AIR FRANCE-KLM (AFR0.DE) Stock Fundamental Analysis
FRA:AFR0 - Deutsche Boerse Ag - FR001400J770 - Common Stock - Currency: EUR
AFR0 gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 12 industry peers in the Passenger Airlines industry. AFR0 has a bad profitability rating. Also its financial health evaluation is rather negative. AFR0 may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
AFR0 had positive earnings in the past year.
In the past year AFR0 had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: AFR0 reported negative net income in multiple years.
Of the past 5 years AFR0 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of AFR0 (0.67%) is worse than 83.33% of its industry peers.
AFR0's Return On Invested Capital of 6.31% is in line compared to the rest of the industry. AFR0 outperforms 41.67% of its industry peers.
AFR0 had an Average Return On Invested Capital over the past 3 years of 6.06%. This is in line with the industry average of 7.90%.
The 3 year average ROIC (6.06%) for AFR0 is below the current ROIC(6.31%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.67% | ||
| ROE | N/A | ||
| ROIC | 6.31% |
ROA(3y)1.58%
ROA(5y)-6%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.06%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 0.78%, AFR0 is doing worse than 83.33% of the companies in the same industry.
In the last couple of years the Profit Margin of AFR0 has declined.
The Operating Margin of AFR0 (4.65%) is worse than 66.67% of its industry peers.
AFR0's Operating Margin has improved in the last couple of years.
AFR0 has a Gross Margin of 46.94%. This is comparable to the rest of the industry: AFR0 outperforms 58.33% of its industry peers.
In the last couple of years the Gross Margin of AFR0 has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.65% | ||
| PM (TTM) | 0.78% | ||
| GM | 46.94% |
OM growth 3YN/A
OM growth 5Y3.22%
PM growth 3YN/A
PM growth 5Y-5.03%
GM growth 3Y0.72%
GM growth 5Y-1.01%
2. Health
2.1 Basic Checks
AFR0 has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, AFR0 has about the same amount of shares outstanding.
AFR0 has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, AFR0 has a worse debt to assets ratio.
2.2 Solvency
AFR0 has an Altman-Z score of 0.46. This is a bad value and indicates that AFR0 is not financially healthy and even has some risk of bankruptcy.
AFR0's Altman-Z score of 0.46 is on the low side compared to the rest of the industry. AFR0 is outperformed by 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.46 |
ROIC/WACC1.16
WACC5.44%
2.3 Liquidity
AFR0 has a Current Ratio of 0.65. This is a bad value and indicates that AFR0 is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.65, AFR0 is doing worse than 75.00% of the companies in the same industry.
AFR0 has a Quick Ratio of 0.65. This is a bad value and indicates that AFR0 is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.59, AFR0 is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.65 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
AFR0 shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -72.32%.
The earnings per share for AFR0 have been decreasing by -24.31% on average. This is quite bad
Looking at the last year, AFR0 shows a small growth in Revenue. The Revenue has grown by 4.80% in the last year.
Measured over the past years, AFR0 shows a small growth in Revenue. The Revenue has been growing by 2.96% on average per year.
EPS 1Y (TTM)-72.32%
EPS 3YN/A
EPS 5Y-24.31%
EPS Q2Q%22.5%
Revenue 1Y (TTM)4.8%
Revenue growth 3Y30.01%
Revenue growth 5Y2.96%
Sales Q2Q%6.36%
3.2 Future
Based on estimates for the next years, AFR0 will show a very strong growth in Earnings Per Share. The EPS will grow by 31.14% on average per year.
AFR0 is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.91% yearly.
EPS Next Y211.14%
EPS Next 2Y92.17%
EPS Next 3Y57.03%
EPS Next 5Y31.14%
Revenue Next Year5.2%
Revenue Next 2Y4.53%
Revenue Next 3Y4.5%
Revenue Next 5Y2.91%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 6.72, the valuation of AFR0 can be described as very cheap.
AFR0's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of AFR0 to the average of the S&P500 Index (28.78), we can say AFR0 is valued rather cheaply.
With a Price/Forward Earnings ratio of 2.16, the valuation of AFR0 can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AFR0 indicates a rather cheap valuation: AFR0 is cheaper than 100.00% of the companies listed in the same industry.
AFR0 is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.32, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.72 | ||
| Fwd PE | 2.16 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AFR0 is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 2.72 |
4.3 Compensation for Growth
AFR0's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
AFR0's earnings are expected to grow with 57.03% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.03
PEG (5Y)N/A
EPS Next 2Y92.17%
EPS Next 3Y57.03%
5. Dividend
5.1 Amount
No dividends for AFR0!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:AFR0 (4/25/2025, 7:00:00 PM)
7.658
+0.07 (+0.87%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners8.65%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap2.01B
Analysts53.6
Price Target8.62 (12.56%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)-58.45%
DP0.41%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)23.47%
Min EPS beat(2)-13.15%
Max EPS beat(2)60.08%
EPS beat(4)1
Avg EPS beat(4)-29.02%
Min EPS beat(4)-91.85%
Max EPS beat(4)60.08%
EPS beat(8)4
Avg EPS beat(8)-11.33%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-1.19%
Min Revenue beat(2)-2.15%
Max Revenue beat(2)-0.23%
Revenue beat(4)0
Avg Revenue beat(4)-2.03%
Min Revenue beat(4)-3.43%
Max Revenue beat(4)-0.23%
Revenue beat(8)0
Avg Revenue beat(8)-2.67%
Revenue beat(12)4
Avg Revenue beat(12)-0.85%
Revenue beat(16)6
Avg Revenue beat(16)-0.13%
PT rev (1m)-13.48%
PT rev (3m)-19.49%
EPS NQ rev (1m)14.69%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-4.98%
EPS NY rev (3m)-13.95%
Revenue NQ rev (1m)-0.17%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.55%
Revenue NY rev (3m)0.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.72 | ||
| Fwd PE | 2.16 | ||
| P/S | 0.06 | ||
| P/FCF | N/A | ||
| P/OCF | 0.58 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 2.72 |
EPS(TTM)1.14
EY14.89%
EPS(NY)3.55
Fwd EY46.32%
FCF(TTM)-0.88
FCFYN/A
OCF(TTM)13.3
OCFY173.73%
SpS119.72
BVpS-6.71
TBVpS-11.95
PEG (NY)0.03
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.67% | ||
| ROE | N/A | ||
| ROCE | 7.35% | ||
| ROIC | 6.31% | ||
| ROICexc | 7.98% | ||
| ROICexgc | 8.75% | ||
| OM | 4.65% | ||
| PM (TTM) | 0.78% | ||
| GM | 46.94% | ||
| FCFM | N/A |
ROA(3y)1.58%
ROA(5y)-6%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.06%
ROIC(5y)N/A
ROICexc(3y)9.52%
ROICexc(5y)N/A
ROICexgc(3y)10.72%
ROICexgc(5y)N/A
ROCE(3y)7.14%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y5.52%
ROICexc growth 3YN/A
ROICexc growth 5Y5.83%
OM growth 3YN/A
OM growth 5Y3.22%
PM growth 3YN/A
PM growth 5Y-5.03%
GM growth 3Y0.72%
GM growth 5Y-1.01%
F-Score4
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.92 | ||
| Cap/Depr | 141.05% | ||
| Cap/Sales | 11.85% | ||
| Interest Coverage | 2.2 | ||
| Cash Conversion | 85.16% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.65 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 0.46 |
F-Score4
WACC5.44%
ROIC/WACC1.16
Cap/Depr(3y)135.34%
Cap/Depr(5y)114.46%
Cap/Sales(3y)11.65%
Cap/Sales(5y)13.85%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-72.32%
EPS 3YN/A
EPS 5Y-24.31%
EPS Q2Q%22.5%
EPS Next Y211.14%
EPS Next 2Y92.17%
EPS Next 3Y57.03%
EPS Next 5Y31.14%
Revenue 1Y (TTM)4.8%
Revenue growth 3Y30.01%
Revenue growth 5Y2.96%
Sales Q2Q%6.36%
Revenue Next Year5.2%
Revenue Next 2Y4.53%
Revenue Next 3Y4.5%
Revenue Next 5Y2.91%
EBIT growth 1Y-6.28%
EBIT growth 3YN/A
EBIT growth 5Y6.27%
EBIT Next Year249.35%
EBIT Next 3Y59.71%
EBIT Next 5Y33.61%
FCF growth 1Y-521.82%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-3.05%
OCF growth 3Y31.6%
OCF growth 5Y-2.14%