ORANGE (FTE.DE) Stock Fundamental Analysis
FRA:FTE - Deutsche Boerse Ag - FR0000133308 - Common Stock - Currency: EUR
We assign a fundamental rating of 3 out of 10 to FTE. FTE was compared to 28 industry peers in the Diversified Telecommunication Services industry. FTE has a medium profitability rating, but doesn't score so well on its financial health evaluation. FTE has a valuation in line with the averages, but on the other hand it scores bad on growth. FTE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year FTE was profitable.
In the past year FTE had a positive cash flow from operations.
FTE had positive earnings in each of the past 5 years.
In the past 5 years FTE always reported a positive cash flow from operatings.
1.2 Ratios
FTE's Return On Assets of 2.09% is on the low side compared to the rest of the industry. FTE is outperformed by 60.71% of its industry peers.
The Return On Equity of FTE (6.84%) is worse than 60.71% of its industry peers.
With a Return On Invested Capital value of 5.67%, FTE perfoms like the industry average, outperforming 42.86% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for FTE is below the industry average of 8.31%.
The last Return On Invested Capital (5.67%) for FTE 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
FTE's Profit Margin of 5.40% is in line compared to the rest of the industry. FTE outperforms 50.00% of its industry peers.
FTE's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 15.19%, FTE is in line with its industry, outperforming 57.14% of the companies in the same industry.
In the last couple of years the Operating Margin of FTE has grown nicely.
Looking at the Gross Margin, with a value of 60.66%, FTE is in line with its industry, outperforming 57.14% of the companies in the same industry.
FTE'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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so FTE is still creating some value.
FTE has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for FTE has been increased compared to 5 years ago.
Compared to 1 year ago, FTE has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.84, we must say that FTE is in the distress zone and has some risk of bankruptcy.
FTE has a Altman-Z score of 0.84. This is in the lower half of the industry: FTE underperforms 78.57% of its industry peers.
The Debt to FCF ratio of FTE is 12.34, which is on the high side as it means it would take FTE, 12.34 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 12.34, FTE perfoms like the industry average, outperforming 42.86% of the companies in the same industry.
A Debt/Equity ratio of 1.14 is on the high side and indicates that FTE has dependencies on debt financing.
FTE has a worse Debt to Equity ratio (1.14) than 60.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 12.34 | ||
| Altman-Z | 0.84 |
ROIC/WACC1.25
WACC4.54%
2.3 Liquidity
A Current Ratio of 0.92 indicates that FTE may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.92, FTE is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
A Quick Ratio of 0.89 indicates that FTE may have some problems paying its short term obligations.
FTE has a better Quick ratio (0.89) than 71.43% 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.
FTE shows a decrease in Revenue. In the last year, the revenue decreased by -3.85%.
FTE 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, FTE will show a small growth in Earnings Per Share. The EPS will grow by 3.91% on average per year.
FTE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.73% yearly.
EPS Next Y-0.96%
EPS Next 2Y9.59%
EPS Next 3Y7.66%
EPS Next 5Y3.91%
Revenue Next Year0.93%
Revenue Next 2Y1.02%
Revenue Next 3Y1.09%
Revenue Next 5Y0.73%
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 accelerating.
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
With a Price/Earnings ratio of 15.54, FTE is valued correctly.
FTE's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 28.18, FTE is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 12.72, the valuation of FTE can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FTE indicates a somewhat cheap valuation: FTE is cheaper than 64.29% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.81. FTE is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.54 | ||
| Fwd PE | 12.72 |
4.2 Price Multiples
75.00% of the companies in the same industry are more expensive than FTE, based on the Enterprise Value to EBITDA ratio.
FTE's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. FTE is cheaper than 67.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.72 | ||
| EV/EBITDA | 4.28 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y9.59%
EPS Next 3Y7.66%
5. Dividend
5.1 Amount
FTE has a Yearly Dividend Yield of 5.87%, which is a nice return.
FTE's Dividend Yield is rather good when compared to the industry average which is at 4.52. FTE pays more dividend than 82.14% of the companies in the same industry.
FTE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.87% |
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
FTE pays out 88.09% of its income as dividend. 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 (5/2/2025, 7:00:00 PM)
12.745
+0.03 (+0.24%)
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 Cap33.88B
Analysts79.23
Price Target13.23 (3.81%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.87% |
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)1.47%
PT rev (3m)2.37%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-10.38%
EPS NY rev (3m)-12.29%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)-0.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.54 | ||
| Fwd PE | 12.72 | ||
| P/S | 0.84 | ||
| P/FCF | 9.72 | ||
| P/OCF | 3.32 | ||
| P/B | 1.07 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.28 |
EPS(TTM)0.82
EY6.43%
EPS(NY)1
Fwd EY7.86%
FCF(TTM)1.31
FCFY10.29%
OCF(TTM)3.83
OCFY30.09%
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
WACC4.54%
ROIC/WACC1.25
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 5Y3.91%
Revenue 1Y (TTM)-3.85%
Revenue growth 3Y-1.81%
Revenue growth 5Y-0.95%
Sales Q2Q%0.47%
Revenue Next Year0.93%
Revenue Next 2Y1.02%
Revenue Next 3Y1.09%
Revenue Next 5Y0.73%
EBIT growth 1Y13.05%
EBIT growth 3Y2.49%
EBIT growth 5Y0.59%
EBIT Next Year147.87%
EBIT Next 3Y37.48%
EBIT Next 5Y19.23%
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%