Amadeus IT Group, S.A. (AMADY) AI Stock Analysis

• Market Cap: $34.49B
• Dividend Yield: 1.44%
• Average Volume (3M): 3.63K
• Price to Earnings (P/E): 23.9
• Beta (1Y): 0.64
• Revenue Growth: 10.13%
• EPS Growth: 15.99%
• Country: US
• Employees: 20,643
• Sector: Technology
• Sector Strength: 88
• Industry: Travel Services
• EPS (TTM): 0.96
• Shares Outstanding: 450,499,000
• 10 Day Avg. Volume: 2,958
• 30 Day Avg. Volume: 3,629
• PEG Ratio: 1.65
• Price to Book (P/B): 6.05
• Price to Sales (P/S): 4.99
• P/FCF Ratio: 22.57
• Enterprise Value/Market Cap: 1.15
• Enterprise Value/Revenue: 6.26
• Enterprise Value/Gross Profit: 13.67
• Enterprise Value/Ebitda: 16.12
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 74 Outperform
• Price Target: $88.00 ▲(11.15% Upside)

Amadeus IT Group's strong financial performance and strategic growth initiatives are significant strengths, contributing to a solid overall score. While technical indicators are mixed, the company's robust earnings call highlights its resilience and adaptability in a challenging environment. Valuation metrics suggest the stock is fairly valued, supporting a positive outlook.

Amadeus IT Group, S.A. Business Overview & Revenue Model

Company Description

Amadeus IT Group, S.A. is a leading provider of technology solutions for the global travel and tourism industry. Headquartered in Madrid, Spain, the company operates in various sectors, including airlines, hotels, travel agencies, and railways. Amadeus offers a comprehensive suite of products and services that include reservation systems, inventory management, revenue management, and passenger service systems, enabling its clients to enhance operational efficiency and improve customer experiences.

How the Company Makes Money

Amadeus generates revenue primarily through a transaction-based model, where it charges clients for each transaction processed through its systems. Key revenue streams include distribution revenue, derived from the sale of travel-related services, and IT solutions revenue, which encompasses software licensing and maintenance fees. The company has established significant partnerships with airlines, travel agencies, and hotel chains that bolster its market presence and contribute to its earnings. Additionally, Amadeus benefits from ongoing investments in technology and innovation that enhance its product offerings and drive customer retention.

Amadeus IT Group, S.A. Financial Statement Overview

Summary

Amadeus IT Group demonstrates strong financial performance with significant revenue and profit growth, robust cash flow generation, and a balanced balance sheet. The company effectively navigated through the pandemic-induced downturn, showcasing resilience and adaptability. However, it should remain vigilant against potential global disruptions and manage its debt levels prudently to sustain its financial health.

Income Statement

Amadeus IT Group has shown significant revenue growth, with a notable increase in Total Revenue from $2.67 billion in 2021 to $6.14 billion in 2024. The Gross Profit Margin in 2024 is approximately 43.23%, which indicates solid profitability. The Net Profit Margin improved significantly, reaching 20.41% in 2024. The company also demonstrated strong EBIT and EBITDA margins, indicating effective cost management and operational efficiency. However, the dip in revenue during the pandemic in 2020 highlights potential vulnerability to global disruptions.

Balance Sheet

The company maintains a moderate Debt-to-Equity Ratio of 0.67 in 2024, suggesting a balanced financial structure. The Return on Equity (ROE) is robust at 24.75% in 2024, reflecting effective utilization of equity capital to generate profits. The Equity Ratio is stable at around 42.96%, indicating a healthy equity position relative to total assets. However, the high debt levels in 2020 and 2021 pose a risk if similar economic challenges recur.

Cash Flow

Amadeus IT Group has achieved positive Free Cash Flow growth, with significant jumps from $176.1 million in 2021 to $1.36 billion in 2024, highlighting improved cash generation capabilities. The Operating Cash Flow to Net Income ratio is strong, suggesting efficient conversion of profits into cash. The company also maintains a solid Free Cash Flow to Net Income ratio, underscoring effective cash management. However, fluctuations in Investing and Financing Cash Flows indicate variability in capital allocation strategies.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.35B	6.14B	5.44B	4.49B	2.67B	2.17B
Gross Profit	2.91B	2.65B	2.41B	1.87B	834.90M	299.80M
EBITDA	2.46B	2.35B	2.13B	1.55B	575.90M	159.40M
Net Income	1.33B	1.25B	1.12B	664.40M	-142.40M	-625.40M
Balance Sheet
Total Assets	11.80B	11.78B	10.80B	11.71B	11.18B	11.70B
Cash, Cash Equivalents and Short-Term Investments	1.27B	1.13B	1.06B	1.99B	1.82B	2.48B
Total Debt	3.13B	3.38B	3.31B	4.41B	4.98B	5.66B
Total Liabilities	6.50B	6.72B	6.31B	7.13B	7.44B	7.94B
Stockholders Equity	5.30B	5.06B	4.48B	4.58B	3.75B	3.74B
Cash Flow
Free Cash Flow	1.54B	1.36B	1.19B	874.10M	176.10M	-468.50M
Operating Cash Flow	1.09B	2.15B	1.79B	1.44B	636.30M	33.00M
Investing Cash Flow	-733.60M	-1.15B	4.50M	-493.30M	-205.50M	-1.47B
Financing Cash Flow	-794.50M	-990.10M	-2.19B	-640.10M	-865.80M	2.46B

Amadeus IT Group, S.A. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 79.17
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMADY, the sentiment is Neutral. The current price of 79.17 is below the 20-day moving average (MA) of 79.19, below the 50-day MA of 80.17, and above the 200-day MA of 78.58, indicating a neutral trend. The MACD of -0.15 indicates Negative momentum. The RSI at 49.27 is Neutral, neither overbought nor oversold. The STOCH value of 41.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AMADY.

Amadeus IT Group, S.A. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AMADY	―	$34.49B	23.85	26.27%	1.44%	10.13%	15.99%
TCOM	―	$47.87B	20.14	12.94%	0.38%	17.73%	27.95%
EXPE	―	$27.08B	26.78	129.04%	0.54%	5.69%	47.33%
BKNG	―	$166.79B	35.79	―	0.71%	11.72%	0.51%
MMYT	―	$8.53B	102.06	22.38%	―	18.13%	-55.21%
Sector *	―	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SABR	―	$836.37M	―	―	―	-1.16%	25.63%

Amadeus IT Group, S.A. Corporate Events

Amadeus Earnings Call Highlights Growth Amid Challenges

Amadeus Earnings Call Reflects Positive Sentiment Amid Challenges

Amadeus Reports Steady Growth in H1 2025

Amadeus is a leading technology provider in the travel and tourism industry, offering innovative solutions that connect the global travel and hospitality ecosystem. The company has demonstrated steady growth in the first half of 2025, with a 6.8% increase in group revenue to €3,260.0 million and a 12.3% rise in profit to €727.4 million. Amadeus has shown resilience amid macroeconomic challenges, with significant contributions from its Air IT Solutions, Hospitality & Other Solutions, and Air Distribution segments. The Air IT Solutions segment saw a 7.1% revenue increase, driven by global air traffic growth and customer implementations, while Hospitality & Other Solutions and Air Distribution also reported solid revenue growth. Looking forward, Amadeus remains committed to innovation and growth, with over €700 million allocated to R&D in the first half of 2025, and continues to maintain a positive outlook despite macro uncertainties.