Flughafen Wien AG Maintains 'Hold' Rating Amid Expansion Decisions

NuWays AG has classified Flughafen Wien AG with a "Hold" rating, following recent updates on its capital projects. The airport operator is considering a significant capital expenditure, potentially reaching billions of euros, to develop a third runway by 2033. A decision on this project, expected by 2026, is anticipated to define the company's strategic direction.

With a strong cash position of €349 million reported for H1'24, and expectations of reaching €600-750 million by the end of 2027, Flughafen Wien AG remains debt-free. However, financing might be necessary if the runway project proceeds, potentially through capital increase or debt intake.

Current shareholder structure is noteworthy, with only 6% free float and IFM owning 44%. Potential changes in this structure remain uncertain. Despite the pending decisions, Flughafen Wien AG’s target price is sustained at €59, based on discounted cash flow analysis.