ORION SA (OEC)
LU1092234845 - Common Stock
OEC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 83 industry peers in the Chemicals industry. There are concerns on the financial health of OEC while its profitability can be described as average. OEC has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year OEC was profitable.
In the past year OEC had a positive cash flow from operations.
OEC had positive earnings in each of the past 5 years.
In the past 5 years OEC always reported a positive cash flow from operatings.
1.2 Ratios
OEC has a Return On Assets of 1.74%. This is comparable to the rest of the industry: OEC outperforms 45.68% of its industry peers.
The Return On Equity of OEC (6.67%) is comparable to the rest of the industry.
The Return On Invested Capital of OEC (7.81%) is better than 74.07% of its industry peers.
The Average Return On Invested Capital over the past 3 years for OEC is above the industry average of 6.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.74% | ||
| ROE | 6.67% | ||
| ROIC | 7.81% |
ROA(3y)6.51%
ROA(5y)5.55%
ROE(3y)28.96%
ROE(5y)28.73%
ROIC(3y)9.08%
ROIC(5y)8.49%
1.3 Margins
OEC has a Profit Margin (1.67%) which is in line with its industry peers.
In the last couple of years the Profit Margin of OEC has declined.
Looking at the Operating Margin, with a value of 8.74%, OEC is in line with its industry, outperforming 49.38% of the companies in the same industry.
OEC's Operating Margin has been stable in the last couple of years.
OEC's Gross Margin of 22.33% is on the low side compared to the rest of the industry. OEC is outperformed by 60.49% of its industry peers.
In the last couple of years the Gross Margin of OEC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.74% | ||
| PM (TTM) | 1.67% | ||
| GM | 22.33% |
OM growth 3Y14.53%
OM growth 5Y-0.07%
PM growth 3Y50.55%
PM growth 5Y-6.59%
GM growth 3Y-2.54%
GM growth 5Y-2.66%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so OEC is still creating some value.
OEC has less shares outstanding than it did 1 year ago.
The number of shares outstanding for OEC has been reduced compared to 5 years ago.
OEC has a better debt/assets ratio than last year.
2.2 Solvency
OEC has an Altman-Z score of 2.19. This is not the best score and indicates that OEC is in the grey zone with still only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.19, OEC is doing good in the industry, outperforming 60.49% of the companies in the same industry.
A Debt/Equity ratio of 1.59 is on the high side and indicates that OEC has dependencies on debt financing.
OEC's Debt to Equity ratio of 1.59 is on the low side compared to the rest of the industry. OEC is outperformed by 83.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.59 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.19 |
ROIC/WACC1.4
WACC5.56%
2.3 Liquidity
A Current Ratio of 1.47 indicates that OEC should not have too much problems paying its short term obligations.
The Current ratio of OEC (1.47) is worse than 74.07% of its industry peers.
OEC has a Quick Ratio of 1.47. This is a bad value and indicates that OEC is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.82, OEC is not doing good in the industry: 82.72% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.47 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
OEC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -22.28%.
Measured over the past years, OEC shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.58% on average per year.
Looking at the last year, OEC shows a small growth in Revenue. The Revenue has grown by 1.26% in the last year.
OEC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.71% yearly.
EPS 1Y (TTM)-22.28%
EPS 3Y22.89%
EPS 5Y-2.58%
EPS Q2Q%-4.08%
Revenue 1Y (TTM)1.26%
Revenue growth 3Y18.56%
Revenue growth 5Y3.71%
Sales Q2Q%-0.6%
3.2 Future
The Earnings Per Share is expected to grow by 6.37% on average over the next years.
OEC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.73% yearly.
EPS Next Y-11.45%
EPS Next 2Y-0.81%
EPS Next 3Y6.37%
EPS Next 5YN/A
Revenue Next Year2.91%
Revenue Next 2Y3.68%
Revenue Next 3Y4.73%
Revenue Next 5YN/A
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 9.76, the valuation of OEC can be described as reasonable.
OEC's Price/Earnings ratio is rather cheap when compared to the industry. OEC is cheaper than 91.36% of the companies in the same industry.
When comparing the Price/Earnings ratio of OEC to the average of the S&P500 Index (27.41), we can say OEC is valued rather cheaply.
The Price/Forward Earnings ratio is 8.07, which indicates a very decent valuation of OEC.
Based on the Price/Forward Earnings ratio, OEC is valued cheaply inside the industry as 91.36% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of OEC to the average of the S&P500 Index (23.69), we can say OEC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.76 | ||
| Fwd PE | 8.07 |
4.2 Price Multiples
OEC's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. OEC is cheaper than 88.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.06 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.81%
EPS Next 3Y6.37%
5. Dividend
5.1 Amount
With a yearly dividend of 0.54%, OEC is not a good candidate for dividend investing.
OEC's Dividend Yield is slightly below the industry average, which is at 3.38.
Compared to an average S&P500 Dividend Yield of 2.33, OEC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.54% |
5.2 History
The dividend of OEC decreases each year by -36.53%.
OEC has paid a dividend for at least 10 years, which is a reliable track record.
OEC has decreased its dividend recently.
Dividend Growth(5Y)-36.53%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
15.05% of the earnings are spent on dividend by OEC. This is a low number and sustainable payout ratio.
DP15.05%
EPS Next 2Y-0.81%
EPS Next 3Y6.37%
ORION SA
NYSE:OEC (1/3/2025, 8:04:00 PM)
After market: 15.33 0 (0%)15.33
+0.06 (+0.39%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners93.61%
Inst Owner Change-2.33%
Ins Owners2.5%
Ins Owner Change5.17%
Market Cap884.85M
Analysts80
Price Target23.46 (53.03%)
Short Float %1.42%
Short Ratio1.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.54% |
Dividend Growth(5Y)-36.53%
DP15.05%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-14.91%
Min EPS beat(2)-28.15%
Max EPS beat(2)-1.67%
EPS beat(4)1
Avg EPS beat(4)-18.19%
Min EPS beat(4)-49.76%
Max EPS beat(4)6.82%
EPS beat(8)5
Avg EPS beat(8)2.52%
EPS beat(12)7
Avg EPS beat(12)-2.51%
EPS beat(16)11
Avg EPS beat(16)1.07%
Revenue beat(2)0
Avg Revenue beat(2)-4.2%
Min Revenue beat(2)-4.55%
Max Revenue beat(2)-3.86%
Revenue beat(4)1
Avg Revenue beat(4)-0.04%
Min Revenue beat(4)-4.55%
Max Revenue beat(4)9.93%
Revenue beat(8)2
Avg Revenue beat(8)-2.25%
Revenue beat(12)5
Avg Revenue beat(12)0.22%
Revenue beat(16)9
Avg Revenue beat(16)1.88%
PT rev (1m)0%
PT rev (3m)-13.21%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-41.86%
EPS NY rev (1m)0%
EPS NY rev (3m)-8.93%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-11.78%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.76 | ||
| Fwd PE | 8.07 | ||
| P/S | 0.46 | ||
| P/FCF | N/A | ||
| P/OCF | 8.59 | ||
| P/B | 1.85 | ||
| P/tB | 2.35 | ||
| EV/EBITDA | 6.06 |
EPS(TTM)1.57
EY10.24%
EPS(NY)1.9
Fwd EY12.39%
FCF(TTM)-1.64
FCFYN/A
OCF(TTM)1.78
OCFY11.64%
SpS33.12
BVpS8.29
TBVpS6.53
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.74% | ||
| ROE | 6.67% | ||
| ROCE | 11.99% | ||
| ROIC | 7.81% | ||
| ROICexc | 8.03% | ||
| ROICexgc | 8.68% | ||
| OM | 8.74% | ||
| PM (TTM) | 1.67% | ||
| GM | 22.33% | ||
| FCFM | N/A |
ROA(3y)6.51%
ROA(5y)5.55%
ROE(3y)28.96%
ROE(5y)28.73%
ROIC(3y)9.08%
ROIC(5y)8.49%
ROICexc(3y)9.57%
ROICexc(5y)9.03%
ROICexgc(3y)10.47%
ROICexgc(5y)10.09%
ROCE(3y)13.94%
ROCE(5y)13.03%
ROICexcg growth 3Y19.99%
ROICexcg growth 5Y-6.93%
ROICexc growth 3Y22.55%
ROICexc growth 5Y-4.87%
OM growth 3Y14.53%
OM growth 5Y-0.07%
PM growth 3Y50.55%
PM growth 5Y-6.59%
GM growth 3Y-2.54%
GM growth 5Y-2.66%
F-Score5
Asset Turnover1.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.59 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.64 | ||
| Cap/Depr | 161.62% | ||
| Cap/Sales | 10.33% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 35.62% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.47 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 2.19 |
F-Score5
WACC5.56%
ROIC/WACC1.4
Cap/Depr(3y)193.14%
Cap/Depr(5y)178.14%
Cap/Sales(3y)11.49%
Cap/Sales(5y)11.55%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-22.28%
EPS 3Y22.89%
EPS 5Y-2.58%
EPS Q2Q%-4.08%
EPS Next Y-11.45%
EPS Next 2Y-0.81%
EPS Next 3Y6.37%
EPS Next 5YN/A
Revenue 1Y (TTM)1.26%
Revenue growth 3Y18.56%
Revenue growth 5Y3.71%
Sales Q2Q%-0.6%
Revenue Next Year2.91%
Revenue Next 2Y3.68%
Revenue Next 3Y4.73%
Revenue Next 5YN/A
EBIT growth 1Y-22%
EBIT growth 3Y35.79%
EBIT growth 5Y3.64%
EBIT Next Year42.42%
EBIT Next 3Y19.39%
EBIT Next 5YN/A
FCF growth 1Y64.26%
FCF growth 3YN/A
FCF growth 5Y97.23%
OCF growth 1Y2683.78%
OCF growth 3Y40.28%
OCF growth 5Y23.17%