LSE:ORNT

Stock Analysis Report

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Executive Summary

Orient Telecoms Plc focuses on providing managed telecommunications service provider in Singapore.


Snowflake Analysis

Adequate balance sheet and slightly overvalued.

Share Price & News

How has Orient Telecoms's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

ORNT

6.7%

GB Telecom

2.7%

GB Market


1 Year Return

-4.7%

ORNT

-32.4%

GB Telecom

-12.4%

GB Market

Return vs Industry: ORNT exceeded the UK Telecom industry which returned -32.4% over the past year.

Return vs Market: ORNT exceeded the UK Market which returned -12.4% over the past year.


Shareholder returns

ORNTIndustryMarket
7 Day0%6.7%2.7%
30 Day0%1.1%0.9%
90 Day0%5.7%4.1%
1 Year-4.7%-4.7%-30.8%-32.4%-8.8%-12.4%
3 Yearn/a-52.2%-59.0%-4.9%-16.3%
5 Yearn/a-65.7%-73.0%14.2%-11.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ORNT (£0.1) is trading below our estimate of fair value (£0.58)

Significantly Below Fair Value: ORNT is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ORNT is unprofitable, so we can't compare its PE Ratio to the GB Telecom industry average.

PE vs Market: ORNT is unprofitable, so we can't compare its PE Ratio to the UK market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ORNT's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ORNT is overvalued based on its PB Ratio (2.7x) compared to the GB Telecom industry average (2.1x).


Next Steps

Future Growth

How is Orient Telecoms forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

18.0%

Forecasted Telecom industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Orient Telecoms has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Orient Telecoms performed over the past 5 years?

54.5%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: ORNT is currently unprofitable.

Growing Profit Margin: ORNT is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if ORNT's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Unable to compare ORNT's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ORNT is unprofitable, making it difficult to compare its past year earnings growth to the Telecom industry (21.5%).


Return on Equity

High ROE: ORNT has a negative Return on Equity (-32.63%), as it is currently unprofitable.


Next Steps

Financial Health

How is Orient Telecoms's financial position?


Financial Position Analysis

Short Term Liabilities: ORNT's short term assets (£491.8K) exceed its short term liabilities (£118.6K).

Long Term Liabilities: ORNT has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: ORNT is debt free.

Reducing Debt: ORNT has not had any debt for 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 ORNT has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if ORNT has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Orient Telecoms's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ORNT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ORNT'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 ORNT's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ORNT'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 ORNT's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

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

2.8yrs

Average board tenure


CEO

Sayed Mustafa Ali (39 yo)

0.83

Tenure

UK£6,986

Compensation

Mr. Sayed Mustafa Ali has been Executive Director at Orient Telecoms PLC since October 31, 2017 and has been its Acting Chief Executive Officer since October 25, 2019 and serves as its chief technology off ...


Board Members

NamePositionTenureCompensationOwnership
Sayed Mustafa Ali
Acting CEO0.83yrUK£6.99kno data
Chee Wong
Non-Executive Chairman0.33yrno datano data
Ross Martin Andrews
Independent Non-Executive Director2.92yrsUK£9.32kno data
Leon Santos
Independent Non-Executive Director2.83yrsUK£6.99kno data

2.8yrs

Average Tenure

53.5yo

Average Age

Experienced Board: ORNT's board of directors are not considered experienced ( 2.8 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: 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

Orient Telecoms Plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Orient Telecoms Plc
  • Ticker: ORNT
  • Exchange: LSE
  • Founded: 2016
  • Industry: Integrated Telecommunication Services
  • Sector: Telecom
  • Market Cap: UK£1.025m
  • Shares outstanding: 10.00m
  • Website: https://www.orient-telecoms.com

Number of Employees


Location

  • Orient Telecoms Plc
  • Oxley Bizhub 2
  • Suite No. 08-22
  • Singapore
  • 408734
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ORNTLSE (London Stock Exchange)YesOrdinary SharesGBGBPOct 2017

Biography

Orient Telecoms Plc focuses on providing managed telecommunications service provider in Singapore. The company offers managed business connectivity services; carrier Ethernet and connecting software-define ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/08 22:16
End of Day Share Price2020/08/07 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


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.