AIRBUS SE (AIR.PA) Stock Fundamental Analysis
EPA:AIR - Euronext Paris - Matif - NL0000235190 - Common Stock - Currency: EUR
Taking everything into account, AIR scores 4 out of 10 in our fundamental rating. AIR was compared to 38 industry peers in the Aerospace & Defense industry. There are concerns on the financial health of AIR while its profitability can be described as average. AIR has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year AIR was profitable.
In the past year AIR had a positive cash flow from operations.
Of the past 5 years AIR 4 years were profitable.
AIR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
AIR's Return On Assets of 3.31% is in line compared to the rest of the industry. AIR outperforms 52.63% of its industry peers.
AIR's Return On Equity of 21.84% is amongst the best of the industry. AIR outperforms 84.21% of its industry peers.
The Return On Invested Capital of AIR (5.44%) is comparable to the rest of the industry.
AIR had an Average Return On Invested Capital over the past 3 years of 5.64%. This is below the industry average of 8.78%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.31% | ||
| ROE | 21.84% | ||
| ROIC | 5.44% |
ROA(3y)3.38%
ROA(5y)2.61%
ROE(3y)25.26%
ROE(5y)20.54%
ROIC(3y)5.64%
ROIC(5y)4.87%
1.3 Margins
AIR has a Profit Margin (6.19%) which is in line with its industry peers.
In the last couple of years the Profit Margin of AIR has declined.
AIR has a Operating Margin (7.16%) which is comparable to the rest of the industry.
AIR's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 15.42%, AIR is doing worse than 63.16% of the companies in the same industry.
In the last couple of years the Gross Margin of AIR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.16% | ||
| PM (TTM) | 6.19% | ||
| GM | 15.42% |
OM growth 3Y-10.35%
OM growth 5Y38.69%
PM growth 3Y-8.88%
PM growth 5YN/A
GM growth 3Y-5.84%
GM growth 5Y0.68%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AIR is destroying value.
Compared to 1 year ago, AIR has about the same amount of shares outstanding.
The number of shares outstanding for AIR has been increased compared to 5 years ago.
Compared to 1 year ago, AIR has an improved debt to assets ratio.
2.2 Solvency
AIR has an Altman-Z score of 1.68. This is a bad value and indicates that AIR is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of AIR (1.68) is worse than 68.42% of its industry peers.
The Debt to FCF ratio of AIR is 4.86, which is a neutral value as it means it would take AIR, 4.86 years of fcf income to pay off all of its debts.
AIR has a better Debt to FCF ratio (4.86) than 65.79% of its industry peers.
AIR has a Debt/Equity ratio of 0.72. This is a neutral value indicating AIR is somewhat dependend on debt financing.
AIR's Debt to Equity ratio of 0.72 is in line compared to the rest of the industry. AIR outperforms 47.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 4.86 | ||
| Altman-Z | 1.68 |
ROIC/WACC0.74
WACC7.33%
2.3 Liquidity
AIR has a Current Ratio of 1.15. This is a normal value and indicates that AIR is financially healthy and should not expect problems in meeting its short term obligations.
AIR's Current ratio of 1.15 is in line compared to the rest of the industry. AIR outperforms 55.26% of its industry peers.
A Quick Ratio of 0.52 indicates that AIR may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.52, AIR is doing worse than 76.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
AIR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -51.96%.
Measured over the past years, AIR shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -12.77% on average per year.
AIR shows a small growth in Revenue. In the last year, the Revenue has grown by 5.78%.
AIR shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.36% yearly.
EPS 1Y (TTM)-51.96%
EPS 3Y-0.06%
EPS 5Y-12.77%
EPS Q2Q%-65.1%
Revenue 1Y (TTM)5.78%
Revenue growth 3Y9.9%
Revenue growth 5Y-0.36%
Sales Q2Q%10.32%
3.2 Future
Based on estimates for the next years, AIR will show a very strong growth in Earnings Per Share. The EPS will grow by 34.25% on average per year.
The Revenue is expected to grow by 11.69% on average over the next years. This is quite good.
EPS Next Y124.67%
EPS Next 2Y64.58%
EPS Next 3Y48.67%
EPS Next 5Y34.25%
Revenue Next Year9.92%
Revenue Next 2Y11.04%
Revenue Next 3Y11.18%
Revenue Next 5Y11.69%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 55.23 indicates a quite expensive valuation of AIR.
Based on the Price/Earnings ratio, AIR is valued a bit more expensive than 60.53% of the companies in the same industry.
AIR is valuated expensively when we compare the Price/Earnings ratio to 29.35, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 24.62, AIR is valued on the expensive side.
AIR's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, AIR is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 55.23 | ||
| Fwd PE | 24.62 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AIR indicates a somewhat cheap valuation: AIR is cheaper than 60.53% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, AIR is valued a bit cheaper than the industry average as 60.53% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.99 | ||
| EV/EBITDA | 16.54 |
4.3 Compensation for Growth
AIR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as AIR's earnings are expected to grow with 48.67% in the coming years.
PEG (NY)0.44
PEG (5Y)N/A
EPS Next 2Y64.58%
EPS Next 3Y48.67%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.04%, AIR has a reasonable but not impressive dividend return.
AIR's Dividend Yield is a higher than the industry average which is at 1.22.
With a Dividend Yield of 1.04, AIR pays less dividend than the S&P500 average, which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.04% |
5.2 History
On average, the dividend of AIR grows each year by 11.34%, which is quite nice.
Dividend Growth(5Y)11.34%
Div Incr Years1
Div Non Decr Years2
5.3 Sustainability
51.73% of the earnings are spent on dividend by AIR. This is a bit on the high side, but may be sustainable.
The dividend of AIR is growing, but earnings are growing more, so the dividend growth is sustainable.
DP51.73%
EPS Next 2Y64.58%
EPS Next 3Y48.67%
EPA:AIR (3/7/2025, 7:00:00 PM)
169.56
-3.5 (-2.02%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners28.97%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap134.34B
Analysts78.52
Price Target183.93 (8.47%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.04% |
Yearly Dividend2.81
Dividend Growth(5Y)11.34%
DP51.73%
Div Incr Years1
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-27.46%
Min EPS beat(2)-69.49%
Max EPS beat(2)14.58%
EPS beat(4)1
Avg EPS beat(4)-30.77%
Min EPS beat(4)-69.49%
Max EPS beat(4)14.58%
EPS beat(8)5
Avg EPS beat(8)-3.51%
EPS beat(12)8
Avg EPS beat(12)14.47%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)0.42%
Min Revenue beat(2)-0.37%
Max Revenue beat(2)1.21%
Revenue beat(4)1
Avg Revenue beat(4)-0.45%
Min Revenue beat(4)-1.61%
Max Revenue beat(4)1.21%
Revenue beat(8)2
Avg Revenue beat(8)-0.31%
Revenue beat(12)4
Avg Revenue beat(12)-0.34%
Revenue beat(16)6
Avg Revenue beat(16)-0.44%
PT rev (1m)4.04%
PT rev (3m)11.38%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.55%
EPS NY rev (1m)1.35%
EPS NY rev (3m)-3.54%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.43%
Revenue NY rev (1m)-0.22%
Revenue NY rev (3m)-1.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 55.23 | ||
| Fwd PE | 24.62 | ||
| P/S | 1.94 | ||
| P/FCF | 35.99 | ||
| P/OCF | 18.15 | ||
| P/B | 6.85 | ||
| P/tB | 55.35 | ||
| EV/EBITDA | 16.54 |
EPS(TTM)3.07
EY1.81%
EPS(NY)6.89
Fwd EY4.06%
FCF(TTM)4.71
FCFY2.78%
OCF(TTM)9.34
OCFY5.51%
SpS87.38
BVpS24.75
TBVpS3.06
PEG (NY)0.44
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.31% | ||
| ROE | 21.84% | ||
| ROCE | 7.21% | ||
| ROIC | 5.44% | ||
| ROICexc | 7.55% | ||
| ROICexgc | 11.57% | ||
| OM | 7.16% | ||
| PM (TTM) | 6.19% | ||
| GM | 15.42% | ||
| FCFM | 5.39% |
ROA(3y)3.38%
ROA(5y)2.61%
ROE(3y)25.26%
ROE(5y)20.54%
ROIC(3y)5.64%
ROIC(5y)4.87%
ROICexc(3y)8%
ROICexc(5y)6.87%
ROICexgc(3y)12.64%
ROICexgc(5y)10.94%
ROCE(3y)7.48%
ROCE(5y)6.45%
ROICexcg growth 3Y-8.19%
ROICexcg growth 5Y29.01%
ROICexc growth 3Y-6.34%
ROICexc growth 5Y32.1%
OM growth 3Y-10.35%
OM growth 5Y38.69%
PM growth 3Y-8.88%
PM growth 5YN/A
GM growth 3Y-5.84%
GM growth 5Y0.68%
F-Score7
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 4.86 | ||
| Debt/EBITDA | 1.8 | ||
| Cap/Depr | 128.6% | ||
| Cap/Sales | 5.3% | ||
| Interest Coverage | 6.3 | ||
| Cash Conversion | 94.81% | ||
| Profit Quality | 87.18% | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | 1.68 |
F-Score7
WACC7.33%
ROIC/WACC0.74
Cap/Depr(3y)118.47%
Cap/Depr(5y)100.09%
Cap/Sales(3y)4.72%
Cap/Sales(5y)4.28%
Profit Quality(3y)87.6%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-51.96%
EPS 3Y-0.06%
EPS 5Y-12.77%
EPS Q2Q%-65.1%
EPS Next Y124.67%
EPS Next 2Y64.58%
EPS Next 3Y48.67%
EPS Next 5Y34.25%
Revenue 1Y (TTM)5.78%
Revenue growth 3Y9.9%
Revenue growth 5Y-0.36%
Sales Q2Q%10.32%
Revenue Next Year9.92%
Revenue Next 2Y11.04%
Revenue Next 3Y11.18%
Revenue Next 5Y11.69%
EBIT growth 1Y14.25%
EBIT growth 3Y-1.48%
EBIT growth 5Y38.19%
EBIT Next Year85.01%
EBIT Next 3Y33.47%
EBIT Next 5Y25.31%
FCF growth 1Y16.51%
FCF growth 3Y11.25%
FCF growth 5Y21.45%
OCF growth 1Y18.34%
OCF growth 3Y16.85%
OCF growth 5Y14.55%