EDreams ODIGEO (EDR) AI Stock Analysis

• Market Cap: €391.87M
• Dividend Yield: N/A
• Average Volume (3M): 164.83K
• Price to Earnings (P/E): 5.2
• Beta (1Y): 1.48
• Revenue Growth: 6.79%
• EPS Growth: 130.31%
• Country: US
• Employees: 1,680
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Travel Services
• EPS (TTM): 0.19
• Shares Outstanding: 118,625,060
• 10 Day Avg. Volume: 171,924
• 30 Day Avg. Volume: 164,828
• PEG Ratio: 0.46
• Price to Book (P/B): 3.50
• Price to Sales (P/S): 1.30
• P/FCF Ratio: 9.62
• 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: €4.25
• Price Target Upside: 25.37% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: €3.50 ▲(3.24% Upside)

EDreams ODIGEO's strong financial performance and positive earnings call outlook are offset by technical indicators suggesting bearish momentum. The stock's undervaluation presents an opportunity, but high leverage and immediate operational challenges pose risks.

Positive Factors

Revenue & Profitability

Sustained high revenue growth with strong gross and EBITDA margins indicates a scalable OTA model and disciplined cost control. Durable unit economics support reinvestment in product, marketing, and geographic expansion, increasing resilience through travel cycles.

Free Cash Flow & Cash Conversion

Robust cash generation and healthy conversion of earnings into free cash flow provide lasting financial flexibility. This strengthens the company’s ability to fund growth initiatives, service debt, and execute capital allocation without heavy reliance on external financing.

Subscription (Prime) Growth & Monetization

Rapid Prime membership expansion and tests showing higher lifetime value from monthly payments signal durable subscription monetization. A growing, sticky membership base enhances recurring revenue, customer retention, and cross-sell potential across flights, rail and ancillaries.

Negative Factors

High Leverage

Significant leverage reduces financial flexibility and raises refinancing and interest-rate risk. In a cyclical travel industry, elevated debt limits the company's ability to absorb prolonged demand shocks or accelerate strategic investments without compromising balance sheet stability.

Distribution / Supplier Risk (Ryanair)

Heavy reliance on airline distribution exposes the business to abrupt supplier actions. A >80% hit to daily bookings from one carrier is a structural risk to customer acquisition, conversion and margins, and may force higher marketing spend or product changes to replace lost volume.

Capital Allocation vs Near-Term Cash Impact

Executing a sizable buyback while facing near-term cash EBITDA headwinds and elevated leverage can constrain liquidity and limit options to deleverage or invest. This capital-return choice raises execution risk if travel demand or cash generation underperforms expectations.

EDreams ODIGEO Business Overview & Revenue Model

Company Description

eDreams ODIGEO S.A., together with its subsidiaries, operates as an online travel company in Europe. The company offers its online travel agency services under the eDreams, Go Voyages, Opodo, Travellink, and Liligo brands. It also provides marketing, admin and IT consulting, and metasearch services, as well as offers online advertising campaigns. Its customers access the deals in regular flights, low-cost airlines, hotels, car rental, dynamic packages, holiday packages, and travel insurance. eDreams ODIGEO S.A. was incorporated in 2011 and is based in Madrid, Spain.

How the Company Makes Money

EDreams ODIGEO generates revenue primarily through its online travel agency model, which includes a commission-based structure from airlines, hotels, and other travel service providers. Key revenue streams include booking fees charged to customers, commissions on airline ticket sales, and revenue from ancillary services such as travel insurance and car rentals. The company also benefits from partnerships with various airlines and hotel chains, which provide access to exclusive deals and promotions, enhancing the attractiveness of its offerings. Additionally, EDR invests in digital marketing and technology to drive customer acquisition and retention, further contributing to its overall revenue growth.

EDreams ODIGEO Financial Statement Overview

Summary

EDreams ODIGEO shows strong financial health with impressive revenue growth and profitability. The company effectively utilizes its equity to generate returns, but high debt levels could pose a risk if not managed carefully.

Income Statement

EDreams ODIGEO has demonstrated strong revenue growth, with a TTM revenue growth rate of 48.2%. The company maintains healthy profitability margins, with a gross profit margin of 68.2% and a net profit margin of 8.7% in the TTM. EBIT and EBITDA margins are also robust at 13.9% and 20.6%, respectively. These figures indicate a solid financial performance and effective cost management.

Balance Sheet

The balance sheet shows a relatively high debt-to-equity ratio of 1.47, indicating significant leverage. However, the return on equity is strong at 23.9%, suggesting efficient use of equity capital. The equity ratio stands at 22.6%, reflecting a moderate level of equity financing relative to total assets.

Cash Flow

Cash flow analysis reveals a positive trajectory, with a free cash flow growth rate of 30.8% in the TTM. The operating cash flow to net income ratio is 2.26, indicating strong cash generation relative to net income. The free cash flow to net income ratio of 0.60 suggests a healthy conversion of earnings into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	687.11M	671.18M	650.51M	587.76M	398.28M	107.17M
Gross Profit	496.26M	671.18M	558.29M	569.59M	382.58M	63.31M
EBITDA	162.77M	116.24M	77.58M	23.61M	-6.26M	-73.81M
Net Income	75.25M	45.07M	32.36M	-43.34M	-65.87M	-124.23M
Balance Sheet
Total Assets	1.12B	1.16B	1.15B	1.07B	1.08B	986.24M
Cash, Cash Equivalents and Short-Term Investments	45.16M	78.64M	93.90M	35.93M	45.93M	12.14M
Total Debt	384.96M	379.33M	380.64M	385.70M	424.26M	513.23M
Total Liabilities	869.01M	911.83M	880.44M	837.63M	802.61M	727.77M
Stockholders Equity	253.35M	250.25M	274.53M	236.30M	272.52M	258.47M
Cash Flow
Free Cash Flow	111.53M	91.03M	89.73M	64.37M	92.22M	-21.28M
Operating Cash Flow	170.57M	146.41M	138.88M	102.53M	119.15M	428.00K
Investing Cash Flow	-59.13M	-55.55M	-48.80M	-38.15M	-26.92M	-21.66M
Financing Cash Flow	-116.03M	-105.61M	-31.05M	-67.74M	-50.93M	-69.45M

EDreams ODIGEO Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.39
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ES:EDR, the sentiment is Negative. The current price of 3.39 is below the 20-day moving average (MA) of 3.72, below the 50-day MA of 4.04, and below the 200-day MA of 6.98, indicating a bearish trend. The MACD of -0.22 indicates Negative momentum. The RSI at 29.42 is Positive, neither overbought nor oversold. The STOCH value of 29.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ES:EDR.

EDreams ODIGEO Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EDR	70 Outperform	€391.87M	5.18	29.98%	―	6.79%	130.31%
IDR	66 Neutral	€9.64B	25.22	28.47%	0.52%	6.92%	57.04%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
AMS	61 Neutral	€25.27B	19.15	27.50%	2.24%	8.08%	11.80%