ORMAT TECHNOLOGIES INC (ORA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ORA - US6866881021 - Common Stock
110.38 USD
-2.26 (-2.01%)
110.38 USD
0 (0%)
Taking everything into account, ORA scores 4 out of 10 in our fundamental rating. ORA was compared to 20 industry peers in the Independent Power and Renewable Electricity Producers industry. While ORA is still in line with the averages on profitability rating, there are concerns on its financial health. While showing a medium growth rate, ORA is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year ORA was profitable.
ORA had a positive operating cash flow in the past year.
Each year in the past 5 years ORA has been profitable.
In the past 5 years ORA always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of ORA (2.19%) is better than 75.00% of its industry peers.
ORA's Return On Equity of 5.31% is in line compared to the rest of the industry. ORA outperforms 60.00% of its industry peers.
ORA has a Return On Invested Capital (2.52%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for ORA is in line with the industry average of 4.14%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.19% | ||
| ROE | 5.31% | ||
| ROIC | 2.52% |
ROA(3y)2%
ROA(5y)1.92%
ROE(3y)4.67%
ROE(5y)4.42%
ROIC(3y)2.95%
ROIC(5y)3.25%
1.3 Margins
ORA has a Profit Margin of 14.12%. This is in the better half of the industry: ORA outperforms 80.00% of its industry peers.
In the last couple of years the Profit Margin of ORA has grown nicely.
Looking at the Operating Margin, with a value of 18.71%, ORA is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
In the last couple of years the Operating Margin of ORA has declined.
The Gross Margin of ORA (28.32%) is worse than 65.00% of its industry peers.
ORA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.71% | ||
| PM (TTM) | 14.12% | ||
| GM | 28.32% |
OM growth 3Y-8.17%
OM growth 5Y-5.33%
PM growth 3Y14.53%
PM growth 5Y3.56%
GM growth 3Y-8.05%
GM growth 5Y-3%
2. Health
2.1 Basic Checks
ORA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for ORA has been increased compared to 1 year ago.
Compared to 5 years ago, ORA has more shares outstanding
Compared to 1 year ago, ORA has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.55, we must say that ORA is in the distress zone and has some risk of bankruptcy.
With a decent Altman-Z score value of 1.55, ORA is doing good in the industry, outperforming 75.00% of the companies in the same industry.
ORA has a Debt/Equity ratio of 0.87. This is a neutral value indicating ORA is somewhat dependend on debt financing.
ORA has a better Debt to Equity ratio (0.87) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.55 |
ROIC/WACC0.33
WACC7.66%
2.3 Liquidity
A Current Ratio of 0.77 indicates that ORA may have some problems paying its short term obligations.
ORA's Current ratio of 0.77 is in line compared to the rest of the industry. ORA outperforms 45.00% of its industry peers.
A Quick Ratio of 0.67 indicates that ORA may have some problems paying its short term obligations.
ORA has a worse Quick ratio (0.67) than 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.67 |
3. Growth
3.1 Past
ORA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.08%, which is quite good.
Measured over the past 5 years, ORA shows a small growth in Earnings Per Share. The EPS has been growing by 7.89% on average per year.
Looking at the last year, ORA shows a small growth in Revenue. The Revenue has grown by 6.07% in the last year.
ORA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.35% yearly.
EPS 1Y (TTM)15.08%
EPS 3Y15.39%
EPS 5Y7.89%
EPS Q2Q%13.89%
Revenue 1Y (TTM)6.07%
Revenue growth 3Y9.88%
Revenue growth 5Y3.35%
Sales Q2Q%17.92%
3.2 Future
Based on estimates for the next years, ORA will show a very strong growth in Earnings Per Share. The EPS will grow by 21.64% on average per year.
Based on estimates for the next years, ORA will show a quite strong growth in Revenue. The Revenue will grow by 9.62% on average per year.
EPS Next Y4.72%
EPS Next 2Y8.8%
EPS Next 3Y9.27%
EPS Next 5Y21.64%
Revenue Next Year9.92%
Revenue Next 2Y13.49%
Revenue Next 3Y11.09%
Revenue Next 5Y9.62%
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 48.20, the valuation of ORA can be described as expensive.
70.00% of the companies in the same industry are more expensive than ORA, based on the Price/Earnings ratio.
ORA's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.34.
The Price/Forward Earnings ratio is 43.99, which means the current valuation is very expensive for ORA.
65.00% of the companies in the same industry are more expensive than ORA, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of ORA to the average of the S&P500 Index (23.56), we can say ORA is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.2 | ||
| Fwd PE | 43.99 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ORA is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 19.58 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)10.22
PEG (5Y)6.11
EPS Next 2Y8.8%
EPS Next 3Y9.27%
5. Dividend
5.1 Amount
With a yearly dividend of 0.43%, ORA is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.57, ORA pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.31, ORA's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.43% |
5.2 History
The dividend of ORA has a limited annual growth rate of 1.80%.
ORA has been paying a dividend for at least 10 years, so it has a reliable track record.
ORA has decreased its dividend recently.
Dividend Growth(5Y)1.8%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
21.81% of the earnings are spent on dividend by ORA. This is a low number and sustainable payout ratio.
The dividend of ORA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP21.81%
EPS Next 2Y8.8%
EPS Next 3Y9.27%
110.38
-2.26 (-2.01%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryIndependent Power and Renewable Electricity Producers
Earnings (Last)
Earnings (Next)
Inst Owners91.31%
Inst Owner Change-2.79%
Ins Owners0.29%
Ins Owner Change-2.15%
Market Cap6.71B
Revenue(TTM)944.25M
Net Income(TTM)133.37M
Analysts80
Price Target119.95 (8.67%)
Short Float %5.43%
Short Ratio5.65
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.43% |
Yearly Dividend0.48
Dividend Growth(5Y)1.8%
DP21.81%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)17.05%
Min EPS beat(2)8.9%
Max EPS beat(2)25.2%
EPS beat(4)4
Avg EPS beat(4)23.27%
Min EPS beat(4)8.9%
Max EPS beat(4)41.54%
EPS beat(8)7
Avg EPS beat(8)14.89%
EPS beat(12)11
Avg EPS beat(12)21.35%
EPS beat(16)15
Avg EPS beat(16)20.99%
Revenue beat(2)2
Avg Revenue beat(2)4.66%
Min Revenue beat(2)3.8%
Max Revenue beat(2)5.53%
Revenue beat(4)2
Avg Revenue beat(4)1.62%
Min Revenue beat(4)-2.84%
Max Revenue beat(4)5.53%
Revenue beat(8)3
Avg Revenue beat(8)0.35%
Revenue beat(12)4
Avg Revenue beat(12)-1.03%
Revenue beat(16)8
Avg Revenue beat(16)-0.03%
PT rev (1m)14.17%
PT rev (3m)23.36%
EPS NQ rev (1m)0.09%
EPS NQ rev (3m)-4.85%
EPS NY rev (1m)1.79%
EPS NY rev (3m)1.37%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)-1.81%
Revenue NY rev (1m)1.21%
Revenue NY rev (3m)1.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.2 | ||
| Fwd PE | 43.99 | ||
| P/S | 7.11 | ||
| P/FCF | N/A | ||
| P/OCF | 17.26 | ||
| P/B | 2.67 | ||
| P/tB | 3.26 | ||
| EV/EBITDA | 19.58 |
EPS(TTM)2.29
EY2.07%
EPS(NY)2.51
Fwd EY2.27%
FCF(TTM)-3.52
FCFYN/A
OCF(TTM)6.39
OCFY5.79%
SpS15.54
BVpS41.29
TBVpS33.89
PEG (NY)10.22
PEG (5Y)6.11
Graham Number46.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.19% | ||
| ROE | 5.31% | ||
| ROCE | 3.25% | ||
| ROIC | 2.52% | ||
| ROICexc | 2.56% | ||
| ROICexgc | 2.79% | ||
| OM | 18.71% | ||
| PM (TTM) | 14.12% | ||
| GM | 28.32% | ||
| FCFM | N/A |
ROA(3y)2%
ROA(5y)1.92%
ROE(3y)4.67%
ROE(5y)4.42%
ROIC(3y)2.95%
ROIC(5y)3.25%
ROICexc(3y)3.03%
ROICexc(5y)3.47%
ROICexgc(3y)3.34%
ROICexgc(5y)3.83%
ROCE(3y)3.78%
ROCE(5y)4.15%
ROICexgc growth 3Y-11.23%
ROICexgc growth 5Y-12.21%
ROICexc growth 3Y-10.01%
ROICexc growth 5Y-12.56%
OM growth 3Y-8.17%
OM growth 5Y-5.33%
PM growth 3Y14.53%
PM growth 5Y3.56%
GM growth 3Y-8.05%
GM growth 5Y-3%
F-Score5
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.75 | ||
| Cap/Depr | 211.5% | ||
| Cap/Sales | 63.8% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 84.22% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.67 | ||
| Altman-Z | 1.55 |
F-Score5
WACC7.66%
ROIC/WACC0.33
Cap/Depr(3y)248.02%
Cap/Depr(5y)235.6%
Cap/Sales(3y)68.92%
Cap/Sales(5y)63.09%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)15.08%
EPS 3Y15.39%
EPS 5Y7.89%
EPS Q2Q%13.89%
EPS Next Y4.72%
EPS Next 2Y8.8%
EPS Next 3Y9.27%
EPS Next 5Y21.64%
Revenue 1Y (TTM)6.07%
Revenue growth 3Y9.88%
Revenue growth 5Y3.35%
Sales Q2Q%17.92%
Revenue Next Year9.92%
Revenue Next 2Y13.49%
Revenue Next 3Y11.09%
Revenue Next 5Y9.62%
EBIT growth 1Y0.2%
EBIT growth 3Y0.91%
EBIT growth 5Y-2.16%
EBIT Next Year185.43%
EBIT Next 3Y51.61%
EBIT Next 5Y36.93%
FCF growth 1Y40.44%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y58.66%
OCF growth 3Y16.66%
OCF growth 5Y11.68%
ORMAT TECHNOLOGIES INC / ORA FAQ
What is the ChartMill fundamental rating of ORMAT TECHNOLOGIES INC (ORA) stock?
ChartMill assigns a fundamental rating of 4 / 10 to ORA.
What is the valuation status of ORMAT TECHNOLOGIES INC (ORA) stock?
ChartMill assigns a valuation rating of 1 / 10 to ORMAT TECHNOLOGIES INC (ORA). This can be considered as Overvalued.
Can you provide the profitability details for ORMAT TECHNOLOGIES INC?
ORMAT TECHNOLOGIES INC (ORA) has a profitability rating of 5 / 10.
Can you provide the financial health for ORA stock?
The financial health rating of ORMAT TECHNOLOGIES INC (ORA) is 1 / 10.
Can you provide the dividend sustainability for ORA stock?
The dividend rating of ORMAT TECHNOLOGIES INC (ORA) is 5 / 10 and the dividend payout ratio is 21.81%.