Ferrovial N.V.

Wide-moat infrastructure-concession operator (407 ETR, JFK NTO) with top-tier cash margins and double-digit growth, but levered and ROE only mid-pack.

Strengths

• Best-in-sector operating cash conversion (OCF margin 20%, 100th pct) and net margin 11.9% (90.9th)
• Revenue growth 18.8% (90th) atop durable toll-road/airport concession assets

Risks

• Elevated leverage (D/E 1.36, 80th) and modest current ratio 1.13
• Net income -63% is a Heathrow-gain comp artifact but ROE (15%) is only ~40th pct and concessions carry geopolitical/regulatory risk

Notable findings

• Customer concentration~84% of revenue from one customer/distributor — Similarly, our Construction Business Division depends on public sector projects and in 2025 clients from the public sector accounted for 84% of the total Order Book of our Construction Business Divi