cathay Pacific) are valued at USD53.6 billion.

India’s listed carriers – Kingfisher, Jet Airways and SpiceJet are valued at just USD1.47 billion – fractionally more than Garuda Indonesia (USD1.31 billion).

Singapore Airlines' value is some 2.4 times more than Qantas. Cathay Pacific is valued at 1.7 times Qantas' market cap.

Virgin Blue is valued at around USD178 million more than Tiger Airways, at USD774 million and USD596 million, respectively.

See related reports:

• Skyteam Alliance members more valuable than Star and oneworld. Airline Market Caps Part 2
• Air China value greater than United-Continental, American, JetBlue, AirTran & US Air combined. Pt 1

Next Time: We look at Airline Enterprise Values (EVs)

The full list - Airline Market Capitalisations

Airline	Region	Market Cap USD m
Air China	Asia Pacific	18990
Singapore Airlines	Asia Pacific	12700
China Southern	Asia Pacific	10540
China Eastern	Asia Pacific	9200
Lufthansa	Europe	9160
LAN Airlines	Latin America	9120
Cathay Pacific	Asia Pacific	9090
All Nippon Airways	Asia Pacific	8800
Southwest Airlines	North America	8650
Delta Air Lines	North America	8470
United Continental	North America	7400
Ryanair	Europe	6990
IAG (BA-Iberia)	Europe	6850
Qantas Airways	Asia Pacific	5340
Hainan Airlines	Asia Pacific	5030
Air France-KLM	Europe	4870
Korean Air Lines	Asia Pacific	3920
GOL	Latin America	3470
TAM	Latin America	3340
Aeroflot	Europe	2920
China Airlines	Asia Pacific	2920
Thai Airways	Asia Pacific	2740
Turkish Airlines	Europe	2600
EVA Airways	Asia Pacific	2560
easyJet	Europe	2470
COPA	North America	2280
WestJet	North America	2270
AirAsia	Asia Pacific	2240
American Airlines	North America	2150
Malaysia Airlines	Asia Pacific	2040
Alaska Air	North America	2030
JetBlue	North America	1610
Asiana Airlines	Asia Pacific	1570
Garuda Indonesia	Asia Pacific	1310
US Airways	North America	1290
Cebu Pacific	Asia Pacific	1250
SAS	Europe	1090
Air New Zealand	Asia Pacific	1030
Skymark Airlines	Asia Pacific	994
AirTran	North America	990
Air Arabia	North America	987
Jet Airways	Asia Pacific	855
Skywest USA	North America	854
Air Canada	North America	814
Finnair	Europe	795
Allegiant	North America	777
Virgin Blue	Asia Pacific	774
Shandong Airlines	Asia Pacific	768
Norwegian	Europe	689
Chorus Aviation (Jazz)	North America	672
Philippine Airlines	Asia Pacific	656
Aer Lingus	Europe	640
Tiger Airways	Asia Pacific	596
Vueling Airlines	Europe	422
Air Berlin	Europe	397
Spicejet	Asia Pacific	377
flybe	Europe	364
Transasia Airways	Asia Pacific	325
Hawaiian Air	North America	318
Republic Airways	North America	298
Kingfisher Airlines	Asia Pacific	235
Dart Group (Jet2)	Europe	226
Kenya Airways	Africa	220
Aegean Airlines	Europe	194
Icelandair	Europe	192
El Al Israel Airlines	Middle East	192
Royal Jordanian	Middle East	179
S7	Europe	165
Comair	Africa	160
Croatia Airlines	Europe	147
Meridiana Fly	Europe	135
Regional Express	Asia Pacific	128
Pinnacle Airlines	North America	110
Kuwait National Airways	Middle East	110
Skywest Airlines Australia	Asia Pacific	96
Jazeera Airways	Middle East	92
Pakistan Int'l Airlines	Asia Pacific	72
Air Mauritius	Africa	69
Baltia Air Lines	North America	38
Gulfstream International	North America	37
Cimber Sterling	Europe	24
Cyprus Airways	Europe	22
1time	Africa	21
Atlantic Airways	Europe	21
Great Lakes Aviation	North America	20
Indonesia Air Transport	Asia Pacific	17
Jagson Airlines	Asia Pacific	5

Source: Bloomberg, at 03-Mar-2011

---

You may also be interested in the following articles...

• Union support of US Airways' quest to take over American is a first step in a long merger process
  25-Apr-2012

  Public support by American’s unions of a merger with US Airways is an unprecedented move, and reflects the years-long frustration that has built among American’s employees towards previous and current management. The employees see an opportunity to start fresh, and work with a management team that will cease blaming labour for the carrier’s plight. US Airways sees an opportunity to completely overhaul American’s lacklustre revenue management that has consistently produced results that pale in comparison to its peers. But many questions remained unanswered over the perceived strength of a combined network, and many tasks have to be completed before a merger gets remotely close to reality.

  US Airways formally declared it was examining its options regarding American earlier this year, and tactically began courting the carrier’s unions to gain support for a merger of the two companies that would entail US Airways’ management taking charge of the new American. Unlike US Airways' attempt to take over Delta Air Lines in 2006 when it was restructuring under Chapter 11 and Delta employees rallied to block the deal, American’s employees are exhausted with methods management has adopted in negotiating new collective bargaining agreements during the last few years.

• UK carriers rush to snap up bmibaby’s planned route closures
  10-May-2012

  British Airways (BA) is preparing to disband bmibaby, the low-cost unit it unwelcomely acquired from bmi after previous owner Lufthansa failed to find a buyer. But as the saying goes: one man’s meat in another man’s poison and the news of bmibaby’s grounding was welcomed by multiple airlines including Monarch, Flybe and Jet2.com, all of which are swiftly stepping in to backfill capacity.

  Anemic-turns-dynamic is not exclusive to bmibaby’s network but a development seen following the recent demise of other small- and medium-sized airlines in Europe such as Spanair, Malev and Cimber Sterling. In those cases, competitors have reacted swiftly and within a couple of days to fill the void.

  bmibaby’s closure is indicative of a recent development in Europe: the lavish injection of capital in loss-making carriers is coming to a standstill with public and private shareholders alike halting the operations of these entities, mostly small- and medium sized airlines, a trend long overdue and induced by low or no economic growth in most EU countries implementing stark austerity measures, and high fuel prices.