Comparing Air France-KLM (AFLYY) and Its Competitors

Air France-KLM (OTC:AFLYY – Get Free Report) is part of the scheduled air transportation industry, which includes 36 publicly-traded companies. This article discusses how Air France-KLM measures up against its competitors in several key areas, including institutional ownership, valuation, earnings, analyst recommendations, dividends, profitability, and risk.

Institutional and Insider Ownership

Currently, institutional investors own 0.9% of Air France-KLM shares. In contrast, the average for the scheduled air transportation sector is much higher, with 54.7% of shares held by institutional investors. Additionally, insider ownership in the industry stands at 4.5%. High levels of institutional ownership can indicate that major financial analysts and funds are optimistic about a company's long-term prospects.

Valuation & Earnings

The following table illustrates a comparison between Air France-KLM and its peers regarding revenue, earnings per share (EPS), and price-to-earnings (P/E) ratios:

	Gross Revenue	Net Income	Price/Earnings Ratio
Air France-KLM	$32.49 billion	$1.01 billion	9.55
Air France-KLM Competitors	$15.89 billion	$442.30 million	7.42

Air France-KLM outperforms its competitors in terms of both revenue and earnings. However, it also has a higher price-to-earnings ratio, suggesting that its stock may be priced at a premium compared to other companies in the sector.

Analyst Ratings

Recent ratings, as provided by MarketBeat, summarize the analyst community's perspective on Air France-KLM and its peers:

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Air France-KLM	0	1	0	0	2.00
Competitors	875	2468	3538	208	2.43

On average, companies in the scheduled air transportation sector show a potential upside of 58.52%. Given this context, analysts suggest that Air France-KLM may have less favorable growth prospects compared to its rivals.

Volatility & Risk

Air France-KLM has a beta of 1.58, indicating that its stock is 58% more volatile than the S&P 500 index. In comparison, the average beta for its industry peers is 2.37, suggesting that they experience even higher volatility.

Profitability

Below is a comparison of profitability metrics such as net margins, return on equity, and return on assets between Air France-KLM and its competitors:

	Net Margins	Return on Equity	Return on Assets
Air France-KLM	0.39%	19.62%	0.34%
Competitors	1.65%	-24.83%	2.54%

Summary

In summary, Air France-KLM is outperformed by its peers in 9 out of 13 comparison factors discussed.

Company Overview

Air France-KLM is an airline group that operates in the passenger transport, cargo transport, and aircraft maintenance sectors. It ranks as a leader in international passenger traffic and is recognized for its cargo activities and maintenance services globally. The company operates through a straightforward structure that includes a holding company with two primary airline subsidiaries. Air France-KLM aims to grow profitably while maintaining commitment to environmental sustainability and social advancement.

Airlines, Finance, Comparison, Stocks, Ownership