NYSE:ORAN

Stock Analysis Report

Executive Summary

Orange S.A. provides a range of fixed telephony and mobile telecommunications, data transmission, and other value-added services to consumers, businesses, and other telecommunications operators in Europe, Africa, and the Middle East.

Snowflake

Fundamentals

Average dividend payer and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.9%

ORAN

0.01%

US Telecom

-0.6%

US Market


1 Year Return

-3.4%

ORAN

8.2%

US Telecom

0.7%

US Market

ORAN underperformed the Telecom industry which returned 8.1% over the past year.

ORAN underperformed the Market in United States of America which returned 0.7% over the past year.


Share holder returns

ORANIndustryMarket
7 Day1.9%0.01%-0.6%
30 Day5.0%7.9%4.9%
90 Day-1.3%9.5%1.7%
1 Year0.5%-3.4%13.9%8.2%3.0%0.7%
3 Year12.7%1.6%15.7%-1.1%44.8%35.4%
5 Year23.7%5.4%36.3%5.1%62.0%44.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

38%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Orange's share price is below the future cash flow value, and at a moderate discount (> 20%).

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


Price Based on Earnings

Orange is overvalued based on earnings compared to the US Telecom industry average.

Orange is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Orange is poor value based on expected growth next year.


Price Based on Value of Assets

Orange is good value based on assets compared to the US Telecom industry average.


Next Steps

Future Growth

How is Orange expected to perform in the next 1 to 3 years based on estimates from 23 analysts?

7.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Orange's revenue is expected to grow by 0.9% yearly, however this is not considered high growth (20% yearly).

Orange's earnings are expected to grow by 7.6% yearly, however this is not considered high growth (20% yearly).

Orange's revenue growth is positive but not above the United States of America market average.

Orange's earnings growth is positive but not above the United States of America market average.

Orange's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Orange is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Orange performed over the past 5 years?

6.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Orange's year on year earnings growth rate has been positive over the past 5 years.

Orange's 1-year earnings growth exceeds its 5-year average (10.1% vs 6.5%)

Orange's earnings growth has exceeded the US Telecom industry average in the past year (10.1% vs -18%).


Return on Equity

Orange has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Orange used its assets less efficiently than the US Telecom industry average last year based on Return on Assets.


Return on Capital Employed

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


Next Steps

Financial Health

How is Orange's financial position?


Financial Position Analysis

Orange's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Orange's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Orange's level of debt (113.1%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (127.8% vs 113.1% today).

Debt is well covered by operating cash flow (25.5%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 3.8x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.6x debt.


Next Steps

Dividend

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

5.29%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Orange's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

Orange's dividend is above the markets top 25% of dividend payers in United States of America (3.71%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have fallen over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.2x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.6x coverage).


Next Steps

Management

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

5.9yrs

Average management tenure


CEO

Stéphane Richard (58yo)

8.5yrs

Tenure

€2,263,637

Compensation

Mr. Stéphane Richard has been the Chairman and Chief Executive Officer at Orange SA since March 1, 2011. Mr. Richard serves as Managing Partner of SCI du at 18 rue Philippe-Hecht. He serves as the Chairman ...


CEO Compensation Analysis

Stéphane's remuneration is lower than average for companies of similar size in United States of America.

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


Management Age and Tenure

5.9yrs

Average Tenure

58yo

Average Age

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


Board Age and Tenure

3.8yrs

Average Tenure

55.5yo

Average Age

The tenure for the Orange board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Brigitte Bourgoin (65yo)

    Group Chief Compliance Officer

    • Tenure: 0yrs
  • Stéphane Richard (58yo)

    Chairman & CEO

    • Tenure: 8.5yrs
    • Compensation: €2.26m
  • Gervais Gilles Pellissier (60yo)

    Delegate CEO of Group Transformation & President of Orange Business Services

    • Tenure: 7.8yrs
    • Compensation: €1.31m
  • Béatrice Mandine (51yo)

    Executive Director of Communications & Brand

    • Tenure: 6.3yrs
  • Patrick Roussel

    Executive Vice President for Consumer Sales

    • Tenure: 5.9yrs
  • Ramon Fernandez (52yo)

    Delegate Chief Executive Officer of Finance

    • Tenure: 5yrs
    • Compensation: €1.31m
  • Christine Albanel (64yo)

    Senior EVP of CSR

    • Tenure: 0yrs
  • Patrice De Diesbach (63yo)

    Senior VP & Head of Investor Relations

    • Tenure: 0yrs
  • Mari-Noëlle Jégo-Laveissière (51yo)

    Deputy CEO of Technology & Global Innovation

    • Tenure: 5.5yrs
  • Valérie Le Boulanger (57yo)

    Executive Director of Group Human Resources

    • Tenure: 1.3yrs

Board Members

  • Nicolas Dufourcq (56yo)

    Director

    • Tenure: 6.3yrs
    • Compensation: €30.00k
  • Charles-Henri Filippi (67yo)

    Lead Director

    • Tenure: 2.8yrs
    • Compensation: €63.00k
  • Stéphane Richard (58yo)

    Chairman & CEO

    • Tenure: 8.5yrs
    • Compensation: €2.26m
  • Bernard Ramanantsoa (71yo)

    Independent Director

    • Tenure: 3.3yrs
    • Compensation: €59.00k
  • Helle Kristoffersen (55yo)

    Independent Director

    • Tenure: 8.3yrs
    • Compensation: €42.00k
  • Jean-Michel Severino (62yo)

    Independent Director

    • Tenure: 8.3yrs
    • Compensation: €48.00k
  • Alexandre Bompard (47yo)

    Independent Director

    • Tenure: 2.8yrs
    • Compensation: €24.00k
  • Christel Heydemann (45yo)

    Independent Director

    • Tenure: 2.2yrs
    • Compensation: €46.00k
  • Anne Lange (51yo)

    Director

    • Tenure: 4.3yrs
    • Compensation: €46.00k
  • Sébastien Crozier (51yo)

    Director

    • Tenure: 1.8yrs
    • Compensation: €253.82k

Company Information

Orange S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Orange S.A.
  • Ticker: ORAN
  • Exchange: NYSE
  • Founded: 1990
  • Industry: Integrated Telecommunication Services
  • Sector: Telecom
  • Market Cap: €37.808b
  • Listing Market Cap: €41.597b
  • Shares outstanding: 2.65b
  • Website: https://www.orange.com

Number of Employees


Location

  • Orange S.A.
  • 78, rue Olivier de Serres
  • Paris
  • Ile-de-France
  • 75015
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
0OQVLSE (London Stock Exchange)YesOrdinary SharesGBEUROct 1997
ORANNYSE (New York Stock Exchange)ADR EACH REPR 1 ORD EUR4USUSDOct 1997
ORAENXTPA (Euronext Paris)YesOrdinary SharesFREUROct 1997
ORAN NBMV (Bolsa Mexicana de Valores)ADR EACH REPR 1 ORD EUR4MXMXNOct 1997
FTEDB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 1997
ORASWX (SIX Swiss Exchange)YesOrdinary SharesCHCHFOct 1997
FNCT.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDOct 1997
ORABIT (Borsa Italiana)YesOrdinary SharesITEUROct 1997
FTEXTRA (XETRA Trading Platform)YesOrdinary SharesDEEUROct 1997
FTE1DB (Deutsche Boerse AG)ADR EACH REPR 1 ORD EUR4DEEUROct 1997
ORAPBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEUROct 1997
ORAWBAG (Wiener Boerse AG)YesOrdinary SharesATEUROct 1997
FTEUDB (Deutsche Boerse AG)5.25%-FRN SUB EMTN PERP EUR100000 'REGS'DEEURJan 2014

Biography

Orange S.A. provides a range of fixed telephony and mobile telecommunications, data transmission, and other value-added services to consumers, businesses, and other telecommunications operators in Europe,  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/22 23:36
End of Day Share Price2019/09/20 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.