How does ORI's PE Ratio compare to its peers?

ORI is good value based on its Price-To-Earnings Ratio (15.6x) compared to the peer average (33.6x).

How does ORI's PE Ratio compare vs other companies in the Global Chemicals Industry?

ORI is good value based on its Price-To-Earnings Ratio (15.6x) compared to the Global Chemicals industry average (22.2x).

What is ORI's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ORI is good value based on its Price-To-Earnings Ratio (15.6x) compared to the estimated Fair Price-To-Earnings Ratio (15.9x).

What is the Fair Price of ORI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

ORI (A$16.8) is trading below our estimate of [[fair value]] (A$35.82)

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

ORI Stock Overview

Manufactures, distributes, and sells commercial blasting systems, explosives, mining and tunnelling support systems, and various chemical products and services in Australia, Peru, Canada, the United States, and internationally. More details

ORI fundamental analysis
Snowflake Score
Valuation	6/6
Future Growth	1/6
Past Performance	4/6
Financial Health	5/6
Dividends	3/6

Rewards

Trading at 53.1% below our estimate of its fair value

Earnings are forecast to grow 8.42% per year

Earnings grew by 77.4% over the past year

Trading at good value compared to peers and industry

Analysts in good agreement that stock price will rise by 22.8%

Risk Analysis

Unstable dividend track record

Shareholders have been diluted in the past year

Large one-off items impacting financial results

My Notes

Capture your thoughts, links and company narrative

Community Narratives

Create a narrative

Narratives bring a range of perspectives from our community.

Analyst Price Target

Consensus Narrative from 14 Analysts

Terra Insights And Cyanco Acquisitions, Advanced Blasting Tech, And Sustainability Efforts Will Boost Earnings Growth

Key Takeaways Strategic acquisitions and focus on advanced technology are expected to drive revenue growth and enhance earnings through integration and cross-selling opportunities. Sustainability initiatives and decarbonization efforts aim to boost profitability and capitalize on regulatory incentives, benefiting overall net margins.

View narrative

AU$20.63

18.6% undervalued

4.72%

Revenue growth p.a.

3 days ago

Orica Limited Competitors

BlueScope Steel

ASX:BSL

AU$8.4b

Evolution Mining

ASX:EVN

AU$9.6b

Mineral Resources

ASX:MIN

AU$6.4b

SciDev

ASX:SDV

AU$108.2m

Price History & Performance

Summary of share price highs, lows and changes for Orica
Historical stock prices
Current Share Price	AU$16.80
52 Week High	AU$18.97
52 Week Low	AU$15.54
Beta	0.69
1 Month Change	-7.54%
3 Month Change	-4.60%
1 Year Change	6.73%
3 Year Change	23.26%
5 Year Change	-26.51%
Change since IPO	204.35%

Orica (ASX:ORI) Is Increasing Its Dividend To A$0.28

Nov 18

Are Investors Undervaluing Orica Limited (ASX:ORI) By 50%?

Oct 10

Recent updates

Improved Earnings Required Before Orica Limited (ASX:ORI) Shares Find Their Feet

Jul 31

Orica's (ASX:ORI) Returns Have Hit A Wall

Jun 27

We Think Orica (ASX:ORI) Can Stay On Top Of Its Debt

May 29

Orica (ASX:ORI) Is Due To Pay A Dividend Of A$0.19

May 11

What You Can Learn From Orica Limited's (ASX:ORI) P/E

Apr 28

Here's Why We Think Orica (ASX:ORI) Might Deserve Your Attention Today

Apr 10

Here's What To Make Of Orica's (ASX:ORI) Decelerating Rates Of Return

Feb 01

Orica Limited's (ASX:ORI) P/E Is On The Mark

Jan 17

Is Now The Time To Put Orica (ASX:ORI) On Your Watchlist?

Dec 30

Shareholder Returns

	ORI	AU Chemicals	AU Market
7D	-5.7%	-5.2%	-2.7%
1Y	6.7%	-3.8%	6.5%

Return vs Industry: ORI exceeded the Australian Chemicals industry which returned -3.8% over the past year.

Return vs Market: ORI matched the Australian Market which returned 6.5% over the past year.

Price Volatility

Is ORI's price volatile compared to industry and market?
ORI volatility
ORI Average Weekly Movement	2.8%
Chemicals Industry Average Movement	11.0%
Market Average Movement	8.0%
10% most volatile stocks in AU Market	16.8%
10% least volatile stocks in AU Market	3.1%

Stable Share Price: ORI has not had significant price volatility in the past 3 months compared to the Australian market.

Volatility Over Time: ORI's weekly volatility (3%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1874	14,000	Sanjeev Kumar Gandhi	www.orica.com

Orica Limited manufactures, distributes, and sells commercial blasting systems, explosives, mining and tunnelling support systems, and various chemical products and services in Australia, Peru, Canada, the United States, and internationally. The company provides 4D bulk explosives systems, packaged explosives, initiating systems, boosters, and seismic explosive ranges; technical services; and supplementary services. It also offers automation solutions, including Avatel, a machine equipped with underground development charging system; and secondary breakage and hang up blasting, a tele-remote blasting solution.

Orica Limited Fundamentals Summary

How do Orica's earnings and revenue compare to its market cap?
ORI fundamental statistics
Market cap	AU$8.18b
Earnings (TTM)	AU$524.60m
Revenue (TTM)	AU$7.66b

15.6x

P/E Ratio

1.1x

P/S Ratio

Is ORI overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
ORI income statement (TTM)
Revenue	AU$7.66b
Cost of Revenue	AU$4.56b
Gross Profit	AU$3.11b
Other Expenses	AU$2.58b
Earnings	AU$524.60m

Last Reported Earnings

Sep 30, 2024

Next Earnings Date

n/a

Earnings per share (EPS)	1.08
Gross Margin	40.52%
Net Profit Margin	6.85%
Debt/Equity Ratio	48.3%

How did ORI perform over the long term?

See historical performance and comparison

Dividends

2.8%

Current Dividend Yield

42%

Payout Ratio

Does ORI pay a reliable dividends?

See ORI dividend history and benchmarks

When do you need to buy ORI by to receive an upcoming dividend?
Orica dividend dates
Ex Dividend Date	Nov 22 2024
Dividend Pay Date	Dec 23 2024
Days until Ex dividend	30 days
Days until Dividend pay date	1 day

Does ORI pay a reliable dividends?

See ORI dividend history and benchmarks

Company Analysis and Financial Data Status

Data	Last Updated (UTC time)
Company Analysis	2024/12/21 21:08
End of Day Share Price	2024/12/20 00:00
Earnings	2024/09/30
Annual Earnings	2024/09/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

Package	Data	Timeframe	Example US Source ^*
Company Financials	10 years	Income statement Cash flow statement Balance sheet	SEC Form 10-K SEC Form 10-Q
Analyst Consensus Estimates	+3 years	Forecast financials Analyst price targets	Analyst Research Reports Blue Matrix
Market Prices	30 years	Stock prices Dividends, Splits and Actions	ICE Market Data SEC Form S-1
Ownership	10 years	Top shareholders Insider trading	SEC Form 4 SEC Form 13D
Management	10 years	Leadership team Board of directors	SEC Form 10-K SEC Form DEF 14A
Key Developments	10 years	Company announcements	SEC Form 8-K

^* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Orica Limited is covered by 31 analysts. 13 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

Analyst	Institution
Dennis Hulme	APP Securities Pty Ltd.
Brook Campbell-Crawford	Barrenjoey Markets Pty Limited
Benjamin Brayshaw	Barrenjoey Markets Pty Limited

ORI Stock Overview

Rewards

Risk Analysis

Terra Insights And Cyanco Acquisitions, Advanced Blasting Tech, And Sustainability Efforts Will Boost Earnings Growth

Orica Limited Competitors

ASX:BSL

AU$8.4b

ASX:EVN

AU$9.6b

ASX:MIN

AU$6.4b

ASX:SDV

AU$108.2m

Price History & Performance

Recent News & Updates

Orica (ASX:ORI) Is Increasing Its Dividend To A$0.28

Final dividend increased to AU$0.28

Full year 2024 earnings released: EPS: AU$1.11 (vs AU$0.65 in FY 2023)

Now 20% undervalued after recent price drop

Are Investors Undervaluing Orica Limited (ASX:ORI) By 50%?

Recent updates

Orica (ASX:ORI) Is Increasing Its Dividend To A$0.28

Final dividend increased to AU$0.28

Full year 2024 earnings released: EPS: AU$1.11 (vs AU$0.65 in FY 2023)

Now 20% undervalued after recent price drop

Are Investors Undervaluing Orica Limited (ASX:ORI) By 50%?

These 4 Measures Indicate That Orica (ASX:ORI) Is Using Debt Reasonably Well

Do Orica's (ASX:ORI) Earnings Warrant Your Attention?

Improved Earnings Required Before Orica Limited (ASX:ORI) Shares Find Their Feet

Orica's (ASX:ORI) Returns Have Hit A Wall

We Think Orica (ASX:ORI) Can Stay On Top Of Its Debt

Orica (ASX:ORI) Is Due To Pay A Dividend Of A$0.19

Price target increased by 9.1% to AU$20.05

First half dividend increased to AU$0.19

First half 2024 earnings released: EPS: AU$0.73 (vs AU$0.27 in 1H 2023)

What You Can Learn From Orica Limited's (ASX:ORI) P/E

Here's Why We Think Orica (ASX:ORI) Might Deserve Your Attention Today

Orica Limited Announces Retirement of Gene Tilbrook from the Board of Directors

New minor risk - Shareholder dilution

Orica Limited has completed a Follow-on Equity Offering in the amount of AUD 400.000012 million.

Orica Limited (ASX:ORI) entered into a binding agreement to acquire Cyanco Corporation from Cerberus Capital Management, L.P for the enterprise value of approximately $640 million.

Consensus EPS estimates increase by 10%

Orica Limited has filed a Follow-on Equity Offering in the amount of AUD 400.000012 million.

Orica Limited (ASX:ORI) entered into a binding agreement to acquire Cyanco Corporation from Cerberus Capital Management, L.P for the enterprise value of approximately $640 million.

Here's What To Make Of Orica's (ASX:ORI) Decelerating Rates Of Return

Orica Limited's (ASX:ORI) P/E Is On The Mark

Orica Limited to Report First Half, 2024 Results on May 09, 2024

Is Now The Time To Put Orica (ASX:ORI) On Your Watchlist?

Orica Limited Provides Earnings Guidance for the Year 2024

Full year 2023 earnings: EPS and revenues miss analyst expectations

CF Industries Files a Separate Lawsuit in the United States Against Orica

Upcoming dividend of AU$0.18 per share at 2.2% yield

Orica Limited Announces Distribution for the Six Months Ended March 31, 2023, Payable on July 3, 2023

First half 2023 earnings released

Orica Limited Announces Vanessa Guthrie AO as Independent, Non-Executive, Effective 1 February 2023

Orica Limited, Annual General Meeting, Feb 13, 2023

Orica Announces the Appointment of Mark Garrett as Independent, Non-Executive Director, to the Board

Orica Limited Announces Board Retirements

Consensus revenue estimates increase by 14%

Full year 2022 earnings: Revenues exceed analysts expectations while EPS lags behind

Orica Limited Provides Earnings Guidance for the Fiscal Year 2023

Orica Announces Change of Chief Financial Officer Effective October 11, 2022

Orica Limited (ASX:ORI) entered into an agreement to acquire Axis Mining Technology for AUD 350 million.

Orica Limited Announces Distribution for the Period of Six Months Ended 31 March 2022, Payable on July 08, 2022

Upcoming dividend of AU$0.13 per share

Price target increased to AU$16.87

First half 2022 earnings released

Orica Limited Announces Distribution for the Period of Six Months Ended 31 March 2022, Payable on July 08, 2022

Orica Limited Appoints Gordon Naylor as Independent, Non-Executive Director, Effective 1 April 2022

Now 20% undervalued

AURELIUS Equity Opportunities SE & Co. KGaA (XTRA:AR4) agreed to acquire Minova business of Orica Limited (ASX:ORI) for AUD 180 million.

Independent Non-Executive Director recently bought AU$250k worth of stock

Full year 2021 earnings released

Independent Non-Executive Director recently bought AU$137k worth of stock

Investor sentiment improved over the past week

Shareholder Returns

Price Volatility

About the Company

Orica Limited Fundamentals Summary

15.6x