HLSE:ORNBV

Stock Analysis Report

Executive Summary

Orion Oyj engages in the development and manufacture of pharmaceuticals, active pharmaceutical ingredients (APIs), and diagnostic tests worldwide.

Snowflake

Fundamentals

Flawless balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Orion Oyj's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-1.9%

HLSE:ORNBV

-1.0%

FI Pharmaceuticals

1.3%

FI Market


1 Year Return

6.7%

HLSE:ORNBV

7.0%

FI Pharmaceuticals

-1.6%

FI Market

ORNBV matched the Pharmaceuticals industry (6.8%) over the past year.

ORNBV outperformed the Market in Finland which returned -1.9% over the past year.


Share holder returns

ORNBVIndustryMarket
7 Day-1.9%-1.0%1.3%
30 Day0.9%-0.8%4.2%
90 Day2.8%-0.02%2.2%
1 Year11.6%6.7%13.0%7.0%2.9%-1.6%
3 Year5.8%-7.0%22.3%8.7%31.7%16.5%
5 Year35.1%8.6%22.6%2.4%56.3%26.6%

Price Volatility Vs. Market

How volatile is Orion Oyj's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Orion Oyj undervalued based on future cash flows and its price relative to the stock market?

5%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Orion Oyj's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Orion Oyj's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Orion Oyj is overvalued based on earnings compared to the Europe Pharmaceuticals industry average.

Orion Oyj is overvalued based on earnings compared to the Finland market.


Price Based on Expected Growth

Orion Oyj is poor value based on expected growth next year.


Price Based on Value of Assets

Orion Oyj is overvalued based on assets compared to the Europe Pharmaceuticals industry average.


Next Steps

Future Growth

How is Orion Oyj expected to perform in the next 1 to 3 years based on estimates from 6 analysts?

5.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Orion Oyj's revenue is expected to grow by 3.3% yearly, however this is not considered high growth (20% yearly).

Orion Oyj's earnings are expected to grow by 5.6% yearly, however this is not considered high growth (20% yearly).

Orion Oyj's revenue growth is expected to exceed the Finland market average.

Orion Oyj's earnings growth is positive but not above the Finland market average.

Orion Oyj's earnings growth is expected to exceed the low risk savings rate of 0.5%.


Earnings per Share Growth Estimates


Future Return on Equity

Orion Oyj is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).


Next Steps

Past Performance

How has Orion Oyj performed over the past 5 years?

-2.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Orion Oyj's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Orion Oyj's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Orion Oyj's 1-year earnings growth is negative, it can't be compared to the Europe Pharmaceuticals industry average.


Return on Equity

Orion Oyj has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

Orion Oyj used its assets more efficiently than the Europe Pharmaceuticals industry average last year based on Return on Assets.


Return on Capital Employed

Orion Oyj's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Orion Oyj's financial position?


Financial Position Analysis

Orion Oyj is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Orion Oyj's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Orion Oyj's level of debt (5%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (53.9% vs 5% today).

Debt is well covered by operating cash flow (697.5%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 58.1x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 15.1x debt.


Next Steps

Dividend

What is Orion Oyj's current dividend yield, its reliability and sustainability?

4.42%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Orion Oyj's pays a higher dividend yield than the bottom 25% of dividend payers in Finland (2.29%).

Orion Oyj's dividend is below the markets top 25% of dividend payers in Finland (5.09%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are not well covered by earnings (0.8x coverage).


Future Payout to Shareholders

Dividends after 3 years are not well covered by earnings (1.1x coverage).


Next Steps

Management

What is the CEO of Orion Oyj's salary, the management and board of directors tenure and is there insider trading?

11.0yrs

Average management tenure


CEO

Timo Lappalainen (57yo)

11.7yrs

Tenure

€1,346,660

Compensation

Mr. Timo Lappalainen, M.Sc. (Ind. Eng.), has been the Chief Executive Officer and President of Orion Oyj (Formerly, Orion Corporation) since January 2008. Mr. Lappalainen has been the Chairman of the Execu ...


CEO Compensation Analysis

Timo's remuneration is about average for companies of similar size in Finland.

Timo's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

11.0yrs

Average Tenure

55yo

Average Age

The average tenure for the Orion Oyj management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

2.5yrs

Average Tenure

56yo

Average Age

The average tenure for the Orion Oyj board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Jari Karlson (58yo)

    CFO, Senior VP of Animal Health & Member of the Executive Management Board

    • Tenure: 17.1yrs
  • Olli Huotari (53yo)

    Senior VP of Corporate Functions

    • Tenure: 0yrs
  • Timo Lappalainen (57yo)

    CEO, President & Chairman of the Executive Management Board

    • Tenure: 11.7yrs
    • Compensation: €1.35m
  • Markku Huhta-Koivisto (63yo)

    Senior VP of Growth Projects & Member of Executive Management Board

    • Tenure: 0yrs
  • Satu Ahomäki (53yo)

    Senior VP of Commercial Operations and Member of the Executive Management Board

    • Tenure: 11.7yrs
  • Liisa Hurme (52yo)

    Senior VP of Supply Chain & Member of the Executive Management Board

    • Tenure: 0yrs
  • Terhi Ormio

    Vice President of Communications

    • Tenure: 10.4yrs
  • Virve Laitinen (47yo)

    Senior VP of Specialty Products & Member of Executive Management Board

    • Tenure: 7.7yrs
  • Marko Torppala

    Employee Representative Executive Management Board

    • Tenure: 0yrs
  • Christer Nordstedt (57yo)

    Senior VP of Research & Development and Member of Executive Management Board

    • Tenure: 2.6yrs

Board Members

  • Heikki Westerlund (53yo)

    Chairman

    • Tenure: 2.5yrs
    • Compensation: €117.54k
  • Mikael Silvennoinen (63yo)

    Director

    • Tenure: 5.5yrs
    • Compensation: €62.67k
  • Timo Maasilta (65yo)

    Vice Chairman

    • Tenure: 3.5yrs
    • Compensation: €79.65k
  • Ari Lehtoranta (56yo)

    Director

    • Tenure: 2.5yrs
    • Compensation: €57.27k
  • Pia Kalsta (49yo)

    Director

    • Tenure: 0.5yrs
  • Eija Ronkainen (53yo)

    Director

    • Tenure: 3.5yrs
    • Compensation: €57.27k
  • Hilpi Rautelin (58yo)

    Director

    • Tenure: 2.5yrs
    • Compensation: €56.67k

Company Information

Orion Oyj's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Orion Oyj
  • Ticker: ORNBV
  • Exchange: HLSE
  • Founded: 1917
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: €4.603b
  • Shares outstanding: 140.49m
  • Website: https://www.orion.fi

Number of Employees


Location

  • Orion Oyj
  • Orionintie 1A
  • Espoo
  • Uusimaa
  • 2200
  • Finland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ORNAVHLSE (OMX Nordic Exchange Helsinki)Class A SharesFIEURJul 2006
ORNBVHLSE (OMX Nordic Exchange Helsinki)YesClass B SharesFIEURJul 2006
OFKDB (Deutsche Boerse AG)YesClass B SharesDEEURJul 2006
0M2NLSE (London Stock Exchange)Class A SharesGBEURJul 2006
0M2OLSE (London Stock Exchange)YesClass B SharesGBEURJul 2006
ORIN.FOTCPK (Pink Sheets LLC)YesClass B SharesUSUSDJul 2006
ORNBVHBATS-CHIXE (BATS 'Chi-X Europe')YesClass B SharesGBEURJul 2006
ORNAVHBATS-CHIXE (BATS 'Chi-X Europe')Class A SharesGBEURJul 2006
ORIN.YOTCPK (Pink Sheets LLC)ADRUSUSDApr 2010

Biography

Orion Oyj engages in the development and manufacture of pharmaceuticals, active pharmaceutical ingredients (APIs), and diagnostic tests worldwide. The company operates in two segments, Pharmaceuticals and  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/16 21:03
End of Day Share Price2019/09/16 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.