Update shared on 03 Oct 2025
Fair value Decreased 0.98%Analysts have lowered their price target for Amadeus IT Group from €77.81 to €77.05, citing a slightly weaker profit outlook and potential industry risks from technological disruption.
Analyst Commentary
Recent research updates reveal a divided outlook among analysts regarding Amadeus IT Group, reflecting both optimism about strategic positioning and caution about industry headwinds.
Bullish Takeaways
- Bullish analysts highlight continued long-term growth potential, with some setting price targets significantly above the current market level.
- There is confidence in Amadeus IT Group's ability to leverage its technology platform to benefit from secular trends in travel recovery.
- Initiation of coverage with an overweight rating indicates expectations for solid execution and market share gains.
Bearish Takeaways
- Bearish analysts are concerned that artificial intelligence and emerging technologies could disrupt traditional business models in travel and reservation systems. This could potentially impact Amadeus IT Group's valuation and competitive positioning.
- Cautious perspectives point to a foggy and uncertain industry outlook, raising concerns about revenue visibility and execution challenges in the near term.
- High investor expectations are seen as a risk. Recent price target reductions reflect concerns that current market valuations may be overly optimistic given industry headwinds.
- Downgrades and lower target prices suggest that some analysts believe near-term growth could be subdued despite the company's established market position.
What's in the News
- Amadeus and Shiji are expanding their partnership to integrate and jointly promote a portfolio of advanced hospitality technology solutions for hoteliers. (Key Developments)
- The new alliance enables single-image integration at the attribute level, positioning Amadeus Central Reservation System as the master record for both room and non-room inventory, rates, and availability. (Key Developments)
- Hoteliers can now access an integrated suite of tools encompassing property management, point of sale, reservations, sales and catering, and hotel operations. All services are provided through a unified vendor approach. (Key Developments)
- The collaboration aims to improve guest personalization and streamline upsell strategies by leveraging innovative system integration across available sales channels. (Key Developments)
- With the combined global reach of Amadeus and Shiji, hotels are expected to benefit from enhanced service continuity and centralized vendor management. (Key Developments)
Valuation Changes
- Consensus Analyst Price Target has decreased slightly from €77.81 to €77.05.
- Discount Rate has edged down from 10.16% to 10.01%.
- Revenue Growth estimates have declined marginally from 7.44% to 7.40%.
- Net Profit Margin projections have fallen from 22.12% to 21.57%.
- Future P/E ratio has risen slightly from 27.77x to 28.12x.
Disclaimer
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