Air France-KLM (OTCMKTS:AFLYY) Shares Gap Up on Earnings Beat

Air France-KLM SA (OTCMKTS:AFLYY) gapped up before the market opened on Thursday after the company announced better than expected quarterly earnings. The stock had previously closed at $1.33, but opened at $1.4450. Air France-KLM shares last traded at $1.4350, with a volume of 183,600 shares changing hands.

The transportation company reported $0.23 EPS for the quarter, topping analysts’ consensus estimates of $0.04 by $0.19. Air France-KLM had a return on equity of 82.86% and a net margin of 3.21%.

Key Air France-KLM News

Here are the key news stories impacting Air France-KLM this week:

• Positive Sentiment: Reported a fourth-quarter return to profit and an EPS beat (€0.23 reported vs. ~€0.04 consensus), which underpins today’s rally. Air France-KLM returns to profit in fourth quarter
• Positive Sentiment: Full-year operating result exceeded €2bn with margin up to 6.1%; revenues grew ~4.9% to €33.0bn and unit revenues rose ~1% — evidence of improved pricing mix and revenue resilience. Full Year 2025
• Positive Sentiment: Management cited lower unit costs from productivity gains and fuel efficiencies driving the swing to profit — a clear operational improvement that supports forward margins. Air France-KLM Posts Swing to Profit Amid Drop in Costs
• Positive Sentiment: Company’s quarter beat analyst expectations on EPS and showed a high reported return on equity and a positive net margin, reinforcing the upbeat market reaction. MarketBeat AFLYY earnings summary
• Neutral Sentiment: Earnings-call transcript provides detail on revenue mix, fleet renewal and transformation plans — useful for gauging sustainability of the improvement but no new headline actions announced. Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Full consolidated financial statements were published (detailed notes available) — important for modeling but mainly confirm the headline results. Consolidated Financial Statements and Notes 2025
• Negative Sentiment: The group missed a green bond target — a potential signal to ESG-focused investors and could affect future green financing credibility. Air France-KLM posts record €2 bln profit but misses green bond target
• Negative Sentiment: Leverage and liquidity remain a watch item (high debt-to-equity and below-1 current/quick ratios reported in market summaries), which could limit upside if macro or fuel costs reverse. MarketBeat AFLYY financial metrics

Analysts Set New Price Targets

A number of research analysts have recently commented on the company. Oddo Bhf raised Air France-KLM from a “neutral” rating to an “outperform” rating in a report on Friday, February 6th. JPMorgan Chase & Co. upgraded shares of Air France-KLM from a “neutral” rating to an “overweight” rating in a research note on Monday, December 1st. Royal Bank Of Canada started coverage on Air France-KLM in a research note on Tuesday, January 20th. They issued a “hold” rating on the stock. Citigroup reissued a “neutral” rating on shares of Air France-KLM in a research report on Thursday, December 11th. Finally, Barclays cut Air France-KLM from an “equal weight” rating to an “underweight” rating in a research report on Wednesday, January 14th. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Hold”.

Air France-KLM Trading Up 11.6%

The business’s 50 day simple moving average is $1.30 and its 200-day simple moving average is $1.35. The company has a debt-to-equity ratio of 5.64, a current ratio of 0.65 and a quick ratio of 0.60. The stock has a market capitalization of $3.90 billion, a P/E ratio of 3.71, a PEG ratio of 0.09 and a beta of 1.28.

Air France-KLM Company Profile

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.