Amadeus IT (Spain) Buy Hold or Sell Recommendation
| AMS Stock | EUR 67.08 1.14 1.73% |
Assuming the 90 days trading horizon and your conservative attitude towards risk, our recommendation regarding Amadeus IT Group is 'Cautious Hold'. Macroaxis provides Amadeus IT buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding AMS positions.
Check out Amadeus IT Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. In addition, we conduct extensive research on individual companies such as Amadeus and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Amadeus IT Group. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
Amadeus |
Execute Amadeus IT Buy or Sell Advice
The Amadeus recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Amadeus IT Group. Macroaxis does not own or have any residual interests in Amadeus IT Group or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Amadeus IT's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Cautious Hold
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Barely shadows the market | Details | |
Analyst Consensus | Not Available | Details | |
Reporting Quality (M-Score) | Inapplicable | Details |
Amadeus IT Trading Alerts and Improvement Suggestions
| Amadeus IT Group has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| Amadeus IT Group has accumulated 4.15 B in total debt with debt to equity ratio (D/E) of 116.1, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Amadeus IT Group has a current ratio of 0.61, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Amadeus IT until it has trouble settling it off, either with new capital or with free cash flow. So, Amadeus IT's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Amadeus IT Group sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Amadeus to invest in growth at high rates of return. When we think about Amadeus IT's use of debt, we should always consider it together with cash and equity. | |
| The entity reported the revenue of 2.67 B. Net Loss for the year was (142.4 M) with profit before overhead, payroll, taxes, and interest of 859.3 M. | |
| About 69.0% of Amadeus IT shares are held by institutions such as insurance companies |
Amadeus IT Returns Distribution Density
The distribution of Amadeus IT's historical returns is an attempt to chart the uncertainty of Amadeus IT's future price movements. The chart of the probability distribution of Amadeus IT daily returns describes the distribution of returns around its average expected value. We use Amadeus IT Group price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Amadeus IT returns is essential to provide solid investment advice for Amadeus IT.
| Mean Return | 0.18 | Value At Risk | -1.45 | Potential Upside | 1.73 | Standard Deviation | 1.01 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Amadeus IT historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Amadeus IT Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Amadeus IT or Technology sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Amadeus IT's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Amadeus stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.15 | |
β | Beta against Dow Jones | 0.21 | |
σ | Overall volatility | 1.01 | |
Ir | Information ratio | 0.05 |
Amadeus IT Volatility Alert
Amadeus IT Group has relatively low volatility with skewness of -0.63 and kurtosis of 1.24. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Amadeus IT's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Amadeus IT's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Amadeus IT Fundamentals Vs Peers
Comparing Amadeus IT's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Amadeus IT's direct or indirect competition across all of the common fundamentals between Amadeus IT and the related equities. This way, we can detect undervalued stocks with similar characteristics as Amadeus IT or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Amadeus IT's fundamental indicators could also be used in its relative valuation, which is a method of valuing Amadeus IT by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Amadeus IT to competition |
| Fundamentals | Amadeus IT | Peer Average |
| Return On Equity | 0.12 | -0.31 |
| Return On Asset | 0.0408 | -0.14 |
| Profit Margin | 0.12 % | (1.27) % |
| Operating Margin | 0.18 % | (5.51) % |
| Current Valuation | 25.52 B | 16.62 B |
| Shares Outstanding | 450.02 M | 571.82 M |
| Shares Owned By Institutions | 68.89 % | 39.21 % |
| Price To Earning | 30.61 X | 28.72 X |
| Price To Book | 4.99 X | 9.51 X |
| Price To Sales | 5.66 X | 11.42 X |
| Revenue | 2.67 B | 9.43 B |
| Gross Profit | 859.3 M | 27.38 B |
| EBITDA | 570.2 M | 3.9 B |
| Net Income | (142.4 M) | 570.98 M |
| Cash And Equivalents | 806.3 M | 2.7 B |
| Cash Per Share | 1.87 X | 5.01 X |
| Total Debt | 4.15 B | 5.32 B |
| Debt To Equity | 116.10 % | 48.70 % |
| Current Ratio | 0.62 X | 2.16 X |
| Book Value Per Share | 10.25 X | 1.93 K |
| Cash Flow From Operations | 636.3 M | 971.22 M |
| Earnings Per Share | 1.04 X | 3.12 X |
| Price To Earnings To Growth | 29.06 X | 4.89 X |
| Target Price | 61.25 | |
| Number Of Employees | 15.94 K | 18.84 K |
| Beta | 1.22 | -0.15 |
| Market Capitalization | 26.43 B | 19.03 B |
| Total Asset | 11.18 B | 29.47 B |
| Z Score | 3.6 | 8.72 |
| Annual Yield | 0.03 % | |
| Five Year Return | 1.76 % | |
| Net Asset | 11.18 B |
Amadeus IT Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Amadeus . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Amadeus IT Buy or Sell Advice
When is the right time to buy or sell Amadeus IT Group? Buying financial instruments such as Amadeus Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Other Information on Investing in Amadeus Stock
Amadeus IT financial ratios help investors to determine whether Amadeus Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Amadeus with respect to the benefits of owning Amadeus IT security.