ORANGE (FTE.DE) Stock Fundamental Analysis
FRA:FTE - Deutsche Boerse Ag - FR0000133308 - Common Stock - Currency: EUR
FTE gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 31 industry peers in the Diversified Telecommunication Services industry. While FTE is still in line with the averages on profitability rating, there are concerns on its financial health. FTE is valued correctly, but it does not seem to be growing. Finally FTE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
FTE had positive earnings in the past year.
FTE had a positive operating cash flow in the past year.
FTE had positive earnings in each of the past 5 years.
FTE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FTE has a Return On Assets (2.09%) which is comparable to the rest of the industry.
FTE has a Return On Equity (6.84%) which is in line with its industry peers.
Looking at the Return On Invested Capital, with a value of 5.67%, FTE is in line with its industry, outperforming 58.06% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for FTE is in line with the industry average of 7.13%.
The 3 year average ROIC (5.20%) for FTE is below the current ROIC(5.67%), indicating increased profibility in the last year.
| 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
FTE has a Profit Margin (5.40%) which is in line with its industry peers.
In the last couple of years the Profit Margin of FTE has declined.
FTE has a Operating Margin of 15.19%. This is comparable to the rest of the industry: FTE outperforms 58.06% of its industry peers.
FTE's Operating Margin has improved in the last couple of years.
FTE has a better Gross Margin (60.66%) than 64.52% of its industry peers.
In the last couple of years the Gross Margin of FTE has remained more or less at the same level.
| 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
FTE has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
FTE has about the same amout of shares outstanding than it did 1 year ago.
FTE has more shares outstanding than it did 5 years ago.
FTE has a better debt/assets ratio than last year.
2.2 Solvency
FTE has an Altman-Z score of 0.84. This is a bad value and indicates that FTE is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.84, FTE is doing worse than 74.19% of the companies in the same industry.
FTE has a debt to FCF ratio of 12.34. This is a negative value and a sign of low solvency as FTE would need 12.34 years to pay back of all of its debts.
FTE has a Debt to FCF ratio of 12.34. This is comparable to the rest of the industry: FTE outperforms 45.16% of its industry peers.
FTE has a Debt/Equity ratio of 1.14. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.14, FTE is in line with its industry, outperforming 41.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 12.34 | ||
| Altman-Z | 0.84 |
ROIC/WACC1.27
WACC4.47%
2.3 Liquidity
A Current Ratio of 0.92 indicates that FTE may have some problems paying its short term obligations.
The Current ratio of FTE (0.92) is better than 70.97% of its industry peers.
FTE has a Quick Ratio of 0.92. This is a bad value and indicates that FTE is not financially healthy enough and could expect problems in meeting its short term obligations.
FTE has a Quick ratio of 0.89. This is in the better half of the industry: FTE outperforms 70.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
The earnings per share for FTE have decreased by -0.38% in the last year.
Measured over the past years, FTE shows a decrease in Earnings Per Share. The EPS has been decreasing by -4.51% on average per year.
Looking at the last year, FTE shows a decrease in Revenue. The Revenue has decreased by -3.85% in the last year.
The Revenue has been decreasing by -0.95% on average over the past years.
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
The Earnings Per Share is expected to grow by 4.61% on average over the next years.
FTE is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.14% yearly.
EPS Next Y-0.96%
EPS Next 2Y9.59%
EPS Next 3Y7.66%
EPS Next 5Y4.61%
Revenue Next Year0.83%
Revenue Next 2Y0.96%
Revenue Next 3Y1.06%
Revenue Next 5Y-0.14%
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
A Price/Earnings ratio of 15.43 indicates a correct valuation of FTE.
Compared to the rest of the industry, the Price/Earnings ratio of FTE indicates a somewhat cheap valuation: FTE is cheaper than 74.19% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of FTE to the average of the S&P500 Index (26.35), we can say FTE is valued slightly cheaper.
The Price/Forward Earnings ratio is 12.62, which indicates a correct valuation of FTE.
64.52% of the companies in the same industry are more expensive than FTE, based on the Price/Forward Earnings ratio.
FTE is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.19, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.43 | ||
| Fwd PE | 12.62 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FTE is valued cheaply inside the industry as 83.87% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, FTE is valued a bit cheaper than the industry average as 74.19% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.65 | ||
| EV/EBITDA | 4.26 |
4.3 Compensation for Growth
FTE has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y9.59%
EPS Next 3Y7.66%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.90%, FTE is a good candidate for dividend investing.
FTE's Dividend Yield is rather good when compared to the industry average which is at 4.51. FTE pays more dividend than 83.87% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, FTE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.9% |
5.2 History
The dividend of FTE has a limited annual growth rate of 0.57%.
Dividend Growth(5Y)0.57%
Div Incr Years1
Div Non Decr Years3
5.3 Sustainability
88.09% of the earnings are spent on dividend by FTE. This is not a sustainable payout ratio.
The dividend of FTE is growing, but earnings are growing more, so the dividend growth is sustainable.
DP88.09%
EPS Next 2Y9.59%
EPS Next 3Y7.66%
FRA:FTE (6/19/2025, 7:00:00 PM)
12.65
0 (0%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners39.36%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap33.63B
Analysts77.6
Price Target13.38 (5.77%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.9% |
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)-0.05%
PT rev (3m)4.12%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-11.57%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.43 | ||
| Fwd PE | 12.62 | ||
| P/S | 0.84 | ||
| P/FCF | 9.65 | ||
| P/OCF | 3.3 | ||
| P/B | 1.06 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.26 |
EPS(TTM)0.82
EY6.48%
EPS(NY)1
Fwd EY7.92%
FCF(TTM)1.31
FCFY10.36%
OCF(TTM)3.83
OCFY30.32%
SpS15.14
BVpS11.95
TBVpS-0.67
PEG (NY)N/A
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 | 0.84 |
F-Score9
WACC4.47%
ROIC/WACC1.27
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 Y-0.96%
EPS Next 2Y9.59%
EPS Next 3Y7.66%
EPS Next 5Y4.61%
Revenue 1Y (TTM)-3.85%
Revenue growth 3Y-1.81%
Revenue growth 5Y-0.95%
Sales Q2Q%0.47%
Revenue Next Year0.83%
Revenue Next 2Y0.96%
Revenue Next 3Y1.06%
Revenue Next 5Y-0.14%
EBIT growth 1Y13.05%
EBIT growth 3Y2.49%
EBIT growth 5Y0.59%
EBIT Next Year148.18%
EBIT Next 3Y37.59%
EBIT Next 5Y19.56%
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%