Deutsche Lufthansa (OTCMKTS:DLAKY) and Surf Air Mobility (NYSE:SRFM) Head-To-Head Analysis

Deutsche Lufthansa (OTCMKTS:DLAKY) and Surf Air Mobility (NYSE:SRFM) are both transportation companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, institutional ownership, dividends, profitability, valuation, risk and earnings.

Risk & Volatility

Deutsche Lufthansa has a beta of 1.1, suggesting that its share price is 10% more volatile than the S&P 500. Comparatively, Surf Air Mobility has a beta of 2.87, suggesting that its share price is 187% more volatile than the S&P 500.

Valuation and Earnings

This table compares Deutsche Lufthansa and Surf Air Mobility”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Deutsche Lufthansa	$40.67 billion	0.25	$1.49 billion	$1.67	5.08
Surf Air Mobility	$119.43 million	1.79	-$74.91 million	($2.78)	-1.79

Deutsche Lufthansa has higher revenue and earnings than Surf Air Mobility. Surf Air Mobility is trading at a lower price-to-earnings ratio than Deutsche Lufthansa, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current recommendations and price targets for Deutsche Lufthansa and Surf Air Mobility, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Deutsche Lufthansa	0	5	0	1	2.33
Surf Air Mobility	1	1	2	0	2.25

Surf Air Mobility has a consensus price target of $6.58, suggesting a potential upside of 32.20%. Given Surf Air Mobility’s higher probable upside, analysts clearly believe Surf Air Mobility is more favorable than Deutsche Lufthansa.

Profitability

This table compares Deutsche Lufthansa and Surf Air Mobility’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Deutsche Lufthansa	4.76%	17.23%	3.94%
Surf Air Mobility	-53.48%	N/A	-46.15%

Insider & Institutional Ownership

17.7% of Surf Air Mobility shares are held by institutional investors. 8.0% of Surf Air Mobility shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Deutsche Lufthansa beats Surf Air Mobility on 9 of the 15 factors compared between the two stocks.

About Deutsche Lufthansa

Deutsche Lufthansa AG operates as an aviation company worldwide. It operates in three segments: Passenger Airlines; Logistics; and Maintenance, Repair and Overhaul Services (MRO). The Passenger Airlines segment offers products and services to passengers of Lufthansa Airlines, SWISS, Austrian Airlines, Brussels Airlines, and Eurowings. Its Logistics segment offers airfreight container management, urgent shipments, and customs clearance services; and e-commerce solutions. The MRO segment provides maintenance, repair, and overhaul services for civil commercial aircraft serving original equipment manufacturers, aircraft leasing companies, operators of VIP jets, government, armed forces, and airlines. The company also offers corporate payment and billing services; vocational and professional training for cockpit and cabin crew; and IT solutions. As of December 31, 2023, it had a fleet of 721 aircraft. Deutsche Lufthansa AG was founded in 1926 and is headquartered in Cologne, Germany.

About Surf Air Mobility

Surf Air Mobility Inc. operates as an electric aviation and air travel company in the United States. The company offers an air mobility platform with scheduled routes and on demand charter flights operated by third parties. Surf Air Mobility Inc. is headquartered in Hawthorne, California.