ORANGE (FTE.DE) Stock Fundamental Analysis
FRA:FTE - Deutsche Boerse Ag - FR0000133308 - Common Stock - Currency: EUR
Overall FTE gets a fundamental rating of 4 out of 10. We evaluated FTE against 27 industry peers in the Diversified Telecommunication Services industry. There are concerns on the financial health of FTE while its profitability can be described as average. FTE has a valuation in line with the averages, but it does not seem to be growing. FTE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
FTE had positive earnings in the past year.
In the past year FTE had a positive cash flow from operations.
FTE had positive earnings in each of the past 5 years.
FTE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.09%, FTE is in line with its industry, outperforming 40.74% of the companies in the same industry.
FTE has a Return On Equity of 6.84%. This is comparable to the rest of the industry: FTE outperforms 40.74% of its industry peers.
The Return On Invested Capital of FTE (5.67%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for FTE is below the industry average of 7.62%.
The last Return On Invested Capital (5.67%) for FTE 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
FTE has a Profit Margin (5.40%) which is in line with its industry peers.
FTE's Profit Margin has declined in the last couple of years.
FTE has a Operating Margin (15.19%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of FTE has grown nicely.
Looking at the Gross Margin, with a value of 60.66%, FTE is in line with its industry, outperforming 55.56% of the companies in the same industry.
In the last couple of years the Gross Margin of FTE 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
FTE 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 FTE remains at a similar level compared to 1 year ago.
FTE has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, FTE has an improved debt to assets ratio.
2.2 Solvency
FTE has an Altman-Z score of 0.86. This is a bad value and indicates that FTE is not financially healthy and even has some risk of bankruptcy.
FTE has a Altman-Z score of 0.86. This is in the lower half of the industry: FTE underperforms 70.37% of its industry peers.
The Debt to FCF ratio of FTE is 12.34, which is on the high side as it means it would take FTE, 12.34 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of FTE (12.34) is worse than 62.96% of its industry peers.
FTE has a Debt/Equity ratio of 1.14. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of FTE (1.14) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 12.34 | ||
| Altman-Z | 0.86 |
ROIC/WACC1.25
WACC4.54%
2.3 Liquidity
FTE has a Current Ratio of 0.92. This is a bad value and indicates that FTE is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of FTE (0.92) is better than 70.37% of its industry peers.
FTE has a Quick Ratio of 0.92. This is a bad value and indicates that FTE is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.89, FTE is in the better half of the industry, outperforming 70.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
The earnings per share for FTE have decreased by -0.38% in the last year.
The Earnings Per Share has been decreasing by -4.51% on average over the past years.
Looking at the last year, FTE shows a decrease in Revenue. The Revenue has decreased by -3.85% in the last year.
Measured over the past years, FTE shows a decrease in Revenue. The Revenue has been decreasing by -0.95% on average per year.
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
Based on estimates for the next years, FTE will show a small growth in Earnings Per Share. The EPS will grow by 4.24% on average per year.
Based on estimates for the next years, FTE will show a small growth in Revenue. The Revenue will grow by 0.77% on average per year.
EPS Next Y-0.96%
EPS Next 2Y9.59%
EPS Next 3Y7.66%
EPS Next 5Y4.24%
Revenue Next Year0.83%
Revenue Next 2Y0.96%
Revenue Next 3Y1.06%
Revenue Next 5Y0.77%
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
A Price/Earnings ratio of 16.34 indicates a correct valuation of FTE.
Compared to the rest of the industry, the Price/Earnings ratio of FTE indicates a somewhat cheap valuation: FTE is cheaper than 66.67% of the companies listed in the same industry.
FTE's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.51.
FTE is valuated correctly with a Price/Forward Earnings ratio of 13.37.
FTE's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of FTE to the average of the S&P500 Index (35.58), we can say FTE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.34 | ||
| Fwd PE | 13.37 |
4.2 Price Multiples
77.78% of the companies in the same industry are more expensive than FTE, based on the Enterprise Value to EBITDA ratio.
66.67% of the companies in the same industry are more expensive than FTE, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.22 | ||
| EV/EBITDA | 4.4 |
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
FTE has a Yearly Dividend Yield of 5.78%, which is a nice return.
FTE's Dividend Yield is rather good when compared to the industry average which is at 4.58. FTE pays more dividend than 85.19% of the companies in the same industry.
FTE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.78% |
5.2 History
The dividend of FTE has a limited annual growth rate of 0.57%.
Dividend Growth(5Y)0.57%
Div Incr Years1
Div Non Decr Years3
5.3 Sustainability
FTE pays out 88.09% of its income as dividend. This is not a sustainable payout ratio.
FTE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP88.09%
EPS Next 2Y9.59%
EPS Next 3Y7.66%
FRA:FTE (7/14/2025, 7:00:00 PM)
13.4
+0.48 (+3.72%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners39.36%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap35.62B
Analysts77.69
Price Target13.38 (-0.15%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.78% |
Yearly Dividend0.72
Dividend Growth(5Y)0.57%
DP88.09%
Div Incr Years1
Div Non Decr Years3
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)0%
PT rev (3m)2.41%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-10.38%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.34 | ||
| Fwd PE | 13.37 | ||
| P/S | 0.88 | ||
| P/FCF | 10.22 | ||
| P/OCF | 3.49 | ||
| P/B | 1.12 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.4 |
EPS(TTM)0.82
EY6.12%
EPS(NY)1
Fwd EY7.48%
FCF(TTM)1.31
FCFY9.78%
OCF(TTM)3.83
OCFY28.62%
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
WACC4.54%
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 5Y4.24%
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 5Y0.77%
EBIT growth 1Y13.05%
EBIT growth 3Y2.49%
EBIT growth 5Y0.59%
EBIT Next Year148.18%
EBIT Next 3Y37.59%
EBIT Next 5Y19.13%
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%