DEUTSCHE LUFTHANSA-REG (LHA.DE) Stock Fundamental Analysis
FRA:LHA - Deutsche Boerse Ag - DE0008232125 - Common Stock - Currency: EUR
Taking everything into account, LHA scores 4 out of 10 in our fundamental rating. LHA was compared to 12 industry peers in the Passenger Airlines industry. Both the profitability and financial health of LHA have multiple concerns. LHA has a correct valuation and a medium growth rate. Finally LHA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year LHA was profitable.
LHA had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: LHA reported negative net income in multiple years.
LHA had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a Return On Assets value of 2.55%, LHA perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
LHA has a Return On Equity (11.72%) which is in line with its industry peers.
Looking at the Return On Invested Capital, with a value of 4.62%, LHA is doing worse than 91.67% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for LHA is below the industry average of 8.15%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.55% | ||
| ROE | 11.72% | ||
| ROIC | 4.62% |
ROA(3y)2.82%
ROA(5y)-2.75%
ROE(3y)12.9%
ROE(5y)-101.96%
ROIC(3y)5.36%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of LHA (3.21%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of LHA has grown nicely.
LHA's Operating Margin of 3.78% is on the low side compared to the rest of the industry. LHA is outperformed by 91.67% of its industry peers.
In the last couple of years the Operating Margin of LHA has declined.
LHA's Gross Margin of 42.67% is on the low side compared to the rest of the industry. LHA is outperformed by 66.67% of its industry peers.
LHA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.78% | ||
| PM (TTM) | 3.21% | ||
| GM | 42.67% |
OM growth 3YN/A
OM growth 5Y-5.09%
PM growth 3YN/A
PM growth 5Y1.97%
GM growth 3Y-3.25%
GM growth 5Y-1.97%
2. Health
2.1 Basic Checks
LHA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, LHA has about the same amount of shares outstanding.
LHA has more shares outstanding than it did 5 years ago.
The debt/assets ratio for LHA has been reduced compared to a year ago.
2.2 Solvency
LHA has an Altman-Z score of 1.08. This is a bad value and indicates that LHA is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of LHA (1.08) is better than 66.67% of its industry peers.
LHA has a debt to FCF ratio of 17.96. This is a negative value and a sign of low solvency as LHA would need 17.96 years to pay back of all of its debts.
The Debt to FCF ratio of LHA (17.96) is comparable to the rest of the industry.
A Debt/Equity ratio of 1.15 is on the high side and indicates that LHA has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.15, LHA is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 17.96 | ||
| Altman-Z | 1.08 |
ROIC/WACC0.69
WACC6.69%
2.3 Liquidity
A Current Ratio of 0.80 indicates that LHA may have some problems paying its short term obligations.
LHA has a better Current ratio (0.80) than 75.00% of its industry peers.
A Quick Ratio of 0.72 indicates that LHA may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.72, LHA is in line with its industry, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.72 |
3. Growth
3.1 Past
LHA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.21%.
The Earnings Per Share has been decreasing by -8.68% on average over the past years.
The Revenue has been growing slightly by 6.98% in the past year.
Measured over the past years, LHA shows a small growth in Revenue. The Revenue has been growing by 0.63% on average per year.
EPS 1Y (TTM)-7.21%
EPS 3YN/A
EPS 5Y-8.68%
EPS Q2Q%-21.31%
Revenue 1Y (TTM)6.98%
Revenue growth 3Y30.76%
Revenue growth 5Y0.63%
Sales Q2Q%9.94%
3.2 Future
LHA is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.83% yearly.
The Revenue is expected to grow by 2.81% on average over the next years.
EPS Next Y-5.59%
EPS Next 2Y8.19%
EPS Next 3Y10.32%
EPS Next 5Y4.83%
Revenue Next Year5.4%
Revenue Next 2Y4.68%
Revenue Next 3Y4.34%
Revenue Next 5Y2.81%
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
The Price/Earnings ratio is 7.17, which indicates a rather cheap valuation of LHA.
LHA's Price/Earnings is on the same level as the industry average.
LHA is valuated cheaply when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 5.44 indicates a rather cheap valuation of LHA.
66.67% of the companies in the same industry are more expensive than LHA, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of LHA to the average of the S&P500 Index (21.76), we can say LHA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.17 | ||
| Fwd PE | 5.44 |
4.2 Price Multiples
83.33% of the companies in the same industry are more expensive than LHA, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of LHA indicates a slightly more expensive valuation: LHA is more expensive than 66.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.27 | ||
| EV/EBITDA | 1.84 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y8.19%
EPS Next 3Y10.32%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.10%, LHA is a good candidate for dividend investing.
LHA's Dividend Yield is rather good when compared to the industry average which is at 3.18. LHA pays more dividend than 100.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.37, LHA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.1% |
5.2 History
The dividend of LHA decreases each year by -12.90%.
Dividend Growth(5Y)-12.9%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
30.84% of the earnings are spent on dividend by LHA. This is a low number and sustainable payout ratio.
DP30.84%
EPS Next 2Y8.19%
EPS Next 3Y10.32%
FRA:LHA (7/11/2025, 7:00:00 PM)
7.384
-0.11 (-1.49%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners14.73%
Inst Owner ChangeN/A
Ins Owners15.08%
Ins Owner ChangeN/A
Market Cap8.85B
Analysts64.8
Price Target7.23 (-2.09%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.1% |
Yearly Dividend0.31
Dividend Growth(5Y)-12.9%
DP30.84%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)38.36%
Min EPS beat(2)-48.52%
Max EPS beat(2)125.25%
EPS beat(4)2
Avg EPS beat(4)21.37%
Min EPS beat(4)-48.52%
Max EPS beat(4)125.25%
EPS beat(8)4
Avg EPS beat(8)-1.11%
EPS beat(12)6
Avg EPS beat(12)-0.92%
EPS beat(16)8
Avg EPS beat(16)-13.55%
Revenue beat(2)2
Avg Revenue beat(2)0.5%
Min Revenue beat(2)0.42%
Max Revenue beat(2)0.58%
Revenue beat(4)2
Avg Revenue beat(4)-0.08%
Min Revenue beat(4)-1.04%
Max Revenue beat(4)0.58%
Revenue beat(8)3
Avg Revenue beat(8)-1.63%
Revenue beat(12)5
Avg Revenue beat(12)-1.57%
Revenue beat(16)6
Avg Revenue beat(16)-2.42%
PT rev (1m)1.38%
PT rev (3m)-4.72%
EPS NQ rev (1m)2.51%
EPS NQ rev (3m)-16.58%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.77%
Revenue NQ rev (1m)0.87%
Revenue NQ rev (3m)-0.19%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.17 | ||
| Fwd PE | 5.44 | ||
| P/S | 0.23 | ||
| P/FCF | 11.27 | ||
| P/OCF | 2.04 | ||
| P/B | 0.84 | ||
| P/tB | 0.97 | ||
| EV/EBITDA | 1.84 |
EPS(TTM)1.03
EY13.95%
EPS(NY)1.36
Fwd EY18.39%
FCF(TTM)0.66
FCFY8.87%
OCF(TTM)3.63
OCFY49.13%
SpS31.97
BVpS8.75
TBVpS7.65
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.55% | ||
| ROE | 11.72% | ||
| ROCE | 5.36% | ||
| ROIC | 4.62% | ||
| ROICexc | 6.87% | ||
| ROICexgc | 7.41% | ||
| OM | 3.78% | ||
| PM (TTM) | 3.21% | ||
| GM | 42.67% | ||
| FCFM | 2.05% |
ROA(3y)2.82%
ROA(5y)-2.75%
ROE(3y)12.9%
ROE(5y)-101.96%
ROIC(3y)5.36%
ROIC(5y)N/A
ROICexc(3y)7.89%
ROICexc(5y)N/A
ROICexgc(3y)8.55%
ROICexgc(5y)N/A
ROCE(3y)6.22%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-0.79%
ROICexc growth 3YN/A
ROICexc growth 5Y-0.51%
OM growth 3YN/A
OM growth 5Y-5.09%
PM growth 3YN/A
PM growth 5Y1.97%
GM growth 3Y-3.25%
GM growth 5Y-1.97%
F-Score5
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 17.96 | ||
| Debt/EBITDA | 3.14 | ||
| Cap/Depr | 147.74% | ||
| Cap/Sales | 9.3% | ||
| Interest Coverage | 2.72 | ||
| Cash Conversion | 112.62% | ||
| Profit Quality | 63.87% | ||
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.72 | ||
| Altman-Z | 1.08 |
F-Score5
WACC6.69%
ROIC/WACC0.69
Cap/Depr(3y)134.14%
Cap/Depr(5y)97.69%
Cap/Sales(3y)9.13%
Cap/Sales(5y)8.88%
Profit Quality(3y)150.91%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.21%
EPS 3YN/A
EPS 5Y-8.68%
EPS Q2Q%-21.31%
EPS Next Y-5.59%
EPS Next 2Y8.19%
EPS Next 3Y10.32%
EPS Next 5Y4.83%
Revenue 1Y (TTM)6.98%
Revenue growth 3Y30.76%
Revenue growth 5Y0.63%
Sales Q2Q%9.94%
Revenue Next Year5.4%
Revenue Next 2Y4.68%
Revenue Next 3Y4.34%
Revenue Next 5Y2.81%
EBIT growth 1Y-23.7%
EBIT growth 3YN/A
EBIT growth 5Y-4.5%
EBIT Next Year173.88%
EBIT Next 3Y48.48%
EBIT Next 5Y28.15%
FCF growth 1Y-68.96%
FCF growth 3YN/A
FCF growth 5Y-14.95%
OCF growth 1Y-17.25%
OCF growth 3Y113.67%
OCF growth 5Y-0.62%