RYANAIR HOLDINGS PLC-SP ADR (RYAAY) Stock Fundamental Analysis
NASDAQ:RYAAY - Nasdaq - US7835132033 - ADR - Currency: USD
Taking everything into account, RYAAY scores 6 out of 10 in our fundamental rating. RYAAY was compared to 22 industry peers in the Passenger Airlines industry. RYAAY has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. RYAAY is not valued too expensively and it also shows a decent growth rate. These ratings could make RYAAY a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year RYAAY was profitable.
In the past year RYAAY had a positive cash flow from operations.
In multiple years RYAAY reported negative net income over the last 5 years.
Of the past 5 years RYAAY 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of RYAAY (9.21%) is better than 95.45% of its industry peers.
Looking at the Return On Equity, with a value of 22.90%, RYAAY belongs to the top of the industry, outperforming 81.82% of the companies in the same industry.
RYAAY's Return On Invested Capital of 15.02% is amongst the best of the industry. RYAAY outperforms 95.45% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RYAAY is significantly above the industry average of 8.55%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.21% | ||
| ROE | 22.9% | ||
| ROIC | 15.02% |
ROA(3y)9.46%
ROA(5y)3.71%
ROE(3y)23.79%
ROE(5y)9.03%
ROIC(3y)15.59%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of RYAAY (11.55%) is better than 95.45% of its industry peers.
In the last couple of years the Profit Margin of RYAAY has grown nicely.
The Operating Margin of RYAAY (11.17%) is better than 86.36% of its industry peers.
In the last couple of years the Operating Margin of RYAAY has declined.
The Gross Margin of RYAAY (38.73%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of RYAAY has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.17% | ||
| PM (TTM) | 11.55% | ||
| GM | 38.73% |
OM growth 3YN/A
OM growth 5Y-3.39%
PM growth 3YN/A
PM growth 5Y8.63%
GM growth 3Y7.87%
GM growth 5Y-1.58%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so RYAAY is creating value.
The number of shares outstanding for RYAAY has been reduced compared to 1 year ago.
The number of shares outstanding for RYAAY has been reduced compared to 5 years ago.
RYAAY has a better debt/assets ratio than last year.
2.2 Solvency
RYAAY has an Altman-Z score of 2.92. This is not the best score and indicates that RYAAY is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.92, RYAAY belongs to the top of the industry, outperforming 90.91% of the companies in the same industry.
The Debt to FCF ratio of RYAAY is 1.44, which is an excellent value as it means it would take RYAAY, only 1.44 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of RYAAY (1.44) is better than 100.00% of its industry peers.
A Debt/Equity ratio of 0.26 indicates that RYAAY is not too dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.26, RYAAY belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 1.44 | ||
| Altman-Z | 2.92 |
ROIC/WACC2.11
WACC7.11%
2.3 Liquidity
RYAAY has a Current Ratio of 0.74. This is a bad value and indicates that RYAAY is not financially healthy enough and could expect problems in meeting its short term obligations.
RYAAY's Current ratio of 0.74 is in line compared to the rest of the industry. RYAAY outperforms 54.55% of its industry peers.
A Quick Ratio of 0.74 indicates that RYAAY may have some problems paying its short term obligations.
RYAAY has a Quick ratio of 0.74. This is in the better half of the industry: RYAAY outperforms 68.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
The earnings per share for RYAAY have decreased strongly by -12.93% in the last year.
The Earnings Per Share has been growing by 20.18% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 3.75% in the past year.
Measured over the past years, RYAAY shows a quite strong growth in Revenue. The Revenue has been growing by 10.43% on average per year.
EPS 1Y (TTM)-12.93%
EPS 3YN/A
EPS 5Y20.18%
EPS Q2Q%-16.05%
Revenue 1Y (TTM)3.75%
Revenue growth 3Y42.69%
Revenue growth 5Y10.43%
Sales Q2Q%5.87%
3.2 Future
Based on estimates for the next years, RYAAY will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.49% on average per year.
RYAAY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.23% yearly.
EPS Next Y30.2%
EPS Next 2Y19.94%
EPS Next 3Y19.51%
EPS Next 5Y14.49%
Revenue Next Year6.29%
Revenue Next 2Y6.1%
Revenue Next 3Y6.51%
Revenue Next 5Y5.23%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
RYAAY is valuated rather expensively with a Price/Earnings ratio of 17.10.
RYAAY's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of RYAAY to the average of the S&P500 Index (27.30), we can say RYAAY is valued slightly cheaper.
A Price/Forward Earnings ratio of 13.13 indicates a correct valuation of RYAAY.
The rest of the industry has a similar Price/Forward Earnings ratio as RYAAY.
The average S&P500 Price/Forward Earnings ratio is at 21.76. RYAAY is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.1 | ||
| Fwd PE | 13.13 |
4.2 Price Multiples
RYAAY's Enterprise Value to EBITDA ratio is in line with the industry average.
RYAAY's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.31 | ||
| EV/EBITDA | 9.12 |
4.3 Compensation for Growth
RYAAY's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
RYAAY has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as RYAAY's earnings are expected to grow with 19.51% in the coming years.
PEG (NY)0.57
PEG (5Y)0.85
EPS Next 2Y19.94%
EPS Next 3Y19.51%
5. Dividend
5.1 Amount
RYAAY has a Yearly Dividend Yield of 1.65%. Purely for dividend investing, there may be better candidates out there.
RYAAY's Dividend Yield is rather good when compared to the industry average which is at 2.69. RYAAY pays more dividend than 86.36% of the companies in the same industry.
RYAAY's Dividend Yield is slightly below the S&P500 average, which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.65% |
5.2 History
RYAAY has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
27.16% of the earnings are spent on dividend by RYAAY. This is a low number and sustainable payout ratio.
DP27.16%
EPS Next 2Y19.94%
EPS Next 3Y19.51%
58.84
+0.55 (+0.94%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners54.8%
Inst Owner Change0%
Ins Owners4.21%
Ins Owner ChangeN/A
Market Cap31.24B
Analysts77.5
Price Target60.96 (3.6%)
Short Float %0.75%
Short Ratio2.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.65% |
Yearly Dividend0.94
Dividend Growth(5Y)N/A
DP27.16%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)87.17%
Min EPS beat(2)5.03%
Max EPS beat(2)169.31%
EPS beat(4)3
Avg EPS beat(4)34.06%
Min EPS beat(4)-38.77%
Max EPS beat(4)169.31%
EPS beat(8)4
Avg EPS beat(8)9.03%
EPS beat(12)6
Avg EPS beat(12)6.88%
EPS beat(16)8
Avg EPS beat(16)6.17%
Revenue beat(2)1
Avg Revenue beat(2)0.06%
Min Revenue beat(2)-1.15%
Max Revenue beat(2)1.27%
Revenue beat(4)1
Avg Revenue beat(4)-2.89%
Min Revenue beat(4)-9.46%
Max Revenue beat(4)1.27%
Revenue beat(8)3
Avg Revenue beat(8)-1.43%
Revenue beat(12)6
Avg Revenue beat(12)-0.71%
Revenue beat(16)7
Avg Revenue beat(16)-1.59%
PT rev (1m)11.26%
PT rev (3m)12.94%
EPS NQ rev (1m)-0.39%
EPS NQ rev (3m)22.16%
EPS NY rev (1m)0.06%
EPS NY rev (3m)-1.72%
Revenue NQ rev (1m)1.81%
Revenue NQ rev (3m)4.33%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.1 | ||
| Fwd PE | 13.13 | ||
| P/S | 1.91 | ||
| P/FCF | 14.31 | ||
| P/OCF | 7.81 | ||
| P/B | 3.79 | ||
| P/tB | 3.87 | ||
| EV/EBITDA | 9.12 |
EPS(TTM)3.44
EY5.85%
EPS(NY)4.48
Fwd EY7.61%
FCF(TTM)4.11
FCFY6.99%
OCF(TTM)7.54
OCFY12.81%
SpS30.78
BVpS15.53
TBVpS15.21
PEG (NY)0.57
PEG (5Y)0.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.21% | ||
| ROE | 22.9% | ||
| ROCE | 16.66% | ||
| ROIC | 15.02% | ||
| ROICexc | 26.07% | ||
| ROICexgc | 26.8% | ||
| OM | 11.17% | ||
| PM (TTM) | 11.55% | ||
| GM | 38.73% | ||
| FCFM | 13.36% |
ROA(3y)9.46%
ROA(5y)3.71%
ROE(3y)23.79%
ROE(5y)9.03%
ROIC(3y)15.59%
ROIC(5y)N/A
ROICexc(3y)28.01%
ROICexc(5y)N/A
ROICexgc(3y)28.81%
ROICexgc(5y)N/A
ROCE(3y)17.28%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y6.99%
ROICexc growth 3YN/A
ROICexc growth 5Y6.98%
OM growth 3YN/A
OM growth 5Y-3.39%
PM growth 3YN/A
PM growth 5Y8.63%
GM growth 3Y7.87%
GM growth 5Y-1.58%
F-Score6
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 1.44 | ||
| Debt/EBITDA | 0.65 | ||
| Cap/Depr | 127.84% | ||
| Cap/Sales | 11.13% | ||
| Interest Coverage | 22.35 | ||
| Cash Conversion | 123.2% | ||
| Profit Quality | 115.61% | ||
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.74 | ||
| Altman-Z | 2.92 |
F-Score6
WACC7.11%
ROIC/WACC2.11
Cap/Depr(3y)187%
Cap/Depr(5y)155.37%
Cap/Sales(3y)15.56%
Cap/Sales(5y)17.86%
Profit Quality(3y)102%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-12.93%
EPS 3YN/A
EPS 5Y20.18%
EPS Q2Q%-16.05%
EPS Next Y30.2%
EPS Next 2Y19.94%
EPS Next 3Y19.51%
EPS Next 5Y14.49%
Revenue 1Y (TTM)3.75%
Revenue growth 3Y42.69%
Revenue growth 5Y10.43%
Sales Q2Q%5.87%
Revenue Next Year6.29%
Revenue Next 2Y6.1%
Revenue Next 3Y6.51%
Revenue Next 5Y5.23%
EBIT growth 1Y-24.39%
EBIT growth 3YN/A
EBIT growth 5Y6.68%
EBIT Next Year107.14%
EBIT Next 3Y35.54%
EBIT Next 5Y22.92%
FCF growth 1Y143.24%
FCF growth 3Y34.9%
FCF growth 5Y20.02%
OCF growth 1Y8.16%
OCF growth 3Y20.74%
OCF growth 5Y20.81%