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ORANGE-SPON ADR (ORAN) Stock Fundamental Analysis

NYSE:ORAN - New York Stock Exchange, Inc. - US6840601065 - ADR - Currency: USD

11.15  +0.04 (+0.36%)

After market: 11.15 0 (0%)

Fundamental Rating

4

Taking everything into account, ORAN scores 4 out of 10 in our fundamental rating. ORAN was compared to 33 industry peers in the Diversified Telecommunication Services industry. While ORAN is still in line with the averages on profitability rating, there are concerns on its financial health. ORAN is cheap, but on the other hand it scores bad on growth. Finally ORAN also has an excellent dividend rating.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

In the past year ORAN was profitable.
ORAN had a positive operating cash flow in the past year.
In the past 5 years ORAN has always been profitable.
In the past 5 years ORAN always reported a positive cash flow from operatings.
ORAN Yearly Net Income VS EBIT VS OCF VS FCFORAN Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2B 4B 6B 8B 10B

1.2 Ratios

ORAN's Return On Assets of 2.20% is fine compared to the rest of the industry. ORAN outperforms 61.76% of its industry peers.
ORAN has a better Return On Equity (7.30%) than 61.76% of its industry peers.
ORAN has a better Return On Invested Capital (5.40%) than 70.59% of its industry peers.
ORAN had an Average Return On Invested Capital over the past 3 years of 4.98%. This is below the industry average of 7.05%.
The last Return On Invested Capital (5.40%) for ORAN is above the 3 year average (4.98%), which is a sign of increasing profitability.
Industry RankSector 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%
ORAN Yearly ROA, ROE, ROICORAN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2 4 6 8 10

1.3 Margins

ORAN has a better Profit Margin (5.41%) than 67.65% of its industry peers.
In the last couple of years the Profit Margin of ORAN has grown nicely.
ORAN has a better Operating Margin (13.69%) 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.
Looking at the Gross Margin, with a value of 59.39%, ORAN is in line with its industry, outperforming 52.94% of the companies in the same industry.
Industry RankSector 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
ORAN Yearly Profit, Operating, Gross MarginsORAN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 20 40 60

2

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ORAN is still creating some value.
The number of shares outstanding for ORAN remains at a similar level compared to 1 year ago.
ORAN has about the same amout of shares outstanding than it did 5 years ago.
ORAN has a better debt/assets ratio than last year.
ORAN Yearly Shares OutstandingORAN Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 500M 1B 1.5B 2B 2.5B
ORAN Yearly Total Debt VS Total AssetsORAN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 20B 40B 60B 80B 100B

2.2 Solvency

Based on the Altman-Z score of 0.79, we must say that ORAN is in the distress zone and has some risk of bankruptcy.
ORAN has a Altman-Z score of 0.79. This is in the lower half of the industry: ORAN underperforms 64.71% of its industry peers.
The Debt to FCF ratio of ORAN is 12.15, which is on the high side as it means it would take ORAN, 12.15 years of fcf income to pay off all of its debts.
ORAN's Debt to FCF ratio of 12.15 is in line compared to the rest of the industry. ORAN outperforms 58.82% of its industry peers.
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 RankSector Rank
Debt/Equity 1.18
Debt/FCF 12.15
Altman-Z 0.79
ROIC/WACC1.38
WACC3.9%
ORAN Yearly LT Debt VS Equity VS FCFORAN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 10B 20B 30B

2.3 Liquidity

A Current Ratio of 0.94 indicates that ORAN may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.94, ORAN is doing worse than 61.76% of the companies in the same industry.
A Quick Ratio of 0.91 indicates that ORAN may have some problems paying 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 RankSector Rank
Current Ratio 0.94
Quick Ratio 0.91
ORAN Yearly Current Assets VS Current LiabilitesORAN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 10B 20B 30B

3

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.
ORAN shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.51% yearly.
The Revenue has decreased by -2.98% in the past year.
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
ORAN Yearly Revenue VS EstimatesORAN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 10B 20B 30B 40B
ORAN Yearly EPS VS EstimatesORAN Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 0.2 0.4 0.6 0.8 1

7

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 11.99 indicates a reasonable valuation of ORAN.
Based on the Price/Earnings ratio, ORAN is valued a bit cheaper than 79.41% of the companies in the same industry.
When comparing the Price/Earnings ratio of ORAN to the average of the S&P500 Index (26.20), we can say ORAN is valued rather cheaply.
With a Price/Forward Earnings ratio of 8.99, the valuation of ORAN can be described as very reasonable.
Based on the Price/Forward Earnings ratio, ORAN is valued cheaper than 94.12% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.13, ORAN is valued rather cheaply.
Industry RankSector Rank
PE 11.99
Fwd PE 8.99
ORAN Price Earnings VS Forward Price EarningsORAN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, ORAN is valued cheaper than 97.06% of the companies in the same industry.
ORAN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. ORAN is cheaper than 91.18% of the companies in the same industry.
Industry RankSector Rank
P/FCF 7.43
EV/EBITDA 3.91
ORAN Per share dataORAN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10 15

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%

7

5. Dividend

5.1 Amount

ORAN has a Yearly Dividend Yield of 7.03%, which is a nice return.
Compared to an average industry Dividend Yield of 5.08, ORAN pays a better dividend. On top of this ORAN pays more dividend than 91.18% of the companies listed in the same industry.
ORAN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
Industry RankSector 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
ORAN Yearly Dividends per shareORAN Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0.5 1

5.3 Sustainability

ORAN pays out 83.52% of its income as dividend. 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%
ORAN Yearly Income VS Free CF VS DividendORAN Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 1B 2B 3B 4B
ORAN Dividend Payout.ORAN Dividend Payout, showing the Payout Ratio.ORAN Dividend Payout.PayoutRetained Earnings

ORANGE-SPON ADR

NYSE:ORAN (10/17/2024, 8:55:19 PM)

After market: 11.15 0 (0%)

11.15

+0.04 (+0.36%)

Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)10-24 2024-10-24
Earnings (Next)N/A N/A
Inst Owners1.21%
Inst Owner Change-42.69%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap29.64B
Analysts83.7
Price Target14.05 (26.01%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 7.03%
Yearly Dividend0.7
Dividend Growth(5Y)0.01%
DP83.52%
Div Incr Years0
Div Non Decr Years0
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)-3.89%
PT rev (3m)-0.49%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.02%
EPS NY rev (3m)-5.23%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.37%
Valuation
Industry RankSector Rank
PE 11.99
Fwd PE 8.99
P/S 0.65
P/FCF 7.43
P/OCF 2.48
P/B 0.87
P/tB N/A
EV/EBITDA 3.91
EPS(TTM)0.93
EY8.34%
EPS(NY)1.24
Fwd EY11.12%
FCF(TTM)1.5
FCFY13.45%
OCF(TTM)4.49
OCFY40.3%
SpS17.27
BVpS12.79
TBVpS-0.99
PEG (NY)N/A
PEG (5Y)1.84
Profitability
Industry RankSector Rank
ROA 2.2%
ROE 7.3%
ROCE 7.61%
ROIC 5.4%
ROICexc 6.34%
ROICexgc 13.02%
OM 13.69%
PM (TTM) 5.41%
GM 59.39%
FCFM 8.69%
ROA(3y)1.28%
ROA(5y)2.13%
ROE(3y)4.42%
ROE(5y)7.03%
ROIC(3y)4.98%
ROIC(5y)5.09%
ROICexc(3y)5.76%
ROICexc(5y)5.91%
ROICexgc(3y)12.71%
ROICexgc(5y)14.12%
ROCE(3y)7.04%
ROCE(5y)7.16%
ROICexcg growth 3Y-6.01%
ROICexcg growth 5Y-7.94%
ROICexc growth 3Y-1.12%
ROICexc growth 5Y-0.87%
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
F-Score9
Asset Turnover0.41
Health
Industry RankSector Rank
Debt/Equity 1.18
Debt/FCF 12.15
Debt/EBITDA 2.6
Cap/Depr 86.7%
Cap/Sales 17.33%
Interest Coverage 4.94
Cash Conversion 77.25%
Profit Quality 160.66%
Current Ratio 0.94
Quick Ratio 0.91
Altman-Z 0.79
F-Score9
WACC3.9%
ROIC/WACC1.38
Cap/Depr(3y)97.88%
Cap/Depr(5y)98.88%
Cap/Sales(3y)19.5%
Cap/Sales(5y)19.73%
Profit Quality(3y)10466.8%
Profit Quality(5y)6311.17%
High Growth Momentum
Growth
EPS 1Y (TTM)41.17%
EPS 3Y-20.78%
EPS 5Y6.51%
EPS Q2Q%3.33%
EPS Next Y-6.37%
EPS Next 2Y1.89%
EPS Next 3Y4.69%
EPS Next 5Y2.28%
Revenue 1Y (TTM)-2.98%
Revenue growth 3Y1.44%
Revenue growth 5Y1.29%
Sales Q2Q%-7.92%
Revenue Next Year-8.01%
Revenue Next 2Y-3.52%
Revenue Next 3Y-2.14%
Revenue Next 5Y-0.11%
EBIT growth 1Y-4.11%
EBIT growth 3Y-0.76%
EBIT growth 5Y2.33%
EBIT Next Year115.05%
EBIT Next 3Y30.94%
EBIT Next 5Y18.77%
FCF growth 1Y16.29%
FCF growth 3Y0.59%
FCF growth 5Y17.78%
OCF growth 1Y-4.15%
OCF growth 3Y-1.72%
OCF growth 5Y4.86%