AIR FRANCE-KLM (AF.PA)
FR001400J770 - Common Stock
We assign a fundamental rating of 3 out of 10 to AF. AF was compared to 12 industry peers in the Passenger Airlines industry. AF may be in some trouble as it scores bad on both profitability and health. AF is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year AF was profitable.
In the past year AF had a positive cash flow from operations.
In multiple years AF reported negative net income over the last 5 years.
AF had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of AF (2.24%) is worse than 75.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 7.02%, AF is in line with its industry, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.24% | ||
| ROE | N/A | ||
| ROIC | 7.02% |
ROA(3y)-2.38%
ROA(5y)-5.96%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 2.57%, AF is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
In the last couple of years the Profit Margin of AF has grown nicely.
AF has a worse Operating Margin (5.20%) than 83.33% of its industry peers.
AF's Operating Margin has been stable in the last couple of years.
AF has a Gross Margin (46.54%) which is comparable to the rest of the industry.
AF's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.2% | ||
| PM (TTM) | 2.57% | ||
| GM | 46.54% |
OM growth 3YN/A
OM growth 5Y-0.65%
PM growth 3YN/A
PM growth 5Y11.29%
GM growth 3Y8.53%
GM growth 5Y-1.71%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AF is creating some value.
The number of shares outstanding for AF has been increased compared to 1 year ago.
AF has more shares outstanding than it did 5 years ago.
AF has a better debt/assets ratio than last year.
2.2 Solvency
AF has an Altman-Z score of 0.49. This is a bad value and indicates that AF is not financially healthy and even has some risk of bankruptcy.
AF has a worse Altman-Z score (0.49) than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.49 |
ROIC/WACC1.23
WACC5.69%
2.3 Liquidity
A Current Ratio of 0.74 indicates that AF may have some problems paying its short term obligations.
With a Current ratio value of 0.74, AF is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
AF has a Quick Ratio of 0.74. This is a bad value and indicates that AF is not financially healthy enough and could expect problems in meeting its short term obligations.
AF's Quick ratio of 0.69 is on the low side compared to the rest of the industry. AF is outperformed by 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
The earnings per share for AF have decreased strongly by -71.12% in the last year.
The Earnings Per Share has been growing by 54.75% on average over the past years. This is a very strong growth
The Revenue has grown by 13.74% in the past year. This is quite good.
The Revenue has been growing slightly by 2.74% on average over the past years.
EPS 1Y (TTM)-71.12%
EPS 3YN/A
EPS 5Y54.75%
EPS Q2Q%-98.06%
Revenue 1Y (TTM)13.74%
Revenue growth 3Y39.37%
Revenue growth 5Y2.74%
Sales Q2Q%3.42%
3.2 Future
Based on estimates for the next years, AF will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.30% on average per year.
Based on estimates for the next years, AF will show a small growth in Revenue. The Revenue will grow by 3.25% on average per year.
EPS Next Y-12.23%
EPS Next 2Y3.77%
EPS Next 3Y6.35%
EPS Next 5Y8.3%
Revenue Next Year5.16%
Revenue Next 2Y4.69%
Revenue Next 3Y4.48%
Revenue Next 5Y3.25%
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 4.99 indicates a rather cheap valuation of AF.
Compared to the rest of the industry, the Price/Earnings ratio of AF indicates a somewhat cheap valuation: AF is cheaper than 66.67% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of AF to the average of the S&P500 Index (24.41), we can say AF is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 1.88, the valuation of AF can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AF indicates a rather cheap valuation: AF is cheaper than 83.33% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.59, AF is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.99 | ||
| Fwd PE | 1.88 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AF is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 1.58 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.09
EPS Next 2Y3.77%
EPS Next 3Y6.35%
5. Dividend
5.1 Amount
No dividends for AF!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
AIR FRANCE-KLM
EPA:AF (7/26/2024, 7:00:00 PM)
8.332
0 (0%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.19B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.99 | ||
| Fwd PE | 1.88 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.24% | ||
| ROE | N/A | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 5.2% | ||
| PM (TTM) | 2.57% | ||
| GM | 46.54% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-71.12%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-12.23%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)13.74%
Revenue growth 3Y39.37%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y