Air France-KLM (AFLYY) versus Its Rivals Financial Survey

Air France-KLM (OTCMKTS:AFLYY) is one of 78 public companies in the “Passenger Airlines” industry, but how does it weigh in compared to its peers? We will compare Air France-KLM to similar companies based on the strength of its earnings, valuation, profitability, dividends, institutional ownership, analyst recommendations and risk.

Profitability

This table compares Air France-KLM and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Air France-KLM	3.35%	44.05%	2.83%
Air France-KLM Competitors	-18.05%	5.62%	1.06%

Risk and Volatility

Air France-KLM has a beta of 1.53, indicating that its stock price is 53% more volatile than the S&P 500. Comparatively, Air France-KLM’s peers have a beta of 18.44, indicating that their average stock price is 1,744% more volatile than the S&P 500.

Insider & Institutional Ownership

0.9% of Air France-KLM shares are owned by institutional investors. Comparatively, 42.0% of shares of all “Passenger Airlines” companies are owned by institutional investors. 10.5% of shares of all “Passenger Airlines” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Air France-KLM and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Air France-KLM	$28.08 billion	$1.80 billion	3.06
Air France-KLM Competitors	$14.66 billion	$637.69 million	18.87

Air France-KLM has higher revenue and earnings than its peers. Air France-KLM is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Air France-KLM and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Air France-KLM	0	6	3	0	2.33
Air France-KLM Competitors	1526	4063	6683	354	2.46

As a group, “Passenger Airlines” companies have a potential upside of 8.99%. Given Air France-KLM’s peers stronger consensus rating and higher possible upside, analysts clearly believe Air France-KLM has less favorable growth aspects than its peers.

Summary

Air France-KLM peers beat Air France-KLM on 8 of the 13 factors compared.

Air France-KLM Company Profile

Air France-KLM SA, together with its subsidiaries, provides passenger and cargo transportation services and aeronautical maintenance in Metropolitan France, Benelux, rest of Europe, and internationally. The company operates through three segments: Airframe maintenance, Engine Maintenance, and Component Support. It offers airframe maintenance, electronic, mechanical, pneumatic, hydraulic, and other services. The company was founded in 1919 and is headquartered in Paris, France.