AZUL SA-ADR (AZUL) Stock Fundamental Analysis
NYSE:AZUL - New York Stock Exchange, Inc. - US05501U1060 - ADR - Currency: USD
Overall AZUL gets a fundamental rating of 3 out of 10. We evaluated AZUL against 23 industry peers in the Passenger Airlines industry. There are concerns on the financial health of AZUL while its profitability can be described as average. AZUL is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
AZUL had negative earnings in the past year.
AZUL had a positive operating cash flow in the past year.
AZUL had negative earnings in each of the past 5 years.
AZUL had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of AZUL (-32.63%) is worse than 78.26% of its industry peers.
Looking at the Return On Invested Capital, with a value of 56.18%, AZUL belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -32.63% | ||
| ROE | N/A | ||
| ROIC | 56.18% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With an excellent Operating Margin value of 17.96%, AZUL belongs to the best of the industry, outperforming 95.65% of the companies in the same industry.
In the last couple of years the Operating Margin of AZUL has grown nicely.
Looking at the Gross Margin, with a value of 61.86%, AZUL is in the better half of the industry, outperforming 65.22% of the companies in the same industry.
AZUL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.96% | ||
| PM (TTM) | N/A | ||
| GM | 61.86% |
OM growth 3YN/A
OM growth 5Y4.02%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.57%
GM growth 5Y0.8%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so AZUL is creating value.
There is no outstanding debt for AZUL. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
Based on the Altman-Z score of -1.27, we must say that AZUL is in the distress zone and has some risk of bankruptcy.
AZUL's Altman-Z score of -1.27 is on the low side compared to the rest of the industry. AZUL is outperformed by 73.91% of its industry peers.
AZUL has a debt to FCF ratio of 29.03. This is a negative value and a sign of low solvency as AZUL would need 29.03 years to pay back of all of its debts.
AZUL has a Debt to FCF ratio of 29.03. This is in the better half of the industry: AZUL outperforms 60.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 29.03 | ||
| Altman-Z | -1.27 |
ROIC/WACC4.15
WACC13.55%
2.3 Liquidity
AZUL has a Current Ratio of 0.27. This is a bad value and indicates that AZUL is not financially healthy enough and could expect problems in meeting its short term obligations.
AZUL's Current ratio of 0.27 is on the low side compared to the rest of the industry. AZUL is outperformed by 95.65% of its industry peers.
A Quick Ratio of 0.22 indicates that AZUL may have some problems paying its short term obligations.
The Quick ratio of AZUL (0.22) is worse than 95.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.27 | ||
| Quick Ratio | 0.22 |
3. Growth
3.1 Past
AZUL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 30.69%, which is quite impressive.
Looking at the last year, AZUL shows a small growth in Revenue. The Revenue has grown by 5.24% in the last year.
AZUL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.28% yearly.
EPS 1Y (TTM)30.69%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%119.57%
Revenue 1Y (TTM)5.24%
Revenue growth 3Y25.09%
Revenue growth 5Y11.28%
Sales Q2Q%-6.5%
3.2 Future
Based on estimates for the next years, AZUL will show a very strong growth in Earnings Per Share. The EPS will grow by 31.05% on average per year.
Based on estimates for the next years, AZUL will show a quite strong growth in Revenue. The Revenue will grow by 10.47% on average per year.
EPS Next Y89.02%
EPS Next 2Y41.52%
EPS Next 3Y31.05%
EPS Next 5YN/A
Revenue Next Year16.24%
Revenue Next 2Y12.44%
Revenue Next 3Y10.47%
Revenue Next 5YN/A
3.3 Evolution
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 negative for AZUL. In the last year negative earnings were reported.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for AZUL. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AZUL is on the same level as its industry peers.
100.00% of the companies in the same industry are more expensive than AZUL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.48 | ||
| EV/EBITDA | 6.12 |
4.3 Compensation for Growth
A more expensive valuation may be justified as AZUL's earnings are expected to grow with 31.05% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y41.52%
EPS Next 3Y31.05%
5. Dividend
5.1 Amount
No dividends for AZUL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:AZUL (4/25/2025, 10:34:08 AM)
0.7098
-0.42 (-37.19%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners12.85%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap108.85M
Analysts72.31
Price Target3.99 (462.13%)
Short Float %14.8%
Short Ratio5.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.07%
Min EPS beat(2)-14.42%
Max EPS beat(2)24.56%
EPS beat(4)1
Avg EPS beat(4)-43.37%
Min EPS beat(4)-118.57%
Max EPS beat(4)24.56%
EPS beat(8)1
Avg EPS beat(8)-135.14%
EPS beat(12)1
Avg EPS beat(12)-99%
EPS beat(16)4
Avg EPS beat(16)-65.65%
Revenue beat(2)0
Avg Revenue beat(2)-82.91%
Min Revenue beat(2)-82.93%
Max Revenue beat(2)-82.88%
Revenue beat(4)0
Avg Revenue beat(4)-83.34%
Min Revenue beat(4)-84.56%
Max Revenue beat(4)-82.88%
Revenue beat(8)0
Avg Revenue beat(8)-83.2%
Revenue beat(12)0
Avg Revenue beat(12)-59.31%
Revenue beat(16)2
Avg Revenue beat(16)-44.72%
PT rev (1m)-1.08%
PT rev (3m)-16.97%
EPS NQ rev (1m)-1837.2%
EPS NQ rev (3m)39.46%
EPS NY rev (1m)-47.33%
EPS NY rev (3m)-251.01%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)-3.19%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)1.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.03 | ||
| P/FCF | 0.48 | ||
| P/OCF | 0.22 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.12 |
EPS(TTM)-2.02
EYN/A
EPS(NY)-0.22
Fwd EYN/A
FCF(TTM)1.48
FCFY208.99%
OCF(TTM)3.2
OCFY450.35%
SpS22.39
BVpS-34.91
TBVpS-36.7
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -32.63% | ||
| ROE | N/A | ||
| ROCE | 71.11% | ||
| ROIC | 56.18% | ||
| ROICexc | 75.91% | ||
| ROICexgc | 132.52% | ||
| OM | 17.96% | ||
| PM (TTM) | N/A | ||
| GM | 61.86% | ||
| FCFM | 6.62% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5Y4.02%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.57%
GM growth 5Y0.8%
F-Score4
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 29.03 | ||
| Debt/EBITDA | 4.76 | ||
| Cap/Depr | 58.26% | ||
| Cap/Sales | 7.65% | ||
| Interest Coverage | 1.69 | ||
| Cash Conversion | 45.9% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.27 | ||
| Quick Ratio | 0.22 | ||
| Altman-Z | -1.27 |
F-Score4
WACC13.55%
ROIC/WACC4.15
Cap/Depr(3y)55.99%
Cap/Depr(5y)48.67%
Cap/Sales(3y)7.33%
Cap/Sales(5y)7.53%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)30.69%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%119.57%
EPS Next Y89.02%
EPS Next 2Y41.52%
EPS Next 3Y31.05%
EPS Next 5YN/A
Revenue 1Y (TTM)5.24%
Revenue growth 3Y25.09%
Revenue growth 5Y11.28%
Sales Q2Q%-6.5%
Revenue Next Year16.24%
Revenue Next 2Y12.44%
Revenue Next 3Y10.47%
Revenue Next 5YN/A
EBIT growth 1Y147.81%
EBIT growth 3YN/A
EBIT growth 5Y15.75%
EBIT Next Year110.79%
EBIT Next 3Y35.98%
EBIT Next 5YN/A
FCF growth 1Y-47.58%
FCF growth 3YN/A
FCF growth 5Y4.57%
OCF growth 1Y-18.97%
OCF growth 3YN/A
OCF growth 5Y1.44%