Airbus Group SE
🇫🇷 AIR.PA · Paris · NL0000235190
Industrials
EUR 165.14 price at analysis
Scores
Key Metrics
Powered by EODHDP/E (TTM)
25.0
P/E (Price-to-Earnings)Shows how much investors pay for each $1 of profit. We display the TTM P/E (Trailing Twelve Months) which uses actual earnings from the last 4 quarters. This is more reliable than Forward P/E which uses analyst estimates.
Calculation: 165.14 ÷ 6.60 = 25.0
TTM period through: 2025-12-31
Forward P/E (estimated): 22.7
Based on analyst estimates
Reference: Provider P/E (Trailing): 25.0
Yield (Fwd)
1.94%
Dividend YieldThe Forward yield (Fwd) shows the next announced annual dividend / current price — what you'd earn going forward. The Trailing yield (TTM) in the tooltip shows dividends actually paid in the last 12 months. Forward is shown as primary because it reflects the company's current commitment to shareholders.
Trailing Yield (TTM): 1.91%
Net Debt/EBITDA (TTM)
0.3x
Latest quarter: 0.7x
Net Debt / EBITDAA leverage ratio showing how many years of EBITDA (earnings before interest, taxes, depreciation, and amortization) it would take to repay net debt. EBITDA approximates operating cash generation. Lower ratios (e.g., <3x) are generally safer; higher (e.g., >5x) may indicate more financial risk.
TTM through: 2025-12-31
Latest quarter (2025-12-31): 0.7x
The quarterly value can spike when quarterly EBITDA is very low (e.g., one-time charges).
Quick guide: <2x manageable, >4x can be risky (sector-dependent).
Payout (Fwd)
48.5%
Payout RatioDividends as a percentage of earnings. The Forward payout (Fwd) uses the announced dividend divided by actual past earnings (TTM) — it tells you if the company can afford what it promised. Very high payouts can be risky, especially if profits fall.
Announced dividend / actual earnings (TTM)
Payout (TTM): 45.4%
Cash Flow Payout (TTM): 28.3%
FCF Coverage (TTM): 1.86x
ROE
21.6%
ROE (Return on Equity)A profitability measure: how much profit is generated from shareholders’ equity. Higher isn’t always better if it comes from high debt.
EV/EBITDA
12.0x
EV/EBITDAA valuation ratio that compares total business value (including debt) to EBITDA. Lower can mean cheaper, but context matters.
Summary
Airbus maintains a dominant position in the global commercial aviation duopoly, boasting a massive multi-year order backlog and an exceptionally strong balance sheet. While the underlying business quality is outstanding and recent major orders reinforce its moat, current valuation levels offer limited upside for income-focused investors. Existing shareholders should maintain positions given the robust fundamentals, but new investors may want to wait for a better entry point with a more attractive yield.
Sector Context
Airbus operates as one half of the global commercial aerospace duopoly, designing and manufacturing commercial aircraft, defense systems, and helicopters. While not a traditional daily essential service like a utility, the immense barriers to entry, high switching costs, and massive multi-year order backlogs provide exceptional revenue visibility that is highly prized by long-term investors.
📊 Strategy Analysis
- • Global duopoly position alongside Boeing provides an immense competitive moat and extremely high barriers to entry.
- • Exceptionally strong balance sheet with Net Debt/EBITDA of just 0.26x and Debt/Equity of 0.62x, ensuring long-term financial stability.
- • Highly secure dividend supported by a conservative 28.3% cash flow payout ratio and robust Free Cash Flow generation of €5.5 billion.
- • Massive multi-year order backlogs provide exceptional revenue visibility and long-term earnings predictability.
⚠ What to Watch
- • Current P/E of 25.02 significantly exceeds the target valuation range of 8-15x, indicating elevated pricing.
- • The 1.91% dividend yield falls short of the 3% minimum threshold typically required for income-focused strategies.
- • Ongoing aerospace supply chain bottlenecks and rising geopolitical tensions could complicate planned production ramp-ups.
📊 Historical Trends (10 Years)
Powered by EODHDThese charts show how key metrics have evolved over the past decade, helping you identify if the company is improving or deteriorating.
Debt Evolution (Net Debt / EBITDA)
Lower values are better. A declining trend indicates the company is reducing its debt (deleveraging).
Revenue & Earnings Growth
Consistent growth in revenueRevenue
The money a company brings in from selling its products or services. It’s the top line before costs. (blue) and earningsEarnings (Profit)
What’s left after expenses. Positive earnings mean the business made a profit; negative means a loss. (green) indicates a healthy business. Look for upward trends and recoveries after temporary dips.
Dividend Sustainability (FCF vs Dividends Paid)
Free cash flowFree Cash Flow
Cash left after the company pays for running the business and maintaining it. Often used to fund dividends, pay debt, or buy back shares. (FCFFCF (Free Cash Flow)
Short for Free Cash Flow: cash left after operating needs and maintenance spending., blue) should cover dividends paidDividends Paid
Cash the company paid out to shareholders. It’s not guaranteed and can change over time. (green). If dividends consistently exceed FCFFCF (Free Cash Flow)
Short for Free Cash Flow: cash left after operating needs and maintenance spending., the dividend may be at risk.
Analysis date: 2026-04-04
Disclaimer: This information is for educational purposes only. Not financial advice.