Aeroports de Paris ADP (ADP) AI Stock Analysis

• Market Cap: €12.15B
• Dividend Yield: 2.43%
• Average Volume (3M): 74.95K
• Price to Earnings (P/E): 131.8
• Beta (1Y): 1.20
• Revenue Growth: 10.23%
• EPS Growth: -88.02%
• Country: FR
• Employees: 29,330
• Sector: Services
• Sector Strength: N/A
• Industry: Airlines, Airports & Air Services
• EPS (TTM): 0.98
• Shares Outstanding: 98,960,600
• 10 Day Avg. Volume: 92,483
• 30 Day Avg. Volume: 74,953
• PEG Ratio: -0.70
• Price to Book (P/B): 2.50
• Price to Sales (P/S): 1.79
• P/FCF Ratio: 25.35
• 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: €123.95
• Price Target Upside: 0.45% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: €141.00 ▲(14.26% Upside)

Aeroports de Paris ADP's stock score is primarily driven by strong technical momentum and robust financial performance, despite high leverage and valuation concerns. The lack of earnings call data and corporate events did not impact the score.

Positive Factors

Revenue Growth

Strong revenue growth indicates effective business strategies and expanding market presence, supporting long-term financial health.

Operational Efficiency

High gross profit margins reflect efficient operations and cost management, contributing to sustainable profitability.

Cash Generation

Strong cash generation supports financial flexibility and the ability to reinvest in growth opportunities and manage debt.

Negative Factors

High Debt Levels

High leverage can increase financial risk and limit the company's ability to invest in growth or weather economic downturns.

Declining Net Profit Margin

Declining net profit margins may indicate rising costs or pricing pressures, potentially affecting long-term profitability.

Free Cash Flow Decline

A decline in free cash flow can constrain the company's ability to fund new projects, pay dividends, or reduce debt.

Aeroports de Paris ADP 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

ADP generates revenue through multiple streams, primarily from airport operations which include landing and take-off fees charged to airlines, passenger service fees, and cargo handling fees. A significant portion of its income comes from non-aeronautical activities, including retail and duty-free sales, restaurants, and advertising within airport premises. Additionally, ADP earns revenue from car parking services and real estate development projects related to airport facilities. Collaborations with airlines and governmental contracts also bolster its financial performance, as ADP continually seeks to enhance operational efficiency and passenger services.

Aeroports de Paris ADP Financial Statement Overview

Summary

Aeroports de Paris ADP has demonstrated strong revenue growth and operational efficiency, with robust EBIT and EBITDA margins. However, the company faces challenges with high leverage as seen in the debt-to-equity ratio, and a decline in net profit margins. Cash flow generation remains strong, but there is a need to manage debt levels for sustainable growth.

Income Statement

Aeroports de Paris ADP has shown a robust recovery in its revenue over the years, with a significant revenue growth of over 13% from 2023 to 2024. The gross profit margin for 2024 stands at 64.6%, indicating strong profitability, though the net profit margin has decreased to 5.6% from 11.5% the previous year. The EBIT and EBITDA margins are healthy at 16.1% and 33.4%, respectively, reflecting solid operational performance.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 2.42, indicating significant leverage. However, the company has maintained a stable equity ratio of 21.9%, suggesting a reasonable level of shareholder equity relative to total assets. The return on equity has declined to 7.7%, showing a decrease in profitability from the perspective of equity holders.

Cash Flow

Operating cash flow to net income ratio is strong at 4.46, demonstrating efficient cash generation from operations relative to net income. However, free cash flow has declined, resulting in a negative growth rate from the previous year. The free cash flow to net income ratio is 1.27, indicating decent cash flow relative to net earnings.

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	4.14B	3.98B	2.40B	1.69B	520.00M	96.00M
EBITDA	1.97B	2.05B	2.13B	1.83B	873.00M	-615.00M
Net Income	92.00M	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	2.17B	2.44B	2.63B	2.38B	3.46B
Total Debt	10.59B	10.67B	9.82B	9.84B	10.17B	10.79B
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	-1.45B	-1.46B	-1.25B	-726.00M	-1.09B	-2.12B
Financing Cash Flow	-253.00M	-458.00M	-721.00M	-367.00M	-536.00M	3.49B

Aeroports de Paris ADP Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 123.40
• 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 FR:ADP, the sentiment is Positive. The current price of 123.4 is above the 20-day moving average (MA) of 122.96, above the 50-day MA of 119.46, and above the 200-day MA of 110.30, indicating a bullish trend. The MACD of 1.47 indicates Positive momentum. The RSI at 52.93 is Neutral, neither overbought nor oversold. The STOCH value of 46.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:ADP.

Aeroports de Paris ADP Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ADP	72 Outperform	€12.15B	131.80	2.20%	2.43%	10.23%	-88.02%
DEC	72 Outperform	€3.31B	13.76	11.69%	3.59%	5.80%	-9.84%
AF	61 Neutral	€3.12B	3.27	―	―	5.52%	1001.19%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%