ODFJELL TECHNOLOGY LTD (OTL.OL) Stock Fundamental Analysis
OSL:OTL - Euronext Oslo - BMG6716L1081 - Common Stock - Currency: NOK
We assign a fundamental rating of 5 out of 10 to OTL. OTL was compared to 36 industry peers in the Energy Equipment & Services industry. There are concerns on the financial health of OTL while its profitability can be described as average. A decent growth rate in combination with a cheap valuation! Better keep an eye on OTL.
1. Profitability
1.1 Basic Checks
OTL had positive earnings in the past year.
OTL had a positive operating cash flow in the past year.
In the past 5 years OTL has always been profitable.
In the past 5 years OTL always reported a positive cash flow from operatings.
1.2 Ratios
OTL has a better Return On Assets (7.12%) than 66.67% of its industry peers.
OTL has a Return On Equity of 22.03%. This is amongst the best in the industry. OTL outperforms 83.33% of its industry peers.
OTL has a Return On Invested Capital of 15.34%. This is amongst the best in the industry. OTL outperforms 86.11% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for OTL is significantly above the industry average of 10.45%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.12% | ||
| ROE | 22.03% | ||
| ROIC | 15.34% |
ROA(3y)7.83%
ROA(5y)6.09%
ROE(3y)27.62%
ROE(5y)18.35%
ROIC(3y)15.47%
ROIC(5y)10.98%
1.3 Margins
OTL's Profit Margin of 5.13% is on the low side compared to the rest of the industry. OTL is outperformed by 61.11% of its industry peers.
OTL's Profit Margin has declined in the last couple of years.
OTL has a worse Operating Margin (8.94%) than 66.67% of its industry peers.
OTL's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.94% | ||
| PM (TTM) | 5.13% | ||
| GM | N/A |
OM growth 3Y28.05%
OM growth 5Y2.67%
PM growth 3Y5.69%
PM growth 5Y-12.66%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so OTL is still creating some value.
The number of shares outstanding for OTL remains at a similar level compared to 1 year ago.
Compared to 5 years ago, OTL has about the same amount of shares outstanding.
Compared to 1 year ago, OTL has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of OTL is 7.59, which is on the high side as it means it would take OTL, 7.59 years of fcf income to pay off all of its debts.
OTL's Debt to FCF ratio of 7.59 is on the low side compared to the rest of the industry. OTL is outperformed by 69.44% of its industry peers.
OTL has a Debt/Equity ratio of 0.95. This is a neutral value indicating OTL is somewhat dependend on debt financing.
The Debt to Equity ratio of OTL (0.95) is worse than 61.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | 7.59 | ||
| Altman-Z | N/A |
ROIC/WACC1.78
WACC8.64%
2.3 Liquidity
A Current Ratio of 1.68 indicates that OTL should not have too much problems paying its short term obligations.
OTL has a better Current ratio (1.68) than 63.89% of its industry peers.
OTL has a Quick Ratio of 1.68. This is a normal value and indicates that OTL is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.68, OTL is doing good in the industry, outperforming 69.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.68 |
3. Growth
3.1 Past
OTL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.28%.
Measured over the past years, OTL shows a very strong growth in Earnings Per Share. The EPS has been growing by 57.97% on average per year.
Looking at the last year, OTL shows a small growth in Revenue. The Revenue has grown by 6.09% in the last year.
Measured over the past years, OTL shows a very strong growth in Revenue. The Revenue has been growing by 81.90% on average per year.
EPS 1Y (TTM)7.28%
EPS 3Y28.32%
EPS 5Y57.97%
EPS Q2Q%53.54%
Revenue 1Y (TTM)6.09%
Revenue growth 3Y22.56%
Revenue growth 5Y81.9%
Sales Q2Q%3.63%
3.2 Future
OTL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.87% yearly.
The Revenue is expected to grow by 1.38% on average over the next years.
EPS Next Y27.22%
EPS Next 2Y22.54%
EPS Next 3Y14.87%
EPS Next 5YN/A
Revenue Next Year-0.07%
Revenue Next 2Y1.99%
Revenue Next 3Y1.38%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
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
The Price/Earnings ratio is 7.40, which indicates a rather cheap valuation of OTL.
Based on the Price/Earnings ratio, OTL is valued cheaper than 80.56% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.50, OTL is valued rather cheaply.
OTL is valuated cheaply with a Price/Forward Earnings ratio of 5.47.
Based on the Price/Forward Earnings ratio, OTL is valued cheaper than 83.33% of the companies in the same industry.
OTL is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.44, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.4 | ||
| Fwd PE | 5.47 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, OTL is valued cheaper than 80.56% of the companies in the same industry.
OTL's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. OTL is more expensive than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.13 | ||
| EV/EBITDA | 3.45 |
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.
OTL has a very decent profitability rating, which may justify a higher PE ratio.
OTL's earnings are expected to grow with 14.87% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.27
PEG (5Y)0.13
EPS Next 2Y22.54%
EPS Next 3Y14.87%
5. Dividend
5.1 Amount
OTL has a Yearly Dividend Yield of 11.33%, which is a nice return.
OTL's Dividend Yield is rather good when compared to the industry average which is at 6.51. OTL pays more dividend than 94.44% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.35, OTL pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.33% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
71.29% of the earnings are spent on dividend by OTL. This is not a sustainable payout ratio.
DP71.29%
EPS Next 2Y22.54%
EPS Next 3Y14.87%
OSL:OTL (7/18/2025, 7:00:00 PM)
51.3
+0.9 (+1.79%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners6.89%
Inst Owner ChangeN/A
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap2.02B
Analysts86.67
Price Target77.27 (50.62%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.33% |
Yearly Dividend4.18
Dividend Growth(5Y)N/A
DP71.29%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.01%
Min EPS beat(2)-12.36%
Max EPS beat(2)2.33%
EPS beat(4)2
Avg EPS beat(4)-13.48%
Min EPS beat(4)-52.37%
Max EPS beat(4)8.46%
EPS beat(8)3
Avg EPS beat(8)-15.49%
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)2
Avg Revenue beat(2)5.03%
Min Revenue beat(2)1.82%
Max Revenue beat(2)8.23%
Revenue beat(4)4
Avg Revenue beat(4)4.03%
Min Revenue beat(4)0.63%
Max Revenue beat(4)8.23%
Revenue beat(8)8
Avg Revenue beat(8)4.46%
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%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.42%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.02%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.4 | ||
| Fwd PE | 5.47 | ||
| P/S | 0.37 | ||
| P/FCF | 12.13 | ||
| P/OCF | 3.56 | ||
| P/B | 1.59 | ||
| P/tB | 2.14 | ||
| EV/EBITDA | 3.45 |
EPS(TTM)6.93
EY13.51%
EPS(NY)9.39
Fwd EY18.3%
FCF(TTM)4.23
FCFY8.24%
OCF(TTM)14.43
OCFY28.12%
SpS138.71
BVpS32.29
TBVpS23.99
PEG (NY)0.27
PEG (5Y)0.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.12% | ||
| ROE | 22.03% | ||
| ROCE | 16.96% | ||
| ROIC | 15.34% | ||
| ROICexc | 17.9% | ||
| ROICexgc | 20.64% | ||
| OM | 8.94% | ||
| PM (TTM) | 5.13% | ||
| GM | N/A | ||
| FCFM | 3.05% |
ROA(3y)7.83%
ROA(5y)6.09%
ROE(3y)27.62%
ROE(5y)18.35%
ROIC(3y)15.47%
ROIC(5y)10.98%
ROICexc(3y)18.37%
ROICexc(5y)12.88%
ROICexgc(3y)21.29%
ROICexgc(5y)14.79%
ROCE(3y)17.1%
ROCE(5y)12.13%
ROICexcg growth 3Y63.8%
ROICexcg growth 5Y26.86%
ROICexc growth 3Y60.52%
ROICexc growth 5Y25.23%
OM growth 3Y28.05%
OM growth 5Y2.67%
PM growth 3Y5.69%
PM growth 5Y-12.66%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover1.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | 7.59 | ||
| Debt/EBITDA | 1.47 | ||
| Cap/Depr | 120.37% | ||
| Cap/Sales | 7.35% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 69.1% | ||
| Profit Quality | 59.46% | ||
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.68 | ||
| Altman-Z | N/A |
F-Score5
WACC8.64%
ROIC/WACC1.78
Cap/Depr(3y)97.93%
Cap/Depr(5y)106.68%
Cap/Sales(3y)6.7%
Cap/Sales(5y)8.58%
Profit Quality(3y)95.55%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.28%
EPS 3Y28.32%
EPS 5Y57.97%
EPS Q2Q%53.54%
EPS Next Y27.22%
EPS Next 2Y22.54%
EPS Next 3Y14.87%
EPS Next 5YN/A
Revenue 1Y (TTM)6.09%
Revenue growth 3Y22.56%
Revenue growth 5Y81.9%
Sales Q2Q%3.63%
Revenue Next Year-0.07%
Revenue Next 2Y1.99%
Revenue Next 3Y1.38%
Revenue Next 5YN/A
EBIT growth 1Y-3.85%
EBIT growth 3Y56.94%
EBIT growth 5Y86.76%
EBIT Next Year65.05%
EBIT Next 3Y21.49%
EBIT Next 5YN/A
FCF growth 1Y-21.27%
FCF growth 3YN/A
FCF growth 5Y156.31%
OCF growth 1Y9.84%
OCF growth 3Y12.08%
OCF growth 5Y77.48%