Airbus Group SE (AIR) AI Stock Analysis

• Market Cap: $130.87B
• Dividend Yield: 1.13%
• Average Volume (3M): 1.08M
• Price to Earnings (P/E): 29.5
• Beta (1Y): 1.03
• Revenue Growth: 5.16%
• EPS Growth: 12.89%
• Country: FR
• Employees: 157,894
• Sector: Industrials
• Sector Strength: 90
• Industry: Aerospace & Defense
• EPS (TTM): 0.67
• Shares Outstanding: 792,283,700
• 10 Day Avg. Volume: 991,567
• 30 Day Avg. Volume: 1,076,454
• PEG Ratio: 6.03
• Price to Book (P/B): 5.67
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 22.90
• 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: $183.23
• Price Target Upside: 10.72% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 14

• Rating: 74 Outperform
• Price Target: ―

Airbus Group SE's overall stock score reflects strong financial performance, characterized by consistent growth and effective cash management. While technical indicators suggest caution due to mixed momentum, particularly in the short term, the company's robust order backlog and revenue growth are positive signals. Valuation remains a concern due to a high P/E ratio, and despite strong order momentum, the earnings call highlighted challenges such as supply chain issues and negative cash flow that need resolution. These factors collectively result in a moderately positive outlook for the stock.

Positive Factors

Environmental Innovation

Airbus is aiming to introduce the first zero-emission commercial aircraft by 2035, enhancing its competitive edge and aligning with the increasing global emphasis on environmental responsibility.

Financial Flexibility

Substantial net cash position and strong free cash flow generation enable flexibility for M&A and greater shareholder returns.

Market Position

Airbus holds a critical position in the global aerospace industry, where it competes with Boeing to supply the vast majority of commercial airliners.

Negative Factors

Delivery Challenges

Year-to-date deliveries are down 5%, with Airbus needing 13% year-over-year growth over the remainder of the year to reach its 820 delivery guide.

Earnings Pressure

Weaker year-over-year EBIT at Airbus Commercial despite a hedge improvement.

Supply Chain Issues

Protracted supply chain bottlenecks may continue to hinder increases in production and delivery rates or lead to cost inflation.

Airbus Group 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 makes money primarily through the sale of commercial aircraft, which constitutes the largest portion of its revenue. The company designs, manufactures, and sells a variety of aircraft models to airlines and leasing companies around the world. In addition to aircraft sales, Airbus generates revenue from providing maintenance, repair, and overhaul (MRO) services, as well as from the sale of spare parts and customer support services. The Airbus Helicopters division contributes to revenue through the sale of civil and military helicopters, along with associated services. The Airbus Defence and Space division earns money by providing military transport aircraft, satellites, and other defense systems to government and commercial customers. Strategic partnerships and long-term contracts with governments and defense organizations also significantly contribute to its earnings.

Airbus Group SE Financial Statement Overview

Summary

Airbus Group SE exhibits a robust financial performance characterized by consistent revenue and profit growth, efficient cost management, and strong cash flow generation. The company maintains a balanced capital structure with moderate leverage and high return on equity. With continued focus on operational efficiency and cash management, Airbus is well-positioned for future growth in the aerospace and defense industry.

Income Statement

Airbus Group SE demonstrates a strong financial performance with substantial revenue growth over the past years. The TTM (Trailing-Twelve-Months) gross profit margin is approximately 15.18%, indicating efficient production and sales processes. The net profit margin is robust at 6.33%, showcasing profitability. Revenue growth rate from 2023 to TTM is around 6.88%, reflecting continued expansion. EBIT and EBITDA margins stand at 6.89% and 13.32% respectively, highlighting effective cost management and operational efficiency.

Balance Sheet

The balance sheet of Airbus Group SE shows a solid financial position with a debt-to-equity ratio of approximately 0.51, indicating moderate leverage. The return on equity (ROE) is strong at about 20.14% for TTM, reflecting high profitability relative to shareholder equity. The equity ratio stands at 16.62%, showing a reasonable proportion of assets financed by shareholders. Overall, the balance sheet indicates stability with a focus on equity growth.

Cash Flow

Airbus Group SE's cash flow statement shows healthy operations with a significant operating cash flow to net income ratio of around 2.08, suggesting strong cash generation from operations. The free cash flow growth rate from 2023 to TTM is 62.32%, demonstrating enhanced cash management and investment efficiency. The free cash flow to net income ratio is approximately 1.23, indicating effective conversion of profits into cash.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
69.94B	69.23B	65.45B	58.76B	52.15B	49.91B
	Gross Profit
10.62B	10.68B	10.04B	10.57B	9.63B	5.66B
	EBIT
4.82B	4.80B	4.27B	5.83B	5.75B	-805.00M
	EBITDA
9.32B	8.83B	7.50B	8.07B	7.65B	2.07B
	Net Income Common Stockholders
4.43B	4.23B	3.79B	4.25B	4.21B	-1.17B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
17.98B	19.18B	18.83B	18.25B	16.43B	16.52B
	Total Assets
132.40B	129.21B	118.87B	115.94B	107.05B	110.09B
	Total Debt
11.21B	11.28B	13.59B	10.98B	13.46B	15.62B
	Net Debt
-2.46B	-3.73B	-2.88B	-4.84B	-1.11B	1.18B
	Total Liabilities
110.31B	109.52B	101.14B	102.96B	97.56B	103.64B
	Stockholders Equity
22.00B	19.61B	17.70B	12.95B	9.47B	6.45B
Cash Flow		Free Cash Flow
5.45B	3.73B	3.35B	3.82B	2.71B	-7.18B
	Operating Cash Flow
9.22B	7.40B	6.41B	6.29B	4.64B	-5.42B
	Investing Cash Flow
-6.48B	-6.65B	-4.13B	-3.11B	-2.72B	4.13B
	Financing Cash Flow
-2.58B	-2.57B	-1.28B	-2.12B	-2.18B	6.83B

Airbus Group SE Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 165.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:AIR, the sentiment is Positive. The current price of 165.5 is above the 20-day moving average (MA) of 162.47, above the 50-day MA of 153.15, and above the 200-day MA of 148.66, indicating a bullish trend. The MACD of 3.35 indicates Negative momentum. The RSI at 60.07 is Neutral, neither overbought nor oversold. The STOCH value of 39.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:AIR.

Airbus Group SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AIR	74 Outperform	$130.87B	29.47	21.75%	1.13%	5.16%	12.89%
Sector *	66 Neutral	$4.50B	12.29	5.40%	248.66%	4.13%	-12.33%
0IAX		€24.61B	26.77	15.30%	1.50%	―	―
0IU8		€110.73B	62.29	-6.13%	1.09%	―	―
0IW5		€53.74B	51.85	14.05%	1.41%	―	―