Market Value Added (MVA)
Market value added (MVA) is the difference between a firm fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.
MVA
United Airlines Holdings Inc., MVA calculation
US$ in millions
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 Fair value of debt. See details »
2 Invested capital. See details »
| Item | Description | The company |
|---|---|---|
| MVA | United Airlines Holdings Inc. market (fair) value less invested capital. | United Airlines Holdings Inc. MVA decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 level. |
MVA Spread Ratio
United Airlines Holdings Inc., MVA spread ratio calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Market value added (MVA)1 | 8,433) | (2,974) | 896) | 4,990) | 4,729) | |
| Invested capital2 | 49,435) | 45,532) | 41,357) | 52,534) | 46,438) | |
| Performance Ratio | ||||||
| MVA spread ratio3 | 17.06% | -6.53% | 2.17% | 9.50% | 10.18% | |
| Benchmarks | ||||||
| MVA Spread Ratio, Competitors4 | ||||||
| FedEx Corp. | 56.50% | 43.85% | 39.69% | 83.76% | 39.69% | |
| Uber Technologies Inc. | 1,005.70% | 1,007.53% | 372.72% | 331.50% | 420.06% | |
| Union Pacific Corp. | 178.57% | 196.13% | 160.12% | 224.50% | 191.78% | |
| United Parcel Service Inc. | 155.61% | 230.94% | 287.08% | 373.64% | 415.72% | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 MVA. See details »
2 Invested capital. See details »
3 2024 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × 8,433 ÷ 49,435 = 17.06%
4 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA spread ratio | The ratio of MVA to invested capital. It measures the efficiency with which investors’ capital investment has translated into a franchise value and into an aggregate net present value premium. | United Airlines Holdings Inc. MVA spread ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |
MVA Margin
United Airlines Holdings Inc., MVA margin calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Market value added (MVA)1 | 8,433) | (2,974) | 896) | 4,990) | 4,729) | |
| Operating revenue | 57,063) | 53,717) | 44,955) | 24,634) | 15,355) | |
| Add: Increase (decrease) in frequent flyer deferred revenue | 298) | 468) | 393) | 307) | 699) | |
| Adjusted operating revenue | 57,361) | 54,185) | 45,348) | 24,941) | 16,054) | |
| Performance Ratio | ||||||
| MVA margin2 | 14.70% | -5.49% | 1.98% | 20.01% | 29.46% | |
| Benchmarks | ||||||
| MVA Margin, Competitors3 | ||||||
| FedEx Corp. | 45.27% | 33.82% | 28.21% | 64.08% | 33.00% | |
| Uber Technologies Inc. | 341.51% | 423.49% | 191.05% | 305.35% | 793.36% | |
| Union Pacific Corp. | 456.88% | 500.31% | 384.62% | 599.66% | 572.79% | |
| United Parcel Service Inc. | 82.27% | 115.42% | 128.12% | 170.51% | 162.99% | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 MVA. See details »
2 2024 Calculation
MVA margin = 100 × MVA ÷ Adjusted operating revenue
= 100 × 8,433 ÷ 57,361 = 14.70%
3 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA margin | The ratio of MVA to sales. It measures how efficiently and prodigiously sales translate into franchise value. | United Airlines Holdings Inc. MVA margin ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |