ORANGE-SPON ADR (ORAN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ORAN - US6840601065 - ADR
11.15 USD
+0.04 (+0.36%)
11.15 USD
0 (0%)
ORAN gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 37 industry peers in the Diversified Telecommunication Services industry. ORAN scores excellent on profitability, but there are concerns on its financial health. ORAN has a bad growth rate and is valued cheaply. Finally ORAN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- ORAN had positive earnings in the past year.
- In the past year ORAN had a positive cash flow from operations.
- In the past 5 years ORAN has always been profitable.
- ORAN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- ORAN has a better Return On Assets (2.20%) than 61.76% of its industry peers.
- Looking at the Return On Equity, with a value of 7.30%, ORAN is in the better half of the industry, outperforming 61.76% of the companies in the same industry.
- ORAN's Return On Invested Capital of 5.40% is fine compared to the rest of the industry. ORAN outperforms 70.59% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for ORAN is in line with the industry average of 6.52%.
- The 3 year average ROIC (4.98%) for ORAN is below the current ROIC(5.40%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.2% | ||
| ROE | 7.3% | ||
| ROIC | 5.4% |
ROA(3y)1.28%
ROA(5y)2.13%
ROE(3y)4.42%
ROE(5y)7.03%
ROIC(3y)4.98%
ROIC(5y)5.09%
1.3 Margins
- With a decent Profit Margin value of 5.41%, ORAN is doing good in the industry, outperforming 67.65% of the companies in the same industry.
- In the last couple of years the Profit Margin of ORAN has grown nicely.
- The Operating Margin of ORAN (13.69%) is better than 64.71% of its industry peers.
- In the last couple of years the Operating Margin of ORAN has remained more or less at the same level.
- With a Gross Margin value of 59.39%, ORAN perfoms like the industry average, outperforming 52.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.69% | ||
| PM (TTM) | 5.41% | ||
| GM | 59.39% |
OM growth 3Y-2.17%
OM growth 5Y1.03%
PM growth 3Y-21.97%
PM growth 5Y5.04%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- ORAN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- ORAN has about the same amout of shares outstanding than it did 1 year ago.
- Compared to 1 year ago, ORAN has an improved debt to assets ratio.
2.2 Solvency
- ORAN has an Altman-Z score of 0.79. This is a bad value and indicates that ORAN is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 0.79, ORAN is doing worse than 64.71% of the companies in the same industry.
- ORAN has a debt to FCF ratio of 12.15. This is a negative value and a sign of low solvency as ORAN would need 12.15 years to pay back of all of its debts.
- With a Debt to FCF ratio value of 12.15, ORAN perfoms like the industry average, outperforming 58.82% of the companies in the same industry.
- A Debt/Equity ratio of 1.18 is on the high side and indicates that ORAN has dependencies on debt financing.
- ORAN has a Debt to Equity ratio (1.18) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 12.15 | ||
| Altman-Z | 0.79 |
ROIC/WACC1.38
WACC3.9%
2.3 Liquidity
- ORAN has a Current Ratio of 0.94. This is a bad value and indicates that ORAN is not financially healthy enough and could expect problems in meeting its short term obligations.
- ORAN's Current ratio of 0.94 is on the low side compared to the rest of the industry. ORAN is outperformed by 61.76% of its industry peers.
- ORAN has a Quick Ratio of 0.94. This is a bad value and indicates that ORAN is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Quick ratio value of 0.91, ORAN perfoms like the industry average, outperforming 41.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
- ORAN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 41.17%, which is quite impressive.
- The Earnings Per Share has been growing slightly by 6.51% on average over the past years.
- ORAN shows a decrease in Revenue. In the last year, the revenue decreased by -2.98%.
- The Revenue has been growing slightly by 1.29% on average over the past years.
EPS 1Y (TTM)41.17%
EPS 3Y-20.78%
EPS 5Y6.51%
EPS Q2Q%3.33%
Revenue 1Y (TTM)-2.98%
Revenue growth 3Y1.44%
Revenue growth 5Y1.29%
Sales Q2Q%-7.92%
3.2 Future
- Based on estimates for the next years, ORAN will show a small growth in Earnings Per Share. The EPS will grow by 2.28% on average per year.
- Based on estimates for the next years, ORAN will show a decrease in Revenue. The Revenue will decrease by -0.11% on average per year.
EPS Next Y-6.37%
EPS Next 2Y1.89%
EPS Next 3Y4.69%
EPS Next 5Y2.28%
Revenue Next Year-8.01%
Revenue Next 2Y-3.52%
Revenue Next 3Y-2.14%
Revenue Next 5Y-0.11%
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 decreasing.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 11.99, the valuation of ORAN can be described as very reasonable.
- ORAN's Price/Earnings ratio is a bit cheaper when compared to the industry. ORAN is cheaper than 79.41% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, ORAN is valued rather cheaply.
- Based on the Price/Forward Earnings ratio of 8.99, the valuation of ORAN can be described as reasonable.
- Based on the Price/Forward Earnings ratio, ORAN is valued cheaper than 94.12% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of ORAN to the average of the S&P500 Index (24.26), we can say ORAN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.99 | ||
| Fwd PE | 8.99 |
4.2 Price Multiples
- 97.06% of the companies in the same industry are more expensive than ORAN, based on the Enterprise Value to EBITDA ratio.
- 91.18% of the companies in the same industry are more expensive than ORAN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.43 | ||
| EV/EBITDA | 3.91 |
4.3 Compensation for Growth
- ORAN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.84
EPS Next 2Y1.89%
EPS Next 3Y4.69%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 7.03%, ORAN is a good candidate for dividend investing.
- ORAN's Dividend Yield is rather good when compared to the industry average which is at 2.33. ORAN pays more dividend than 91.18% of the companies in the same industry.
- ORAN's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.03% |
5.2 History
- The dividend of ORAN has a limited annual growth rate of 0.01%.
- ORAN has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)0.01%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 83.52% of the earnings are spent on dividend by ORAN. This is not a sustainable payout ratio.
- ORAN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP83.52%
EPS Next 2Y1.89%
EPS Next 3Y4.69%
ORANGE-SPON ADR / ORAN FAQ
What is the ChartMill fundamental rating of ORANGE-SPON ADR (ORAN) stock?
ChartMill assigns a fundamental rating of 5 / 10 to ORAN.
What is the valuation status for ORAN stock?
ChartMill assigns a valuation rating of 7 / 10 to ORANGE-SPON ADR (ORAN). This can be considered as Undervalued.
What is the profitability of ORAN stock?
ORANGE-SPON ADR (ORAN) has a profitability rating of 7 / 10.
How financially healthy is ORANGE-SPON ADR?
The financial health rating of ORANGE-SPON ADR (ORAN) is 2 / 10.
How sustainable is the dividend of ORANGE-SPON ADR (ORAN) stock?
The dividend rating of ORANGE-SPON ADR (ORAN) is 7 / 10 and the dividend payout ratio is 83.52%.