EASYJET PLC (EJT1.DE) Stock Fundamental Analysis
Europe - FRA:EJT1 - GB00B7KR2P84 - Common Stock
5.478 EUR
+0.02 (+0.37%)
EJT1 gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 12 industry peers in the Passenger Airlines industry. The financial health of EJT1 is average, but there are quite some concerns on its profitability. EJT1 may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year EJT1 was profitable.
EJT1 had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: EJT1 reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: EJT1 reported negative operating cash flow in multiple years.
1.2 Ratios
EJT1's Return On Assets of 3.51% is on the low side compared to the rest of the industry. EJT1 is outperformed by 66.67% of its industry peers.
With a Return On Equity value of 15.55%, EJT1 is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
EJT1's Return On Invested Capital of 6.87% is on the low side compared to the rest of the industry. EJT1 is outperformed by 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for EJT1 is significantly below the industry average of 9.96%.
The 3 year average ROIC (4.32%) for EJT1 is below the current ROIC(6.87%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.51% | ||
| ROE | 15.55% | ||
| ROIC | 6.87% |
ROA(3y)1.92%
ROA(5y)-3.15%
ROE(3y)6.72%
ROE(5y)-13.83%
ROIC(3y)4.32%
ROIC(5y)N/A
1.3 Margins
EJT1 has a Profit Margin of 4.30%. This is in the lower half of the industry: EJT1 underperforms 66.67% of its industry peers.
EJT1's Profit Margin has declined in the last couple of years.
The Operating Margin of EJT1 (5.93%) is worse than 66.67% of its industry peers.
In the last couple of years the Operating Margin of EJT1 has declined.
EJT1 has a worse Gross Margin (40.32%) than 91.67% of its industry peers.
In the last couple of years the Gross Margin of EJT1 has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.93% | ||
| PM (TTM) | 4.3% | ||
| GM | 40.32% |
OM growth 3YN/A
OM growth 5Y-2.55%
PM growth 3YN/A
PM growth 5Y-2.34%
GM growth 3Y3.63%
GM growth 5Y-0.81%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), EJT1 is destroying value.
The number of shares outstanding for EJT1 remains at a similar level compared to 1 year ago.
The number of shares outstanding for EJT1 has been increased compared to 5 years ago.
EJT1 has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.19, we must say that EJT1 is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.19, EJT1 is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
EJT1 has a debt to FCF ratio of 5.17. This is a neutral value as EJT1 would need 5.17 years to pay back of all of its debts.
EJT1 has a Debt to FCF ratio of 5.17. This is in the better half of the industry: EJT1 outperforms 75.00% of its industry peers.
A Debt/Equity ratio of 1.00 indicates that EJT1 is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.00, EJT1 belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | 5.17 | ||
| Altman-Z | 1.19 |
ROIC/WACC0.9
WACC7.66%
2.3 Liquidity
A Current Ratio of 0.91 indicates that EJT1 may have some problems paying its short term obligations.
The Current ratio of EJT1 (0.91) is better than 91.67% of its industry peers.
EJT1 has a Quick Ratio of 0.91. This is a bad value and indicates that EJT1 is not financially healthy enough and could expect problems in meeting its short term obligations.
With an excellent Quick ratio value of 0.91, EJT1 belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
EJT1 shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.74%, which is quite good.
EJT1 shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.93% yearly.
EJT1 shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.43%.
Measured over the past years, EJT1 shows a small growth in Revenue. The Revenue has been growing by 7.83% on average per year.
EPS 1Y (TTM)8.74%
EPS 3YN/A
EPS 5Y-3.93%
EPS Q2Q%-13.08%
Revenue 1Y (TTM)9.43%
Revenue growth 3Y85.52%
Revenue growth 5Y7.83%
Sales Q2Q%8.14%
3.2 Future
Based on estimates for the next years, EJT1 will show a small growth in Earnings Per Share. The EPS will grow by 7.44% on average per year.
EJT1 is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.98% yearly.
EPS Next Y14.34%
EPS Next 2Y13.2%
EPS Next 3Y13.85%
EPS Next 5Y7.44%
Revenue Next Year8.57%
Revenue Next 2Y7.73%
Revenue Next 3Y7.73%
Revenue Next 5Y7.98%
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
EJT1 is valuated reasonably with a Price/Earnings ratio of 8.43.
Compared to the rest of the industry, the Price/Earnings ratio of EJT1 is on the same level as its industry peers.
When comparing the Price/Earnings ratio of EJT1 to the average of the S&P500 Index (27.30), we can say EJT1 is valued rather cheaply.
EJT1 is valuated cheaply with a Price/Forward Earnings ratio of 6.11.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EJT1 is on the same level as its industry peers.
EJT1 is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.73, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.43 | ||
| Fwd PE | 6.11 |
4.2 Price Multiples
100.00% of the companies in the same industry are more expensive than EJT1, based on the Enterprise Value to EBITDA ratio.
66.67% of the companies in the same industry are more expensive than EJT1, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.64 | ||
| EV/EBITDA | 1.23 |
4.3 Compensation for Growth
EJT1's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
EJT1's earnings are expected to grow with 13.85% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.59
PEG (5Y)N/A
EPS Next 2Y13.2%
EPS Next 3Y13.85%
5. Dividend
5.1 Amount
EJT1 has a Yearly Dividend Yield of 2.60%. Purely for dividend investing, there may be better candidates out there.
EJT1's Dividend Yield is rather good when compared to the industry average which is at 3.15. EJT1 pays more dividend than 83.33% of the companies in the same industry.
EJT1's Dividend Yield is comparable with the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.6% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
DPN/A
EPS Next 2Y13.2%
EPS Next 3Y13.85%
FRA:EJT1 (9/12/2025, 7:00:00 PM)
5.478
+0.02 (+0.37%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners43.03%
Inst Owner ChangeN/A
Ins Owners0.64%
Ins Owner ChangeN/A
Market Cap4.15B
Analysts80.74
Price Target7.85 (43.3%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.6% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)1.14%
PT rev (3m)-6.32%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-4.62%
EPS NY rev (3m)-4.62%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)-0.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.43 | ||
| Fwd PE | 6.11 | ||
| P/S | 0.38 | ||
| P/FCF | 5.64 | ||
| P/OCF | 2.24 | ||
| P/B | 1.36 | ||
| P/tB | 1.93 | ||
| EV/EBITDA | 1.23 |
EPS(TTM)0.65
EY11.87%
EPS(NY)0.9
Fwd EY16.36%
FCF(TTM)0.97
FCFY17.73%
OCF(TTM)2.45
OCFY44.7%
SpS14.6
BVpS4.04
TBVpS2.84
PEG (NY)0.59
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.51% | ||
| ROE | 15.55% | ||
| ROCE | 9.16% | ||
| ROIC | 6.87% | ||
| ROICexc | 16.51% | ||
| ROICexgc | 23.8% | ||
| OM | 5.93% | ||
| PM (TTM) | 4.3% | ||
| GM | 40.32% | ||
| FCFM | 6.65% |
ROA(3y)1.92%
ROA(5y)-3.15%
ROE(3y)6.72%
ROE(5y)-13.83%
ROIC(3y)4.32%
ROIC(5y)N/A
ROICexc(3y)9.01%
ROICexc(5y)N/A
ROICexgc(3y)11.93%
ROICexgc(5y)N/A
ROCE(3y)5.76%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y13.24%
ROICexc growth 3YN/A
ROICexc growth 5Y10.1%
OM growth 3YN/A
OM growth 5Y-2.55%
PM growth 3YN/A
PM growth 5Y-2.34%
GM growth 3Y3.63%
GM growth 5Y-0.81%
F-Score7
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | 5.17 | ||
| Debt/EBITDA | 1.97 | ||
| Cap/Depr | 124.39% | ||
| Cap/Sales | 10.12% | ||
| Interest Coverage | 4.58 | ||
| Cash Conversion | 119.23% | ||
| Profit Quality | 154.61% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 1.19 |
F-Score7
WACC7.66%
ROIC/WACC0.9
Cap/Depr(3y)108.89%
Cap/Depr(5y)99.17%
Cap/Sales(3y)9.46%
Cap/Sales(5y)12.34%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.74%
EPS 3YN/A
EPS 5Y-3.93%
EPS Q2Q%-13.08%
EPS Next Y14.34%
EPS Next 2Y13.2%
EPS Next 3Y13.85%
EPS Next 5Y7.44%
Revenue 1Y (TTM)9.43%
Revenue growth 3Y85.52%
Revenue growth 5Y7.83%
Sales Q2Q%8.14%
Revenue Next Year8.57%
Revenue Next 2Y7.73%
Revenue Next 3Y7.73%
Revenue Next 5Y7.98%
EBIT growth 1Y10.29%
EBIT growth 3YN/A
EBIT growth 5Y5.08%
EBIT Next Year146.3%
EBIT Next 3Y42.89%
EBIT Next 5Y29.64%
FCF growth 1Y17.53%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y23.35%
OCF growth 3YN/A
OCF growth 5Y14%