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

• Market Cap: $33.01B
• Dividend Yield: 1.5%
• Average Volume (3M): 3.63K
• Price to Earnings (P/E): 22.9
• Beta (1Y): 0.64
• Revenue Growth: 10.25%
• EPS Growth: 14.23%
• Country: US
• Employees: 20,643
• Sector: Technology
• Sector Strength: 88
• Industry: Travel Services
• EPS (TTM): 0.97
• 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: 1.20
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: $85.00 ▲(18.73% Upside)

Amadeus IT Group's overall stock score reflects its strong financial performance and positive earnings call sentiment, which are the most significant factors. The technical analysis indicates potential short-term challenges, while the valuation suggests the stock is fairly priced. The company's strategic initiatives in AI and hospitality, along with its resilience during economic downturns, support a positive outlook.

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

Company Description

Amadeus IT Group, S.A., together with its subsidiaries, operates as a transaction processor for the travel and tourism industry worldwide. The company operates through two segments, Distribution and IT Solutions. The company acts as an international network providing real-time search, pricing, booking, and ticketing services. It also offers travel providers a portfolio of technology solutions, which automate certain mission-critical business processes, such as reservations, inventory management, and departure control. In addition, the company is involved in the provision of software development and definition, distribution, regional support, data processing, intermediation, consulting, installation of industrial machinery and equipment, and information technology services; financial activities; and e-commerce business. It serves providers of travel products and services, such as airlines, airports, hotels, tour operators, insurance companies, road and sea transport companies, travel sellers and brokers, travel buyers, and ground handlers. The company was formerly known as Amadeus IT Holding, S.A. and changed its name to Amadeus IT Group, S.A. in August 2016. Amadeus IT Group, S.A. was founded in 1987 and is headquartered in Madrid, Spain.

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: Negative
• Last Price: 71.59
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMADY, the sentiment is Negative. The current price of 71.59 is below the 20-day moving average (MA) of 76.94, below the 50-day MA of 78.16, and below the 200-day MA of 79.10, indicating a bearish trend. The MACD of -1.14 indicates Positive momentum. The RSI at 28.95 is Positive, neither overbought nor oversold. The STOCH value of 3.31 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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
EXPE	81 Outperform	$29.92B	23.36	104.40%	0.67%	7.29%	36.51%
AMADY	75 Outperform	$33.01B	22.90	26.27%	1.50%	10.25%	14.23%
TCOM	71 Outperform	$47.00B	11.38	19.96%	0.39%	17.34%	91.51%
MMYT	65 Neutral	$7.00B	110.68	16.66%	―	14.55%	-68.46%
BKNG	63 Neutral	$154.85B	31.22	―	0.74%	12.96%	3.66%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SABR	47 Neutral	$667.36M	1.39	―	―	-3.61%	―

Amadeus IT Group, S.A. Corporate Events

Amadeus Reports Strong Q3 2025 Financial Performance

Amadeus, a leading technology provider for the travel and tourism industry, continues to enhance travel experiences through innovation and partnerships, serving a diverse global clientele.