AIRBUS SE (AIR.PA) Stock Fundamental Analysis
EPA:AIR - Euronext Paris - Matif - NL0000235190 - Common Stock - Currency: EUR
AIR gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 39 industry peers in the Aerospace & Defense industry. AIR has a medium profitability rating, but doesn't score so well on its financial health evaluation. AIR has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
AIR had positive earnings in the past year.
In the past year AIR had a positive cash flow from operations.
AIR had positive earnings in 4 of the past 5 years.
AIR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.31%, AIR is in line with its industry, outperforming 53.85% of the companies in the same industry.
AIR has a better Return On Equity (21.84%) than 84.62% of its industry peers.
With a Return On Invested Capital value of 5.44%, AIR perfoms like the industry average, outperforming 43.59% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for AIR is below the industry average of 8.55%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.31% | ||
| ROE | 21.84% | ||
| ROIC | 5.44% |
ROA(3y)3.38%
ROA(5y)2.61%
ROE(3y)25.26%
ROE(5y)20.54%
ROIC(3y)5.64%
ROIC(5y)4.87%
1.3 Margins
The Profit Margin of AIR (6.19%) is comparable to the rest of the industry.
AIR's Profit Margin has declined in the last couple of years.
AIR has a Operating Margin of 7.16%. This is comparable to the rest of the industry: AIR outperforms 48.72% of its industry peers.
In the last couple of years the Operating Margin of AIR has grown nicely.
AIR has a Gross Margin of 15.42%. This is in the lower half of the industry: AIR underperforms 69.23% of its industry peers.
AIR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.16% | ||
| PM (TTM) | 6.19% | ||
| GM | 15.42% |
OM growth 3Y-10.35%
OM growth 5Y38.69%
PM growth 3Y-8.88%
PM growth 5YN/A
GM growth 3Y-5.84%
GM growth 5Y0.68%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AIR is destroying value.
Compared to 1 year ago, AIR has about the same amount of shares outstanding.
The number of shares outstanding for AIR has been increased compared to 5 years ago.
The debt/assets ratio for AIR has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.69, we must say that AIR is in the distress zone and has some risk of bankruptcy.
AIR has a worse Altman-Z score (1.69) than 66.67% of its industry peers.
AIR has a debt to FCF ratio of 4.86. This is a neutral value as AIR would need 4.86 years to pay back of all of its debts.
AIR has a Debt to FCF ratio of 4.86. This is in the better half of the industry: AIR outperforms 66.67% of its industry peers.
AIR has a Debt/Equity ratio of 0.72. This is a neutral value indicating AIR is somewhat dependend on debt financing.
The Debt to Equity ratio of AIR (0.72) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 4.86 | ||
| Altman-Z | 1.69 |
ROIC/WACC0.72
WACC7.53%
2.3 Liquidity
AIR has a Current Ratio of 1.15. This is a normal value and indicates that AIR is financially healthy and should not expect problems in meeting its short term obligations.
AIR has a Current ratio of 1.15. This is comparable to the rest of the industry: AIR outperforms 48.72% of its industry peers.
A Quick Ratio of 0.52 indicates that AIR may have some problems paying its short term obligations.
AIR has a Quick ratio of 0.52. This is in the lower half of the industry: AIR underperforms 76.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
AIR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -17.40%.
Measured over the past years, AIR shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.79% on average per year.
AIR shows a small growth in Revenue. In the last year, the Revenue has grown by 5.78%.
AIR shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.36% yearly.
EPS 1Y (TTM)-17.4%
EPS 3Y-0.06%
EPS 5Y-2.79%
EPS Q2Q%32.89%
Revenue 1Y (TTM)5.78%
Revenue growth 3Y9.9%
Revenue growth 5Y-0.36%
Sales Q2Q%8%
3.2 Future
AIR is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.02% yearly.
Based on estimates for the next years, AIR will show a quite strong growth in Revenue. The Revenue will grow by 9.24% on average per year.
EPS Next Y30.68%
EPS Next 2Y25.52%
EPS Next 3Y24.1%
EPS Next 5Y21.02%
Revenue Next Year9.92%
Revenue Next 2Y11.04%
Revenue Next 3Y11.18%
Revenue Next 5Y9.24%
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
A Price/Earnings ratio of 32.36 indicates a quite expensive valuation of AIR.
64.10% of the companies in the same industry are more expensive than AIR, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 29.07, AIR is valued at the same level.
The Price/Forward Earnings ratio is 24.77, which indicates a rather expensive current valuation of AIR.
The rest of the industry has a similar Price/Forward Earnings ratio as AIR.
The average S&P500 Price/Forward Earnings ratio is at 22.05. AIR is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.36 | ||
| Fwd PE | 24.77 |
4.2 Price Multiples
AIR's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. AIR is cheaper than 66.67% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AIR is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.2 | ||
| EV/EBITDA | 16.82 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
AIR's earnings are expected to grow with 24.10% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.05
PEG (5Y)N/A
EPS Next 2Y25.52%
EPS Next 3Y24.1%
5. Dividend
5.1 Amount
AIR has a Yearly Dividend Yield of 1.11%.
Compared to an average industry Dividend Yield of 1.18, AIR pays a bit more dividend than its industry peers.
With a Dividend Yield of 1.11, AIR pays less dividend than the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
5.2 History
The dividend of AIR is nicely growing with an annual growth rate of 11.34%!
Dividend Growth(5Y)11.34%
Div Incr Years1
Div Non Decr Years2
5.3 Sustainability
AIR pays out 51.73% of its income as dividend. This is a bit on the high side, but may be sustainable.
AIR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP51.73%
EPS Next 2Y25.52%
EPS Next 3Y24.1%
EPA:AIR (3/26/2025, 2:23:18 PM)
170.56
-1.76 (-1.02%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners28.97%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap135.13B
Analysts78.52
Price Target183.93 (7.84%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
Yearly Dividend2.81
Dividend Growth(5Y)11.34%
DP51.73%
Div Incr Years1
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.54%
Min EPS beat(2)12.5%
Max EPS beat(2)14.58%
EPS beat(4)2
Avg EPS beat(4)-10.28%
Min EPS beat(4)-58.43%
Max EPS beat(4)14.58%
EPS beat(8)6
Avg EPS beat(8)6.73%
EPS beat(12)9
Avg EPS beat(12)21.31%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-0.38%
Min Revenue beat(2)-0.39%
Max Revenue beat(2)-0.37%
Revenue beat(4)0
Avg Revenue beat(4)-0.85%
Min Revenue beat(4)-1.61%
Max Revenue beat(4)-0.37%
Revenue beat(8)1
Avg Revenue beat(8)-0.51%
Revenue beat(12)3
Avg Revenue beat(12)-0.47%
Revenue beat(16)5
Avg Revenue beat(16)-0.54%
PT rev (1m)2.88%
PT rev (3m)11.38%
EPS NQ rev (1m)-44.29%
EPS NQ rev (3m)-46.82%
EPS NY rev (1m)0%
EPS NY rev (3m)-3.54%
Revenue NQ rev (1m)-6.81%
Revenue NQ rev (3m)-8.14%
Revenue NY rev (1m)-0.32%
Revenue NY rev (3m)-1.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.36 | ||
| Fwd PE | 24.77 | ||
| P/S | 1.95 | ||
| P/FCF | 36.2 | ||
| P/OCF | 18.26 | ||
| P/B | 6.89 | ||
| P/tB | 55.68 | ||
| EV/EBITDA | 16.82 |
EPS(TTM)5.27
EY3.09%
EPS(NY)6.89
Fwd EY4.04%
FCF(TTM)4.71
FCFY2.76%
OCF(TTM)9.34
OCFY5.48%
SpS87.38
BVpS24.75
TBVpS3.06
PEG (NY)1.05
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.31% | ||
| ROE | 21.84% | ||
| ROCE | 7.21% | ||
| ROIC | 5.44% | ||
| ROICexc | 7.55% | ||
| ROICexgc | 11.57% | ||
| OM | 7.16% | ||
| PM (TTM) | 6.19% | ||
| GM | 15.42% | ||
| FCFM | 5.39% |
ROA(3y)3.38%
ROA(5y)2.61%
ROE(3y)25.26%
ROE(5y)20.54%
ROIC(3y)5.64%
ROIC(5y)4.87%
ROICexc(3y)8%
ROICexc(5y)6.87%
ROICexgc(3y)12.64%
ROICexgc(5y)10.94%
ROCE(3y)7.48%
ROCE(5y)6.45%
ROICexcg growth 3Y-8.19%
ROICexcg growth 5Y29.01%
ROICexc growth 3Y-6.34%
ROICexc growth 5Y32.1%
OM growth 3Y-10.35%
OM growth 5Y38.69%
PM growth 3Y-8.88%
PM growth 5YN/A
GM growth 3Y-5.84%
GM growth 5Y0.68%
F-Score7
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 4.86 | ||
| Debt/EBITDA | 1.8 | ||
| Cap/Depr | 128.6% | ||
| Cap/Sales | 5.3% | ||
| Interest Coverage | 6.3 | ||
| Cash Conversion | 94.81% | ||
| Profit Quality | 87.18% | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | 1.69 |
F-Score7
WACC7.53%
ROIC/WACC0.72
Cap/Depr(3y)118.47%
Cap/Depr(5y)100.09%
Cap/Sales(3y)4.72%
Cap/Sales(5y)4.28%
Profit Quality(3y)87.6%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-17.4%
EPS 3Y-0.06%
EPS 5Y-2.79%
EPS Q2Q%32.89%
EPS Next Y30.68%
EPS Next 2Y25.52%
EPS Next 3Y24.1%
EPS Next 5Y21.02%
Revenue 1Y (TTM)5.78%
Revenue growth 3Y9.9%
Revenue growth 5Y-0.36%
Sales Q2Q%8%
Revenue Next Year9.92%
Revenue Next 2Y11.04%
Revenue Next 3Y11.18%
Revenue Next 5Y9.24%
EBIT growth 1Y14.25%
EBIT growth 3Y-1.48%
EBIT growth 5Y38.19%
EBIT Next Year85.01%
EBIT Next 3Y33.47%
EBIT Next 5Y22.36%
FCF growth 1Y16.51%
FCF growth 3Y11.25%
FCF growth 5Y21.45%
OCF growth 1Y18.34%
OCF growth 3Y16.85%
OCF growth 5Y14.55%