XTRA:RY4C

Stock Analysis Report

Executive Summary

Ryanair Holdings plc, together with its subsidiaries, provides scheduled-passenger airline services in Ireland, the United Kingdom, Italy, Spain, Germany, and Other European countries.


Snowflake Analysis

Adequate balance sheet with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: RY4C's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-16.3%

RY4C

-15.6%

DE Airlines

-5.7%

DE Market


1 Year Return

4.3%

RY4C

-14.4%

DE Airlines

6.1%

DE Market

Return vs Industry: RY4C exceeded the German Airlines industry which returned -14.4% over the past year.

Return vs Market: RY4C underperformed the German Market which returned 6.1% over the past year.


Shareholder returns

RY4CIndustryMarket
7 Day-16.3%-15.6%-5.7%
30 Day-15.4%-13.4%-5.7%
90 Day-7.9%-11.0%-3.6%
1 Year4.3%4.3%-10.8%-14.4%9.3%6.1%
3 Year-9.7%-9.7%8.7%-1.8%8.9%-0.7%
5 Yearn/a17.2%2.0%13.6%-2.0%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

13.88x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: RY4C (€12.93) is trading above our estimate of fair value (€11.71)

Significantly Below Fair Value: RY4C is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: RY4C is poor value based on its PE Ratio (13.9x) compared to the Airlines industry average (8.8x).

PE vs Market: RY4C is good value based on its PE Ratio (13.9x) compared to the German market (20.2x).


Price to Earnings Growth Ratio

PEG Ratio: RY4C is good value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: RY4C is overvalued based on its PB Ratio (2.3x) compared to the XE Airlines industry average (1.7x).


Next Steps

Future Growth

How is Ryanair Holdings forecast to perform in the next 1 to 3 years based on estimates from 25 analysts?

14.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RY4C's forecast earnings growth (14.5% per year) is above the savings rate (-0.4%).

Earnings vs Market: RY4C's earnings (14.5% per year) are forecast to grow faster than the German market (13% per year).

High Growth Earnings: RY4C's earnings are forecast to grow, but not significantly.

Revenue vs Market: RY4C's revenue (6.1% per year) is forecast to grow faster than the German market (5.1% per year).

High Growth Revenue: RY4C's revenue (6.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RY4C's Return on Equity is forecast to be low in 3 years time (19.8%).


Next Steps

Past Performance

How has Ryanair Holdings performed over the past 5 years?

-2.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RY4C has high quality earnings.

Growing Profit Margin: RY4C's current net profit margins (12.1%) are lower than last year (14.7%).


Past Earnings Growth Analysis

Earnings Trend: RY4C's earnings have declined by -2.5% per year over the past 5 years.

Accelerating Growth: RY4C's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: RY4C had negative earnings growth (-8.4%) over the past year, making it difficult to compare to the Airlines industry average (-17%).


Return on Equity

High ROE: RY4C's Return on Equity (16.6%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Ryanair Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: RY4C's short term assets (€4.4B) exceed its short term liabilities (€4.1B).

Long Term Liabilities: RY4C's short term assets (€4.4B) do not cover its long term liabilities (€4.5B).


Debt to Equity History and Analysis

Debt Level: RY4C's debt to equity ratio (65.4%) is considered high.

Reducing Debt: RY4C's debt to equity ratio has reduced from 76.2% to 65.4% over the past 5 years.

Debt Coverage: RY4C's debt is well covered by operating cash flow (78.2%).

Interest Coverage: RY4C's interest payments on its debt are well covered by EBIT (24.1x coverage).


Balance Sheet

Inventory Level: RY4C has a high level of physical assets or inventory.

Debt Coverage by Assets: RY4C's debt is covered by short term assets (assets are 1.1x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.8%industryaverage4.4%forecastin3Years0%

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate RY4C's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate RY4C's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if RY4C's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if RY4C's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of RY4C's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

5.8yrs

Average management tenure


CEO

Michael O'Leary (58yo)

22.8yrs

Tenure

€3,380,000

Compensation

Mr. Michael O'Leary has been the Chief Executive Officer of Ryanair Limited, a subsidiary of Ryanair Holdings plc since January 1, 1994. Mr. O'Leary has served as the Group Chief Executive Officer of Ryana ...


CEO Compensation Analysis

Compensation vs Market: Michael's total compensation ($USD3.68M) is about average for companies of similar size in the German market ($USD4.53M).

Compensation vs Earnings: Michael's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Michael O'Leary
Group CEO & Executive Director22.8yrs€3.38m4.06% 566.9m
Neil Sorahan
Group Chief Financial Officer5.3yrsno datano data
John Hurley
Chief Technology Officer5.4yrsno datano data
Shane O'toole
Head of Investor Relations4yrsno datano data
Juliusz Komorek
Group Chief Legal & Regulatory Officer and Company Secretary10.8yrsno datano data
Kenny Jacobs
Chief Marketing Officer6.1yrsno datano data
Ray Conway
Chief Pilot0yrsno datano data
David O'Brien
Chief Commercial Officer6.1yrsno datano data
Dara Brady
Head of Digital Experience0yrsno datano data
Carol Sharkey
Chief Risk Officer1.8yrsno datano data

5.8yrs

Average Tenure

47yo

Average Age

Experienced Management: RY4C's management team is seasoned and experienced (5.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Michael O'Leary
Group CEO & Executive Director22.8yrs€3.38m4.06% 566.9m
David Bonderman
Non-Executive Chairman23.2yrs€100.00k0.69% 96.9m
Kyran McLaughlin
Senior Independent Director0yrs€50.00k0.023% 3.3m
Michael Cawley
Independent Non Executive Director5.5yrs€50.00k0.070% 9.7m
Howard Millar
Non-Executive Director4.5yrs€50.00k0.036% 5.0m
R. Milliken
Non Executive Director6.6yrs€50.00k0.00090% 125.8k
Stan McCarthy
Non-Executive Deputy Chairman0.8yrs€50.00k0.00092% 128.6k
Julie O'Neill
Independent Non-Executive Director7.2yrs€50.00k0.000090% 12.6k
Louise Phelan
Non Executive Director7.2yrs€50.00k0.0028% 385.8k
Mike O'Brien
Non-Executive Director3.8yrs€80.00kno data

6.6yrs

Average Tenure

64yo

Average Age

Experienced Board: RY4C's board of directors are considered experienced (6.6 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

Ryanair Holdings plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ryanair Holdings plc
  • Ticker: RY4C
  • Exchange: XTRA
  • Founded: 1985
  • Industry: Airlines
  • Sector: Transportation
  • Market Cap: €13.978b
  • Shares outstanding: 1.09b
  • Website: https://www.ryanair.com

Number of Employees


Location

  • Ryanair Holdings plc
  • Dublin Office
  • Airside Business Park
  • Swords
  • Co. Dublin
  • K67 NY94
  • Ireland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RY4CIXTRA (XETRA Trading Platform)ORD EUR0.006DEEURNo data
RY4CISE (Irish Stock Exchange)ORD EUR0.006IEEURNo data
RYALSE (London Stock Exchange)ORD EUR0.006GBEURNo data
RYAA.YNasdaqGS (Nasdaq Global Select)ADS EACH REPR 5 ORD EUR0.012 POST REV SPUSUSDMay 1997
0A2ULSE (London Stock Exchange)ADS EACH REPR 5 ORD EUR0.012 POST REV SPGBUSDMay 1997
RY4DDB (Deutsche Boerse AG)ADS EACH REPR 5 ORD EUR0.012 POST REV SPDEEURMay 1997
RYAAY NBMV (Bolsa Mexicana de Valores)ADS EACH REPR 5 ORD EUR0.012 POST REV SPMXMXNMay 1997
RYAO.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJun 1997
RYALSE (London Stock Exchange)YesOrdinary SharesGBEURJun 1997
RY4CISE (Irish Stock Exchange)YesOrdinary SharesIEEURJun 1997
RY4CDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 1997
RY4CXTRA (XETRA Trading Platform)YesOrdinary SharesDEEURJun 1997
RYA NBMV (Bolsa Mexicana de Valores)YesOrdinary SharesMXMXNJun 1997

Biography

Ryanair Holdings plc, together with its subsidiaries, provides scheduled-passenger airline services in Ireland, the United Kingdom, Italy, Spain, Germany, and Other European countries. It is also involved in the provision of various ancillary services, such as non-flight scheduled services and Internet-related services; in-flight sale of beverages, food, and merchandise; and marketing accommodation services, holidays, car hire, and travel insurance through its Website. In addition, the company offers charter passenger airline, aircraft and passenger handling, ticketing, marketing and advertising, and maintenance and repair services; and markets car parking, attractions, and activities on its Website and mobile app, as well as sells gift vouchers. As of June 30, 2019, it had a principal fleet of approximately 455 Boeing 737 aircraft and 20 Airbus A320 aircraft; and offered approximately 2,500 scheduled short-haul flights per day serving approximately 200 airports, including 86 bases. Ryanair Holdings plc was founded in 1985 and is headquartered in Swords, Ireland. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 23:12
End of Day Share Price2020/02/25 00:00
Earnings2019/12/31
Annual Earnings2019/03/31


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.