SpiceJet Limited (SPICEJET) AI Stock Analysis

• Market Cap: ₹46.06B
• Dividend Yield: N/A
• Average Volume (3M): 7.77M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.50
• Revenue Growth: -24.83%
• EPS Growth: 90.68%
• Country: IN
• Employees: 7,131
• Sector: Services
• Sector Strength: N/A
• Industry: Airlines, Airports & Air Services
• EPS (TTM): 2.01
• Shares Outstanding: 1,281,988,600
• 10 Day Avg. Volume: 6,314,920
• 30 Day Avg. Volume: 7,770,807
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ₹30.15
• Price Target Upside: -13.88% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 2

• Rating: 38 Underperform
• Price Target: ₹37.00 ▲(5.68% Upside)

SpiceJet faces significant financial and operational challenges, which are the most impactful factors driving the low score. The company's weak financial performance, including negative profitability metrics and high leverage, is the primary concern. Technical analysis also indicates bearish sentiment, further weighing on the score. Valuation issues, highlighted by a negative P/E ratio, contribute to the bearish outlook.

SpiceJet Limited Business Overview & Revenue Model

Company Description

SpiceJet Limited is an Indian low-cost airline headquartered in Gurugram, India. It operates a fleet of Boeing and Bombardier aircraft, offering scheduled passenger and cargo services across domestic and international routes. The company aims to provide affordable air travel options while maintaining a high-quality service experience. SpiceJet is recognized for its competitive pricing model and extensive network, serving both major cities and regional destinations.

How the Company Makes Money

SpiceJet Limited generates revenue primarily through the sale of passenger tickets, which constitutes the largest portion of its income. The company benefits from a low-cost carrier model, focusing on cost-effective operations to maintain competitive pricing. Additionally, SpiceJet earns money from ancillary services such as baggage fees, seat selection, onboard sales, and loyalty programs. The airline also operates a cargo division, SpiceXpress, which contributes to its revenue by providing dedicated cargo services. Partnerships with travel agencies, codeshare agreements, and strategic alliances further enhance its market reach and revenue potential. Seasonal demand, fuel prices, and regulatory changes are significant factors influencing its earnings.

SpiceJet Limited Financial Statement Overview

Summary

SpiceJet's financial performance is poor, with negative gross and net profit margins, volatile revenue growth, and negative EBIT margins. The balance sheet reveals negative stockholders' equity and a high debt-to-equity ratio, indicating financial instability. Cash flow is strained, with negative free cash flow growth and a negative operating cash flow to net income ratio.

Income Statement

SpiceJet's financial performance has been challenging, with negative gross and net profit margins indicating persistent profitability issues. The revenue growth has been volatile, and EBIT margins have been consistently negative, highlighting operational inefficiencies. Despite positive EBITDA margins, the company's income statement reflects significant financial stress.

Balance Sheet

The balance sheet shows a concerning financial position with negative stockholders' equity, indicating liabilities exceed assets significantly. The high debt-to-equity ratio suggests a heavy reliance on debt financing, posing substantial financial risk. Overall, the balance sheet reflects instability and financial vulnerability.

Cash Flow

SpiceJet's cash flow statement indicates negative free cash flow growth and a negative operating cash flow to net income ratio, reflecting cash flow strain. The limited ability to generate positive cash flow from operations is a major concern, impacting long-term financial sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	61.52B	50.74B	67.77B	88.65B	64.10B	49.87B
Gross Profit	-3.83B	-2.38B	-3.88B	-5.07B	-15.15B	-12.60B
EBITDA	-2.12B	10.01B	8.12B	393.80M	510.44M	10.23B
Net Income	-4.71B	627.68M	-4.23B	-15.13B	-17.44B	-10.30B
Balance Sheet
Total Assets	84.61B	65.94B	64.72B	77.71B	95.55B	113.52B
Cash, Cash Equivalents and Short-Term Investments	28.38B	8.01B	2.15B	359.74M	131.14M	359.40M
Total Debt	50.20B	42.19B	53.79B	73.49B	83.32B	95.18B
Total Liabilities	110.59B	85.39B	116.91B	136.21B	138.95B	139.56B
Stockholders Equity	-25.96B	-19.42B	-52.17B	-58.50B	-43.40B	-26.04B
Cash Flow
Free Cash Flow	0.00	-17.70B	-6.54B	403.65M	9.67B	1.51B
Operating Cash Flow	0.00	-16.89B	-5.96B	627.95M	10.04B	2.28B
Investing Cash Flow	0.00	-6.43B	234.58M	5.19B	-1.49B	2.12B
Financing Cash Flow	0.00	21.68B	8.26B	-5.60B	-8.78B	-4.37B

SpiceJet Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 35.01
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SPICEJET, the sentiment is Negative. The current price of 35.01 is above the 20-day moving average (MA) of 34.69, below the 50-day MA of 37.02, and below the 200-day MA of 46.18, indicating a neutral trend. The MACD of -0.26 indicates Negative momentum. The RSI at 45.79 is Neutral, neither overbought nor oversold. The STOCH value of 40.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SPICEJET.

SpiceJet Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EASEMYTRIP	68 Neutral	₹30.62B	40.28		5.59%	-11.41%	-31.99%
WELENT	67 Neutral	₹65.09B	20.47		0.62%	14.32%	4.35%
YATRA	67 Neutral	₹24.10B	49.67		―	118.05%	―
THOMASCOOK	64 Neutral	₹83.87B	32.91		0.25%	12.46%	-3.99%
MHRIL	60 Neutral	₹71.29B	55.68		―	3.14%	6.79%
Sector *	56 Neutral	$13.75B	13.14	10.03%	0.89%	7.13%	-12.93%
SPICEJET	38 Underperform	₹46.06B	―		―	-24.83%	90.68%