ORANGE (ORA.PA) Stock Fundamental Analysis
EPA:ORA - Euronext Paris - Matif - FR0000133308 - Common Stock - Currency: EUR
Overall ORA gets a fundamental rating of 4 out of 10. We evaluated ORA against 29 industry peers in the Diversified Telecommunication Services industry. While ORA is still in line with the averages on profitability rating, there are concerns on its financial health. ORA has a valuation in line with the averages, but on the other hand it scores bad on growth. ORA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year ORA was profitable.
In the past year ORA had a positive cash flow from operations.
In the past 5 years ORA has always been profitable.
Each year in the past 5 years ORA had a positive operating cash flow.
1.2 Ratios
ORA has a Return On Assets (2.09%) which is comparable to the rest of the industry.
ORA's Return On Equity of 6.84% is in line compared to the rest of the industry. ORA outperforms 46.67% of its industry peers.
ORA has a Return On Invested Capital (5.67%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for ORA is below the industry average of 7.55%.
The last Return On Invested Capital (5.67%) for ORA 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
ORA's Profit Margin of 5.40% is in line compared to the rest of the industry. ORA outperforms 53.33% of its industry peers.
ORA's Profit Margin has declined in the last couple of years.
ORA has a Operating Margin (15.19%) which is in line with its industry peers.
In the last couple of years the Operating Margin of ORA has grown nicely.
ORA has a Gross Margin of 60.66%. This is in the better half of the industry: ORA outperforms 66.67% of its industry peers.
ORA's Gross Margin has been stable in the last couple of years.
| 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
ORA has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, ORA has about the same amount of shares outstanding.
ORA has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ORA has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.82, we must say that ORA is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.82, ORA is not doing good in the industry: 80.00% of the companies in the same industry are doing better.
ORA has a debt to FCF ratio of 12.34. This is a negative value and a sign of low solvency as ORA would need 12.34 years to pay back of all of its debts.
With a Debt to FCF ratio value of 12.34, ORA perfoms like the industry average, outperforming 43.33% of the companies in the same industry.
A Debt/Equity ratio of 1.14 is on the high side and indicates that ORA has dependencies on debt financing.
ORA has a Debt to Equity ratio (1.14) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 12.34 | ||
| Altman-Z | 0.82 |
ROIC/WACC1.3
WACC4.37%
2.3 Liquidity
ORA has a Current Ratio of 0.92. This is a bad value and indicates that ORA is not financially healthy enough and could expect problems in meeting its short term obligations.
ORA has a Current ratio of 0.92. This is in the better half of the industry: ORA outperforms 80.00% of its industry peers.
ORA has a Quick Ratio of 0.92. This is a bad value and indicates that ORA 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, ORA belongs to the top of the industry, outperforming 83.33% 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 ORA have decreased by -0.38% in the last year.
ORA shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -4.51% yearly.
The Revenue has decreased by -3.85% in the past year.
ORA shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.95% yearly.
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, ORA will show a small growth in Earnings Per Share. The EPS will grow by 5.98% on average per year.
The Revenue is expected to grow by 2.53% on average over the next years.
EPS Next Y12%
EPS Next 2Y10.77%
EPS Next 3Y8.89%
EPS Next 5Y5.98%
Revenue Next Year0.98%
Revenue Next 2Y1.01%
Revenue Next 3Y1.03%
Revenue Next 5Y2.53%
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
The Price/Earnings ratio is 14.32, which indicates a correct valuation of ORA.
ORA's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 29.35. ORA is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 10.36, the valuation of ORA can be described as reasonable.
Based on the Price/Forward Earnings ratio, ORA is valued a bit cheaper than the industry average as 70.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, ORA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.32 | ||
| Fwd PE | 10.36 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ORA is valued cheaply inside the industry as 86.67% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, ORA is valued a bit cheaper than 76.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.96 | ||
| EV/EBITDA | 4.09 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.19
PEG (5Y)N/A
EPS Next 2Y10.77%
EPS Next 3Y8.89%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.47%, ORA is a good candidate for dividend investing.
ORA's Dividend Yield is rather good when compared to the industry average which is at 5.01. ORA pays more dividend than 86.67% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.33, ORA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.47% |
5.2 History
The dividend of ORA has a limited annual growth rate of 0.57%.
Dividend Growth(5Y)0.57%
Div Incr Years1
Div Non Decr Years3
5.3 Sustainability
ORA pays out 88.09% of its income as dividend. This is not a sustainable payout ratio.
The dividend of ORA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP88.09%
EPS Next 2Y10.77%
EPS Next 3Y8.89%
EPA:ORA (3/7/2025, 7:00:00 PM)
11.74
+0.14 (+1.21%)
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 Cap31.21B
Analysts80.77
Price Target12.91 (9.97%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.47% |
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)0.04%
PT rev (3m)-0.94%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.81%
EPS NY rev (3m)-3.12%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)-0.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.32 | ||
| Fwd PE | 10.36 | ||
| P/S | 0.78 | ||
| P/FCF | 8.96 | ||
| P/OCF | 3.06 | ||
| P/B | 0.98 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.09 |
EPS(TTM)0.82
EY6.98%
EPS(NY)1.13
Fwd EY9.65%
FCF(TTM)1.31
FCFY11.17%
OCF(TTM)3.83
OCFY32.67%
SpS15.14
BVpS11.95
TBVpS-0.67
PEG (NY)1.19
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 | 0.82 |
F-Score9
WACC4.37%
ROIC/WACC1.3
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 Y12%
EPS Next 2Y10.77%
EPS Next 3Y8.89%
EPS Next 5Y5.98%
Revenue 1Y (TTM)-3.85%
Revenue growth 3Y-1.81%
Revenue growth 5Y-0.95%
Sales Q2Q%0.47%
Revenue Next Year0.98%
Revenue Next 2Y1.01%
Revenue Next 3Y1.03%
Revenue Next 5Y2.53%
EBIT growth 1Y13.05%
EBIT growth 3Y2.49%
EBIT growth 5Y0.59%
EBIT Next Year150.22%
EBIT Next 3Y37.56%
EBIT Next 5Y26.84%
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%