Interglobe Aviation (INDIGO) Complete Fundamental Analysis

Description
IndiGo is India’s largest passenger airline with a market share of 48% in FY 2020. They primarily operate in India’s domestic air travel market as a low-cost carrier with focus on low fares, being on-time and delivering a hassle-free experience. The company has shown 10 consecutive years of Profitable operations and operates 1500 daily flights and has a customer base of 300+ million.

The company has a fleet of 261 aircraft including 100 new gen Airbus A320 NEOs and 123 Airbus A320 CEOs. With this, they have been able to achieve a wide network of 63 domestic destinations and 24 international destinations. A uniform fleet for each type of destination, high operational reliability and timely service has made Indigo one of the most reliable airlines in the market.

It competes with other carriers like SpiceJet and AirAsia but still has a market leadership due to its low-cost structure. IndiGo is not only the most efficient low fare operator domestically but is also comparable with global low-cost airlines like Southwest. Pricing plays an important role and the low-cost model is also not very hard to replicate with enough capital.

The Model covers all the major fundamental aspects of Interglobe Aviation (INDIGO). The model is easy to edit and update for the future years as well. It includes:
1. Growth Ratios
2. Profitability Ratios
3. Cash Flow Ratios
4. Liquidity and Solvency Ratios
5. Efficiency Ratios
6. Valuation Ratios
7. ROE (Du Pont Analysis)
8. Common Size analysis
9. Enterprise Valuation
10. Financial Strength Analysis

Further Qualitative analysis is also done considering these factors and ratings have been assigned. The complete detailed analysis is in the word document along with the Excel model.