Auckland International Airport Limited (AIA.NZ) stock analysis

In our weekly check, Auckland International Airport Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 15 pass, warnings: 4, red flags: 6.

About Auckland International Airport Limited

Auckland International Airport Limited is an Industrials company (Airlines, Airports & Air Services), listed on NZE as AIA.NZ.

What our checks show for AIA.NZ

Red flags

• The net margin fell by 35 points over 5 years, to 33%: the company keeps less of each sale as profit.
• Analysts expect the net margin to shrink by 3.4 points from today's 33%.
• Free cash flow is negative (-44.6% of revenue): the business spends more cash than it brings in.
• Recovering from its deepest fall took about 4.2 years.
• Return on capital (ROCE) is only 3.3%.
• Pay in shares equals 0% of free cash flow: it dilutes shareholders.

Warning signs

• Net debt is 3.8x a year of EBITDA (debt/equity 0.26). That limits room in a downturn and raises refinancing risk.
• Operating profit covers interest only 3.6 times: a weak year could make the payments hard.
• The stock has fallen as much as 56% from a peak. Would you have held through that?
• The share count grew by 14.8% in 2 years: each shareholder owns a smaller slice.

Strengths

• The gross margin is 49.1% and has risen by 38.1 points: pricing power is holding.
• Operating cash flow is 1.35x net profit: the profit arrives as real cash.
• Revenue grew 19.7% a year over the last 3 years.
• Earnings per share grew 89.7% a year over the last 3 years.
• Net profit grew 97.9% a year over the last 3 years.
• The company keeps 33% of its revenue as net profit.

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Questions

What grade does Auckland International Airport Limited (AIA.NZ) have?

In our weekly check, Auckland International Airport Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 15 pass, warnings: 4, red flags: 6. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of AIA.NZ stock?

This week's biggest flags for Auckland International Airport Limited: Margins falling, Margins expected to shrink, Weak free cash flow. In total 10 of 25 checks show a warning or a red flag.

What does Auckland International Airport Limited do?

Auckland International Airport Limited is an Industrials company (Airlines, Airports & Air Services), listed on NZE as AIA.NZ.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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