XTRA:FRA

Stock Analysis Report

Executive Summary

Fraport AG operates airports in Germany, rest of Europe, Asia, and the United States.

Snowflake

Fundamentals

Established dividend payer and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.9%

FRA

0.5%

DE Infrastructure

4.1%

DE Market


1 Year Return

12.0%

FRA

13.1%

DE Infrastructure

2.4%

DE Market

Return vs Industry: FRA underperformed the German Infrastructure industry which returned 13.1% over the past year.

Return vs Market: FRA exceeded the German Market which returned 2.4% over the past year.


Shareholder returns

FRAIndustryMarket
7 Day-0.9%0.5%4.1%
30 Day0.8%1.7%1.7%
90 Day1.8%2.1%3.7%
1 Year15.1%12.0%16.6%13.1%5.6%2.4%
3 Year55.3%45.2%50.5%39.6%19.2%8.9%
5 Year72.7%53.6%78.9%50.8%43.2%23.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Fraport undervalued compared to its fair value and its price relative to the market?

14.04x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: FRA (€75.44) is trading above our estimate of fair value (€26.82)

Significantly Undervalued: FRA is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: FRA is good value based on its PE Ratio (14x) compared to the Infrastructure industry average (17.3x).

PE vs Market: FRA is good value based on its PE Ratio (14x) compared to the German market (19.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: FRA is poor value based on its PEG Ratio (3.4x)


Price to Book Ratio

PB vs Industry: FRA is good value based on its PB Ratio (1.7x) compared to the DE Infrastructure industry average (1.7x).


Next Steps

Future Growth

How is Fraport forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?

4.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FRA's forecast earnings growth (4.1% per year) is above the savings rate (0.2%).

Earnings vs Market: FRA's earnings (4.1% per year) are forecast to grow slower than the German market (12.9% per year).

High Growth Earnings: FRA's earnings are forecast to grow, but not significantly.

Revenue vs Market: FRA's revenue (1.7% per year) is forecast to grow slower than the German market (5% per year).

High Growth Revenue: FRA's revenue (1.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: FRA's Return on Equity is forecast to be low in 3 years time (9.7%).


Next Steps

Past Performance

How has Fraport performed over the past 5 years?

15.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: FRA's earnings have grown by 15.4% per year over the past 5 years.

Accelerating Growth: FRA's earnings growth over the past year (47.5%) exceeds its 5-year average (15.4% per year).

Earnings vs Industry: FRA earnings growth over the past year (47.5%) exceeded the Infrastructure industry 9.8%.


Return on Equity

High ROE: FRA's Return on Equity (12.2%) is considered low.


Return on Assets

ROA vs Industry: FRA's Return on Assets is below or equal to the Infrastructure industry average last year.


Return on Capital Employed

ROCE Improving: FRA's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Fraport's financial position?


Financial Position Analysis

Short Term Liabilities: FRA's short term assets (€1.3B) exceeds its short term liabilities (€1.3B)

Long Term Liabilities: FRA's short term assets (1.3B) do not cover its long term liabilities (6.7B)


Debt to Equity History and Analysis

Debt Level: FRA's debt to equity ratio (121.1%) is considered high

Reducing Debt: FRA's debt to equity ratio has reduced from 130.7% to 121.1% over the past 5 years.

Debt Coverage: FRA's debt is not well covered by operating cash flow (16.1%).

Interest Coverage: FRA's interest payments on its debt are well covered by EBIT (4.2x coverage).


Balance Sheet

Inventory Level: FRA has a high level of physical assets or inventory.

Debt Coverage by Assets: FRA's debt is not covered by short term assets (assets are 0.3x debt).


Next Steps

Dividend

What is Fraport's current dividend yield, its reliability and sustainability?

2.65%

Current Dividend Yield


Dividend Yield vs Market

company2.7%marketbottom25%1.5%markettop25%3.8%industryaverage4.0%forecastin3Years2.8%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: FRA's dividend (2.65%) is higher than the bottom 25% of dividend payers in the German market (1.45%).

High Dividend: FRA's dividend (2.65%) is low compared to the top 25% of dividend payers in the German market (3.78%).

Stable Dividend: FRA's dividends per share have been stable in the past 10 years.

Growing Dividend: FRA's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (37.2%), FRA's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: FRA's dividends in 3 years are forecast to be well covered by earnings (43% payout ratio).


Next Steps

Management

What is the CEO of Fraport's salary, the management and board of directors tenure and is there insider trading?

8.0yrs

Average management tenure


CEO

Stefan Schulte (59yo)

10.1yrs

Tenure

€2,747,100

Compensation

Dr. Stefan Schulte has been the Chairman of Executive Board and Chief Executive Officer at Fraport AG since September 1, 2009 and has been its Member of the Executive Board since 2003. Dr. Schulte served a ...


CEO Compensation Analysis

Compensation vs. Market: Stefan's total compensation ($USD3.04M) is about average for companies of similar size in the German market ($USD3.62M).

Compensation vs Earnings: Stefan's compensation has been consistent with company performance over the past year.


Management Age and Tenure

8.0yrs

Average Tenure

58yo

Average Age

Experienced Management: FRA's management team is seasoned and experienced (8 years average tenure).


Board Age and Tenure

1.8yrs

Average Tenure

65yo

Average Age

Experienced Board: FRA's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Insider Trading

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


Ownership Breakdown


Management Team

  • Stefan Schulte (59yo)

    Chairman of the Executive Board & CEO

    • Tenure: 10.1yrs
    • Compensation: €2.75m
  • Karl-Heinz Dietrich

    Executive Vice President of Retail & Properties

    • Tenure: 0yrs
  • Matthias Zieschang (58yo)

    Executive Director of Finance & Controlling

    • Tenure: 12.5yrs
    • Compensation: €2.23m
  • Michael Müller (62yo)

    Executive Director of Labor Relations & Member of the Executive Board

    • Tenure: 7.3yrs
    • Compensation: €1.81m
  • Anke Giesen (56yo)

    Executive Director of Retail & Real Estate and Member of the Executive Board

    • Tenure: 7.3yrs
    • Compensation: €1.82m
  • Christoph Nanke (52yo)

    Senior VP

    • Tenure: 0yrs
  • Pierre Prümm (46yo)

    Executive Director of Aviation & Infrastructure and Member of Executive Board

    • Tenure: 0.3yrs
  • Ulrich Kipper (58yo)

    Senior EVP of Corporate Infrastructure Management & Member of Supervisory Board

    • Tenure: 1.8yrs
    • Compensation: €23.55k
  • Alexander Zinell

    Head of Global Investments & Management

    • Tenure: 0yrs
  • Jürgen Harrer

    Head of Corporate Communications

    • Tenure: 0yrs

Board Members

  • Wolfgang Kirsch (64yo)

    Chairman of Economic Advisory Board

    • Tenure: 0.8yrs
  • Lothar Klemm

    Member of the Supervisory Board

    • Tenure: 0yrs
    • Compensation: €58.15k
  • Holger Steltzner

    Member of the Economic Advisory Board

    • Tenure: 0yrs
  • Karlheinz Weimar (69yo)

    Chairman of the Supervisory Board & Member of Economic Advisory Board

    • Tenure: 15.8yrs
    • Compensation: €63.80k
  • Margarete Haase (66yo)

    Member of the Supervisory Board

    • Tenure: 9.8yrs
    • Compensation: €68.60k
  • Ulrich Kipper (58yo)

    Senior EVP of Corporate Infrastructure Management & Member of Supervisory Board

    • Tenure: 1.8yrs
    • Compensation: €23.55k
  • Claudia Amier

    Member of the Supervisory Board

    • Tenure: 0yrs
    • Compensation: €56.55k
  • Frank-Peter Kaufmann

    Member of the Supervisory Board

    • Tenure: 5.4yrs
    • Compensation: €47.70k
  • Katharina Wesenick

    Member of the Supervisory Board

    • Tenure: 1.8yrs
    • Compensation: €22.75k
  • Ronald Laubrock

    Vice Chairman of Supervisory Board

    • Tenure: 1.8yrs
    • Compensation: €34.01k

Company Information

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


Key Information

  • Name: Fraport AG
  • Ticker: FRA
  • Exchange: XTRA
  • Founded: 1924
  • Industry: Airport Services
  • Sector: Transportation
  • Market Cap: €6.970b
  • Shares outstanding: 92.39m
  • Website: https://www.fraport.com

Number of Employees


Location

  • Fraport AG
  • Frankfurt Airport Services Worldwide
  • Frankfurt am Main
  • Hessen
  • 60547
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FRADB (Deutsche Boerse AG)YesBearer SharesDEEURJun 2001
0O1RLSE (London Stock Exchange)YesBearer SharesGBEURJun 2001
FRAXTRA (XETRA Trading Platform)YesBearer SharesDEEURJun 2001
FPRU.FOTCPK (Pink Sheets LLC)YesBearer SharesUSUSDJun 2001
FRADBATS-CHIXE (BATS 'Chi-X Europe')YesBearer SharesGBEURJun 2001
FRASWX (SIX Swiss Exchange)YesBearer SharesCHCHFJun 2001
FRAWBAG (Wiener Boerse AG)YesBearer SharesATEURJun 2001
FPRU.YOTCPK (Pink Sheets LLC)UNSPONSORD ADRUSUSDNov 2008

Biography

Fraport AG operates airports in Germany, rest of Europe, Asia, and the United States. The company primarily focuses on the operation of Frankfurt Main airport. It operates in four segments: Aviation, Retai ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 20:56
End of Day Share Price2019/10/16 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.