HLSE:ORNBV

Stock Analysis Report

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Executive Summary

Orion Oyj develops, manufactures, and markets human and veterinary pharmaceuticals and active pharmaceutical ingredients (APIs) in Finland, Scandinavia, other European countries, North America, and internationally. More Details


Snowflake Analysis

Flawless balance sheet with solid track record and pays a dividend.


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

Stable Share Price: ORNBV has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

3.6%

ORNBV

2.8%

FI Pharmaceuticals

2.3%

FI Market


1 Year Return

20.5%

ORNBV

9.8%

FI Pharmaceuticals

5.5%

FI Market

Return vs Industry: ORNBV exceeded the Finnish Pharmaceuticals industry which returned 9.8% over the past year.

Return vs Market: ORNBV exceeded the Finnish Market which returned 5.5% over the past year.


Shareholder returns

ORNBVIndustryMarket
7 Day3.6%2.8%2.3%
30 Day0.6%4.7%4.2%
90 Day-10.5%-1.0%11.3%
1 Year24.3%20.5%13.3%9.8%15.0%5.5%
3 Year15.1%1.1%31.2%16.0%25.4%4.0%
5 Year44.6%17.9%37.8%14.0%71.0%35.0%

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 compared to its fair value and its price relative to the market?

21.47x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ORNBV (€39.89) is trading above our estimate of fair value (€36.52)

Significantly Below Fair Value: ORNBV is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ORNBV's PE Ratio (21.5x) is in line with the XE Pharmaceuticals industry average.

PE vs Market: ORNBV is good value based on its PE Ratio (21.5x) compared to the Finnish market (23.4x).


Price to Earnings Growth Ratio

PEG Ratio: ORNBV is poor value based on its PEG Ratio (4x)


Price to Book Ratio

PB vs Industry: ORNBV is overvalued based on its PB Ratio (7.9x) compared to the XE Pharmaceuticals industry average (3.5x).


Next Steps

Future Growth

How is Orion Oyj forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

5.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ORNBV's forecast earnings growth (5.3% per year) is above the savings rate (0.4%).

Earnings vs Market: ORNBV's earnings (5.3% per year) are forecast to grow slower than the Finnish market (14.7% per year).

High Growth Earnings: ORNBV's earnings are forecast to grow, but not significantly.

Revenue vs Market: ORNBV's revenue (3.5% per year) is forecast to grow slower than the Finnish market (4.6% per year).

High Growth Revenue: ORNBV's revenue (3.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ORNBV's Return on Equity is forecast to be high in 3 years time (26.5%)


Next Steps

Past Performance

How has Orion Oyj performed over the past 5 years?

-1.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ORNBV has high quality earnings.

Growing Profit Margin: ORNBV's current net profit margins (23%) are higher than last year (17.6%).


Past Earnings Growth Analysis

Earnings Trend: ORNBV's earnings have declined by 1% per year over the past 5 years.

Accelerating Growth: ORNBV's earnings growth over the past year (51%) exceeds its 5-year average (-1% per year).

Earnings vs Industry: ORNBV earnings growth over the past year (51%) exceeded the Pharmaceuticals industry 13.2%.


Return on Equity

High ROE: ORNBV's Return on Equity (36.6%) is considered high.


Next Steps

Financial Health

How is Orion Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: ORNBV's short term assets (€682.5M) exceed its short term liabilities (€228.9M).

Long Term Liabilities: ORNBV's short term assets (€682.5M) exceed its long term liabilities (€167.6M).


Debt to Equity History and Analysis

Debt Level: ORNBV is debt free.

Reducing Debt: ORNBV has no debt compared to 5 years ago when its debt to equity ratio was 49.3%.

Debt Coverage: ORNBV has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: ORNBV has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

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

3.76%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ORNBV's dividend (3.76%) is higher than the bottom 25% of dividend payers in the Finnish market (1.98%).

High Dividend: ORNBV's dividend (3.76%) is low compared to the top 25% of dividend payers in the Finnish market (4.75%).


Stability and Growth of Payments

Stable Dividend: ORNBV's dividends per share have been stable in the past 10 years.

Growing Dividend: ORNBV's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (80.7%), ORNBV's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ORNBV's dividends in 3 years are not forecast to be well covered by earnings (94.5% payout ratio).


Next Steps

  • Explore strong dividend paying companies in the Pharmaceuticals & Biotech industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

10.0yrs

Average management tenure


CEO

Timo Lappalainen (58 yo)

12.67yrs

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

Compensation vs Market: Timo's total compensation ($USD0.00) is below average for companies of similar size in the Finnish market ($USD2.50M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Timo Lappalainen
CEO, President & Chairman of the Executive Management Board12.67yrs€1.35m0.044%
€ 2.4m
Jari Karlson
CFO, Senior VP of Animal Health & Member of the Executive Management Board18.08yrsno data0.022%
€ 1.2m
Olli Huotari
Senior VP of Corporate Functionsno datano data0.040%
€ 2.3m
Satu Ahomäki
Sr. VP of Commercial Ops12.67yrsno data0.021%
€ 1.2m
Liisa Hurme
Senior VP of Supply Chain & Member of the Executive Management Boardno datano data0.021%
€ 1.2m
Virve Laitinen
Senior VP of Specialty Products & Member of Executive Management Board8.67yrsno data0.012%
€ 671.4k
Outi Vaarala
Senior VP for Research & Development and Member of Executive Management Board0.25yrno datano data
Tuukka Hirvonen
Investor Relations & Financial Communications Officerno datano datano data
Terhi Ormio
Vice President of Communications11.42yrsno datano data
Heikki Joensuu
R&D Global Head of Therapy Area Oncologyno datano datano data
Johanna Ivaska
Head & Vice President of Oncology Research1.92yrsno datano data
Minna Ruotsalainen
Acting Senior Vice President for Research & Development0.50yrno datano data

10.0yrs

Average Tenure

54yo

Average Age

Experienced Management: ORNBV's management team is seasoned and experienced (10 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Mikael Silvennoinen
Independent Chairman0.33yr€59.07k0.0043%
€ 241.3k
Timo Maasilta
Independent Vice Chairman4.5yrs€73.65k0.020%
€ 1.1m
Kari Aho
Director0.33yrno data0.032%
€ 1.8m
Ari Lehtoranta
Independent Director3.5yrs€52.47k0.0011%
€ 62.6k
Pia Kalsta
Independent Director1.5yrs€51.27k0.00040%
€ 22.3k
Eija Ronkainen
Independent Director4.5yrs€54.27k0.015%
€ 858.0k
Hilpi Rautelin
Independent Director3.5yrs€53.67k0.0031%
€ 174.3k

3.5yrs

Average Tenure

59yo

Average Age

Experienced Board: ORNBV's board of directors are considered experienced (3.5 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: Orion Oyj
  • Ticker: ORNBV
  • Exchange: HLSE
  • Founded:
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: €5.586b
  • Shares outstanding: 140.46m
  • 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 develops, manufactures, and markets human and veterinary pharmaceuticals and active pharmaceutical ingredients (APIs) in Finland, Scandinavia, other European countries, North America, and interna ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/21 03:42
End of Day Share Price2020/09/18 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.