Executive Summary
Orocobre Limited engages in the exploration, development, and production of lithium in Argentina. More Details
Rewards
Risk Analysis
Snowflake Analysis
High growth potential with imperfect balance sheet.
Similar Companies
Share Price & News
How has Orocobre's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ORE is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: ORE's weekly volatility (7%) has been stable over the past year.
Market Performance
7 Day Return
-12.4%
ORE
-5.3%
AU Metals and Mining
0.3%
AU Market
1 Year Return
148.1%
ORE
35.9%
AU Metals and Mining
27.8%
AU Market
Return vs Industry: ORE exceeded the Australian Metals and Mining industry which returned 35.9% over the past year.
Return vs Market: ORE exceeded the Australian Market which returned 27.8% over the past year.
Shareholder returns
| ORE | Industry | Market | |
|---|---|---|---|
| 7 Day | -12.4% | -5.3% | 0.3% |
| 30 Day | -3.1% | -2.4% | 4.6% |
| 90 Day | 22.8% | 6.1% | 9.0% |
| 1 Year | 148.1%148.1% | 42.9%35.9% | 32.0%27.8% |
| 3 Year | 12.7%12.7% | 67.6%44.0% | 34.0%18.0% |
| 5 Year | 27.5%27.0% | 161.9%123.5% | 75.2%42.6% |
Long-Term Price Volatility Vs. Market
How volatile is Orocobre's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Read This Before Buying Orocobre Limited (ASX:ORE) Shares1 month ago | Simply Wall St
Does Orocobre (ASX:ORE) Have A Healthy Balance Sheet?2 months ago | Simply Wall St
If You Had Bought Orocobre (ASX:ORE) Shares A Year Ago You'd Have Earned 107% ReturnsValuation
Is Orocobre undervalued compared to its fair value and its price relative to the market?
2.16x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: Insufficient data to calculate ORE's fair value to establish if it is undervalued.
Significantly Below Fair Value: Insufficient data to calculate ORE's fair value to establish if it is undervalued.
Price To Earnings Ratio
PE vs Industry: ORE is unprofitable, so we can't compare its PE Ratio to the Australian Metals and Mining industry average.
PE vs Market: ORE is unprofitable, so we can't compare its PE Ratio to the Australian market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate ORE's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: ORE is good value based on its PB Ratio (2.2x) compared to the AU Metals and Mining industry average (2.5x).
Future Growth
How is Orocobre forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
86.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ORE is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).
Earnings vs Market: ORE is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: ORE's is expected to become profitable in the next 3 years.
Revenue vs Market: ORE's revenue (57.9% per year) is forecast to grow faster than the Australian market (5.4% per year).
High Growth Revenue: ORE's revenue (57.9% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ORE's Return on Equity is forecast to be low in 3 years time (5.5%).
Past Performance
How has Orocobre performed over the past 5 years?
-8.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ORE is currently unprofitable.
Growing Profit Margin: ORE is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: ORE is unprofitable, and losses have increased over the past 5 years at a rate of 8.1% per year.
Accelerating Growth: Unable to compare ORE's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: ORE is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (25.6%).
Return on Equity
High ROE: ORE has a negative Return on Equity (-9.86%), as it is currently unprofitable.
Financial Health
How is Orocobre's financial position?
Financial Position Analysis
Short Term Liabilities: ORE's short term assets ($310.2M) exceed its short term liabilities ($68.7M).
Long Term Liabilities: ORE's short term assets ($310.2M) do not cover its long term liabilities ($414.2M).
Debt to Equity History and Analysis
Debt Level: ORE's debt to equity ratio (32%) is considered satisfactory.
Reducing Debt: ORE's debt to equity ratio has increased from 2.4% to 32% over the past 5 years.
Balance Sheet
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Insufficient data to determine if ORE has enough cash runway based on its current free cash flow.
Forecast Cash Runway: Insufficient data to determine if ORE has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.
Dividend
What is Orocobre current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate ORE's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate ORE's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if ORE's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ORE's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of ORE's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.2yrs
Average management tenure
CEO
Martin de Solay (49 yo)
2.58yrs
Tenure
US$1,544,875
Compensation
Mr. Martin Perez de Solay, (I.ENG), has been CEO and Managing Director of Orocobre Limited since November 23, 2018 and its Director since January 18, 2018. He is a qualified industrial engineer with a care...
CEO Compensation Analysis
Compensation vs Market: Martin's total compensation ($USD1.54M) is about average for companies of similar size in the Australian market ($USD1.29M).
Compensation vs Earnings: Martin's compensation has increased whilst the company is unprofitable.
Leadership Team
Experienced Management: ORE's management team is considered experienced (2.2 years average tenure).
Board Members
Experienced Board: ORE's board of directors are considered experienced (4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 24.2%.
Top Shareholders
Company Information
Orocobre Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Orocobre Limited
- Ticker: ORE
- Exchange: ASX
- Founded: 2005
- Industry: Diversified Metals and Mining
- Sector: Materials
- Market Cap: AU$2.041b
- Shares outstanding: 344.16m
- Website: https://www.orocobre.com
Number of Employees
Location
- Orocobre Limited
- Riparian Plaza
- Level 35
- Brisbane
- Queensland
- 4000
- Australia
Listings
Biography
Orocobre Limited engages in the exploration, development, and production of lithium in Argentina. The company’s flagship project is the Olaroz Lithium Facility located in the Jujuy province of northern Arg...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/06/20 08:21 |
| End of Day Share Price | 2021/06/18 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/06/30 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.