AIR FRANCE-KLM (AFR0.DE) Stock Fundamental Analysis
FRA:AFR0 - Deutsche Boerse Ag - FR001400J770 - Common Stock - Currency: EUR
We assign a fundamental rating of 3 out of 10 to AFR0. AFR0 was compared to 14 industry peers in the Passenger Airlines industry. AFR0 may be in some trouble as it scores bad on both profitability and health. AFR0 scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
AFR0 had positive earnings in the past year.
AFR0 had a positive operating cash flow in the past year.
In multiple years AFR0 reported negative net income over the last 5 years.
Of the past 5 years AFR0 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 0.67%, AFR0 is not doing good in the industry: 78.57% of the companies in the same industry are doing better.
Looking at the Return On Invested Capital, with a value of 6.31%, AFR0 is in line with its industry, outperforming 42.86% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for AFR0 is below the industry average of 8.79%.
The last Return On Invested Capital (6.31%) for AFR0 is above the 3 year average (6.06%), which is a sign of increasing profitability.
| 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 78.57% of the companies in the same industry.
AFR0's Profit Margin has declined in the last couple of years.
AFR0 has a worse Operating Margin (4.65%) than 64.29% of its industry peers.
AFR0's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 46.94%, AFR0 perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
AFR0's Gross Margin has been stable in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so AFR0 is still creating some value.
AFR0 has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, AFR0 has more shares outstanding
AFR0 has a worse debt/assets ratio than last year.
2.2 Solvency
AFR0 has an Altman-Z score of 0.47. This is a bad value and indicates that AFR0 is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.47, AFR0 is not doing good in the industry: 64.29% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.47 |
ROIC/WACC1.06
WACC5.93%
2.3 Liquidity
A Current Ratio of 0.65 indicates that AFR0 may have some problems paying its short term obligations.
AFR0 has a Current ratio of 0.65. This is in the lower half of the industry: AFR0 underperforms 78.57% of its industry peers.
A Quick Ratio of 0.59 indicates that AFR0 may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.59, AFR0 is doing worse than 78.57% of the companies in the same industry.
| 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 -44.60%.
Measured over the past years, AFR0 shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -24.31% on average per year.
Looking at the last year, AFR0 shows a small growth in Revenue. The Revenue has grown by 5.36% 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)-44.6%
EPS 3YN/A
EPS 5Y-24.31%
EPS Q2Q%41.41%
Revenue 1Y (TTM)5.36%
Revenue growth 3Y30.01%
Revenue growth 5Y2.96%
Sales Q2Q%7.68%
3.2 Future
The Earnings Per Share is expected to grow by 31.40% on average over the next years. This is a very strong growth
Based on estimates for the next years, AFR0 will show a small growth in Revenue. The Revenue will grow by 2.69% on average per year.
EPS Next Y211.14%
EPS Next 2Y92.17%
EPS Next 3Y57.03%
EPS Next 5Y31.4%
Revenue Next Year5.19%
Revenue Next 2Y4.48%
Revenue Next 3Y4.47%
Revenue Next 5Y2.69%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 5.69, which indicates a rather cheap valuation of AFR0.
Based on the Price/Earnings ratio, AFR0 is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.50, AFR0 is valued rather cheaply.
With a Price/Forward Earnings ratio of 2.65, the valuation of AFR0 can be described as very cheap.
Based on the Price/Forward Earnings ratio, AFR0 is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
AFR0's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.69 | ||
| Fwd PE | 2.65 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AFR0 is valued a bit cheaper than the industry average as 78.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 2.94 |
4.3 Compensation for Growth
The 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
AFR0 does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:AFR0 (7/18/2025, 7:00:00 PM)
11.155
+0.05 (+0.45%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners8.37%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap2.93B
Analysts54.17
Price Target9.29 (-16.72%)
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)0%
PT rev (3m)-16.77%
EPS NQ rev (1m)0%
EPS NQ rev (3m)14.69%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.98%
Revenue NQ rev (1m)0.66%
Revenue NQ rev (3m)0.49%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.69 | ||
| Fwd PE | 2.65 | ||
| P/S | 0.09 | ||
| P/FCF | N/A | ||
| P/OCF | 0.84 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 2.94 |
EPS(TTM)1.96
EY17.57%
EPS(NY)4.21
Fwd EY37.74%
FCF(TTM)-0.88
FCFYN/A
OCF(TTM)13.3
OCFY119.27%
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 | 0.47 |
F-Score4
WACC5.93%
ROIC/WACC1.06
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)-44.6%
EPS 3YN/A
EPS 5Y-24.31%
EPS Q2Q%41.41%
EPS Next Y211.14%
EPS Next 2Y92.17%
EPS Next 3Y57.03%
EPS Next 5Y31.4%
Revenue 1Y (TTM)5.36%
Revenue growth 3Y30.01%
Revenue growth 5Y2.96%
Sales Q2Q%7.68%
Revenue Next Year5.19%
Revenue Next 2Y4.48%
Revenue Next 3Y4.47%
Revenue Next 5Y2.69%
EBIT growth 1Y-6.28%
EBIT growth 3YN/A
EBIT growth 5Y6.27%
EBIT Next Year245.03%
EBIT Next 3Y58.73%
EBIT Next 5Y32.36%
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%