Hawaiian Holdings (NASDAQ: HA) and Spirit Airlines (NASDAQ:SAVE) are both mid-cap transportation companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, profitabiliy, institutional ownership, dividends, earnings, valuation and risk.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Hawaiian Holdings and Spirit Airlines, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Hawaiian Holdings 2 5 5 0 2.25
Spirit Airlines 0 5 7 0 2.58

Hawaiian Holdings currently has a consensus price target of $51.36, indicating a potential upside of 21.57%. Spirit Airlines has a consensus price target of $54.80, indicating a potential upside of 40.33%. Given Spirit Airlines’ stronger consensus rating and higher possible upside, analysts plainly believe Spirit Airlines is more favorable than Hawaiian Holdings.

Risk & Volatility

Hawaiian Holdings has a beta of 1.38, suggesting that its share price is 38% more volatile than the S&P 500. Comparatively, Spirit Airlines has a beta of 0.57, suggesting that its share price is 43% less volatile than the S&P 500.

Earnings and Valuation

This table compares Hawaiian Holdings and Spirit Airlines’ gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Hawaiian Holdings $2.59 billion 0.87 $606.10 million $4.28 9.87
Spirit Airlines $2.49 billion 1.09 $509.32 million $3.45 11.32

Hawaiian Holdings has higher revenue and earnings than Spirit Airlines. Hawaiian Holdings is trading at a lower price-to-earnings ratio than Spirit Airlines, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Hawaiian Holdings and Spirit Airlines’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Hawaiian Holdings 8.88% 44.12% 11.29%
Spirit Airlines 11.14% 21.35% 8.81%

Institutional & Insider Ownership

91.9% of Hawaiian Holdings shares are owned by institutional investors. 2.3% of Hawaiian Holdings shares are owned by insiders. Comparatively, 0.3% of Spirit Airlines shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Hawaiian Holdings beats Spirit Airlines on 8 of the 14 factors compared between the two stocks.

About Hawaiian Holdings

Hawaiian Holdings, Inc. is a holding company. The Company is engaged in the scheduled air transportation of passengers and cargo amongst the Hawaiian Islands (the Neighbor Island routes), between the Hawaiian Islands and certain cities in the United States (the North America routes), and between the Hawaiian Islands and the South Pacific, Australia, New Zealand and Asia (the International routes), collectively referred to as its Scheduled Operations. It offers non-stop service to Hawai’i from United States gateway cities. As of December 31, 2016, it also provided approximately 160 daily flights between the Hawaiian Islands. The Company operates various charter flights. As of December 31, 2016, the Company’s fleet consisted of 20 Boeing 717-200 aircraft for the Neighbor Island routes, eight Boeing 767-300 aircraft, and 23 Airbus A330-200 aircraft for the North America, International, and charter routes.

About Spirit Airlines

Spirit Airlines, Inc. is an airline company. The Company provides air transportation for passengers. As of December 31, 2016, its all-Airbus Fit Fleet operated over 420 daily flights to 59 destinations in the United States, Caribbean and Latin America. As of December 31, 2016, it had a fleet of 95 Airbus single-aisle aircraft, which are referred to as A320 family aircraft and include the A319, A320 and A321 models, which have common design and equipment but differ most notably in fuselage length, service range and seat capacity. As of December 31, 2016, its fleet consisted of 29 A319s, 45 A320ceos, five A320neos and 16 A321ceos. Its Bare Fares offerings are unbundled base fares that remove components included in the price of an airline ticket. It also offers Frill Control, which allows customers to pay only for the options they choose, such as bags, advance seat assignments and refreshments. As of December 31, 2016, its route network included 200 markets served by 59 airports.

Receive News & Ratings for Hawaiian Holdings Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Hawaiian Holdings Inc. and related companies with MarketBeat.com's FREE daily email newsletter.