Airbus SE (EADSY) AI Stock Analysis

• Market Cap: $153.84B
• Dividend Yield: 1.47%
• Average Volume (3M): 114.54K
• Price to Earnings (P/E): 15.2
• Beta (1Y): 0.80
• Revenue Growth: 9.15%
• EPS Growth: 56.74%
• Country: US
• Employees: 157,894
• Sector: Industrials
• Sector Strength: 72
• Industry: Aerospace & Defense
• EPS (TTM): 0.86
• Shares Outstanding: 3,169,134,800
• 10 Day Avg. Volume: 100,524
• 30 Day Avg. Volume: 114,540
• PEG Ratio: 1.65
• Price to Book (P/B): 5.97
• Price to Sales (P/S): 2.21
• P/FCF Ratio: 36.69
• Enterprise Value/Market Cap: 0.86
• Enterprise Value/Revenue: 1.80
• Enterprise Value/Gross Profit: 12.04
• Enterprise Value/Ebitda: 13.91
• 1Y Price Target: $63.00
• Price Target Upside: 5.74% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 2.17
• Revenue Forecast (FY): $95.06B

• Rating: 64 Neutral
• Price Target: $53.00 ▼(-11.04% Downside)
• Action: Reiterated Date: 02/21/26
• Date: Action: Reiterated 02/21/26

The score is driven primarily by solid financial recovery and constructive earnings-call fundamentals (strong backlog and improving profitability), tempered by clearly weak near-term technical momentum and a relatively high P/E. Near-term operational and integration risks highlighted in guidance further cap the overall score.

Positive Factors

Record Backlog / Order Visibility

A record backlog of ~8,754 aircraft and €619bn provides multi-year revenue visibility and supports predictable production planning, supplier contracting and aftermarket services. This backlog underpins durable cash flow visibility and reduces near‑term demand risk for core commercial programs.

Improving Cash Generation

Rising operating cash flow and meaningful free cash flow strengthen Airbus's ability to fund ramp‑ups, capex and integration costs internally. Sustainable cash generation improves financial flexibility, reduces reliance on external funding, and supports investment in production rates and services growth.

Diversified Business Mix

Broad exposure across commercial aircraft, defence & space, helicopters and aftermarket services diversifies revenue cycles and reduces cyclicality. Strong defense bookings and helicopter growth complement commercial backlog, providing recurring aftermarket and services revenues that stabilize margins over business cycles.

Negative Factors

Engine Supply Constraints

Constrained engine supply from Pratt & Whitney materially limits deliveries, delaying revenue recognition and forcing inventory or 'glider' builds. This supplier bottleneck threatens planned production ramps, increases working capital needs and could compress margins until engine availability improves.

Spirit AeroSystems Integration Costs

The Spirit AeroSystems acquisition creates significant near‑term EBIT and cash drag plus a notable A220 impairment. Required investments and integration capex raise cash burn and execution risk in 2026, impairing free cash flow and squeezing margins during the critical production ramp period.

Higher Total Debt in 2025

Although leverage improved versus 2020, the step‑up in total debt in 2025 increases financial commitments for a cyclical aerospace firm. Higher debt raises interest and refinancing risk, reducing flexibility to absorb execution shocks or fund accelerated capex during production ramps if cash flow weakens.

Airbus SE Business Overview & Revenue Model

Company Description

Airbus SE engages in the designing, manufacturing, and delivering aerospace products, services, and solutions worldwide. It operates through three segments: Airbus, Airbus Helicopters, and Airbus Defence and Space. The Airbus segment develops, manufactures, markets, and sells commercial jet aircraft of approximately 100 seats; and regional turboprop aircraft and aircraft components, as well as provides aircraft conversion and related services. The Airbus Helicopters segment engages in the development, manufacturing, marketing, and sale of civil and military helicopters; and provision of helicopter related services. The Airbus Defence and Space segment designs, develops, delivers, and supports military aircraft, such as combat, mission, transport, tanker aircraft, and their associated services; and offers unmanned aerial systems. This segment also offers civil and defense space systems for telecommunications, earth observations, navigation, science, and orbital systems; missile systems; and space launcher systems, as well as services around data processing from platforms, secure communication, and cyber security. The company was formerly known as Airbus Group SE and changed its name to Airbus SE in April 2017. Airbus SE was incorporated in 1998 and is based in Leiden, the Netherlands.

How the Company Makes Money

Airbus primarily makes money by selling aircraft and aerospace systems and by providing high-margin services over the life of those platforms. 1) Commercial Aircraft sales (largest driver): Airbus generates revenue from the manufacture and delivery of commercial jets (e.g., A320 family, A330, A350, A220). Customers are typically airlines, lessors, and other operators. Revenue is recognized largely upon aircraft delivery, with cash inflows supported by customer pre-delivery payments and progress payments during production. Pricing and profitability depend on aircraft program mix, production volume, supply-chain performance, and long-term contractual terms. 2) Defence and Space programs: Airbus earns revenue from government and institutional customers through the development, production, and support of military aircraft (e.g., A400M), defense electronics/communications, and space systems (e.g., satellites and related services). These contracts can include multi-year procurement, sustainment and modernization, and program-based development work. Earnings are influenced by contract structure (including fixed-price vs. other arrangements), program execution, and government budget cycles. 3) Helicopters: Airbus Helicopters generates revenue from sales of civil and military rotorcraft (e.g., H125/H145/H225 families) and from in-service support. Compared with new aircraft deliveries, aftermarket activities (parts, maintenance, upgrades, training, technical support) can provide recurring revenue streams tied to the installed fleet. 4) Services and aftermarket across segments (recurring/long-duration): Across commercial, defense, and helicopter fleets, Airbus earns ongoing revenue from maintenance solutions, spare parts, engineering modifications, digital services, training, and operational support. These offerings monetize the installed base and can smooth cyclicality relative to new aircraft sales. 5) Partnerships and ecosystem factors: Airbus participates in broad industrial and supply-chain partnerships (e.g., global engine and systems suppliers, risk-sharing arrangements, and joint ventures in certain programs). While specific revenue sharing varies by program and contract, overall earnings are materially affected by supplier performance, production ramp-up capability, and long-term customer relationships (including leasing companies and government agencies).

Airbus SE Financial Statement Overview

Summary

Financials reflect a solid post-2020 recovery: revenue and profitability are materially higher than 2020, and cash generation has improved with rising operating cash flow and free cash flow. Offsetting this, 2025 saw slight top-line softness versus 2024, margin compression versus 2021–2022 highs, and a notable step-up in total debt in 2025.

Income Statement

Airbus shows a solid post-2020 recovery with revenue rising from ~€49.9B (2020) to ~€70.5B (2025), but 2025 revenue dipped slightly versus 2024. Profitability has normalized after the 2020 loss, with net margin improving to ~7.1% in 2025, though margins have generally trended down from 2021–2022 highs (gross and EBITDA margins are lower in 2025 than 2021–2022). Overall, growth and earnings quality are good, but recent top-line softness and some margin compression temper the score.

Balance Sheet

Leverage has improved materially versus 2020–2021 (debt relative to equity fell from ~2.42x in 2020 and ~1.42x in 2021 to ~0.62x in 2025), which is a meaningful de-risking. However, total debt increased in 2025 versus 2024 (about €16.3B vs €11.3B), and the business still carries a sizable debt load for cyclical aerospace conditions. Equity has strengthened significantly since 2020, supporting the balance sheet, but the 2025 step-up in debt keeps the profile from scoring higher.

Cash Flow

Cash generation is healthy and improving: operating cash flow rose from ~€6.26B (2023) to ~€8.05B (2025), and free cash flow increased to ~€4.24B in 2025 with strong growth versus 2024. Free cash flow covers roughly half of net income in recent years (about 50–53% in 2023–2025), which is decent but not exceptional and suggests working-capital/production-cycle effects. The sharp negative operating and free cash flow in 2020 highlights cyclicality and execution risk, but the recent trend is constructive.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	70.52B	69.23B	65.45B	58.76B	52.15B
Gross Profit	10.53B	10.68B	10.04B	10.57B	9.63B
EBITDA	8.04B	9.18B	7.77B	8.20B	7.71B
Net Income	5.01B	4.23B	3.79B	4.25B	4.21B
Balance Sheet
Total Assets	134.88B	129.21B	118.87B	115.94B	107.05B
Cash, Cash Equivalents and Short-Term Investments	17.21B	19.18B	18.83B	18.25B	16.43B
Total Debt	16.30B	11.28B	13.59B	10.98B	13.46B
Total Liabilities	105.09B	109.52B	101.14B	102.96B	97.56B
Stockholders Equity	26.09B	19.61B	17.70B	12.95B	9.47B
Cash Flow
Free Cash Flow	4.24B	3.73B	3.20B	3.82B	2.71B
Operating Cash Flow	8.05B	7.40B	6.25B	6.29B	4.64B
Investing Cash Flow	-4.79B	-6.65B	-4.13B	-3.11B	-2.72B
Financing Cash Flow	-3.41B	-2.57B	-1.28B	-2.12B	-2.18B

Airbus SE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 59.58
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EADSY, the sentiment is Negative. The current price of 59.58 is above the 20-day moving average (MA) of 51.89, above the 50-day MA of 56.42, and above the 200-day MA of 55.53, indicating a bearish trend. The MACD of -2.10 indicates Positive momentum. The RSI at 33.15 is Neutral, neither overbought nor oversold. The STOCH value of 21.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EADSY.

Airbus SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RTX	75 Outperform	$274.58B	38.02	10.62%	1.44%	8.79%	39.63%
GD	74 Outperform	$95.54B	21.58	17.57%	1.73%	11.86%	17.39%
LMT	74 Outperform	$147.78B	22.26	80.53%	2.77%	2.88%	-35.15%
GE	70 Outperform	$315.65B	37.76	45.88%	0.48%	-19.21%	31.83%
EADSY	64 Neutral	$153.84B	15.22	21.22%	1.47%	9.15%	56.74%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
BA	56 Neutral	$161.77B	74.05	-94.94%	―	10.19%	-6.03%