Aeroports de Paris (ARRPY) AI Stock Analysis

• Market Cap: $13.38B
• Dividend Yield: 2.66%
• Average Volume (3M): 0.00
• Price to Earnings (P/E): 132.9
• Beta (1Y): 0.60
• Revenue Growth: 10.84%
• EPS Growth: -87.89%
• Country: US
• Employees: 29,330
• Sector: Industrials
• Sector Strength: 72
• Industry: Airlines, Airports & Air Services
• EPS (TTM): 0.11
• Shares Outstanding: 989,610,000
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: -0.70
• Price to Book (P/B): 2.51
• Price to Sales (P/S): 1.80
• P/FCF Ratio: 25.44
• Enterprise Value/Market Cap: 1.44
• Enterprise Value/Revenue: 3.00
• Enterprise Value/Gross Profit: 5.68
• Enterprise Value/Ebitda: 10.07
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: $16.00 ▲(16.53% Upside)

Aeroports de Paris demonstrates strong revenue growth and positive technical momentum, but faces challenges with profitability, high valuation, and external cost pressures. Strategic partnerships and traffic growth offer long-term potential, but immediate financial stability improvements are needed.

Positive Factors

Revenue Growth

The consistent revenue growth indicates strong demand for ADP's services and effective management, which supports long-term business expansion and market position.

Strategic Partnerships

Strategic partnerships, like with Air France, enhance ADP's competitive advantage by bolstering its hub status, potentially increasing traffic and revenue.

Traffic Increase

The increase in traffic supports sustained revenue growth and highlights ADP's strong market position in the airport services industry.

Negative Factors

High Debt Levels

High debt levels can limit financial flexibility and increase risk, potentially impacting ADP's ability to invest in growth and weather economic downturns.

Net Income Decline

Declining net income due to FX and taxation pressures can affect profitability, limiting ADP's ability to reinvest in its operations and maintain shareholder returns.

Cost Increases

Rising operational costs can compress margins and reduce profitability, challenging ADP's ability to sustain its financial performance over the long term.

Aeroports de Paris Business Overview & Revenue Model

Company Description

Aeroports de Paris SA owns and operates airports worldwide. The company operates through Aviation, Retail and Services, Real Estate, International and Airport Developments, and Other Activities segments. The Aviation segment offers security and airport safety services, such as security checkpoints, screening systems, aircraft rescue, and fire-fighting services. The Retail and Services segment provides retail activities comprising of bars, restaurants, banks, car rentals, and retails shops, as well as engages in leasing of space for terminals, advertising, restaurant, and car park services. This segment is also involved in production and supply of heat, drinking water, and access to the chilled distribution networks. The Real Estate segment engages in construction, commercialization, and lease management of office, logistic buildings, and freight terminals; and provides property leasing services for airport terminals, as well as rents serviced land. The International and Airport Developments segment designs and operates airport activities. The Other Activities segment offers telecom and cybersecurity services. It operates and manages approximately 28 airports worldwide. Aeroports de Paris SA was incorporated in 1945 and is based in Tremblay-en-France, France.

How the Company Makes Money

Aeroports de Paris generates revenue through multiple key streams. The primary source of income comes from aeronautical activities, which include landing fees, take-off fees, and passenger service charges levied on airlines. Additionally, ADP earns substantial revenue from non-aeronautical activities, such as retail concessions, advertising, and car parking services within the airport premises. The company also engages in real estate development and lease agreements for commercial spaces, which further contribute to its revenue. Significant partnerships with airlines, duty-free retailers, and service providers enhance its offerings and profitability. Furthermore, ADP may receive government subsidies or grants for infrastructure projects, particularly those aimed at enhancing airport capacity and service quality.

Aeroports de Paris Financial Statement Overview

Summary

Aeroports de Paris has shown strong revenue growth and operational recovery post-pandemic. However, profitability and leverage remain concerns, with fluctuating free cash flow and a high debt-to-equity ratio.

Income Statement

Aeroports de Paris has shown a strong recovery with a significant revenue growth rate from 2020 to 2024. Gross profit margins have improved noticeably, reflecting better cost management and revenue growth. However, net profit margins are lower due to volatile net income figures, indicating some instability in profitability.

Balance Sheet

The company's balance sheet indicates a high debt-to-equity ratio, which poses a risk. However, there is a positive trend in equity growth and the equity ratio, suggesting a strengthening financial position. Return on equity has shown improvement but remains an area to watch.

Cash Flow

Operating cash flows have been strong, but free cash flow has fluctuated due to capital expenditures. The free cash flow to net income ratio indicates efficient cash conversion, though the free cash flow growth has not been consistent, suggesting potential challenges in sustaining cash flow stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.43B	6.16B	5.50B	4.69B	2.78B	2.14B
Gross Profit	3.40B	3.08B	2.40B	1.69B	520.00M	96.00M
EBITDA	1.92B	1.87B	2.09B	1.83B	701.00M	-615.00M
Net Income	93.00M	342.00M	631.00M	516.00M	-248.00M	-1.17B
Balance Sheet
Total Assets	20.00B	20.18B	19.66B	18.84B	18.36B	18.57B
Cash, Cash Equivalents and Short-Term Investments	1.94B	2.10B	2.44B	2.82B	2.49B	3.63B
Total Debt	10.59B	10.14B	9.82B	9.99B	10.34B	11.01B
Total Liabilities	14.92B	14.67B	14.36B	13.93B	14.13B	14.31B
Stockholders Equity	4.07B	4.42B	4.36B	4.03B	3.52B	3.65B
Cash Flow
Free Cash Flow	557.00M	435.00M	578.00M	645.00M	24.00M	-730.00M
Operating Cash Flow	1.65B	1.52B	1.59B	1.34B	551.00M	118.00M
Investing Cash Flow	-1.34B	-1.46B	-1.15B	-726.00M	-1.09B	-2.12B
Financing Cash Flow	-461.00M	-458.00M	-721.00M	-367.00M	-536.00M	3.49B

Aeroports de Paris Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13.73
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ARRPY, the sentiment is Positive. The current price of 13.73 is below the 20-day moving average (MA) of 13.81, below the 50-day MA of 14.00, and above the 200-day MA of 13.01, indicating a neutral trend. The MACD of -0.24 indicates Negative momentum. The RSI at 50.33 is Neutral, neither overbought nor oversold. The STOCH value of 99.87 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ARRPY.

Aeroports de Paris Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OMAB	77 Outperform	$5.39B	19.79	53.28%	4.03%	-2.04%	-3.82%
ASR	73 Outperform	$9.70B	17.18	24.69%	11.85%	8.70%	-21.15%
CAAP	71 Outperform	$4.44B	24.04	13.25%	―	14.87%	-47.71%
ARRPY	70 Outperform	$13.38B	132.88	2.15%	2.66%	10.84%	-87.89%
PAC	65 Neutral	$13.47B	26.72	46.45%	4.46%	11.58%	1.15%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
JOBY	55 Neutral	$13.90B	-11.50	-125.73%	―	1934.50%	-92.33%