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AP Moller - Maersk A/S (AMKBY)
OTHER OTC:AMKBY
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AP Moller - Maersk
(OTC:AMKBY)
Rating:85Outperform
Price Target:
$11.00
▲(10.00%Upside)
AP Moller - Maersk (AMKBY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$31.55B
Dividend Yield10.41%
Average Volume (3M)85.44K
Price to Earnings (P/E)4.4
Beta (1Y)0.70
Revenue Growth14.70%
EPS Growth349.95%
CountryUS
Employees100,000
SectorIndustrials
Sector Strength90
IndustryMarine Shipping
Share Statistics
EPS (TTM)0.37
Shares Outstanding1,214,478,000
10 Day Avg. Volume56,115
30 Day Avg. Volume85,441
Financial Highlights & Ratios
PEG Ratio0.27
Price to Book (P/B)0.55
Price to Sales (P/S)0.00
P/FCF Ratio3.72
Enterprise Value/Market Cap1.28
Enterprise Value/Revenue0.19
Enterprise Value/Gross Profit0.72
Enterprise Value/Ebitda-1.17
Forecast
1Y Price Target
$1,853.18Price Target Upside18431.80% Upside
Rating ConsensusModerate Sell
Number of Analyst Covering0
AP Moller - Maersk Business Overview & Revenue Model
Company DescriptionA.P. Møller - Mærsk A/S operates as an integrated transport and logistics company worldwide. The company's Ocean segment engages in container shipping activities, including demurrage and detention, terminal handling, documentation and container services, and container storage, as well as transshipment services under Maersk Line, Safmarine, Sealand A Maersk Company, Hamburg Süd, and APM Terminal brands; and sale of bunker oil. Its Logistics & Services segment offers sea and air freight forwarding, supply chain management, cold chain logistics, and custom services, services. The company's Terminals & Towage segment is involved in Gateway terminal activities, and offshore towage, salvage and related marine activities under APM Terminals brand. Its Manufacturing & Others segment engages in the production of reefer containers; anchor handling tug supply vessels and subsea support vessels, and training services to the maritime, oil and gas, offshore wind, and crane industries. The company was founded in 1904 and is based in Copenhagen, Denmark.
How the Company Makes MoneyA.P. Moller - Maersk generates revenue through its diversified operations in the transport and logistics industry. The core revenue stream is its container shipping business, where it earns freight charges for transporting goods across international waters using its extensive fleet of container ships. Additionally, the company operates port and terminal facilities, earning fees from docking, loading, and unloading services. Maersk also offers supply chain management and logistics solutions, which provide integrated services and value-added offerings such as warehousing, distribution, and transportation management. Partnerships with global retailers and manufacturers, as well as strategic investments in digital technologies, enhance their service offerings and contribute to revenue growth.
AP Moller - Maersk Earnings Call Summary
Earnings Call Date:May 08, 2025
(Q1-2025)
| % Change Since: 16.55%|
Next Earnings Date:Aug 07, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mixed picture, with Maersk achieving significant financial performance and operational improvements in Q1 2025. However, external challenges such as trade tensions and revised market growth expectations create an uncertain outlook for the future.Q1-2025 Updates
Positive Updates
Strong Financial Performance in Q1 2025
Maersk reported an EBITDA of $2.7 billion and an EBIT of $1.3 billion for Q1 2025, demonstrating solid performance despite a challenging environment.
Terminals Segment Achievements
The Terminals segment saw a 23% year-on-year revenue increase, driven by higher revenue per move and strong volume growth, particularly in North America, Latin America, and Europe. The EBIT margin for Terminals reached 32%.
Logistics & Services EBIT Margin Improvement
Logistics & Services achieved an EBIT margin of 4.1%, significantly improving from the previous year and on track to reach the target of 6% during 2025.
Robust Free Cash Flow
Free cash flow increased substantially to $806 million, supported by stronger earnings and disciplined working capital management.
Shareholder Returns
Maersk returned $2.5 billion to shareholders through dividends and share buybacks in Q1 2025, up from $1.5 billion in the same quarter last year.
Negative Updates
Revised Container Volume Growth Outlook
Maersk revised its container market volume growth expectation to be between -1% and +4% for 2025, down from a previously expected around 4% due to increased macroeconomic and geopolitical uncertainties.
Decline in China-U.S. Trade Volumes
China-U.S. volumes dropped by 30% to 40% in April, affecting overall performance. This lane makes up 5% of Maersk's total volume.
Ongoing Trade Tensions Impacting Outlook
The escalation in U.S.-China trade relations and unresolved tariff issues are contributing to a volatile environment and uncertain outlook for the rest of the year.
Fulfilled by Maersk Negative EBITDA
The Fulfilled by Maersk business segment continued to deliver negative EBITDA, although measures are being taken to improve profitability.
Company Guidance
During the first quarter of 2025, A.P. Møller - Mærsk reported robust financial performance, achieving an EBITDA of $2.7 billion and an EBIT of $1.3 billion, despite a volatile environment. The company maintained a strong EBIT margin of 4.1% in its Logistics & Services segment and delivered exceptional results in Terminals, with a return on invested capital reaching 14.5%. Despite ongoing geopolitical uncertainties, including U.S.-China trade tensions, Maersk confirmed its full-year EBIT guidance of $0 to $3 billion, projecting container market volume growth to range between -1% and +4%. The company also sustained a net profit after tax of $1.2 billion, free cash flow of $806 million, and continued strengthening its balance sheet, with total cash and deposits of $22.3 billion.AP Moller - Maersk Financial Statement Overview
Summary
AP Moller - Maersk demonstrates strong revenue growth and financial stability with a robust balance sheet characterized by low leverage and high equity ratio. While profitability margins have seen a decline, the company maintains strong cash flow generation, supporting its financial health. The key focus should be addressing operational challenges to enhance EBIT and net profit margins.Income Statement
AP Moller - Maersk's revenue has shown a strong growth trend with a significant increase from $38.89 billion in 2019 to $55.48 billion in 2024. The gross profit margin improved to 12.47% in 2024 from previous years. However, the net profit margin dropped from a peak of 35.82% in 2022 to 11.01% in 2024, indicating a decrease in profitability. EBITDA margin is robust at 25.04% for 2024, although EBIT has decreased to zero, indicating potential operational challenges.78
Positive
Balance Sheet
The company maintains a healthy balance sheet with a debt-to-equity ratio of 0.29 in 2024, showing low leverage. Stockholders' equity has increased consistently to $56.92 billion, and the equity ratio is at 64.91%, reflecting strong financial stability. Return on equity decreased to 10.73% in 2024 from a high of 45.63% in 2022, indicating reduced efficiency in generating profits from equity.85
Very Positive
Cash Flow
Operating cash flow remains strong at $11.41 billion in 2024, with a positive free cash flow of $7.21 billion, although free cash flow growth rate has slowed compared to previous years. The operating cash flow to net income ratio is favorable at 1.87, indicating solid cash generation relative to net income. However, the free cash flow to net income ratio has slightly decreased to 1.18, suggesting potential pressure on free cash flows.82
Very Positive
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 56.45B | 55.48B | 51.06B | 81.53B | 61.79B | 39.74B |
| Gross Profit | 56.45B | 6.92B | 3.87B | 31.32B | 19.81B | 4.04B |
| EBITDA | 2.14B | 13.39B | 11.37B | 36.96B | 24.48B | 8.68B |
| Net Income | 7.09B | 6.11B | 3.82B | 29.20B | 17.94B | 2.85B |
Balance Sheet | ||||||
| Total Assets | 86.97B | 87.70B | 82.58B | 93.68B | 72.27B | 56.12B |
| Cash, Cash Equivalents and Short-Term Investments | 8.91B | 8.15B | 6.70B | 11.00B | 11.84B | 5.87B |
| Total Debt | 17.04B | 16.48B | 14.81B | 15.64B | 15.34B | 15.37B |
| Total Liabilities | 30.51B | 29.75B | 27.49B | 28.65B | 26.68B | 25.26B |
| Stockholders Equity | 55.41B | 56.92B | 54.03B | 63.99B | 44.51B | 29.85B |
Cash Flow | ||||||
| Free Cash Flow | 8.19B | 7.21B | 6.00B | 30.31B | 19.05B | 6.51B |
| Operating Cash Flow | 13.08B | 11.41B | 9.64B | 34.48B | 22.02B | 7.83B |
| Investing Cash Flow | -7.82B | -7.92B | 4.08B | -21.62B | -8.34B | -1.02B |
| Financing Cash Flow | -5.65B | -3.50B | -16.80B | -14.13B | -7.90B | -5.62B |
AP Moller - Maersk Technical Analysis
Positive
10.00
Price Trends
9.32
Positive
8.82
Positive
8.15
Positive
Market Momentum
0.19
Negative
63.85
Neutral
92.71
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMKBY, the sentiment is Positive. The current price of 10 is above the 20-day moving average (MA) of 9.47, above the 50-day MA of 9.32, and above the 200-day MA of 8.15, indicating a bullish trend. The MACD of 0.19 indicates Negative momentum. The RSI at 63.85 is Neutral, neither overbought nor oversold. The STOCH value of 92.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AMKBY.
AP Moller - Maersk Peers Comparison
Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
85 Outperform | $31.55B | 4.44 | 13.17% | 10.41% | 14.70% | 349.95% | |
74 Outperform | $2.10B | 9.06 | 11.09% | 1.10% | 25.60% | -9.32% | |
74 Outperform | $1.88B | 0.79 | 72.40% | 18.99% | 65.83% | ― | |
71 Outperform | $1.62B | 3.72 | 14.14% | 3.85% | 4.93% | -17.08% | |
69 Neutral | $3.60B | 7.26 | 20.48% | 1.22% | 11.88% | 80.21% | |
65 Neutral | $10.86B | 15.57 | 5.28% | 1.92% | 3.13% | -27.76% | |
63 Neutral | $1.62B | 14.69 | 6.06% | 2.46% | -7.73% | -39.13% |
* Industrials Sector Average
Performance Comparison
AMKBY
AP Moller - Maersk
10.00
2.77
38.31%
DAC
Danaos
90.58
8.92
10.92%
SBLK
Star Bulk Carriers
18.77
-3.25
-14.76%
MATX
Matson
111.62
-14.55
-11.53%
GOGL
Golden Ocean Group
8.35
-3.57
-29.95%
ZIM
ZIM Integrated Shipping Services
15.40
4.82
45.56%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.