Fraport AG Frankfurt Airport Services Worldwide (FRA) AI Stock Analysis

• Market Cap: €6.29B
• Dividend Yield: N/A
• Average Volume (3M): 99.45K
• Price to Earnings (P/E): 15.7
• Beta (1Y): 0.69
• Revenue Growth: 6.79%
• EPS Growth: -3.02%
• Country: DE
• Employees: 19,431
• Sector: Services
• Sector Strength: N/A
• Industry: Airlines, Airports & Air Services
• EPS (TTM): 1.20
• Shares Outstanding: 92,468,704
• 10 Day Avg. Volume: 122,566
• 30 Day Avg. Volume: 99,452
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €68.10
• Price Target Upside: 0.07% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11

• Rating: 74 Outperform
• Price Target: €71.00 ▲(4.34% Upside)

The overall score reflects Fraport AG's strong financial recovery and stable balance sheet, which are the most significant factors. Positive technical momentum supports the score but is moderated by overbought signals. Valuation is reasonable, though the absence of a dividend yield limits its attractiveness.

Positive Factors

Cash Flow Projections

For 2025, the company confirms FCF close to breakeven as capex will start to fall.

Future Growth Expectations

The company expects a volume turnaround with moderate traffic and single-digit EBITDA growth for FY-25.

Negative Factors

Earnings Performance

Q4 group EBITDA stands at €251m, which is a 4% miss compared to consensus estimates.

Traffic and Earnings Impact

Fraport's operational leverage means that a 1% cut to traffic can lead to a 2-3% cut to EPS, worsening its financial position in a weakening economic environment.

Fraport AG Frankfurt Airport Services Worldwide Business Overview & Revenue Model

Company Description

Fraport AG owns and operates airports in Germany, rest of Europe, Asia, and the United States. The company primarily focuses on the operation of Frankfurt Main airport. The company operates through four segments: Aviation, Retail & Real Estate, Ground Handling, and International Activities & Services. The Aviation segment operates landside and airside infrastructure, which covers the area of airport charges. The Retail & Real Estate segment engages in retail activities, including marketing of real estate properties and land. This segment also manages buildings and facilities, and parking and retail areas; and rents advertising space. The Ground Handling segment provides loading, baggage, and passenger services through airmail and luggage transport to freight handling. The International Activities & Services segment acquires, operates, maintains, develops, and expands airports and infrastructure facilities. This segment also offers consulting services; integrated facility and corporate infrastructure management, airport expansion south, and information and telecommunication services. The company was founded in 1924 and is headquartered in Frankfurt am Main, Germany.

How the Company Makes Money

Fraport AG generates revenue through multiple streams primarily associated with airport operations. These include aeronautical revenues from airline-related services such as landing fees, parking fees, and passenger fees. Additionally, the company earns non-aeronautical revenues from retail concessions, parking facilities, and real estate activities within the airport premises. Fraport also benefits from its international operations and investments in airports around the world, which provide additional revenue through management contracts and joint ventures. Key factors contributing to its earnings include passenger traffic, airline partnerships, and the strategic expansion of its global airport portfolio.

Fraport AG Frankfurt Airport Services Worldwide Financial Statement Overview

Summary

Fraport AG has demonstrated a strong recovery with impressive revenue growth and improved profitability margins. The balance sheet indicates better leverage management, though liabilities remain high. Cash flow is improving, supporting operational stability and potential future financial flexibility.

Income Statement

Fraport AG has demonstrated a strong recovery with impressive revenue growth from 2020 onwards. The gross profit margin has improved significantly, reflecting better cost management. Net profit margin also shows a positive trend, indicating enhanced profitability. However, the EBIT margin, while positive, suggests room for further operational efficiency.

Balance Sheet

The company's balance sheet shows a stable equity position with improving stockholders' equity over the years. The debt-to-equity ratio has improved, indicating better leverage management. The equity ratio has remained stable, suggesting a balanced asset structure. However, there is still a considerable level of total liabilities that the company needs to manage.

Cash Flow

The operating cash flow has shown consistent improvement, supporting the company's operational stability. Free cash flow, though negative in recent years, is improving, which indicates potential future financial flexibility. The company needs to focus on converting net income into cash flow more efficiently.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.43B	4.00B	3.19B	2.14B	1.68B
Gross Profit	1.13B	1.03B	824.70M	266.20M	-643.30M
EBITDA	1.56B	1.29B	940.00M	828.40M	-282.50M
Net Income	450.60M	393.20M	132.40M	82.80M	-657.60M
Balance Sheet
Total Assets	20.25B	18.89B	17.61B	16.24B	14.08B
Cash, Cash Equivalents and Short-Term Investments	3.04B	3.16B	2.76B	2.78B	1.95B
Total Debt	159.50M	11.93B	248.80M	238.50M	259.00M
Total Liabilities	15.07B	14.30B	13.48B	12.33B	10.32B
Stockholders Equity	4.83B	4.32B	3.91B	3.75B	3.62B
Cash Flow
Free Cash Flow	-86.80M	-87.40M	41.00M	-483.80M	-1.09B
Operating Cash Flow	1.18B	863.20M	787.30M	392.60M	-236.20M
Investing Cash Flow	-1.51B	-1.86B	-1.22B	-2.30B	-2.53B
Financing Cash Flow	489.90M	795.40M	882.30M	2.10B	2.47B

Fraport AG Frankfurt Airport Services Worldwide Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 68.05
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:FRA, the sentiment is Positive. The current price of 68.05 is above the 20-day moving average (MA) of 65.23, above the 50-day MA of 63.29, and above the 200-day MA of 57.38, indicating a neutral trend. The MACD of 0.66 indicates Positive momentum. The RSI at 49.94 is Neutral, neither overbought nor oversold. The STOCH value of 25.95 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:FRA.

Fraport AG Frankfurt Airport Services Worldwide Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FRA	74 Outperform	€6.29B	15.71	9.15%	―	6.79%	-3.02%
Sector *	60 Neutral	₹130.76B	24.32	9.83%	1.22%	11.81%	2.04%
0NRG	―	€3.46B	18.72	14.62%	―	―	―
0MPT	―	€7.89B	14.86	11.49%	―	―	―
0EDV	―	€571.14M	5.62	13.55%	―	―	―
0NBI	―	€2.02B	60.06	5.42%	―	―	―
EUK2	―	€571.14M	8.52	13.55%	―	―	―