ORE

OrocobreASX:ORE Stock Report

Market Cap

AU$6.0b

7D

4.0%

1Y

233.9%

Updated

19 Sep, 2021

Data

Company Financials +
ORE fundamental analysis
Snowflake Score
Valuation0/6
Future Growth5/6
Past Performance0/6
Financial Health2/6
Dividends0/6

ORE Overview

Orocobre Limited engages in the exploration, development, and production of lithium and boron in Argentina.

Orocobre Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Orocobre
Historical stock prices
Current Share PriceAU$9.35
52 Week HighAU$2.40
52 Week LowAU$10.08
Beta1.87
1 Month Change7.97%
3 Month Change63.46%
1 Year Change233.93%
3 Year Change127.49%
5 Year Change156.87%
Change since IPO3,640.00%

Recent News & Updates

Shareholder Returns

OREAU Metals and MiningAU Market
7D4.0%-4.0%-0.01%
1Y233.9%10.1%27.1%

Return vs Industry: ORE exceeded the Australian Metals and Mining industry which returned 10.1% over the past year.

Return vs Market: ORE exceeded the Australian Market which returned 27.1% over the past year.

Price Volatility

Is ORE's price volatile compared to industry and market?
ORE volatility
ORE Beta1.87
Industry Beta0.93
Market Beta1

Stable Share Price: ORE is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: ORE's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2005n/aMartin de Solayhttps://www.orocobre.com

Orocobre Limited engages in the exploration, development, and production of lithium and boron in Argentina. The company’s flagship project is the Olaroz Lithium Facility located in Jujuy province in northern Argentina. Orocobre Limited was incorporated in 2005 and is based in Brisbane, Australia.

Orocobre Fundamentals Summary

How do Orocobre's earnings and revenue compare to its market cap?
ORE fundamental statistics
Market CapUS$4.34b
Earnings (TTM)-US$59.62m
Revenue (TTM)US$84.76m

51.1x

P/S Ratio

-72.7x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ORE income statement (TTM)
RevenueUS$84.76m
Cost of RevenueUS$37.50m
Gross ProfitUS$47.26m
ExpensesUS$106.89m
Earnings-US$59.62m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.18
Gross Margin55.76%
Net Profit Margin-70.35%
Debt/Equity Ratio42.2%

How did ORE perform over the long term?

See historical performance and comparison

Valuation

Is Orocobre undervalued compared to its fair value and its price relative to the market?

6.5x

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 overvalued based on its PB Ratio (6.5x) compared to the AU Metals and Mining industry average (2.7x).


Future Growth

How is Orocobre forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

80.7%

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 (39.8% per year) is forecast to grow faster than the Australian market (5.3% per year).

High Growth Revenue: ORE's revenue (39.8% 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 (15.5%).


Past Performance

How has Orocobre performed over the past 5 years?

-37.4%

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 37.4% 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 (44.4%).


Return on Equity

High ROE: ORE has a negative Return on Equity (-12.34%), as it is currently unprofitable.


Financial Health

How is Orocobre's financial position?


Financial Position Analysis

Short Term Liabilities: ORE's short term assets ($331.3M) exceed its short term liabilities ($76.5M).

Long Term Liabilities: ORE's short term assets ($331.3M) do not cover its long term liabilities ($547.1M).


Debt to Equity History and Analysis

Debt Level: ORE's debt to equity ratio (42.2%) is considered high.

Reducing Debt: ORE's debt to equity ratio has increased from 1.6% to 42.2% 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: ORE has sufficient cash runway for more than a year 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?

2.4yrs

Average management tenure


CEO

Martin de Solay (50 yo)

2.83yrs

Tenure

US$1,190,148

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 ($USD1.19M) is below average for companies of similar size in the Australian market ($USD1.73M).

Compensation vs Earnings: Martin's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: ORE's management team is considered experienced (2.4 years average tenure).


Board Members

Experienced Board: ORE's board of directors are not considered experienced ( 0.4 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: ORE insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 94.9%.


Top Shareholders

Company Information

Orocobre Limited's 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$5.961b
  • Shares outstanding: 637.53m
  • Website: https://www.orocobre.com

Number of Employees


Location

  • Orocobre Limited
  • Riparian Plaza
  • Level 35
  • Brisbane
  • Queensland
  • 4000
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/19 08:05
End of Day Share Price2021/09/17 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.