FRAPORT AG FRANKFURT AIRPORT (FRA.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:FRA - DE0005773303 - Common Stock
75.825 EUR
-0.77 (-1.01%)
Overall FRA gets a fundamental rating of 3 out of 10. We evaluated FRA against 13 industry peers in the Transportation Infrastructure industry. There are concerns on the financial health of FRA while its profitability can be described as average. While showing a medium growth rate, FRA is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
- FRA had positive earnings in the past year.
- FRA had a positive operating cash flow in the past year.
- Of the past 5 years FRA 4 years were profitable.
- Of the past 5 years FRA 4 years had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of FRA (2.30%) is comparable to the rest of the industry.
- FRA has a Return On Equity (9.11%) which is in line with its industry peers.
- FRA has a Return On Invested Capital of 3.58%. This is in the lower half of the industry: FRA underperforms 69.23% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for FRA is significantly below the industry average of 8.46%.
- The last Return On Invested Capital (3.58%) for FRA is above the 3 year average (2.83%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.3% | ||
| ROE | 9.11% | ||
| ROIC | 3.58% |
ROA(3y)1.69%
ROA(5y)0.18%
ROE(3y)7.27%
ROE(5y)1.17%
ROIC(3y)2.83%
ROIC(5y)N/A
1.3 Margins
- Looking at the Profit Margin, with a value of 10.71%, FRA is in the better half of the industry, outperforming 61.54% of the companies in the same industry.
- In the last couple of years the Profit Margin of FRA has declined.
- FRA has a Operating Margin of 19.70%. This is in the better half of the industry: FRA outperforms 61.54% of its industry peers.
- In the last couple of years the Operating Margin of FRA has declined.
- Looking at the Gross Margin, with a value of 64.94%, FRA is doing worse than 61.54% of the companies in the same industry.
- FRA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.7% | ||
| PM (TTM) | 10.71% | ||
| GM | 64.94% |
OM growth 3YN/A
OM growth 5Y-2.66%
PM growth 3Y38.12%
PM growth 5Y-2.16%
GM growth 3Y-0.21%
GM growth 5Y0.11%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so FRA is still creating some value.
- FRA has about the same amout of shares outstanding than it did 1 year ago.
- The number of shares outstanding for FRA remains at a similar level compared to 5 years ago.
- Compared to 1 year ago, FRA has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.00, we must say that FRA is in the distress zone and has some risk of bankruptcy.
- FRA has a Altman-Z score of 1.00. This is in the lower half of the industry: FRA underperforms 76.92% of its industry peers.
- A Debt/Equity ratio of 2.38 is on the high side and indicates that FRA has dependencies on debt financing.
- Looking at the Debt to Equity ratio, with a value of 2.38, FRA is doing worse than 76.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.38 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1 |
ROIC/WACC1.06
WACC3.38%
2.3 Liquidity
- A Current Ratio of 1.87 indicates that FRA should not have too much problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.87, FRA is in the better half of the industry, outperforming 76.92% of the companies in the same industry.
- FRA has a Quick Ratio of 1.85. This is a normal value and indicates that FRA is financially healthy and should not expect problems in meeting its short term obligations.
- FRA's Quick ratio of 1.85 is amongst the best of the industry. FRA outperforms 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.87 | ||
| Quick Ratio | 1.85 |
3. Growth
3.1 Past
- FRA shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.42%.
- The Earnings Per Share has been growing slightly by 1.50% on average over the past years.
- Looking at the last year, FRA shows a small growth in Revenue. The Revenue has grown by 0.11% in the last year.
- The Revenue has been growing slightly by 3.62% on average over the past years.
EPS 1Y (TTM)2.42%
EPS 3Y76.46%
EPS 5Y1.5%
EPS Q2Q%31.73%
Revenue 1Y (TTM)0.11%
Revenue growth 3Y27.35%
Revenue growth 5Y3.62%
Sales Q2Q%-0.3%
3.2 Future
- The Earnings Per Share is expected to grow by 6.30% on average over the next years.
- The Revenue is expected to grow by 3.69% on average over the next years.
EPS Next Y-4.52%
EPS Next 2Y-9.49%
EPS Next 3Y-4.37%
EPS Next 5Y6.3%
Revenue Next Year0.11%
Revenue Next 2Y1.51%
Revenue Next 3Y2.46%
Revenue Next 5Y3.69%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- 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
- With a Price/Earnings ratio of 14.96, FRA is valued correctly.
- 76.92% of the companies in the same industry are more expensive than FRA, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 27.30, FRA is valued a bit cheaper.
- A Price/Forward Earnings ratio of 18.93 indicates a rather expensive valuation of FRA.
- Based on the Price/Forward Earnings ratio, FRA is valued a bit cheaper than 61.54% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of FRA to the average of the S&P500 Index (24.32), we can say FRA is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.96 | ||
| Fwd PE | 18.93 |
4.2 Price Multiples
- 69.23% of the companies in the same industry are cheaper than FRA, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.75 |
4.3 Compensation for Growth
- FRA's earnings are expected to decrease with -4.37% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)9.99
EPS Next 2Y-9.49%
EPS Next 3Y-4.37%
5. Dividend
5.1 Amount
- FRA has a Yearly Dividend Yield of 1.35%.
- Compared to an average industry Dividend Yield of 3.48, FRA is paying slightly less dividend.
- FRA's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.35% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y-9.49%
EPS Next 3Y-4.37%
FRAPORT AG FRANKFURT AIRPORT / FRA.DE FAQ
What is the ChartMill fundamental rating of FRAPORT AG FRANKFURT AIRPORT (FRA.DE) stock?
ChartMill assigns a fundamental rating of 3 / 10 to FRA.DE.
What is the valuation status for FRA stock?
ChartMill assigns a valuation rating of 3 / 10 to FRAPORT AG FRANKFURT AIRPORT (FRA.DE). This can be considered as Overvalued.
How profitable is FRAPORT AG FRANKFURT AIRPORT (FRA.DE) stock?
FRAPORT AG FRANKFURT AIRPORT (FRA.DE) has a profitability rating of 4 / 10.
What are the PE and PB ratios of FRAPORT AG FRANKFURT AIRPORT (FRA.DE) stock?
The Price/Earnings (PE) ratio for FRAPORT AG FRANKFURT AIRPORT (FRA.DE) is 14.96 and the Price/Book (PB) ratio is 1.36.
What is the expected EPS growth for FRAPORT AG FRANKFURT AIRPORT (FRA.DE) stock?
The Earnings per Share (EPS) of FRAPORT AG FRANKFURT AIRPORT (FRA.DE) is expected to decline by -4.52% in the next year.