HLSE:FIA1S

Stock Analysis Report

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Market Cap

€1.0b

Last Updated

2021/06/12 19:29 UTC

Data Sources

Company Financials +

Executive Summary

Finnair Oyj engages in the airline business in Europe and Asia. More Details


Snowflake Analysis

High growth potential and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: FIA1S is not significantly more volatile than the rest of Finnish stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: FIA1S's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

1.3%

FIA1S

2.6%

FI Airlines

0.2%

FI Market


1 Year Return

-31.4%

FIA1S

1.6%

FI Airlines

33.8%

FI Market

Return vs Industry: FIA1S underperformed the Finnish Airlines industry which returned 1.6% over the past year.

Return vs Market: FIA1S underperformed the Finnish Market which returned 33.8% over the past year.


Shareholder returns

FIA1SIndustryMarket
7 Day1.3%2.6%0.2%
30 Day1.6%1.5%4.5%
90 Day2.6%-3.8%7.4%
1 Year-31.4%-31.4%24.9%1.6%40.1%33.8%
3 Year-60.1%-92.9%-32.8%-55.0%38.2%16.7%
5 Year-2.4%-83.5%-6.0%-37.6%95.2%55.9%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

36.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FIA1S (€0.72) is trading below our estimate of fair value (€1.13)

Significantly Below Fair Value: FIA1S is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: FIA1S is unprofitable, so we can't compare its PE Ratio to the Global Airlines industry average.

PE vs Market: FIA1S is unprofitable, so we can't compare its PE Ratio to the Finnish market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate FIA1S's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: FIA1S is good value based on its PB Ratio (1.3x) compared to the XE Airlines industry average (3x).


Future Growth

How is Finnair Oyj forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

85.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FIA1S is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).

Earnings vs Market: FIA1S is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: FIA1S's is expected to become profitable in the next 3 years.

Revenue vs Market: FIA1S's revenue (39.2% per year) is forecast to grow faster than the Finnish market (3.5% per year).

High Growth Revenue: FIA1S's revenue (39.2% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: FIA1S's Return on Equity is forecast to be low in 3 years time (13%).


Past Performance

How has Finnair Oyj performed over the past 5 years?

-66.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FIA1S is currently unprofitable.

Growing Profit Margin: FIA1S is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: FIA1S is unprofitable, and losses have increased over the past 5 years at a rate of 66.9% per year.

Accelerating Growth: Unable to compare FIA1S's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: FIA1S is unprofitable, making it difficult to compare its past year earnings growth to the Airlines industry (10.3%).


Return on Equity

High ROE: FIA1S has a negative Return on Equity (-66.61%), as it is currently unprofitable.


Financial Health

How is Finnair Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: FIA1S's short term assets (€819.3M) exceed its short term liabilities (€726.1M).

Long Term Liabilities: FIA1S's short term assets (€819.3M) do not cover its long term liabilities (€2.0B).


Debt to Equity History and Analysis

Debt Level: FIA1S's debt to equity ratio (147.3%) is considered high.

Reducing Debt: FIA1S's debt to equity ratio has increased from 51.9% to 147.3% over the past 5 years.


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: FIA1S has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if FIA1S has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Dividend

What is Finnair Oyj current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate FIA1S's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate FIA1S'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 FIA1S's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if FIA1S's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: FIA1S is not paying a notable dividend for the Finnish market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of FIA1S's dividend in 3 years as they are not forecast to pay a notable one for the Finnish market.


Next Steps

Management

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

2.1yrs

Average management tenure


CEO

Topi Manner (46 yo)

2.42yrs

Tenure

€1,125,233

Compensation

Mr. Topi Manner, M.Sc. (Econ.), has been Supervisory Board Member at Ilmarinen Mutual Pension Insurance Company since March 28, 2019. Mr. Manner has been an Independent Director of Elisa Oyj since April 2,...


CEO Compensation Analysis

Compensation vs Market: Topi's total compensation ($USD1.36M) is above average for companies of similar size in the Finnish market ($USD949.50K).

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


Leadership Team

Experienced Management: FIA1S's management team is considered experienced (2.1 years average tenure).


Board Members

Experienced Board: FIA1S's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


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 been substantially diluted in the past year, with total shares outstanding growing by 999%.


Top Shareholders

Company Information

Finnair Oyj's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Finnair Oyj
  • Ticker: FIA1S
  • Exchange: HLSE
  • Founded: 1923
  • Industry: Airlines
  • Sector: Transportation
  • Market Cap: €1.013b
  • Shares outstanding: 1.41b
  • Website: https://company.finnair.com

Number of Employees


Location

  • Finnair Oyj
  • Tietotie 9 A
  • Helsinki Airport
  • Vantaa
  • Uusimaa
  • 1053
  • Finland

Listings


Biography

Finnair Oyj engages in the airline business in Europe and Asia. It also offers package tours under the Aurinkomatkat-Suntours and Finnair Holidays brand names. As of December 31, 2020, the company operated...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/12 19:29
End of Day Share Price2021/06/11 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.