IndiGo flies past United Airlines to be 6th largest carrier in market value

IndiGo has become the sixth largest airline in terms of global market capitalisation with a valuation of $13.80 billion, surpassing United Airlines at $13.48 billion, after parent InterGlobe Aviation shares closed up 1.73 percent to Rs 2,982.50 on the BSE. Delta Air Lines leads the squad at $26.54 billion.

The InterGlobe Aviation shares crossed Rs 3,000 for the first time, marking their longest winning streak since it went pubic in 2015. The stock traded in the green for 12 straight sessions, yielding a 16 percent return since November 28 and jumped over 49 percent so far this year.

IndiGo’s market valuation surged three-fold since listing, while United Airlines faced a $10-billion erosion during the same period. The budget carrier widened its market share since Go First went grounded. The airline surprised with a net profit in the September quarter, contrary to the estimated Rs 755-crore net loss by Bloomberg consensus. Analysts are cautious due to aircraft groundings and soaring lease expenses.

United Airlines dwarfs InterGlobe Aviation with a seven-fold revenue. The US airline reported a net revenue of $52.5 billion for the 12 months ended September 2023, whereas IndiGo’s revenue was $7.4 billion for the same period, as per Bloomberg data.

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