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Flags

Financial distress

Virgin Australia

ASX:VGN · AU0000400616
AirlinesMedium

360

73
EV / EBIT100
Price / Owner Earnings9
Owner Earnings Yield49
Dividend Yield33
Price/Sales84
EV / Gross Profit95
Price/Book100
Return on Capital98
Cash Return on Capital89
EBIT Margin37
Gross Profitability93
Cash Conversion70
Accruals100
Owner Earnings Margin43
Sales growth67
Profit Growth66
Long-Term EPS Growth51
Owner Earnings Growth34
Reinvestment81
Price momentum13
Debt load1
Refinancing9
Debt Payback25
Liquidity21
Analyst ratings90
Opinion Changes81
Price Target Upside80
Market mood67
Value Creation12/20creating some value
  • Creates more value than its capital costs
  • Owner earnings growing
  • Owner earnings per share growing
  • Reinvests at strong returns
  • Solid earnings base

What this means

Virgin Australia clears its cost of capital, but the record is mixed across the five tests. Real value creation, just not yet consistent.

Profile

CountryAustralia
IndustryAirlines
SizeMedium
TypePublic Company
ExchangeASX
Founded2002
ISINAU0000400616
Last UpdateApr 2, 2026
Themes
Freight ServiceTourismBusiness Travel

Description

Virgin Australia Holdings Limited engages in the operation of domestic and international passenger and cargo airline business and a loyalty program. The company offers various aviation products and services to all key segments of the Australian avia…

Analysis

Quality compounder

Virgin Australia Holdings Limited earns the quality_compounder label: good underlying economics priced fairly, with no obvious bargain or excess.

On valuation, the picture is expensive. The owner-earnings multiple stands at 26.2×; owner earnings: the cash an owner could take out each year.

Growth is tepid; the safety picture is adequate. The company scores 12/20 on our value-creation score: creating some value.

No flags apply to this company at this time: accounts, balance sheet, and cash quality all pass. A clean bill of health is meaningful, not just the absence of a warning. This analysis describes numbers; it is not investment advice.

360° rank · history

1007550250
83
2026

All-time high

83

Jun 2026

All-time low

70

Mar 2026

Average rank

77

across all years

Detailed & Historical Ranks

Deep dive into 15 detailed ranks and 3 years of history.

Current202520242023
Price/Sales
84
Price/Earnings
82
Price/Book
100
Dividend Yield
33
Value (overall)
95

Cells are coloured by rank band (red weak → green strong). Sentiment & 360° history begins 2023.

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Make Sense of the Ranks

Every rank runs 1–100 against true peers. Higher is always better.

360° View
1 · Watch OutGood· 100
Value
1 · ExpensiveGood Value· 100
Quality
1 · Weak FundamentalsHigh Quality· 100
Growth
1 · Tough TimesHigh Growth· 100
Safety
1 · High LeverageWell-Financed· 100
Sentiment
1 · SkepticismPositive· 100
Learn More →