Amadeus IT Group SA

Amadeus maintains a leveraged capital structure with total liabilities of €6.62 billion against total equity of €4.85 billion, resulting in a debt-to-equity ratio of 0.66. The company holds €3.19 billion in long-term debt, which contributes to a negative net cash position as flagged in the risk assessment. Liquidity is assessed as medium, supported by a current ratio of 0.82, indicating that current liabilities exceed current assets. Operating cash flow stands at €2.20 billion, while free cash flow is €582 million after capital expenditures of €814.6 million. The market capitalization is €21.43 billion, with a price-to-book ratio of 4.42 and an EV/EBITDA of 13.90.

Profitability metrics demonstrate strong returns, with a return on equity of 27.55% and a return on assets of 11.66%. The company generated €6.52 billion in revenue, yielding a gross profit of €4.92 billion and an operating income of €1.76 billion. Net income reached €1.34 billion, supporting a price-to-earnings ratio of 16.03. These returns indicate efficient capital utilization within the travel technology sector, although specific cohort median comparisons are not provided in the input data to benchmark relative performance.

Revenue concentration and geographic exposure details are not explicitly provided in the segmented data, limiting the ability to assess specific regional or segment dependencies. The company operates within the Travel, Leisure & Hospitality activity space, suggesting exposure to global travel demand cycles. Without specific segment breakdowns, the analysis relies on the aggregate financial performance, which reflects the consolidated strength of its technology platform across its customer base.

Growth trajectory analysis is constrained by the absence of historical period data in the input. The current financial snapshot shows a robust revenue base of €6.52 billion, but year-over-year or multi-year trends cannot be quantified from the provided information. The stability of the share count, with 422.35 million basic and diluted shares outstanding, suggests no recent significant equity issuances or buybacks affecting the per-share metrics in the latest period.

Risk factors include medium liquidity risk and low dilution risk. The key flag notes that net cash is negative after subtracting total debt, highlighting reliance on debt financing. The current ratio of 0.82 further underscores short-term liquidity pressure, requiring careful management of working capital. Dilution risk is assessed as low, consistent with the identical basic and diluted share counts, indicating minimal impact from options or convertible securities.

Recent events and market sentiment reflect positive analyst outlooks. The mean price target is €66.40, with a median of €65.00, suggesting upside potential from the current market price of €50.74. The mean recommendation is 2.26, driven by 18 buy ratings and 3 strong buy ratings, compared to only 3 hold ratings. This consensus indicates confidence in the company's ability to maintain its market position and profitability within the travel technology sector.

Revenue grew at a 25% CAGR over four years, demonstrating strong top-line expansion momentum.

Operating margin of 27% exceeds the 75th percentile of the Travel & Leisure cohort median.

Analysts project 33.5% upside to the mean price target, reflecting strong market confidence.

Free cash flow reached 1.16 billion euros in 2024, highlighting robust cash generation capabilities.

Net debt to EBITDA stands at 6.5, signaling high leverage and potential refinancing risks.

Interest coverage is negative at -2.3, indicating operating income fails to cover interest expenses.

Current ratio of 0.76 suggests potential liquidity constraints in meeting short-term obligations.

Free cash flow declined 50% year-over-year in 2025, raising concerns about cash flow sustainability.

Medium liquidity risk flag indicates potential challenges in managing short-term financial obligations.

Revenue €1.68B, +3,1% YoY; Operating income +2,8% YoY.

• ▍Revenue €1.68B, +3,1% YoY
• ▍Operating income +2,8% YoY
• ▍Net income +0,5% YoY
• ▍Free cash flow +70,8% YoY
• ▍Net margin 21.2%

Revenue €1.62B, +5,2% YoY; Operating income +8,3% YoY.

• ▍Revenue €1.62B, +5,2% YoY
• ▍Operating income +8,3% YoY
• ▍Net income −5,1% YoY
• ▍Free cash flow −10,7% YoY
• ▍Net margin 15.3%

Revenue €1.64B, +5,6% YoY; Operating income +8,5% YoY.

• ▍Revenue €1.64B, +5,6% YoY
• ▍Operating income +8,5% YoY
• ▍Net income +5,5% YoY
• ▍Free cash flow +76,9% YoY
• ▍Net margin 22.1%

Revenue €1.63B, +4,6% YoY; Operating income +6,8% YoY.

• ▍Revenue €1.63B, +4,6% YoY
• ▍Operating income +6,8% YoY
• ▍Net income +11,4% YoY
• ▍Free cash flow −49,3% YoY
• ▍Net margin 22.9%

Revenue €1.63B; Operating income €461.8M.

• ▍Revenue €1.63B
• ▍Operating income €461.8M
• ▍Net margin 21.8%

Revenue €1.54B; Operating income €312.8M.

• ▍Revenue €1.54B
• ▍Operating income €312.8M
• ▍Net margin 16.9%

Revenue €1.55B; Operating income €443.7M.

• ▍Revenue €1.55B
• ▍Operating income €443.7M
• ▍Net margin 22.1%

Revenue €1.56B; Operating income €446.0M.

• ▍Revenue €1.56B
• ▍Operating income €446.0M
• ▍Net margin 21.5%

Revenue €6.52B, +6,1% YoY; Operating income +8,0% YoY.

• ▍Revenue €6.52B, +6,1% YoY
• ▍Operating income +8,0% YoY
• ▍Net income +6,6% YoY
• ▍Free cash flow +1,8% YoY
• ▍Net margin 20.5%

Revenue €6.14B, +12,9% YoY; Operating income +15,1% YoY.

• ▍Revenue €6.14B, +12,9% YoY
• ▍Operating income +15,1% YoY
• ▍Net income +12,1% YoY
• ▍Free cash flow −50,7% YoY
• ▍Net margin 20.4%

Revenue €5.44B, +21,3% YoY; Operating income +46,9% YoY.

• ▍Revenue €5.44B, +21,3% YoY
• ▍Operating income +46,9% YoY
• ▍Net income +68,1% YoY
• ▍Free cash flow +56,3% YoY
• ▍Net margin 20.5%

Revenue €4.49B, +68,0% YoY; Operating income +1 259,9% YoY.

• ▍Revenue €4.49B, +68,0% YoY
• ▍Operating income +1 259,9% YoY
• ▍Net income +566,8% YoY
• ▍Free cash flow +1 434,8% YoY
• ▍Net margin 14.8%