ORIX - SPONSORED ADR (IX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:IX - US6863301015 - ADR
27.82 USD
-0.13 (-0.47%)
27.82 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to IX. IX was compared to 98 industry peers in the Financial Services industry. IX has a medium profitability rating, but doesn't score so well on its financial health evaluation. IX has a valuation in line with the averages, but on the other hand it scores bad on growth. IX also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
IX had positive earnings in the past year.
In the past year IX had a positive cash flow from operations.
In the past 5 years IX has always been profitable.
Each year in the past 5 years IX had a positive operating cash flow.
1.2 Ratios
IX's Return On Assets of 2.08% is fine compared to the rest of the industry. IX outperforms 61.22% of its industry peers.
IX has a Return On Equity (8.60%) which is in line with its industry peers.
IX has a Return On Invested Capital (2.59%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for IX is significantly below the industry average of 8.20%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.08% | ||
| ROE | 8.6% | ||
| ROIC | 2.59% |
ROA(3y)2.03%
ROA(5y)1.94%
ROE(3y)8.52%
ROE(5y)8.3%
ROIC(3y)2.63%
ROIC(5y)2.49%
1.3 Margins
Looking at the Profit Margin, with a value of 12.23%, IX is in line with its industry, outperforming 57.14% of the companies in the same industry.
IX's Profit Margin has declined in the last couple of years.
The Operating Margin of IX (19.00%) is better than 64.29% of its industry peers.
IX's Operating Margin has been stable in the last couple of years.
The Gross Margin of IX (42.41%) is better than 64.29% of its industry peers.
IX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19% | ||
| PM (TTM) | 12.23% | ||
| GM | 42.41% |
OM growth 3Y3.26%
OM growth 5Y1.35%
PM growth 3Y-0.42%
PM growth 5Y-1.63%
GM growth 3Y3.87%
GM growth 5Y1.83%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), IX is destroying value.
IX has less shares outstanding than it did 1 year ago.
IX has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, IX has an improved debt to assets ratio.
2.2 Solvency
IX has an Altman-Z score of 0.77. This is a bad value and indicates that IX is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.77, IX is in line with its industry, outperforming 53.06% of the companies in the same industry.
A Debt/Equity ratio of 1.54 is on the high side and indicates that IX has dependencies on debt financing.
IX's Debt to Equity ratio of 1.54 is on the low side compared to the rest of the industry. IX is outperformed by 61.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.54 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.77 |
ROIC/WACC0.7
WACC3.68%
2.3 Liquidity
IX has a Current Ratio of 0.94. This is a bad value and indicates that IX is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.94, IX is in line with its industry, outperforming 46.94% of the companies in the same industry.
A Quick Ratio of 0.83 indicates that IX may have some problems paying its short term obligations.
IX has a Quick ratio (0.83) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
The earnings per share for IX have decreased strongly by -10.80% in the last year.
Measured over the past years, IX shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.09% on average per year.
The Revenue has been growing slightly by 3.16% in the past year.
The Revenue has been decreasing by -1.43% on average over the past years.
EPS 1Y (TTM)-10.8%
EPS 3Y-0.85%
EPS 5Y-1.09%
EPS Q2Q%25.45%
Revenue 1Y (TTM)3.16%
Revenue growth 3Y5.32%
Revenue growth 5Y-1.43%
Sales Q2Q%10.73%
3.2 Future
The Earnings Per Share is expected to grow by 14.37% on average over the next years. This is quite good.
IX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.88% yearly.
EPS Next Y25.58%
EPS Next 2Y21.71%
EPS Next 3Y18.06%
EPS Next 5Y14.37%
Revenue Next Year10.87%
Revenue Next 2Y7.75%
Revenue Next 3Y7.2%
Revenue Next 5Y5.88%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
IX is valuated correctly with a Price/Earnings ratio of 12.88.
IX's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of IX to the average of the S&P500 Index (26.46), we can say IX is valued rather cheaply.
A Price/Forward Earnings ratio of 12.32 indicates a correct valuation of IX.
IX's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 36.10. IX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.88 | ||
| Fwd PE | 12.32 |
4.2 Price Multiples
69.39% of the companies in the same industry are more expensive than IX, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.77 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
IX's earnings are expected to grow with 18.06% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.5
PEG (5Y)N/A
EPS Next 2Y21.71%
EPS Next 3Y18.06%
5. Dividend
5.1 Amount
IX has a Yearly Dividend Yield of 3.68%.
IX's Dividend Yield is a higher than the industry average which is at 4.97.
Compared to an average S&P500 Dividend Yield of 2.32, IX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.68% |
5.2 History
The dividend of IX is nicely growing with an annual growth rate of 7.63%!
IX has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of IX decreased in the last 3 years.
Dividend Growth(5Y)7.63%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
IX pays out 38.56% of its income as dividend. This is a sustainable payout ratio.
The dividend of IX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP38.56%
EPS Next 2Y21.71%
EPS Next 3Y18.06%
27.82
-0.13 (-0.47%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners46.25%
Inst Owner Change0.98%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap30.98B
Revenue(TTM)2.94T
Net Income(TTM)351.60B
Analysts77.33
Price Target28.39 (2.05%)
Short Float %0.03%
Short Ratio2.32
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.68% |
Yearly Dividend0.77
Dividend Growth(5Y)7.63%
DP38.56%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-16.62%
Min EPS beat(2)-26.43%
Max EPS beat(2)-6.82%
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)0
Avg Revenue beat(2)-8.83%
Min Revenue beat(2)-9.12%
Max Revenue beat(2)-8.55%
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)-2.01%
PT rev (3m)5.4%
EPS NQ rev (1m)0.59%
EPS NQ rev (3m)0.59%
EPS NY rev (1m)3.59%
EPS NY rev (3m)6.47%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.14%
Revenue NY rev (3m)1.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.88 | ||
| Fwd PE | 12.32 | ||
| P/S | 1.67 | ||
| P/FCF | N/A | ||
| P/OCF | 3.69 | ||
| P/B | 1.17 | ||
| P/tB | 1.63 | ||
| EV/EBITDA | 9.77 |
EPS(TTM)2.16
EY7.76%
EPS(NY)2.26
Fwd EY8.12%
FCF(TTM)-0.33
FCFYN/A
OCF(TTM)7.54
OCFY27.12%
SpS16.68
BVpS23.73
TBVpS17.07
PEG (NY)0.5
PEG (5Y)N/A
Graham Number33.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.08% | ||
| ROE | 8.6% | ||
| ROCE | 3.7% | ||
| ROIC | 2.59% | ||
| ROICexc | 2.83% | ||
| ROICexgc | 3.72% | ||
| OM | 19% | ||
| PM (TTM) | 12.23% | ||
| GM | 42.41% | ||
| FCFM | N/A |
ROA(3y)2.03%
ROA(5y)1.94%
ROE(3y)8.52%
ROE(5y)8.3%
ROIC(3y)2.63%
ROIC(5y)2.49%
ROICexc(3y)2.88%
ROICexc(5y)2.73%
ROICexgc(3y)3.79%
ROICexgc(5y)3.66%
ROCE(3y)3.76%
ROCE(5y)3.56%
ROICexgc growth 3Y0.25%
ROICexgc growth 5Y0.16%
ROICexc growth 3Y1.76%
ROICexc growth 5Y0.31%
OM growth 3Y3.26%
OM growth 5Y1.35%
PM growth 3Y-0.42%
PM growth 5Y-1.63%
GM growth 3Y3.87%
GM growth 5Y1.83%
F-Score6
Asset Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.54 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.65 | ||
| Cap/Depr | 339.82% | ||
| Cap/Sales | 47.23% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 137.5% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 0.77 |
F-Score6
WACC3.68%
ROIC/WACC0.7
Cap/Depr(3y)325.04%
Cap/Depr(5y)298.28%
Cap/Sales(3y)43.48%
Cap/Sales(5y)39.94%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10.8%
EPS 3Y-0.85%
EPS 5Y-1.09%
EPS Q2Q%25.45%
EPS Next Y25.58%
EPS Next 2Y21.71%
EPS Next 3Y18.06%
EPS Next 5Y14.37%
Revenue 1Y (TTM)3.16%
Revenue growth 3Y5.32%
Revenue growth 5Y-1.43%
Sales Q2Q%10.73%
Revenue Next Year10.87%
Revenue Next 2Y7.75%
Revenue Next 3Y7.2%
Revenue Next 5Y5.88%
EBIT growth 1Y-4.51%
EBIT growth 3Y7.89%
EBIT growth 5Y6.16%
EBIT Next Year11292.1%
EBIT Next 3Y431.69%
EBIT Next 5YN/A
FCF growth 1Y-235.16%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y4.57%
OCF growth 3Y5.62%
OCF growth 5Y4.52%
ORIX - SPONSORED ADR / IX FAQ
Can you provide the ChartMill fundamental rating for ORIX - SPONSORED ADR?
ChartMill assigns a fundamental rating of 4 / 10 to IX.
What is the valuation status of ORIX - SPONSORED ADR (IX) stock?
ChartMill assigns a valuation rating of 5 / 10 to ORIX - SPONSORED ADR (IX). This can be considered as Fairly Valued.
What is the profitability of IX stock?
ORIX - SPONSORED ADR (IX) has a profitability rating of 5 / 10.
What is the financial health of ORIX - SPONSORED ADR (IX) stock?
The financial health rating of ORIX - SPONSORED ADR (IX) is 2 / 10.
Can you provide the expected EPS growth for IX stock?
The Earnings per Share (EPS) of ORIX - SPONSORED ADR (IX) is expected to grow by 25.58% in the next year.