Fraport AG Frankfurt Airport Services Worldwide (FRA) AI Stock Analysis

• Market Cap: €5.49B
• Dividend Yield: N/A
• Average Volume (3M): 146.62K
• Price to Earnings (P/E): 12.2
• Beta (1Y): 0.68
• Revenue Growth: 10.66%
• EPS Growth: 14.62%
• Country: DE
• Employees: 19,211
• Sector: Industrials
• Sector Strength: 77
• Industry: Airlines, Airports & Air Services
• EPS (TTM): 4.88
• Shares Outstanding: 92,468,704
• 10 Day Avg. Volume: 121,668
• 30 Day Avg. Volume: 146,619
• PEG Ratio: 0.84
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• 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: €66.17
• Price Target Upside: 11.02% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

Fraport AG's strong financial recovery and stable balance sheet are key strengths, contributing significantly to its stock score. Technical indicators suggest caution due to recent price movements, while valuation presents a mixed picture with a reasonable P/E ratio but no dividend yield. Overall, the company's focus on improving operational efficiency and managing liabilities will be crucial for sustaining growth.

Positive Factors

Cash Flow Management

For 2025, the company confirms FCF close to breakeven as capex will start to fall.

Future Financial Outlook

The company expects a volume turnaround with moderate traffic and single-digit EBITDA growth for FY-25.

Negative Factors

Earnings Performance

Q4 group EBITDA stands at €251m, which is a 4% miss compared to consensus estimates.

Operational Challenges

The Ground Handling segment posted a Q4 EBITDA loss of -€24m, missing expectations significantly.

Traffic and Demand Risks

A deterioration in demand for transatlantic travel is contributing to a negative traffic outlook, impacting Fraport significantly.

Fraport AG Frankfurt Airport Services Worldwide Business Overview & Revenue Model

Company Description

Fraport AG owns and operates airports in Germany, rest of Europe, Asia, and the United States. The company primarily focuses on the operation of Frankfurt Main airport. The company operates through four segments: Aviation, Retail & Real Estate, Ground Handling, and International Activities & Services. The Aviation segment operates landside and airside infrastructure, which covers the area of airport charges. The Retail & Real Estate segment engages in retail activities, including marketing of real estate properties and land. This segment also manages buildings and facilities, and parking and retail areas; and rents advertising space. The Ground Handling segment provides loading, baggage, and passenger services through airmail and luggage transport to freight handling. The International Activities & Services segment acquires, operates, maintains, develops, and expands airports and infrastructure facilities. This segment also offers consulting services; integrated facility and corporate infrastructure management, airport expansion south, and information and telecommunication services. The company was founded in 1924 and is headquartered in Frankfurt am Main, Germany.

How the Company Makes Money

Fraport AG generates revenue through multiple streams, primarily from its aviation and non-aviation businesses. The aviation segment includes fees collected from airlines for landing, takeoff, and parking services, as well as passenger fees. The non-aviation segment encompasses retail and real estate operations, where income is derived from leasing space to shops, restaurants, and other service providers within the airport. Additionally, Fraport earns money through its international investments and airport management contracts, which contribute to its diversified global portfolio. Partnerships with airlines and other airport service providers, as well as continuous infrastructure development and expansion, play significant roles in driving the company’s earnings.

Fraport AG Frankfurt Airport Services Worldwide Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown
Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
4.00B	3.19B	2.14B	1.68B	3.71B
	Gross Profit
1.03B	824.70M	266.20M	-643.30M	848.60M
	EBIT
702.80M	564.50M	59.50M	-708.10M	705.00M
	EBITDA
1.29B	940.00M	811.00M	-205.20M	1.22B
	Net Income Common Stockholders
393.20M	132.40M	82.80M	-690.40M	420.70M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.16B	2.76B	2.78B	1.95B	869.20M
	Total Assets
18.89B	17.61B	16.24B	14.08B	12.63B
	Total Debt
11.93B	248.80M	238.50M	259.00M	317.50M
	Net Debt
9.52B	-2.20B	-2.35B	-1.51B	-471.40M
	Total Liabilities
14.30B	13.48B	12.33B	10.32B	8.00B
	Stockholders Equity
4.32B	3.91B	3.75B	3.62B	4.44B
Cash Flow		Free Cash Flow
-87.40M	41.00M	-483.80M	-1.09B	181.70M
	Operating Cash Flow
863.20M	787.30M	392.60M	-236.20M	952.30M
	Investing Cash Flow
-1.86B	-1.22B	-2.30B	-2.53B	-1.30B
	Financing Cash Flow
795.40M	882.30M	2.10B	2.47B	302.40M

Fraport AG Frankfurt Airport Services Worldwide Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 59.60
• 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 DE:FRA, the sentiment is Positive. The current price of 59.6 is above the 20-day moving average (MA) of 58.39, above the 50-day MA of 57.30, and above the 200-day MA of 52.50, indicating a bullish trend. The MACD of 0.70 indicates Positive momentum. The RSI at 56.16 is Neutral, neither overbought nor oversold. The STOCH value of 39.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:FRA.

Fraport AG Frankfurt Airport Services Worldwide Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FRA	67 Neutral	€5.49B	12.22	9.85%	―	10.66%	14.62%
Sector *	64 Neutral	$4.25B	11.69	5.23%	249.83%	4.04%	-9.46%