ORANGE (1ORA.MI) Stock Fundamental Analysis
BIT:1ORA - Euronext Milan - FR0000133308 - Common Stock - Currency: EUR
1ORA gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 27 industry peers in the Diversified Telecommunication Services industry. There are concerns on the financial health of 1ORA while its profitability can be described as average. 1ORA has a valuation in line with the averages, but it does not seem to be growing. Finally 1ORA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year 1ORA was profitable.
1ORA had a positive operating cash flow in the past year.
In the past 5 years 1ORA has always been profitable.
In the past 5 years 1ORA always reported a positive cash flow from operatings.
1.2 Ratios
1ORA has a worse Return On Assets (2.09%) than 65.63% of its industry peers.
1ORA's Return On Equity of 6.84% is on the low side compared to the rest of the industry. 1ORA is outperformed by 65.63% of its industry peers.
1ORA's Return On Invested Capital of 5.67% is in line compared to the rest of the industry. 1ORA outperforms 43.75% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1ORA is below the industry average of 7.76%.
The last Return On Invested Capital (5.67%) for 1ORA is above the 3 year average (5.20%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.09% | ||
| ROE | 6.84% | ||
| ROIC | 5.67% |
ROA(3y)1.97%
ROA(5y)2.03%
ROE(3y)6.69%
ROE(5y)6.68%
ROIC(3y)5.2%
ROIC(5y)5.12%
1.3 Margins
1ORA has a Profit Margin of 5.40%. This is comparable to the rest of the industry: 1ORA outperforms 43.75% of its industry peers.
In the last couple of years the Profit Margin of 1ORA has declined.
1ORA has a Operating Margin (15.19%) which is in line with its industry peers.
In the last couple of years the Operating Margin of 1ORA has grown nicely.
1ORA's Gross Margin of 60.66% is in line compared to the rest of the industry. 1ORA outperforms 56.25% of its industry peers.
In the last couple of years the Gross Margin of 1ORA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.19% | ||
| PM (TTM) | 5.4% | ||
| GM | 60.66% |
OM growth 3Y4.37%
OM growth 5Y1.56%
PM growth 3Y559.53%
PM growth 5Y-3.58%
GM growth 3Y0.41%
GM growth 5Y0.14%
2. Health
2.1 Basic Checks
1ORA has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for 1ORA remains at a similar level compared to 1 year ago.
1ORA has more shares outstanding than it did 5 years ago.
1ORA has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.86, we must say that 1ORA is in the distress zone and has some risk of bankruptcy.
1ORA has a Altman-Z score of 0.86. This is in the lower half of the industry: 1ORA underperforms 71.88% of its industry peers.
1ORA has a debt to FCF ratio of 12.34. This is a negative value and a sign of low solvency as 1ORA would need 12.34 years to pay back of all of its debts.
1ORA's Debt to FCF ratio of 12.34 is on the low side compared to the rest of the industry. 1ORA is outperformed by 68.75% of its industry peers.
1ORA has a Debt/Equity ratio of 1.14. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.14, 1ORA perfoms like the industry average, outperforming 40.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 12.34 | ||
| Altman-Z | 0.86 |
ROIC/WACC1.25
WACC4.55%
2.3 Liquidity
A Current Ratio of 0.92 indicates that 1ORA may have some problems paying its short term obligations.
1ORA has a better Current ratio (0.92) than 68.75% of its industry peers.
A Quick Ratio of 0.89 indicates that 1ORA may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.89, 1ORA is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
1ORA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -0.38%.
The Earnings Per Share has been decreasing by -4.51% on average over the past years.
The Revenue has decreased by -3.85% in the past year.
The Revenue has been decreasing by -0.95% on average over the past years.
EPS 1Y (TTM)-0.38%
EPS 3YN/A
EPS 5Y-4.51%
EPS Q2Q%-2.52%
Revenue 1Y (TTM)-3.85%
Revenue growth 3Y-1.81%
Revenue growth 5Y-0.95%
Sales Q2Q%0.47%
3.2 Future
The Earnings Per Share is expected to grow by 3.91% on average over the next years.
Based on estimates for the next years, 1ORA will show a small growth in Revenue. The Revenue will grow by 0.73% on average per year.
EPS Next Y-0.96%
EPS Next 2Y9.59%
EPS Next 3Y7.66%
EPS Next 5Y3.91%
Revenue Next Year0.83%
Revenue Next 2Y0.96%
Revenue Next 3Y1.06%
Revenue Next 5Y0.73%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 16.22, the valuation of 1ORA can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of 1ORA indicates a somewhat cheap valuation: 1ORA is cheaper than 62.50% of the companies listed in the same industry.
1ORA's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.15.
Based on the Price/Forward Earnings ratio of 13.27, the valuation of 1ORA can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1ORA is on the same level as its industry peers.
1ORA is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.60, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.22 | ||
| Fwd PE | 13.27 |
4.2 Price Multiples
78.13% of the companies in the same industry are more expensive than 1ORA, based on the Enterprise Value to EBITDA ratio.
1ORA's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.15 | ||
| EV/EBITDA | 4.38 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y9.59%
EPS Next 3Y7.66%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.70%, 1ORA is a good candidate for dividend investing.
1ORA's Dividend Yield is rather good when compared to the industry average which is at 4.71. 1ORA pays more dividend than 84.38% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.42, 1ORA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.7% |
5.2 History
The dividend of 1ORA has a limited annual growth rate of 0.57%.
Dividend Growth(5Y)0.57%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
88.09% of the earnings are spent on dividend by 1ORA. This is not a sustainable payout ratio.
The dividend of 1ORA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP88.09%
EPS Next 2Y9.59%
EPS Next 3Y7.66%
BIT:1ORA (5/22/2025, 7:00:00 PM)
13.3
+0.62 (+4.89%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners46.22%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap35.36B
Analysts79.23
Price Target13.5 (1.5%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.7% |
Yearly Dividend0.72
Dividend Growth(5Y)0.57%
DP88.09%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)5.62%
PT rev (3m)4.51%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-11.57%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-0.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.22 | ||
| Fwd PE | 13.27 | ||
| P/S | 0.88 | ||
| P/FCF | 10.15 | ||
| P/OCF | 3.47 | ||
| P/B | 1.11 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.38 |
EPS(TTM)0.82
EY6.17%
EPS(NY)1
Fwd EY7.54%
FCF(TTM)1.31
FCFY9.86%
OCF(TTM)3.83
OCFY28.83%
SpS15.14
BVpS11.95
TBVpS-0.67
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.09% | ||
| ROE | 6.84% | ||
| ROCE | 8.05% | ||
| ROIC | 5.67% | ||
| ROICexc | 6.73% | ||
| ROICexgc | 13.86% | ||
| OM | 15.19% | ||
| PM (TTM) | 5.4% | ||
| GM | 60.66% | ||
| FCFM | 8.66% |
ROA(3y)1.97%
ROA(5y)2.03%
ROE(3y)6.69%
ROE(5y)6.68%
ROIC(3y)5.2%
ROIC(5y)5.12%
ROICexc(3y)6.07%
ROICexc(5y)5.96%
ROICexgc(3y)13.08%
ROICexgc(5y)13.48%
ROCE(3y)7.38%
ROCE(5y)7.26%
ROICexcg growth 3Y3.45%
ROICexcg growth 5Y-3.55%
ROICexc growth 3Y5.78%
ROICexc growth 5Y1.45%
OM growth 3Y4.37%
OM growth 5Y1.56%
PM growth 3Y559.53%
PM growth 5Y-3.58%
GM growth 3Y0.41%
GM growth 5Y0.14%
F-Score9
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 12.34 | ||
| Debt/EBITDA | 2.59 | ||
| Cap/Depr | 84.58% | ||
| Cap/Sales | 16.67% | ||
| Interest Coverage | 5.09 | ||
| Cash Conversion | 72.57% | ||
| Profit Quality | 160.3% | ||
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z | 0.86 |
F-Score9
WACC4.55%
ROIC/WACC1.25
Cap/Depr(3y)91.99%
Cap/Depr(5y)95.71%
Cap/Sales(3y)18.2%
Cap/Sales(5y)19.08%
Profit Quality(3y)157.74%
Profit Quality(5y)6330.32%
High Growth Momentum
Growth
EPS 1Y (TTM)-0.38%
EPS 3YN/A
EPS 5Y-4.51%
EPS Q2Q%-2.52%
EPS Next Y-0.96%
EPS Next 2Y9.59%
EPS Next 3Y7.66%
EPS Next 5Y3.91%
Revenue 1Y (TTM)-3.85%
Revenue growth 3Y-1.81%
Revenue growth 5Y-0.95%
Sales Q2Q%0.47%
Revenue Next Year0.83%
Revenue Next 2Y0.96%
Revenue Next 3Y1.06%
Revenue Next 5Y0.73%
EBIT growth 1Y13.05%
EBIT growth 3Y2.49%
EBIT growth 5Y0.59%
EBIT Next Year148.18%
EBIT Next 3Y37.59%
EBIT Next 5Y19.23%
FCF growth 1Y-17.51%
FCF growth 3Y11.9%
FCF growth 5Y14.54%
OCF growth 1Y-15.42%
OCF growth 3Y-3.19%
OCF growth 5Y0.01%