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Hainan Airlines Holding (600221) Fair Value & Analysis

Industrials · CN · Market cap 57.9B CNY

HA Hainan Airlines Holding 600221 · SHG
Price¥1.34
Fair Value¥0.9400
Upside-29.9%
Quality44/100
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Healthy Growth
Thin margins · 5.0% net margin
High debt · generates free cash flow
Trails peers (4/13)
Narrow moat 40/100
Evidence: High Range ¥0.5900 – ¥1.29 Share as image

Fair value as of: Aug 7, 2026

From 26 valuation models · updated today

Share price −0.7% over the past month.

Below-average quality, and screening another 30% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥1.29). The favourable scenario is already priced in.
  • Weak quality (44/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • A fairly wide model range (¥0.5900 to ¥1.29) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

¥2.48 ¥1.02 Fair Value ¥0.9400 Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 7, 2026.

How to read this chart

60‑month range ¥1.02 – ¥2.48 · fair‑value band ¥0.5900 – ¥1.29 · the ¥1.34 price screens above the ¥0.9400 fair value. Dashed = 300-day average. As of Aug 7, 2026.

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Analysis

Hainan Airlines Holding (600221) currently trades at ¥1.34, while our model-based Fair Value estimate is ¥0.9400, implying the stock looks roughly 29.9% overvalued today. We read business quality at 44/100 (below-average quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Hainan Airlines Holding generated revenue of 69.3B CNY at a net margin of 5.0%. Revenue grew 5.0% year over year. It earns a return on equity of 77.9%. Net debt stands at 31.2B CNY. Fundamentals as of Aug 7, 2026

Our scenario range runs from ¥0.5900 (bear case) to ¥1.29 (bull case); at ¥1.34, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 31% below its 52-week high and 4% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at 40% fair-value upside, at -30%, 600221 screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF ¥3.72 ¥7.48 ¥14.17 80
Residual Income ¥0.2700 ¥0.3200 ¥1.22 76
Rev-Margin DCF ¥1.34 ¥2.39 ¥3.82 74
All 26 models by family
DCF Models
FCF DCF ¥3.81 ¥7.91 ¥16.06 38
Owner Earnings ¥2.78 ¥6.07 ¥12.19 31
5Y Revenue Exit ¥1.34 ¥2.37 ¥3.69 39
5Y EBITDA Exit ¥2.95 ¥5.86 ¥9.61 41
5Y P/E Exit ¥1.17 ¥2.00 ¥2.91 38
10Y Revenue Exit ¥2.07 ¥3.38 ¥5.29 36
10Y EBITDA Exit ¥3.20 ¥6.02 ¥10.50 37
10Y P/E Exit ¥1.99 ¥3.11 ¥4.61 35
Earnings-Based
Graham-Dodd ¥0.3100 ¥1.71 ¥2.37 54
Lynch FV ¥0.4700 ¥0.6800 ¥0.8800 50
PEG = 1.0 ¥0.4700 ¥0.6800 ¥0.8800 46
EPV ¥0.1800 ¥0.3200 ¥0.4500 59
Dividend Discount
Gordon GGM ¥0.3300 ¥0.6900 ¥1.09 70
DDM Multi-Stage ¥0.3300 ¥0.5800 ¥0.7200 61
Multiples
P/E Multiple ¥0.6900 ¥0.9200 ¥1.16 63
P/S Multiple ¥0.5900 ¥0.7900 ¥0.9800 58
P/B Multiple ¥0.2800 ¥0.3700 ¥0.4600 55
EV/EBIT ¥0.6700 ¥1.11 ¥1.55 53
EV/EBITDA ¥2.77 ¥3.91 ¥5.06 54
EV/Revenue ¥0.2400 ¥0.6200 ¥1.00 43
Asset-Based
NCAV (Graham) ¥0.0600 ¥0.0800 ¥0.1200 50
Growth DCF
Growth DCF ¥3.72 ¥7.48 ¥14.17 80
Rev-Margin DCF ¥1.34 ¥2.39 ¥3.82 74
Economic Profit
Residual Income ¥0.2700 ¥0.3200 ¥1.22 76
ROIC Compounder ¥0.2200 ¥0.5800 ¥0.9100 72
Growth Earnings
Growth-Adj P/E ¥0.6800 ¥0.9700 ¥1.26 68

Widest divergence: DCF Models (¥3.38) versus Asset-Based (¥0.0800). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 69.3B CNY
Revenue growth (YoY) +5.0%
Net margin 5.0%
Return on equity 77.9%
Free cash flow 13.9B CNY FY2025
P/E ratio 19.1
More key figures
Operating margin 9.1%
EPS (TTM) ¥0.0800
EPS growth (YoY) +533%
Net debt 31.2B CNY FY2025

Figures from reported company fundamentals · as of Aug 7, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 44/100

Of which business quality 47 · Market factors (momentum, volatility) 38

Profitability 36
Margins and returns on capital today
Quality Growth 49
Are margins and returns improving?
Cashflow 88
Earnings quality: real cash, not paper profit
Fin. Strength 7
Balance sheet, leverage, solvency risk
Investment 59
Disciplined investing over empire-building
Low Volatility 83
Calm price path (market factor)
Momentum 22
Price trend over the last 3–12 months (market factor)
52W Momentum 15
Distance to the 52-week high (market factor)
Net Issuance 48
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Hainan Airlines Holding Co., Ltd. provides air passenger, cargo, and mail transportation services in the People's Republic of China and Internationally. The company also offers german rail and pet cabin care services; business ticket packages; seat selection, prepaid baggage, upgrade air meals, and insurance products.

Full company description

Hainan Airlines Holding Co., Ltd. provides air passenger, cargo, and mail transportation services in the People's Republic of China and Internationally. The company also offers german rail and pet cabin care services; business ticket packages; seat selection, prepaid baggage, upgrade air meals, and insurance products. It operates 1,400 domestic and international routes, including nearly 1,300 domestic routes, covering all provinces, autonomous regions, and municipalities in the Chinese mainland, as well as 170 international and regional routes to 46 overseas cities, covering Asia, Europe, North America, Oceania, and Africa. The company was formerly known as Hainan Airlines Co., Ltd. and changed its name to Hainan Airlines Holding Co.,Ltd. in May 2017. Hainan Airlines Holding Co., Ltd. was founded in 1993 and is headquartered in Haikou, the People's Republic of China.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Hainan Airlines Holding reported revenue of ¥68.5B in FY2025 versus ¥34.0B in FY2021, a compound +19.1%/yr. Reported net income was ¥2.0B in FY2025, compounding −19.5%/yr from FY2021.

Growth Quality 95/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
68.5B CNY
Latest YoY
+5.0%
Avg. growth/yr (3Y)
+44.1%
Avg. growth/yr (5Y)
+18.4%
Avg. growth/yr (31Y)
+18.2%
Revenue +19.1%/yr
FY21 ¥34.0B
FY22 ¥22.9B
FY23 ¥58.6B
FY24 ¥65.2B
FY25 ¥68.5B
Net income −19.5%/yr
FY21 ¥4.7B
FY22 −¥20.2B
FY23 ¥311M
FY24 −¥921M
FY25 ¥2.0B

600221 screens 30% overvalued. Compare with Delta Air Lines, Inc →

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Cite: Fair Value Calculator (2026). "Hainan Airlines Holding Fair Value". https://www.fairvalue-calculator.com/stock/600221

Peer Group

Airlines · 60 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 44 · Below median
Fair Value upside −30% · Bottom 25%
Return on equity (TTM) 78% · Top 25%
Return on assets 2% · Below median
Net margin (TTM) 5% · Above median
Operating margin (TTM) 9% · Above median
Revenue growth 5% · Below median
Debt / equity 7.90× · Higher than 75% of peers

Valuation Multiples vs Airlines median · lower = cheaper

P/E (TTM) 16.8× · Pricier than median
P/B 11.00× · Pricier than 75% of peers
P/S (TTM) 0.84× · Pricier than median
P/FCF 0.6× · Cheaper than median
EV/EBITDA 9.5× · Pricier than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 36
FUTURE 25 · sector 46
PAST 100 · sector 46
HEALTH 0 · sector 72
DIVIDEND 0 · sector 44

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Airlines stocks, each showing price versus our Fair Value estimate (as of Aug 7, 2026).

Stock Price Fair Value vs Fair Value
Delta Air Lines, Inc DAL $84.17 $118.24 +40%
United Airlines Holdings UAL $120.97 $175.62 +45%
Ryanair Holdings RYA €25.47 €41.26 +62%
Southwest Airlines Co LUV $47.56 $14.76 -69%
InterGlobe Aviation Limited INDIGO ₹5,249 ₹3,704 -29%
Singapore Airlines Limited C6L 7.60 SGD 7.89 SGD +4%
Air China Limited 601111 ¥5.97 ¥7.16 +20%
LATAM Airlines Group LTM $54.87 $106.79 +95%
Deutsche Lufthansa AG 1LHA €9.98 €15.60 +56%
China Southern Airlines Company 600029 ¥4.99 ¥1.28 -74%

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Frequently asked questions

Is Hainan Airlines Holding (600221) overvalued or undervalued?
As of Aug 7, 2026, our model estimates a fair value of ¥0.9400 versus a price of ¥1.34, about −30% (overvalued).
What is the fair value of 600221?
Our model-based fair value for Hainan Airlines Holding is ¥0.9400 (as of Aug 7, 2026), built from audited fundamentals. The current price is ¥1.34.
What is the quality score of 600221?
Hainan Airlines Holding has a Quality Score of 44/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Hainan Airlines Holding (600221)?
Hainan Airlines Holding reported trailing-twelve-month revenue of about 69.3B CNY (latest available figure, as of Aug 7, 2026).
What is the net profit margin of 600221?
The net profit margin of Hainan Airlines Holding is about 5.0%, meaning it keeps roughly 5.0% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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