WBAG:AIRF

Stock Analysis Report

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Executive Summary

Air France-KLM SA, together with its subsidiaries, provides passenger transportation services on scheduled flights.


Snowflake Analysis

Reasonable growth potential and slightly overvalued.


Similar Companies

Share Price & News

How has Air France-KLM's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: AIRF's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

22.7%

AIRF

11.3%

AT Airlines

2.2%

AT Market


1 Year Return

-60.8%

AIRF

-47.8%

AT Airlines

-20.1%

AT Market

Return vs Industry: AIRF underperformed the Austrian Airlines industry which returned -50.5% over the past year.

Return vs Market: AIRF underperformed the Austrian Market which returned -21.2% over the past year.


Shareholder returns

AIRFIndustryMarket
7 Day22.7%11.3%2.2%
30 Day0.4%1.7%0.03%
90 Day0.8%1.5%0.6%
1 Year-60.8%-60.8%-40.1%-47.8%-19.3%-20.1%
3 Yearn/a-44.9%-56.1%-16.4%-22.7%
5 Yearn/a-26.3%-38.9%17.1%2.3%

Price Volatility Vs. Market

How volatile is Air France-KLM's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Air France-KLM undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AIRF (€4.06) is trading below our estimate of fair value (€12.5)

Significantly Below Fair Value: AIRF is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: AIRF is unprofitable, so we can't compare its PE Ratio to the XE Airlines industry average.

PE vs Market: AIRF is unprofitable, so we can't compare its PE Ratio to the Austrian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate AIRF's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AIRF has negative assets, so we can't compare its PB Ratio to the XE Airlines industry average.


Next Steps

Future Growth

How is Air France-KLM forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?

102.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AIRF is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.5%).

Earnings vs Market: AIRF is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: AIRF's is expected to become profitable in the next 3 years.

Revenue vs Market: AIRF's revenue (15.5% per year) is forecast to grow faster than the Austrian market (3.9% per year).

High Growth Revenue: AIRF's revenue (15.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if AIRF's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Air France-KLM performed over the past 5 years?

-51.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AIRF is currently unprofitable.

Growing Profit Margin: AIRF is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AIRF is unprofitable, and losses have increased over the past 5 years at a rate of 51.8% per year.

Accelerating Growth: Unable to compare AIRF's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: AIRF is unprofitable, making it difficult to compare its past year earnings growth to the Airlines industry (-72.3%).


Return on Equity

High ROE: AIRF's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is Air France-KLM's financial position?


Financial Position Analysis

Short Term Liabilities: AIRF has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: AIRF has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: AIRF has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: AIRF's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: AIRF has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if AIRF has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Air France-KLM current dividend yield, its reliability and sustainability?

0.62%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate AIRF's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate AIRF's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if AIRF's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if AIRF's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: AIRF is not paying a notable dividend for the Austrian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of AIRF's dividend in 3 years as they are not forecast to pay a notable one for the Austrian market.


Next Steps

  • Explore strong dividend paying companies in the Transportation industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

3.9yrs

Average management tenure


CEO

Ben Smith (49 yo)

1.92yrs

Tenure

€3,981,657

Compensation

Mr. Benjamin M. Smith, also known as Ben, has been Chief Executive Officer at Air France-KLM SA since September 17, 2018 and has been its Director since December 5, 2018. He served as President of Passenge ...


CEO Compensation Analysis

Compensation vs Market: Ben's total compensation ($USD4.69M) is above average for companies of similar size in the Austrian market ($USD1.71M).

Compensation vs Earnings: Ben's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Benjamin Smith
CEO & Director1.92yrs€3.98m0.023%
€ 407.2k
Frédéric N. P. Gagey
Chief Financial Officer3.75yrs€739.00kno data
Eric Schramm
Executive Vice President of Operations and Accountable Manager4.67yrsno datano data
Olivier Gall
Head of Investor Relations0.92yrno datano data
Janet Dekker
Executive Vice President of Human Resource1.58yrsno datano data
Jean-Christophe Lalanne
Executive Vice President of Information Technologyno datano datano data
Pieter Bootsma
Chief Revenue Officerno datano datano data
Pieter J. Elbers
Deputy CEO and CEO & President of KLM1.5yrsno datano data
Henri de Peyrelongue
Senior VP of Commercial Planning and Representative of The Commercial4yrsno datano data
Henri Hourcade
Senior Vice President of Caribbean & Indian Ocean4yrsno datano data
Barry Voert
Senior Vice President of Europe4yrsno datano data
Soline de Montremy
Senior Vice President of Global Sales and Sales Support4yrsno datano data

3.9yrs

Average Tenure

58yo

Average Age

Experienced Management: AIRF's management team is considered experienced (3.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Benjamin Smith
CEO & Director1.92yrs€3.98m0.023%
€ 407.2k
Isabelle Bouillot
Independent Director7.25yrs€49.93k0.000050%
€ 870.0
Jean-Cyril Spinetta
Honorary Chairman7.08yrs€100.00kno data
Alexander Wynaendts
Independent Director4.25yrs€46.64k0.00023%
€ 4.0k
Jean-Dominique Comolli
Director9.67yrs€50.00kno data
Leni Maria Boeren
Independent Director3.25yrs€57.21k0.00047%
€ 8.2k
Anne-Marie Idrac
Independent Director2.75yrs€45.00k0.00023%
€ 4.0k
Maryse Aulagnon
Independent Director10.08yrs€55.21k0.00035%
€ 6.1k
Isabelle Parize
Independent Director6.42yrs€57.21k0.000070%
€ 1.2k
Anne-Marie Couderc
Independent Non-Executive Chairwoman2.25yrs€215.99k0.00023%
€ 4.0k
François Robardet
Employee Representative Director3.67yrs€53.00k0.00018%
€ 3.1k
Karim Belabbas
Employee Representative Director3.17yrs€43.21kno data

4.0yrs

Average Tenure

66yo

Average Age

Experienced Board: AIRF's board of directors are considered experienced (4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Air France-KLM SA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Air France-KLM SA
  • Ticker: AIRF
  • Exchange: WBAG
  • Founded: 1919
  • Industry: Airlines
  • Sector: Transportation
  • Market Cap: €1.740b
  • Shares outstanding: 427.43m
  • Website: https://www.airfranceklm.com

Number of Employees


Location

  • Air France-KLM SA
  • 2 rue Robert Esnault-Pelterie
  • Paris
  • Ile-de-France
  • 75007
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AFRA.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
AFENXTPA (Euronext Paris)YesOrdinary SharesFREURJan 1992
AFRDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
0LN7LSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1992
AFPBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 1992
AIRFWBAG (Wiener Boerse AG)YesOrdinary SharesATEURJan 1992
AFBIT (Borsa Italiana)YesOrdinary SharesITEURJan 1992
AFSWX (SIX Swiss Exchange)YesOrdinary SharesCHCHFJan 1992
AFLY.YOTCPK (Pink Sheets LLC)SPONSORED ADRUSUSDMay 2004
FQZDB (Deutsche Boerse AG)SPONSORED ADRDEEURMay 2004

Biography

Air France-KLM SA, together with its subsidiaries, provides passenger transportation services on scheduled flights. The company operates through Network, Maintenance, Transavia, and Other segments. It also ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/10 21:12
End of Day Share Price2020/08/10 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.