✈️ A comparison of aviation titans: Airbus, Boeing, Embraer - who will take off? 🚀 Part 1: https://getqu.in/Xfmo8G/

Bidding according to the EV to EBITDA ratio $AIR (+3.4%) and $EMBR3 the same value on the stock market, while Boeing is clearly overpriced, as usual, and this time this should not be viewed positively.

In the shareholder yield comparison $BA (-0.65%) significantly better than Airbus. Whereby Embraer is particularly high with a value of 13.25%. However, it remains questionable why Boeing offers such a high yield despite its weak business results.

Looking at the ratio of research and development (R&D) to sales, Airbus is in the best position and keeps this value stable. Boeing's R&D ratio has risen slightly in recent quarters, while Embraer's is on a smaller scale. Although research never hurts and every model builds on existing technologies, it is clear that Embraer uses its R&D expenditure much more efficiently in product development.

In terms of ROIC (Return on Invested Capital), all three companies do not perform particularly well, with Boeing again being negative. Unfortunately, ROIC is below 10% for all of them.

In terms of ROE (return on equity), Boeing and Airbus are on a par, although they come from different starting points. Embraer shows an increasing ROE and all companies are above the 10% mark. However, it remains questionable why Boeing is keeping up at all if the company is performing so poorly overall.

In terms of ROCE (Return on Capital Employed), Airbus and Embraer are on a par, while Boeing again performs negatively. Unfortunately, all companies are below the 10% mark.

Conclusion:

It depends on what you are looking for, but there are mainly two options: Airbus or Embraer, although you can also consider both as they do differ. Choosing Boeing is nothing more than a risky turnaround bet with nothing to back it up. It is completely incomprehensible why the company is still worth so much with such weak figures and an overall poor performance - and not just recently.

Airbus presents itself as a clear investment option: the company operates in the duopoly market, works positively and does not dilute its shareholders significantly. Even if margins are currently falling and there are many challenges, the long-term prospects are hopeful. In addition, there is still considerable room for improvement in areas such as defense and other markets, which investors can view positively. With a solid foothold in the Netherlands, Airbus also has a good basis for further growth.

At Embraer, it is remarkable how efficiently the company has been operating for years, especially with regard to its minimal research and development activities. The group plans to achieve much more and has a dedicated engineering team. Nevertheless, Brazil is a location to consider as geopolitical aspects can be challenging at times, especially in the military sector.

My recent entry into Airbus was at 130 euros. If there is another correction in Embraer, I plan to make a small entry there as well.