DEUTSCHE LUFTHANSA-REG (LHA.DE) Stock Fundamental Analysis
Europe - FRA:LHA - DE0008232125 - Common Stock
7.228 EUR
-0.13 (-1.82%)
We assign a fundamental rating of 4 out of 10 to LHA. 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
LHA had positive earnings in the past year.
LHA had a positive operating cash flow in the past year.
In multiple years LHA reported negative net income over the last 5 years.
LHA had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
LHA has a Return On Assets of 3.68%. This is comparable to the rest of the industry: LHA outperforms 46.15% of its industry peers.
With a Return On Equity value of 17.22%, LHA perfoms like the industry average, outperforming 46.15% of the companies in the same industry.
With a Return On Invested Capital value of 4.94%, LHA is not doing good in the industry: 92.31% of the companies in the same industry are doing better.
Measured over the past 3 years, the Average Return On Invested Capital for LHA is below the industry average of 9.93%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.68% | ||
| ROE | 17.22% | ||
| ROIC | 4.94% |
ROA(3y)2.82%
ROA(5y)-2.75%
ROE(3y)12.9%
ROE(5y)-101.96%
ROIC(3y)5.56%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 4.59%, LHA is in line with its industry, outperforming 46.15% of the companies in the same industry.
LHA's Profit Margin has improved in the last couple of years.
LHA has a Operating Margin of 3.94%. This is amonst the worse of the industry: LHA underperforms 92.31% of its industry peers.
In the last couple of years the Operating Margin of LHA has declined.
LHA has a worse Gross Margin (42.93%) than 69.23% of its industry peers.
LHA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.94% | ||
| PM (TTM) | 4.59% | ||
| GM | 42.93% |
OM growth 3YN/A
OM growth 5Y-2.51%
PM growth 3YN/A
PM growth 5Y1.97%
GM growth 3Y-3.25%
GM growth 5Y-1.97%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LHA 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.
Compared to 1 year ago, LHA has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.10, we must say that LHA is in the distress zone and has some risk of bankruptcy.
LHA has a Altman-Z score of 1.10. This is in the better half of the industry: LHA outperforms 61.54% of its industry peers.
The Debt to FCF ratio of LHA is 36.61, which is on the high side as it means it would take LHA, 36.61 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 36.61, LHA is not doing good in the industry: 92.31% of the companies in the same industry are doing better.
LHA has a Debt/Equity ratio of 1.09. This is a high value indicating a heavy dependency on external financing.
LHA's Debt to Equity ratio of 1.09 is fine compared to the rest of the industry. LHA outperforms 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 36.61 | ||
| Altman-Z | 1.1 |
ROIC/WACC0.69
WACC7.21%
2.3 Liquidity
A Current Ratio of 0.78 indicates that LHA may have some problems paying its short term obligations.
The Current ratio of LHA (0.78) is better than 76.92% of its industry peers.
A Quick Ratio of 0.71 indicates that LHA may have some problems paying its short term obligations.
LHA has a Quick ratio of 0.71. This is in the better half of the industry: LHA outperforms 76.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 76.19% over the past year.
The Earnings Per Share has been decreasing by -8.68% on average over the past years.
LHA shows a small growth in Revenue. In the last year, the Revenue has grown by 6.03%.
LHA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.63% yearly.
EPS 1Y (TTM)76.19%
EPS 3YN/A
EPS 5Y-8.68%
EPS Q2Q%115.38%
Revenue 1Y (TTM)6.03%
Revenue growth 3Y30.76%
Revenue growth 5Y0.63%
Sales Q2Q%3.15%
3.2 Future
LHA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.20% yearly.
Based on estimates for the next years, LHA will show a small growth in Revenue. The Revenue will grow by 3.72% on average per year.
EPS Next Y-3.87%
EPS Next 2Y4.5%
EPS Next 3Y7.49%
EPS Next 5Y12.2%
Revenue Next Year5.75%
Revenue Next 2Y4.98%
Revenue Next 3Y4.6%
Revenue Next 5Y3.72%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 4.88, which indicates a rather cheap valuation of LHA.
Based on the Price/Earnings ratio, LHA is valued a bit cheaper than 69.23% of the companies in the same industry.
LHA is valuated cheaply when we compare the Price/Earnings ratio to 27.42, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 5.71 indicates a rather cheap valuation of LHA.
Based on the Price/Forward Earnings ratio, LHA is valued a bit cheaper than the industry average as 69.23% of the companies are valued more expensively.
LHA is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.88 | ||
| Fwd PE | 5.71 |
4.2 Price Multiples
LHA's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. LHA is cheaper than 84.62% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, LHA is valued expensively inside the industry as 92.31% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.63 | ||
| EV/EBITDA | 1.85 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y4.5%
EPS Next 3Y7.49%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.07%, LHA is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.14, LHA pays a better dividend. On top of this LHA pays more dividend than 100.00% of the companies listed in the same industry.
LHA's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.07% |
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
20.82% of the earnings are spent on dividend by LHA. This is a low number and sustainable payout ratio.
DP20.82%
EPS Next 2Y4.5%
EPS Next 3Y7.49%
FRA:LHA (10/17/2025, 7:00:00 PM)
7.228
-0.13 (-1.82%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners22.21%
Inst Owner ChangeN/A
Ins Owners15.08%
Ins Owner ChangeN/A
Market Cap8.67B
Analysts65
Price Target7.96 (10.13%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.07% |
Yearly Dividend0.31
Dividend Growth(5Y)-12.9%
DP20.82%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)13.52%
Min EPS beat(2)-48.52%
Max EPS beat(2)75.55%
EPS beat(4)3
Avg EPS beat(4)43.82%
Min EPS beat(4)-48.52%
Max EPS beat(4)125.25%
EPS beat(8)4
Avg EPS beat(8)8.01%
EPS beat(12)6
Avg EPS beat(12)3.63%
EPS beat(16)9
Avg EPS beat(16)-7.95%
Revenue beat(2)1
Avg Revenue beat(2)-1.59%
Min Revenue beat(2)-3.6%
Max Revenue beat(2)0.42%
Revenue beat(4)2
Avg Revenue beat(4)-0.91%
Min Revenue beat(4)-3.6%
Max Revenue beat(4)0.58%
Revenue beat(8)3
Avg Revenue beat(8)-1.64%
Revenue beat(12)4
Avg Revenue beat(12)-2.2%
Revenue beat(16)6
Avg Revenue beat(16)-1.87%
PT rev (1m)0%
PT rev (3m)8.57%
EPS NQ rev (1m)-2.88%
EPS NQ rev (3m)0.06%
EPS NY rev (1m)0.32%
EPS NY rev (3m)1.82%
Revenue NQ rev (1m)-0.3%
Revenue NQ rev (3m)0.08%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)0.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.88 | ||
| Fwd PE | 5.71 | ||
| P/S | 0.22 | ||
| P/FCF | 22.63 | ||
| P/OCF | 2.2 | ||
| P/B | 0.84 | ||
| P/tB | 0.97 | ||
| EV/EBITDA | 1.85 |
EPS(TTM)1.48
EY20.48%
EPS(NY)1.27
Fwd EY17.53%
FCF(TTM)0.32
FCFY4.42%
OCF(TTM)3.28
OCFY45.39%
SpS32.21
BVpS8.58
TBVpS7.47
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.68% | ||
| ROE | 17.22% | ||
| ROCE | 5.73% | ||
| ROIC | 4.94% | ||
| ROICexc | 7.3% | ||
| ROICexgc | 7.89% | ||
| OM | 3.94% | ||
| PM (TTM) | 4.59% | ||
| GM | 42.93% | ||
| FCFM | 0.99% |
ROA(3y)2.82%
ROA(5y)-2.75%
ROE(3y)12.9%
ROE(5y)-101.96%
ROIC(3y)5.56%
ROIC(5y)N/A
ROICexc(3y)8.18%
ROICexc(5y)N/A
ROICexgc(3y)8.86%
ROICexgc(5y)N/A
ROCE(3y)6.45%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y1.91%
ROICexc growth 3YN/A
ROICexc growth 5Y2.19%
OM growth 3YN/A
OM growth 5Y-2.51%
PM growth 3YN/A
PM growth 5Y1.97%
GM growth 3Y-3.25%
GM growth 5Y-1.97%
F-Score7
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 36.61 | ||
| Debt/EBITDA | 2.84 | ||
| Cap/Depr | 146.35% | ||
| Cap/Sales | 9.19% | ||
| Interest Coverage | 1.97 | ||
| Cash Conversion | 99.62% | ||
| Profit Quality | 21.61% | ||
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 1.1 |
F-Score7
WACC7.21%
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)76.19%
EPS 3YN/A
EPS 5Y-8.68%
EPS Q2Q%115.38%
EPS Next Y-3.87%
EPS Next 2Y4.5%
EPS Next 3Y7.49%
EPS Next 5Y12.2%
Revenue 1Y (TTM)6.03%
Revenue growth 3Y30.76%
Revenue growth 5Y0.63%
Sales Q2Q%3.15%
Revenue Next Year5.75%
Revenue Next 2Y4.98%
Revenue Next 3Y4.6%
Revenue Next 5Y3.72%
EBIT growth 1Y3.96%
EBIT growth 3YN/A
EBIT growth 5Y-1.9%
EBIT Next Year173.5%
EBIT Next 3Y47.93%
EBIT Next 5Y29.98%
FCF growth 1Y-64.07%
FCF growth 3YN/A
FCF growth 5Y-14.95%
OCF growth 1Y2.82%
OCF growth 3Y113.67%
OCF growth 5Y-0.62%