Fraport AG Frankfurt Airport | Europe 2Q26 Preview - A Shift In The Story

Research evidence excerpt

Fraport AG Frankfurt Airport | Europe 2Q26 Preview - A Shift In The Story

Idea

July 28, 2026 04:00 AM GMT

Morgan Stanley & Co. International plc+MFraport AG Frankfurt Airport | Europe Nicolas J Mora

Equity Analyst

2Q26 Preview - A Shift In The Nicolas.Mora@morganstanley.comAxel Stasse +44 20 7677-5376

Axel.Stasse@morganstanley.com +44 20 7425-2429

Story Cedar Ekblom, CFA

What’s Changed Cedar.Ekblom@morganstanley.com +44 20 7425-4623

Oscar P Smyth

Fraport AG Frankfurt Airport (FRAG.DE) From To Research Associate

Price Target €82.00 €78.00 Oscar.Smyth@morganstanley.com +44 20 7425-6567

Fraport's investment case is changing. The FCF inflection is still Fraport AG Frankfurt Airport (FRAG.DE, FRA GY)

Transport | Germany

the cornerstone of the story, but we argue the narrative is

Stock Rating Equal-weight

shifting from the bull case centred on a Lufthansa vs. Condor Industry View In-Line

Price target €78.00

capacity race in Frankfurt to the need for further cost cutting Shr price, close (Jul 27, 2026) €66.90

and the Ground Handling restructuring process. Higher 52-WeekMkt cap, currRange(mn) €86.95-62.45€6,190

execution risk ahead. Net debt (12/26e) (mn)* €9,229 EV, curr (mn)* €15,856

* = GAAP or approximated based on GAAP

Key Takeaways Fiscal Year Ending 12/25 12/26e 12/27e 12/28e

The FCF inflection story is still valid, but the bull case of FKT traffic overshooting Sales / Revenue 4,558 4,690 4,944 5,221

(€mn)**

(Lufthansa vying for market share/slots vs. Condor) has morphed into… EBITDA (€mn)** 1,351 1,446 1,597 1,712

EBIT (€mn)** 885 773 847 952

… a cost-cutting story and strong execution needed in the restructuring of EPS (€)** 4.67 3.25 3.67 4.31

Ground Handling. As such, management is in focus as a bigger driving force… Prior EPS (€)** - 3.73 3.98 4.53