Risk factor
Considerable default risk
Profitability factor
Greatly undervalued vs peers
About
Icelandair Group hf. and its subsidiaries constitute an aviation conglomerate with operations spanning Iceland and numerous international markets. The company structures its diverse activities into three primary segments: Passenger Operations, Cargo Operations, and Other Group Entities. It delivers comprehensive air cargo and freight services, alongside providing crucial Aircraft, Crew, Maintenance, and Insurance (ACMI) solutions for other airlines and tour operators. Beyond these core offerings, the group manages a robust logistics division encompassing cargo forwarding, aircraft leasing, and consulting services. Additionally, it offers airport ground handling services and operates as a tour organizer. With its headquarters in Reykjavik, Iceland, since its establishment in 1937, Icelandair Group maintains an extensive operational presence across North America, Europe (including Scandinavia), and specifically Iceland.
Company Valuation
Considering past and projected metrics, the stock is distinctly 'cheaper' than its peers. Specifically, the stock is undervalued on EV/EBITDA, underpriced on P/FC.