Air France-KLM (OTCMKTS:AFLYY) Shares Gap Up - Time to Buy?

Key Points

• Air France-KLM's shares gapped up premarket, opening at $1.073 after a $1.015 close and last trading at $1.085 on light volume (4,006 shares).
• Analysts are mixed: two Buy and six Hold with a MarketBeat consensus of "Hold", although Oddo Bhf and Barclays issued recent upgrades.
• Key fundamentals are mixed and risky for buyers: the company missed Q1 EPS (‑$0.13 vs. ‑$0.05), has a low PE of 1.62 but very high debt-to-equity (5.39) and weak liquidity (current ratio 0.62).

Air France-KLM SA (OTCMKTS:AFLYY - Get Free Report)'s stock price gapped up prior to trading on Friday . The stock had previously closed at $1.0150, but opened at $1.0730. Air France-KLM shares last traded at $1.0850, with a volume of 4,006 shares changing hands.

Analyst Ratings Changes

AFLYY has been the topic of several analyst reports. Oddo Bhf upgraded Air France-KLM from a "neutral" rating to an "outperform" rating in a research note on Friday, February 6th. Barclays upgraded shares of Air France-KLM from an "underweight" rating to an "equal weight" rating in a research note on Monday, March 9th. Zacks Research lowered shares of Air France-KLM from a "strong-buy" rating to a "hold" rating in a report on Monday, April 13th. Royal Bank Of Canada assumed coverage on Air France-KLM in a research report on Tuesday, January 20th. They issued a "hold" rating for the company. Finally, Citigroup reiterated a "neutral" rating on shares of Air France-KLM in a research note on Friday, February 20th. Two investment analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to MarketBeat.com, Air France-KLM has a consensus rating of "Hold".

Air France-KLM Stock Performance

The stock has a market capitalization of $2.81 billion, a PE ratio of 1.62, a PEG ratio of 0.15 and a beta of 1.36. The company has a quick ratio of 0.56, a current ratio of 0.62 and a debt-to-equity ratio of 5.39. The firm has a 50 day moving average price of $1.16 and a 200-day moving average price of $1.23.

Air France-KLM (OTCMKTS:AFLYY - Get Free Report) last posted its earnings results on Thursday, April 30th. The transportation company reported ($0.13) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.05) by ($0.08). Air France-KLM had a net margin of 5.00% and a return on equity of 100.70%. Research analysts expect that Air France-KLM SA will post 0.46 EPS for the current fiscal year.

About Air France-KLM

Air France-KLM is a leading European airline group formed in 2004 through the merger of France's flagship carrier Air France and the Netherlands' national airline KLM Royal Dutch Airlines. Headquartered in Paris and Amstelveen, the group provides passenger, cargo and maintenance services across a global network, connecting major hubs in Europe, North America, Asia, Africa and Latin America.

The company's primary business activities include scheduled passenger transport on short, medium and long-haul routes; air freight operations under Air France-KLM Cargo; and technical support and maintenance services through AFI KLM E&M.

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