--- title: "Assessing Airbus (ENXTPA:AIR) Valuation After Major $21b China A320neo Order" type: "News" locale: "en" url: "https://longbridge.com/en/news/285392508.md" description: "Airbus (ENXTPA:AIR) has gained attention following a $21 billion order for 137 A320neo jets from China Southern Airlines and Xiamen Airlines, highlighting fleet renewal plans. The stock has seen a 7.1% return over the past week, but is down 12.7% year-to-date. Analysts estimate a fair value of €231.41, suggesting the stock is undervalued at €177.86. The narrative emphasizes long-term backlog strength and operational discipline, while cautioning about potential supply chain risks. Investors are encouraged to explore broader opportunities in the aviation sector." datetime: "2026-05-06T13:58:06.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/285392508.md) - [en](https://longbridge.com/en/news/285392508.md) - [zh-HK](https://longbridge.com/zh-HK/news/285392508.md) --- # Assessing Airbus (ENXTPA:AIR) Valuation After Major $21b China A320neo Order ## China mega order puts Airbus (ENXTPA:AIR) in the spotlight Airbus (ENXTPA:AIR) has drawn fresh attention after China Southern Airlines and Xiamen Airlines agreed to purchase 137 A320neo family jets, a deal valued at over $21b that underlines Chinese carriers’ fleet renewal plans. See our latest analysis for Airbus. Airbus’s share price has picked up recently, with a 7.1% 7 day share price return and 7.7% 30 day share price return, yet the year to date share price return is still down 12.7%. Over a longer horizon, the stock’s 1 year total shareholder return of 15.7% and 5 year total shareholder return of just over 2x the original investment suggest longer term holders have seen stronger overall gains even as shorter term share price momentum has been mixed. If this large China order has you looking beyond a single stock, it could be a good moment to scan for other aviation and infrastructure suppliers through 35 power grid technology and infrastructure stocks With Airbus trading at €177.86, showing a 39.1% intrinsic discount estimate and sitting about 17.9% below the average analyst price target, you have to ask yourself: is this a genuine opportunity or is the market already pricing in future growth? ## Most Popular Narrative: 23.1% Undervalued Compared with Airbus’s last close at €177.86, the most followed narrative on the stock points to a higher fair value anchored in long term backlog strength and governance shifts. > _Airbus is not a hyper-growth story. It is a backlog-driven, duopoly industrial platform with improving governance and operational discipline._ > > _But structurally:_ > > _Entry barriers are extreme_ > > _Switching costs are massive_ > > _Demand visibility is high_ Read the complete narrative. The narrative focuses on long dated aircraft orders, disciplined margins, and a valuation framework that pairs moderate revenue growth with a premium earnings multiple. It raises the question of which assumptions matter most here and how they compare with that fair value line. According to Tokyo, the fair value is €231.41, implying a 23.1% gap to the current share price. This figure is based on detailed views on revenue growth, profitability, and future P/E levels rather than short term trading trends. **Result: Fair Value of €231.41 (UNDERVALUED)** Have a read of the narrative in full and understand what's behind the forecasts. However, you still need to weigh supply chain setbacks or prolonged defense program issues, either of which could challenge backlog assumptions and the current €231.41 fair value estimate. Find out about the key risks to this Airbus narrative. ## Next Steps With sentiment leaning cautiously positive, this is a good time to look at the numbers yourself and stress test the assumptions behind them. To see what investors are excited about right now, review Airbus's 4 key rewards ## Looking for more investment ideas? If you stop at Airbus, you could miss stocks that better fit your style. Put a few minutes into scanning wider opportunities with the Simply Wall St screener. - Target potential value opportunities by reviewing companies flagged in the 226 high quality undervalued stocks. - Prioritise resilience by focusing on businesses highlighted in the 302 resilient stocks with low risk scores. - Hunt for fresh opportunities by checking the screener containing 550 high quality undiscovered gems. _This article by Simply Wall St is general in nature. **We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.** It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned._ ### **New:** Manage All Your Stock Portfolios in One Place We've created the **ultimate portfolio companion** for stock investors, **and it's free.** • Connect an unlimited number of Portfolios and see your total in one currency • Be alerted to new Warning Signs or Risks via email or mobile • Track the Fair Value of your stocks Try a Demo Portfolio for Free ### Related Stocks - [AIR.DE](https://longbridge.com/en/quote/AIR.DE.md) - [600029.CN](https://longbridge.com/en/quote/600029.CN.md) - [01055.HK](https://longbridge.com/en/quote/01055.HK.md) - [EADSY.US](https://longbridge.com/en/quote/EADSY.US.md) ## Related News & Research - [Airbus Lands Sixth Big Order From Chinese Airlines in Five Months](https://longbridge.com/en/news/284689778.md) - [16:28 ETSatair Finalises Acquisition of Unical Aviation and ecube](https://longbridge.com/en/news/285992297.md) - [China confirms Boeing order: is the BA dip a buy opportunity?](https://longbridge.com/en/news/287016686.md) - [Prabowo says Indonesia will build defence capability further as Air Force receives Rafale jets](https://longbridge.com/en/news/286733800.md) - [Premier Air Charter Announces Launch of New, Highly Functional Website to Enhance Client Experience | PREM Stock News](https://longbridge.com/en/news/286915425.md)