DB:TUI1

Stock Analysis Report

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Executive Summary

TUI AG, together with its subsidiaries, provides tourism services worldwide.


Snowflake Analysis

High growth potential and fair value.


Similar Companies

Share Price & News

How has TUI's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TUI1's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-6.1%

TUI1

-1.6%

DE Hospitality

0.7%

DE Market


1 Year Return

-52.2%

TUI1

-35.2%

DE Hospitality

3.9%

DE Market

Return vs Industry: TUI1 underperformed the German Hospitality industry which returned -35.6% over the past year.

Return vs Market: TUI1 underperformed the German Market which returned 3% over the past year.


Shareholder returns

TUI1IndustryMarket
7 Day-6.1%-1.6%0.7%
30 Day-25.6%-13.5%1.4%
90 Day-10.9%3.8%17.3%
1 Year-49.8%-52.2%-32.4%-35.2%6.2%3.9%
3 Year-63.7%-69.0%-49.3%-56.3%1.8%-6.2%
5 Year-66.9%-74.0%-50.8%-61.1%9.3%-5.4%

Price Volatility Vs. Market

How volatile is TUI's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is TUI 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: TUI1 (€4.09) is trading below our estimate of fair value (€12.83)

Significantly Below Fair Value: TUI1 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: TUI1 is unprofitable, so we can't compare its PE Ratio to the DE Hospitality industry average.

PE vs Market: TUI1 is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate TUI1's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: TUI1 is good value based on its PB Ratio (1.2x) compared to the DE Hospitality industry average (2.1x).


Next Steps

Future Growth

How is TUI forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

143.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TUI1 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).

Earnings vs Market: TUI1 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: TUI1's is expected to become profitable in the next 3 years.

Revenue vs Market: TUI1's revenue (14.7% per year) is forecast to grow faster than the German market (6% per year).

High Growth Revenue: TUI1's revenue (14.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TUI1's Return on Equity is forecast to be high in 3 years time (28.2%)


Next Steps

Past Performance

How has TUI performed over the past 5 years?

12.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TUI1 is currently unprofitable.

Growing Profit Margin: TUI1 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: TUI1 is unprofitable, but has reduced losses over the past 5 years at a rate of 12.1% per year.

Accelerating Growth: Unable to compare TUI1's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: TUI1 is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (-15.6%).


Return on Equity

High ROE: TUI1 has a negative Return on Equity (-0.89%), as it is currently unprofitable.


Next Steps

Financial Health

How is TUI's financial position?


Financial Position Analysis

Short Term Liabilities: TUI1's short term assets (€4.4B) do not cover its short term liabilities (€8.7B).

Long Term Liabilities: TUI1's short term assets (€4.4B) do not cover its long term liabilities (€6.9B).


Debt to Equity History and Analysis

Debt Level: TUI1's debt to equity ratio (72.1%) is considered high.

Reducing Debt: TUI1's debt to equity ratio has reduced from 107.7% to 72.1% over the past 5 years.

Debt Coverage: TUI1's debt is well covered by operating cash flow (54.8%).

Interest Coverage: TUI1 is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is TUI current dividend yield, its reliability and sustainability?

13.20%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: TUI1's dividend (13.2%) is higher than the bottom 25% of dividend payers in the German market (1.25%).

High Dividend: TUI1's dividend (13.2%) is in the top 25% of dividend payers in the German market (3.85%)


Stability and Growth of Payments

Stable Dividend: TUI1 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: TUI1's dividend payments have increased, but the company has only paid a dividend for 7 years.


Current Payout to Shareholders

Dividend Coverage: TUI1 is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: TUI1's dividends in 3 years are forecast to be well covered by earnings (24.3% payout ratio).


Next Steps

Management

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

4.9yrs

Average management tenure


CEO

Fritz Joussen (57yo)

4.42yrs

Tenure

€5,181,300

Compensation

Mr. Friedrich Joussen, also known as Fritz, has been the Chief Executive Officer of TUI AG since February 2016 and also served as its Joint Chief Executive since December 2014. Mr. Joussen has been the Cha ...


CEO Compensation Analysis

Compensation vs Market: Fritz's total compensation ($USD5.86M) is above average for companies of similar size in the German market ($USD2.59M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Friedrich Joussen
Chairman of Executive Board & CEO4.42yrs€5.18m0.14% 3.3m
Birgit Conix
CFO & Member of the Executive Board1.75yrs€2.55mno data
Sebastian Ebel
Member of the Executive Board and CEO of Hotels & Resorts5.58yrs€2.55m0.0022% 52.0k
David Burling
Member of the Executive Board and CEO of Markets & Airlines5.08yrs€2.50m0.0028% 66.7k
Elke Eller
HR & Labour Director and Member of the Executive Board4.75yrs€2.65m0.0038% 92.3k
Frank Rosenberger
CIO, Future Markets & Member of Executive Board3.5yrs€2.46m0.00085% 20.5k
Wolfgang Flintermann
Group Director of Financial Accounting & Reporting and Member of Supervisory Board4.08yrs€100.00k0.00043% 10.4k
Hilka Schneider
Group Director of Legal6.33yrsno datano data
Michael Röll
Head of Group Communicationsno datano datano data
Erik Friemuth
Group Chief Marketing Officerno datano datano data

4.9yrs

Average Tenure

55yo

Average Age

Experienced Management: TUI1's management team is considered experienced (4.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Wolfgang Flintermann
Group Director of Financial Accounting & Reporting and Member of Supervisory Board4.08yrs€100.00k0.00043% 10.4k
Dieter Zetsche
Independent Chairman of Supervisory Board1.17yrs€227.60k0.018% 429.6k
Peter Long
Second Deputy Chairman of Supervisory Board2.42yrs€332.00k0.0018% 42.2k
Edgar Ernst
Independent Member of Supervisory Board9.42yrs€285.90kno data
Ortwin Strubelt
Member of Supervisory Board11.25yrs€212.10k0.00050% 12.0k
Andreas Barczewski
Member of Supervisory Board14.17yrs€185.90kno data
Frank Jakobi
Deputy Chairman of Supervisory Board6.17yrs€288.00k0.00020% 4.8k
Anette Strempel
Member of Supervisory Board11.5yrs€164.10k0.00036% 8.7k
Angelika Gifford
Independent Member of Supervisory Board8.33yrs€166.00k0.00070% 16.9k
Michael Pönipp
Member of Supervisory Board7.25yrs€182.90k0.00013% 3.1k

7.8yrs

Average Tenure

57yo

Average Age

Experienced Board: TUI1's board of directors are considered experienced (7.8 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

TUI AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: TUI AG
  • Ticker: TUI1
  • Exchange: DB
  • Founded:
  • Industry: Hotels, Resorts and Cruise Lines
  • Sector: Consumer Services
  • Market Cap: €2.410b
  • Shares outstanding: 589.02m
  • Website: https://www.tuigroup.com/de-de

Number of Employees


Location

  • TUI AG
  • Karl-Wiechert-Allee 4
  • Hanover
  • Lower Saxony
  • 30625
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TUIF.FOTCPK (Pink Sheets LLC)YesRegistered SharesUSUSDJan 1980
TUI1DB (Deutsche Boerse AG)YesRegistered SharesDEEURJan 1980
TUILSE (London Stock Exchange)YesRegistered SharesGBGBPJan 1980
TUI1XTRA (XETRA Trading Platform)YesRegistered SharesDEEURJan 1980
TUI1DBATS-CHIXE (BATS 'Chi-X Europe')YesRegistered SharesGBEURJan 1980
TUI1SWX (SIX Swiss Exchange)YesRegistered SharesCHCHFJan 1980
TUILBATS-CHIXE (BATS 'Chi-X Europe')YesRegistered SharesGBGBPJan 1980
TUI NBMV (Bolsa Mexicana de Valores)YesRegistered SharesMXMXNJan 1980
TUI1ETLX (Eurotlx)YesRegistered SharesITEURJan 1980
TUIF.YOTCPK (Pink Sheets LLC)ADRUSUSDOct 2008
TUI2BST (Boerse-Stuttgart)ADRDEEUROct 2008

Biography

TUI AG, together with its subsidiaries, provides tourism services worldwide. It operates hotels and resorts under the Robinson, Riu, TUI Blue, Blue Diamond, and TUI Magic Life brands. The company is also involved in the tour operation and airlines businesses. In addition, it operates cruise liners; and provides incoming agency services. The company operates a fleet of 1,600 travel agencies and online portals; 6 airlines with approximately 150 aircrafts; and 16 cruise liners, as well as approximately 380 hotels. The company was formerly known as Preussag AG and changed its name to TUI AG in June 2002. TUI AG is headquartered in Hanover, Germany. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/10 21:24
End of Day Share Price2020/07/10 00:00
Earnings2020/03/31
Annual Earnings2019/09/30


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.