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Ormat Technologies

NYSE:ORA
Snowflake Description

Moderate growth potential with questionable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
ORA
NYSE
$3B
Market Cap
  1. Home
  2. US
  3. Utilities
Company description

Ormat Technologies, Inc. engages in the geothermal and recovered energy power business in the United States, Indonesia, Kenya, Turkey, Chile, Guatemala, New Zealand, and internationally. The last earnings update was 72 days ago. More info.


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ORA Share Price and Events
7 Day Returns
-0.1%
NYSE:ORA
1.3%
US Renewable Energy
-0.3%
US Market
1 Year Returns
22%
NYSE:ORA
13.6%
US Renewable Energy
3.9%
US Market
ORA Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Ormat Technologies (ORA) -0.1% 1.2% 9.5% 22% 40% 138.7%
US Renewable Energy 1.3% 0.5% -1.8% 13.6% 22.7% -16.5%
US Market -0.3% 2.3% 2.3% 3.9% 36.7% 41.8%
1 Year Return vs Industry and Market
  • ORA outperformed the Renewable Energy industry which returned 13.6% over the past year.
  • ORA outperformed the Market in United States of America which returned 3.9% over the past year.
Price Volatility
ORA
Industry
5yr Volatility vs Market

ORA Value

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

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Ormat Technologies to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Ormat Technologies.

NYSE:ORA Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 6 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.5%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:ORA
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Renewable Energy Unlevered Beta Simply Wall St/ S&P Global 0.47
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.471 (1 + (1- 21%) (40.11%))
0.746
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.8 * 5.96%)
7.5%

Discounted Cash Flow Calculation for NYSE:ORA using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Ormat Technologies is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:ORA DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 7.5%)
2020 67.50 Analyst x2 62.79
2021 85.00 Analyst x1 73.56
2022 99.36 Est @ 16.9% 79.99
2023 111.93 Est @ 12.65% 83.82
2024 122.75 Est @ 9.67% 85.51
2025 132.07 Est @ 7.59% 85.58
2026 140.16 Est @ 6.13% 84.49
2027 147.33 Est @ 5.11% 82.62
2028 153.80 Est @ 4.4% 80.23
2029 159.80 Est @ 3.9% 77.55
Present value of next 10 years cash flows $796.14
NYSE:ORA DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $159.80 × (1 + 2.73%) ÷ (7.5% – 2.73%)
$3,442.92
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $3,442.92 ÷ (1 + 7.5%)10
$1,670.79
NYSE:ORA Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $796.14 + $1,670.79
$2,466.93
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $2,466.93 / 50.75
$48.61
NYSE:ORA Discount to Share Price
Calculation Result
Value per share (USD) From above. $48.61
Current discount Discount to share price of $63.15
= -1 x ($63.15 - $48.61) / $48.61
-29.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Ormat Technologies is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Ormat Technologies's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Ormat Technologies's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:ORA PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $1.07
NYSE:ORA Share Price ** NYSE (2019-07-19) in USD $63.15
United States of America Renewable Energy Industry PE Ratio Median Figure of 7 Publicly-Listed Renewable Energy Companies 61.65x
United States of America Market PE Ratio Median Figure of 3,083 Publicly-Listed Companies 17.92x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Ormat Technologies.

NYSE:ORA PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:ORA Share Price ÷ EPS (both in USD)

= 63.15 ÷ 1.07

58.81x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Ormat Technologies is good value based on earnings compared to the US Renewable Energy industry average.
  • Ormat Technologies is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Ormat Technologies's expected growth come at a high price?
Raw Data
NYSE:ORA PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 58.81x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts
27.1%per year
United States of America Renewable Energy Industry PEG Ratio Median Figure of 6 Publicly-Listed Renewable Energy Companies 2.18x
United States of America Market PEG Ratio Median Figure of 2,123 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

NYSE:ORA PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 58.81x ÷ 27.1%

2.17x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Ormat Technologies is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Ormat Technologies's assets?
Raw Data
NYSE:ORA PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $26.41
NYSE:ORA Share Price * NYSE (2019-07-19) in USD $63.15
United States of America Renewable Energy Industry PB Ratio Median Figure of 13 Publicly-Listed Renewable Energy Companies 1.46x
United States of America Market PB Ratio Median Figure of 5,248 Publicly-Listed Companies 1.8x
NYSE:ORA PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:ORA Share Price ÷ Book Value per Share (both in USD)

= 63.15 ÷ 26.41

2.39x

* Primary Listing of Ormat Technologies.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Ormat Technologies is overvalued based on assets compared to the US Renewable Energy industry average.
X
Value checks
We assess Ormat Technologies's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Renewable Energy industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Renewable Energy industry average (and greater than 0)? (1 check)
  5. Ormat Technologies has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

ORA Future Performance

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

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
27.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Ormat Technologies expected to grow at an attractive rate?
  • Ormat Technologies's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Ormat Technologies's earnings growth is expected to exceed the United States of America market average.
  • Ormat Technologies's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:ORA Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:ORA Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts 27.1%
NYSE:ORA Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 6 Analysts 6.1%
United States of America Renewable Energy Industry Earnings Growth Rate Market Cap Weighted Average 14.2%
United States of America Renewable Energy Industry Revenue Growth Rate Market Cap Weighted Average 1.4%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:ORA Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:ORA Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 832 293 123 3
2020-12-31 802 265 118 6
2019-12-31 734 263 89 6
NYSE:ORA Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 734 203 54
2018-12-31 719 146 98
2018-09-30 695 182 144
2018-06-30 686 198 158
2018-03-31 687 194 167
2017-12-31 693 246 132
2017-09-30 693 168 91
2017-06-30 720 154 79
2017-03-31 701 204 95
2016-12-31 663 159 89
2016-09-30 667 225 89
2016-06-30 645 197 149

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Ormat Technologies's earnings are expected to grow significantly at over 20% yearly.
  • Ormat Technologies's revenue is expected to grow by 6.1% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:ORA Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below

All data from Ormat Technologies Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:ORA Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 2.32 2.37 2.26 3.00
2020-12-31 2.20 2.37 1.93 6.00
2019-12-31 1.68 1.81 1.57 5.00
NYSE:ORA Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 1.07
2018-12-31 1.93
2018-09-30 2.85
2018-06-30 3.12
2018-03-31 3.31
2017-12-31 2.64
2017-09-30 1.83
2017-06-30 1.59
2017-03-31 1.91
2016-12-31 1.79
2016-09-30 1.81
2016-06-30 3.04

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Ormat Technologies is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Ormat Technologies's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Ormat Technologies has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

ORA Past Performance

  How has Ormat Technologies performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Ormat Technologies's growth in the last year to its industry (Renewable Energy).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Ormat Technologies's year on year earnings growth rate has been positive over the past 5 years.
  • Ormat Technologies's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Ormat Technologies's 1-year earnings growth is negative, it can't be compared to the North America Renewable Energy industry average.
Earnings and Revenue History
Ormat Technologies's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Ormat Technologies Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:ORA Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 734.28 54.40 79.88 3.98
2018-12-31 719.27 97.97 78.00 4.18
2018-09-30 695.17 144.37 69.22 3.85
2018-06-30 685.87 157.75 64.41 3.86
2018-03-31 686.94 166.73 61.12 3.66
2017-12-31 692.81 132.41 57.77 3.16
2017-09-30 692.97 91.12 57.69 3.10
2017-06-30 720.40 79.12 59.46 3.47
2017-03-31 700.90 94.63 56.63 3.02
2016-12-31 662.59 88.71 55.15 2.76
2016-09-30 667.15 89.17 54.86 2.70
2016-06-30 645.38 149.35 53.20 1.95
2016-03-31 626.01 138.81 51.46 1.77
2015-12-31 594.64 120.37 52.44 1.78
2015-09-30 572.81 103.57 57.73 1.50
2015-06-30 550.20 47.94 56.65 1.42
2015-03-31 537.32 42.66 62.31 1.23
2014-12-31 559.52 54.18 59.48 0.78
2014-09-30 541.19 55.36 56.95 1.91
2014-06-30 531.69 51.80 54.64 2.50
2014-03-31 556.77 63.73 48.15 3.88
2013-12-31 533.24 36.54 46.29 4.97
2013-09-30 515.65 -200.37 40.74 5.61
2013-06-30 517.20 -215.69 41.09 6.20
2013-03-31 491.23 -229.30 42.66 6.06
2012-12-31 501.77 -216.57 46.42 6.11
2012-09-30 512.19 -30.90 48.85 5.62

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Ormat Technologies has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Ormat Technologies used its assets more efficiently than the US Renewable Energy industry average last year based on Return on Assets.
  • Ormat Technologies's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Ormat Technologies's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Renewable Energy industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Ormat Technologies has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

ORA Health

 How is Ormat Technologies's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Ormat Technologies's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Ormat Technologies is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Ormat Technologies's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Ormat Technologies's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.3x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Ormat Technologies Company Filings, last reported 3 months ago.

NYSE:ORA Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 1,471.70 1,245.29 79.37
2018-12-31 1,453.70 1,267.91 98.80
2018-09-30 1,438.22 1,228.89 71.97
2018-06-30 1,427.07 1,191.13 66.70
2018-03-31 1,391.83 984.33 54.72
2017-12-31 1,302.12 913.60 47.82
2017-09-30 1,240.51 906.48 77.21
2017-06-30 1,205.30 937.65 118.39
2017-03-31 1,201.70 956.10 174.14
2016-12-31 1,173.04 938.84 230.21
2016-09-30 1,140.91 818.00 90.07
2016-06-30 1,117.44 871.18 192.56
2016-03-31 1,098.33 899.41 148.50
2015-12-31 1,083.87 901.40 185.92
2015-09-30 1,057.96 951.71 171.54
2015-06-30 993.81 920.91 137.67
2015-03-31 819.17 1,001.14 70.72
2014-12-31 786.75 1,001.41 40.23
2014-09-30 783.54 1,040.25 42.45
2014-06-30 770.60 1,035.97 80.12
2014-03-31 765.69 1,039.19 47.93
2013-12-31 745.11 1,077.86 57.35
2013-09-30 736.97 1,075.09 35.44
2013-06-30 723.72 1,050.82 31.91
2013-03-31 706.52 1,072.59 60.64
2012-12-31 695.61 1,030.93 69.64
2012-09-30 923.15 970.45 40.53
  • Ormat Technologies's level of debt (85.6%) 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 (135.7% vs 85.6% today).
  • Debt is not well covered by operating cash flow (16.1%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2.4x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess Ormat Technologies's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Ormat Technologies has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

ORA Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.65%
Current annual income from Ormat Technologies dividends. Estimated to be 0.77% next year.
If you bought $2,000 of Ormat Technologies shares you are expected to receive $13 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Ormat Technologies's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.43%).
  • Ormat Technologies's dividend is below the markets top 25% of dividend payers in United States of America (3.74%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:ORA Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
United States of America Renewable Energy Industry Average Dividend Yield Market Cap Weighted Average of 7 Stocks 3.5%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2017 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:ORA Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.54 2.00
2020-12-31 0.51 4.00
2019-12-31 0.42 3.00
NYSE:ORA Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-03-01 0.410 0.695
2019-02-27 0.410 0.739
2018-03-01 0.470 0.873
2017-03-01 0.380 0.629
2017-02-28 0.380 0.665
2016-02-26 0.490 1.056
2016-02-23 0.490 1.286
2015-02-26 0.230 0.629
2015-02-25 0.230 0.681
2014-02-25 0.240 0.863
2013-11-06 0.160 0.618
2013-08-07 0.160 0.613
2013-05-08 0.000 0.000
2013-05-07 0.000 0.000
2013-03-11 0.000 0.000
2012-08-01 0.160 0.821
2012-05-08 0.160 0.798
2012-02-29 0.000 0.000
2012-02-23 0.000 0.000
2011-11-02 0.000 0.000
2011-08-04 0.160 0.946
2011-05-04 0.160 0.728
2011-02-28 0.160 0.644
2011-02-22 0.160 0.631
2010-11-02 0.200 0.693
2010-08-04 0.200 0.702
2010-05-06 0.200 0.702
2010-02-24 0.270 0.899
2009-08-05 0.240 0.631
2009-05-11 0.240 0.615
2009-02-25 0.280 0.974
2008-11-05 0.200 0.664
2008-08-06 0.200 0.565

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Ormat Technologies is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.
  • Ormat Technologies is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of Ormat Technologies's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of Ormat Technologies's dividends as it is not paying a notable one for United States of America.
Future Payout to shareholders
  • No need to calculate the sustainability of Ormat Technologies's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Ormat Technologies's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Ormat Technologies afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Ormat Technologies has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

ORA Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Isaac Angel
COMPENSATION $7,984,551
AGE 63
TENURE AS CEO 5 years
CEO Bio

Mr. Isaac Angel serves as the Chairman and Chief Executive Officer of Ormat Funding Corp. Mr. Angel has been Chief Executive Officer at Ormat Technologies, Inc. since July 1, 2014. Mr. Angel served as the Executive Chairman of LeadCom Integrated Solutions Ltd. since May 2008 until 2009 and as served as its Director since May 2008. Mr. Angel served as Executive Vice President, Global Operations of VeriFone Systems, Inc. from November 2006 to January 1, 2008 and also served as its Executive Vice President of Operations. He served as Chief Operating Officer of VeriFone Systems, Inc. since November 2006. He served as Chief Executive Officer of Lipman Electronic Engineering Ltd. from February 2001 to October 2006 and served as its President from August 1999 to February 2001. He served as an Advisor of VeriFone Systems, Inc. until November 30, 2008. He served as an Interim President and Interim Chief Executive Officer of Lipman U. S. A., a subsidiary of Lipman Electronic Engineering Ltd., since September 30, 2004. He was Senior Employee of Lipman Electronics Engineering Ltd since 1979 and served as its Chief Development Manager. From 1993 to August 1999, he served as Senior Vice President of marketing at Lipman Electronics Engineering Ltd. Mr. Angel served as an Independent Director at Frutarom Industries Ltd. since February 12, 2008 until 2016. He serves as a Director of Ormat Industries Ltd. He served as a Director of Retalix Ltd. from 2012 to 2013.

CEO Compensation
  • Isaac's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
  • Isaac's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Ormat Technologies management team in years:

5
Average Tenure
59.5
Average Age
  • The average tenure for the Ormat Technologies management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Isaac Angel

TITLE
Chief Executive Officer
COMPENSATION
$8M
AGE
63
TENURE
5 yrs

Doron Blachar

TITLE
Chief Financial Officer
COMPENSATION
$574K
AGE
51
TENURE
6.3 yrs

Shlomi Argas

TITLE
Executive Vice President of Products Segment & Operations
COMPENSATION
$1M
AGE
54
TENURE
1.5 yrs

Bob Sullivan

TITLE
Executive Vice President of Business Development
COMPENSATION
$977K
AGE
56
TENURE
4.5 yrs

Zvi Krieger

TITLE
Executive Vice President of Electricity Segment
COMPENSATION
$1M
AGE
63
TENURE
11.8 yrs

Smadar Lavi

TITLE
VP Corporate Finance and Head of Investor Relations

Hezi Kattan

TITLE
General Counsel & CCO
TENURE
1.4 yrs

Nir Wolf

TITLE
Executive Vice President of Market Development
AGE
53
TENURE
4.5 yrs

Etty Rosner

TITLE
Senior Vice President of Contract Management & Corporate Secretary
AGE
63
TENURE
14.8 yrs

Uzi Albert

TITLE
Manager of Logistics & Production of Ormat Systems
AGE
67
TENURE
15 yrs
Board of Directors Tenure

Average tenure and age of the Ormat Technologies board of directors in years:

2
Average Tenure
62
Average Age
  • The average tenure for the Ormat Technologies board of directors is less than 3 years, this suggests a new board.
Board of Directors

Todd Freeland

TITLE
Chairman of the Board
COMPENSATION
$324K
TENURE
2 yrs

Ishay Davidi

TITLE
Chairman of Ormat Industries
AGE
57

Dan Falk

TITLE
Independent Director
COMPENSATION
$230K
AGE
74
TENURE
14.7 yrs

David Granot

TITLE
Independent Director
COMPENSATION
$224K
AGE
72
TENURE
7.2 yrs

Ravit Barniv

TITLE
Independent Director
COMPENSATION
$225K
AGE
55
TENURE
3.7 yrs

Stanley Stern

TITLE
Independent Director
COMPENSATION
$208K
AGE
62
TENURE
3.7 yrs

Yuichi Nishigori

TITLE
Independent Director
COMPENSATION
$24K
AGE
62
TENURE
2 yrs

Stan H. Koyanagi

TITLE
Independent Director
COMPENSATION
$24K
AGE
59
TENURE
2 yrs

Byron Wong

TITLE
Independent Director
COMPENSATION
$213K
AGE
67
TENURE
2 yrs

Dafna Sharir

TITLE
Director
COMPENSATION
$233K
AGE
51
TENURE
1.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
27. Nov 18 Sell David Granot Individual 26. Nov 18 26. Nov 18 -759 $54.00 $-40,986
X
Management checks
We assess Ormat Technologies's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Ormat Technologies has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

ORA News

Simply Wall St News

What Should Investors Know About Ormat Technologies Inc's (NYSE:ORA) Capital Returns?

Your equity share is granted in return for the capital provided to the business to operate, and in order for an investment to be successful the business has to create earnings from the funds that make up this capital. … To understand Ormat Technologies’s capital returns we will look at a useful metric called return on capital employed. … What is Return on Capital Employed (ROCE)?

Simply Wall St -

Ormat Technologies Inc (NYSE:ORA): How Much Money Comes Back To Investors?

If you are currently a shareholder in Ormat Technologies Inc (NYSE:ORA), or considering investing in the stock, you need to examine how the business generates cash, and how it is reinvested. … Today we will examine Ormat Technologies’s ability to generate cash flows, as well as the level of capital expenditure it is expected to incur over the next couple of years, which will result in how much money goes to you. … Ormat Technologies generates cash through its day-to-day business, which needs to be reinvested into the company in order for it to continue operating.

Simply Wall St -

Does Ormat Technologies Inc's (NYSE:ORA) Debt Level Pose A Problem?

Today we will look at ORA’s financial liquidity and debt levels, which are strong indicators for whether the company can weather economic downturns or fund strategic acquisitions for future growth. … Remember this is a very top-level look that focuses exclusively on financial health, so I recommend a deeper analysis. … View out our latest analysis for Ormat Technologies

Simply Wall St -

Should Ormat Technologies Inc (NYSE:ORA) Be Your Next Stock Pick?

Attractive stocks have exceptional fundamentals. … In the case of Ormat Technologies Inc (NYSE:ORA), there's. … For those interested in digger a bit deeper into my commentary,

Simply Wall St -

Is It Time To Buy Ormat Technologies Inc (NYSE:ORA) Based Off Its PE Ratio?

Formula Price-Earnings Ratio = Price per share ÷ Earnings per share P/E Calculation for ORA Price per share = $52.21 Earnings per share = $3.275 ∴ Price-Earnings Ratio = $52.21 ÷ $3.275 = 15.9x The P/E ratio isn’t a metric you view in isolation and only becomes useful when you compare it against other similar companies. … Ideally, we want to compare the stock’s P/E ratio to the average of companies that have similar characteristics as ORA, such as size and country of operation. … ORA’s P/E of 15.9x is lower than its industry peers (17.2x), which implies that each dollar of ORA’s earnings is being undervalued by investors.

Simply Wall St -

What Should You Know About Ormat Technologies Inc's (NYSE:ORA) Future Margins?

Margin Calculation for ORA Profit Margin = Net Income ÷ Revenue ∴ Profit Margin = 164.86 Million ÷ 686.94 Million = 24.00% The past five years have seen Ormat Technologies's margin expand, due to a 39.40% average growth in net income outstripping average revenue growth of 7.70%, which means that the previous increase in revenue has coincided with a larger portion falling to the bottom line. … This suggests future earnings growth is driven further by an increase in top line revenue, which is expected to squeeze the incremental amount of net income that is retained. … Thus, it is essential to run your own analysis on Ormat Technologies's future expectations whilst maintaining a watchful eye over the likelihood and sustainability of the top line performance that is expected to drive earnings growth.

Simply Wall St -

Does Ormat Technologies Inc's (NYSE:ORA) Recent Track Record Look Strong?

After reading Ormat Technologies Inc's (NYSE:ORA) latest earnings update (30 September 2017), I found it beneficial to look back at how the company has performed in the past and compare this against the most recent numbers. … Check out our latest analysis for Ormat Technologies How ORA fared against its long-term earnings performance and its industry To account for any quarterly or half-yearly updates, I use data from the most recent 12 months, which annualizes the most recent half-year data, or in some cases, the latest annual report is already the most recent financial year data. … For Ormat Technologies, its latest earnings (trailing twelve month) is US$117.76M, which, in comparison to the prior year's level, has risen by 32.78%.

Simply Wall St -

How Did Ormat Technologies Inc's (NYSE:ORA) 10.44% ROE Fare Against The Industry?

Check out our latest analysis for Ormat Technologies Breaking down ROE — the mother of all ratios Firstly, Return on Equity, or ROE, is simply the percentage of last years’ earning against the book value of shareholders’ equity. … Given a positive discrepancy of 1.95% between return and cost, this indicates that Ormat Technologies pays less for its capital than what it generates in return, which is a sign of capital efficiency. … This is called the Dupont Formula: Dupont Formula ROE = profit margin × asset turnover × financial leverage ROE = (annual net profit ÷ sales) × (sales ÷ assets) × (assets ÷ shareholders’ equity) ROE = annual net profit ÷ shareholders’ equity NYSE:ORA Last Perf Mar 1st 18 The first component is profit margin, which measures how much of sales is retained after the company pays for all its expenses.

Simply Wall St -

How Financially Strong Is Ormat Technologies Inc (NYSE:ORA)?

Moreover, ORA has generated $159.3M in operating cash flow during the same period of time, resulting in an operating cash to total debt ratio of 16.97%, meaning that ORA’s operating cash is not sufficient to cover its debt. … Looking at ORA’s most recent $189.3M liabilities, it seems that the business has been able to meet these obligations given the level of current assets of $472.8M, with a current ratio of 2.5x. … In ORA's case, the ratio of 3.78x suggests that interest is appropriately covered, which means that lenders may be inclined to lend more money to the company, as it is seen as safe in terms of payback.Next Steps: ORA’s cash flow coverage indicates it could improve its operating efficiency in order to meet demand for debt repayments should unforeseen events arise.

Simply Wall St -

Is It Time To Sell Ormat Technologies Inc (ORA) Based Off Its PE Ratio?

It compares a stock’s price per share to the stock’s earnings per share. … Formula Price-Earnings Ratio = Price per share ÷ Earnings per share P/E Calculation for ORA Price per share = $64.5 Earnings per share = $2.361 ∴ Price-Earnings Ratio = $64.5 ÷ $2.361 = 27.3x The P/E ratio isn’t a metric you view in isolation and only becomes useful when you compare it against other similar companies. … Since ORA's P/E of 27.3x is higher than its industry peers (16.8x), it means that investors are paying more than they should for each dollar of ORA's earnings.

Simply Wall St -

ORA Company Info

Description

Ormat Technologies, Inc. engages in the geothermal and recovered energy power business in the United States, Indonesia, Kenya, Turkey, Chile, Guatemala, New Zealand, and internationally. The company operates through three segments: Electricity, Product, and Other. The Electricity segment develops, builds, owns, and operates geothermal and recovered energy-based power plants; and sells electricity. The Product segment designs, manufactures, and sells equipment for geothermal, recovered energy-based electricity generation, and remote power units, such as fossil fuel powered turbo-generators and heavy duty direct-current generators. This segment also provides services relating to the engineering, procurement, construction, operation, and maintenance of geothermal, solar photovoltaic, and recovered energy-based power plants. The Product segment serves contractors; developers, owners, and operators of geothermal power plants; and owners and operators of interstate natural gas pipelines, gas processing plants, and cement plants, as well as companies in other energy-intensive industrial processes. The Other segment offers energy storage, demand response, and energy management related services. Ormat Technologies, Inc. was founded in 1965 and is based in Reno, Nevada.

Details
Name: Ormat Technologies, Inc.
ORA
Exchange: NYSE
Founded: 1965
$3,204,995,178
50,752,101
Website: http://www.ormat.com
Address: Ormat Technologies, Inc.
6140 Plumas Street,
Reno,
Nevada, 89519,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE ORA Common Stock New York Stock Exchange US USD 11. Nov 2004
DB HNM Common Stock Deutsche Boerse AG DE EUR 11. Nov 2004
LSE 0KDH Common Stock London Stock Exchange GB USD 11. Nov 2004
TASE ORA Common Stock The Tel-Aviv Stock Exchange IL ILS 11. Nov 2004
Number of employees
Current staff
Staff numbers
1,346
Ormat Technologies employees.
Industry
Renewable Electricity
Utilities
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/19 23:57
End of day share price update: 2019/07/19 00:00
Last estimates confirmation: 2019/07/10
Last earnings filing: 2019/05/08
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.