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Airbus SE (EADSY)
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Airbus SE (EADSY) AI Stock Analysis

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EADSY

Airbus SE

(OTC:EADSY)

Rating:76Outperform
Price Target:
$61.00
▲(18.08% Upside)
Airbus SE's strong financial performance and positive technical indicators are the primary drivers of its overall score. The company's robust revenue growth and profitability metrics, along with a stable balance sheet, provide a solid foundation. Technical analysis supports a bullish outlook, although high valuation metrics suggest caution. The earnings call sentiment is slightly positive, despite challenges in the supply chain and cash flow. Overall, Airbus is well-positioned in its industry, but investors should be mindful of valuation concerns.

Airbus SE (EADSY) vs. SPDR S&P 500 ETF (SPY)

Airbus SE Business Overview & Revenue Model

Company DescriptionAirbus 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 MoneyAirbus generates revenue through several key streams. The primary source is the sale of commercial aircraft, which includes both single-aisle and wide-body planes. The company also earns significant income from its defense and space segments, which provide military aircraft, satellite solutions, and launch services to governments and organizations worldwide. Additionally, Airbus has a strong aftermarket services division that offers maintenance, repair, and overhaul (MRO) services, contributing to recurring revenue. Strategic partnerships, such as collaborations with various governments and commercial airlines, enhance its market presence and allow for joint ventures in new technologies. The company also benefits from research and development contracts, further diversifying its revenue sources.

Airbus SE Earnings Call Summary

Earnings Call Date:Jul 30, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Oct 29, 2025
Earnings Call Sentiment Positive
The earnings call highlighted strong demand and revenue growth, along with a robust performance in Defense and Space. However, engine supply chain challenges and negative free cash flow are notable concerns. The overall sentiment is slightly positive due to the strong commercial momentum and improved financial performance.
Q2-2025 Updates
Positive Updates
Strong Commercial Momentum
Airbus observed strong demand for their aircraft, driven by both growth and fleet replacements, with 494 gross orders booked in H1 2025, including 240 orders and commitments during the Paris Air Show.
Increase in Revenue
H1 2025 revenue increased to EUR 29.6 billion, up 3% year-on-year, mainly reflecting a higher contribution from divisions and stronger services volumes.
Improved Financial Performance
H1 2025 EBIT adjusted increased to EUR 2.2 billion from EUR 1.4 billion in H1 2024, reflecting a stronger performance in Defence and Space.
Defense and Space Turnaround
Order intake in Defense & Space stands at EUR 5.1 billion, with significant orders such as the French Framework Agreement for the VSR-700 and the advancement of A400M deliveries.
Liquidity Position
Airbus maintained a strong liquidity position with around EUR 30 billion, despite a net cash position of EUR 7 billion at the end of June.
Negative Updates
Engine Supply Chain Challenges
Persisting tensions on engines for A320 resulted in 60 gliders at the end of H1 2025, with CFM engine issues being the main contributor to the delays.
Negative Free Cash Flow
Free cash flow before customer financing was negative EUR 1.6 billion, mainly due to planned inventory buildup and high level of gliders.
Helicopter Order Decline
Airbus Helicopters booked 171 net orders in H1 2025 compared to 233 in H1 2024, indicating a decrease in demand.
Potential Strike Risks
Potential strikes at Airbus's wing factories in the U.K. could impact production, though discussions are ongoing to resolve the issue.
Company Guidance
During the Airbus H1 2025 earnings call, several key metrics and guidance points were discussed. The company maintained its guidance for 2025, aiming for around 820 commercial aircraft deliveries, an EBIT adjusted of approximately EUR 7 billion, and a free cash flow before customer financing of around EUR 4.5 billion. In the first half of 2025, Airbus delivered 306 commercial aircraft and recorded an EBIT adjusted of EUR 2.2 billion, with free cash flow before customer financing at a negative EUR 1.6 billion. The backlog increased to 8,754 aircraft, with notable orders including 494 gross orders and 402 net orders. The A320 family backlog stood at 7,185 aircraft, of which approximately 75% are A321s. Airbus highlighted supply chain challenges, particularly with engine availability, resulting in 60 gliders by the end of June. Despite these challenges, the company remains focused on its ramp-up plans and expects engine delivery issues to normalize by year-end. The A400M program and strategic developments in drones and defense were also discussed, with Airbus pursuing partnerships and transformation plans to enhance its competitive position.

Airbus SE Financial Statement Overview

Summary
Airbus SE exhibits strong financial health with robust revenue growth and profitability metrics. The balance sheet is stable with moderate leverage and strong equity returns. While cash flow management is generally sound, the recent decline in free cash flow growth suggests a need for careful monitoring. Overall, the company is well-positioned in the aerospace and defense industry with a solid financial foundation.
Income Statement
85
Very Positive
Airbus SE has shown strong revenue growth with a 10.4% increase in TTM, supported by solid gross and net profit margins of 15.36% and 7.04% respectively. The EBIT and EBITDA margins are healthy at 10.05% and 14.08%, indicating efficient operations. The company has consistently improved its revenue and profitability metrics over the past few years, showcasing a robust financial performance.
Balance Sheet
78
Positive
The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.46, indicating moderate leverage. The return on equity is strong at 23.56%, suggesting effective use of equity capital. The equity ratio stands at 17.87%, showing a solid equity base relative to total assets. Overall, the balance sheet demonstrates financial stability with manageable debt levels.
Cash Flow
70
Positive
Cash flow analysis reveals a decline in free cash flow growth by 54.54% in TTM, which could be a concern. However, the operating cash flow to net income ratio is 0.10, and the free cash flow to net income ratio is 0.40, indicating reasonable cash generation relative to net income. While cash flow management appears adequate, the recent decline in free cash flow growth warrants attention.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue70.02B69.23B65.45B58.76B52.15B49.91B
Gross Profit10.75B10.68B10.04B10.57B9.63B5.66B
EBITDA9.86B9.18B7.50B8.07B7.65B2.07B
Net Income4.93B4.23B3.79B4.25B4.21B-1.17B
Balance Sheet
Total Assets129.04B129.21B118.87B115.94B107.05B110.09B
Cash, Cash Equivalents and Short-Term Investments12.70B19.18B18.83B18.25B16.43B16.52B
Total Debt10.63B11.28B13.59B10.98B13.46B15.62B
Total Liabilities105.89B109.52B101.14B102.96B97.56B103.64B
Stockholders Equity23.06B19.61B17.70B12.95B9.47B6.45B
Cash Flow
Free Cash Flow2.48B3.73B3.20B3.82B2.71B-7.18B
Operating Cash Flow6.17B7.40B6.25B6.29B4.64B-5.42B
Investing Cash Flow-5.56B-6.65B-4.13B-3.11B-2.72B4.13B
Financing Cash Flow-2.73B-2.57B-1.28B-2.12B-2.18B6.83B

Airbus SE Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price51.66
Price Trends
50DMA
51.87
Negative
100DMA
47.55
Positive
200DMA
44.43
Positive
Market Momentum
MACD
0.27
Positive
RSI
46.72
Neutral
STOCH
9.40
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EADSY, the sentiment is Neutral. The current price of 51.66 is below the 20-day moving average (MA) of 52.04, below the 50-day MA of 51.87, and above the 200-day MA of 44.43, indicating a neutral trend. The MACD of 0.27 indicates Positive momentum. The RSI at 46.72 is Neutral, neither overbought nor oversold. The STOCH value of 9.40 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for EADSY.

Airbus SE Peers Comparison

Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
82
Outperform
$290.50B37.2240.20%0.47%-32.80%69.39%
79
Outperform
$86.66B21.4817.91%1.79%11.85%16.12%
76
Outperform
$165.64B31.2723.80%1.64%5.72%59.43%
76
Outperform
$213.59B34.3310.13%1.64%15.44%164.00%
71
Outperform
$106.33B25.2173.06%2.87%1.09%-35.50%
64
Neutral
$10.95B16.378.81%1.96%2.68%-15.33%
53
Neutral
$177.57B-162.23%2.41%-193.57%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
EADSY
Airbus SE
51.66
13.10
33.97%
BA
Boeing
235.62
64.91
38.02%
GD
General Dynamics
325.46
34.91
12.02%
GE
GE Aerospace
273.35
102.58
60.07%
LMT
Lockheed Martin
454.47
-95.02
-17.29%
RTX
RTX
159.84
41.37
34.92%
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.Date of analysis: Aug 19, 2025