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AF

Air France-KLM ENXTPA:AF Stock Report

Last Price

€1.52

Market Cap

€3.9b

7D

-1.2%

1Y

-62.5%

Updated

11 Aug, 2022

Data

Company Financials +
AF fundamental analysis
Snowflake Score
Valuation5/6
Future Growth5/6
Past Performance0/6
Financial Health2/6
Dividends0/6

AF Stock Overview

Air France-KLM SA, together with its subsidiaries, provides passenger and cargo transportation services on scheduled flights in Metropolitan France, Benelux, rest of Europe, and internationally.

Air France-KLM Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Air France-KLM
Historical stock prices
Current Share Price€1.52
52 Week High€4.85
52 Week Low€1.07
Beta2.15
1 Month Change32.22%
3 Month Change-60.88%
1 Year Change-62.47%
3 Year Change-84.68%
5 Year Change-88.17%
Change since IPO-98.70%

Recent News & Updates

Jul 31
Air France-KLM (EPA:AF) Is Reinvesting At Lower Rates Of Return

Air France-KLM (EPA:AF) Is Reinvesting At Lower Rates Of Return

If you're not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an...

Shareholder Returns

AFFR AirlinesFR Market
7D-1.2%-0.3%0.3%
1Y-62.5%-28.8%-6.3%

Return vs Industry: AF underperformed the French Airlines industry which returned -29% over the past year.

Return vs Market: AF underperformed the French Market which returned -6.3% over the past year.

Price Volatility

Is AF's price volatile compared to industry and market?
AF volatility
AF Average Weekly Movement16.9%
Airlines Industry Average Movement6.3%
Market Average Movement5.0%
10% most volatile stocks in FR Market9.0%
10% least volatile stocks in FR Market2.8%

Stable Share Price: AF is more volatile than 90% of French stocks over the past 3 months, typically moving +/- 17% a week.

Volatility Over Time: AF's weekly volatility has increased from 10% to 17% over the past year.

About the Company

FoundedEmployeesCEOWebsite
191971,984Ben Smithhttps://www.airfranceklm.com

Air France-KLM SA, together with its subsidiaries, provides passenger and cargo transportation services on scheduled flights in Metropolitan France, Benelux, rest of Europe, and internationally. The company operates through Network, Maintenance, Transavia, and Other segments. It also offers airframe and engine maintenance services; component support services comprising electronic, mechanical, pneumatic, hydraulic, etc.; and other services, as well as operates point-to-point flights to/from the Netherlands and France.

Air France-KLM Fundamentals Summary

How do Air France-KLM's earnings and revenue compare to its market cap?
AF fundamental statistics
Market Cap€3.91b
Earnings (TTM)-€762.00m
Revenue (TTM)€20.56b

0.2x

P/S Ratio

-5.1x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AF income statement (TTM)
Revenue€20.56b
Cost of Revenue€16.65b
Gross Profit€3.90b
Other Expenses€4.67b
Earnings-€762.00m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Oct 28, 2022

Earnings per share (EPS)-0.30
Gross Margin18.99%
Net Profit Margin-3.71%
Debt/Equity Ratio-253.7%

How did AF perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is AF undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AF?

Other financial metrics that can be useful for relative valuation.

AF key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.6x
Enterprise Value/EBITDA7.4x
PEG Ration/a

Price to Sales Ratio vs Peers

How does AF's PS Ratio compare to its peers?

AF PS Ratio vs Peers
The above table shows the PS ratio for AF vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average3.7x
ODET Compagnie de l'Odet
0.2xn/a€4.9b
ALD ALD
0.5x1.8%€4.9b
GET Getlink
10.3x5.6%€10.5b
ADP Aeroports de Paris
3.7x8.7%€13.9b
AF Air France-KLM
0.2x8.4%€3.9b

Price-To-Sales vs Peers: AF is good value based on its Price-To-Sales Ratio (0.2x) compared to the peer average (3.7x).


Price to Earnings Ratio vs Industry

How does AF's PE Ratio compare vs other companies in the European Airlines Industry?

Price-To-Sales vs Industry: AF is good value based on its Price-To-Sales Ratio (0.2x) compared to the European Airlines industry average (0.6x)


Price to Sales Ratio vs Fair Ratio

What is AF's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AF PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.2x
Fair PS Ratio0.8x

Price-To-Sales vs Fair Ratio: AF is good value based on its Price-To-Sales Ratio (0.2x) compared to the estimated Fair Price-To-Sales Ratio (0.8x).


Share Price vs Fair Value

What is the Fair Price of AF when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AF (€1.52) is trading below our estimate of fair value (€3.17)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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Future Growth

How is Air France-KLM forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?

Future Growth Score

5/6

Future Growth Score 5/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


62.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AF is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.3%).

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

High Growth Earnings: AF is expected to become profitable in the next 3 years.

Revenue vs Market: AF's revenue (8.4% per year) is forecast to grow faster than the French market (5.2% per year).

High Growth Revenue: AF's revenue (8.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AF's Return on Equity is forecast to be very high in 3 years time (124.8%).


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Past Performance

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

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-54.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: AF is currently unprofitable.

Growing Profit Margin: AF is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AF is unprofitable, and losses have increased over the past 5 years at a rate of 54.8% per year.

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

Earnings vs Industry: AF is unprofitable, making it difficult to compare its past year earnings growth to the Airlines industry (17.2%).


Return on Equity

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


Discover strong past performing companies

Financial Health

How is Air France-KLM's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

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

Long Term Liabilities: AF 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: AF has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: AF'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: Whilst unprofitable AF has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: AF is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 30.6% per year.


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Dividend

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

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


0.74%

Forecast Dividend Yield

Dividend Yield vs Market

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

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

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


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as AF has not reported any payouts.


Discover strong dividend paying companies

Management

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

5.9yrs

Average management tenure


CEO

Ben Smith (51 yo)

3.92yrs

Tenure

€4,277,097

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 ($USD4.42M) is above average for companies of similar size in the French market ($USD1.59M).

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


Leadership Team

Experienced Management: AF's management team is seasoned and experienced (5.9 years average tenure).


Board Members

Experienced Board: AF's board of directors are considered experienced (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 been substantially diluted in the past year, with total shares outstanding growing by 300.6%.


Top Shareholders

Company Information

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


Key Information

  • Name: Air France-KLM SA
  • Ticker: AF
  • Exchange: ENXTPA
  • Founded: 1919
  • Industry: Airlines
  • Sector: Transportation
  • Implied Market Cap: €3.907b
  • Shares outstanding: 2.57b
  • 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


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/11 00:00
End of Day Share Price2022/08/11 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.