Aena S.M.E., S.A.

Aena partially fits my strategy: it offers a 3.9% yield, an estimated dividend of €1.09 and a 70% payout, backed by €999m in free cash flow and a 39.1% net margin. In addition, EPS has grown from €0.601 in 2022 to €1.420 in 2025, although projected growth moderates to +4.5% in 2027. I am concerned about its track record: the dividend was €0.00 from 2020 to 2022, so I do not consider its defensive credentials fully proven. The share price is up 24.1% over 12 months and is just 1.8% below the yearly high. With an estimated P/E of 18.1x and a Hold consensus, whose target implies −0.8% downside, I would rather not chase the price. I am staying on the sidelines and would wait for a more demanding entry point.

Aena has the quality attributes I value: in Q3 2026, it achieved a net margin of 39.1% and free cash flow of €999m, while also beating quarterly EPS estimates by 2.1%. However, its debt-to-equity ratio of 0.84 does not fit my preference for lightly leveraged balance sheets, and the airport business is exposed to economic cycles. Estimated EPS would grow by 4.5% in 2027, a modest expansion, while the estimated 2026 P/E of 18.1x requires paying upfront for that quality. The share price is up 24.1% over 12 months and is close to its annual high; the median price target implies upside of −0.8%. I would not buy here: I am waiting for a more attractive valuation before adding it.