Ormat Technologies
Market Cap
US$3.8b
Last Updated
2021/06/24 04:27 UTC
Data Sources
Company Financials +
Executive Summary
Ormat Technologies, Inc. engages in the geothermal and recovered energy power business in the United States, Indonesia, Kenya, Turkey, Chile, Guadeloupe, Guatemala, Ethiopia, New Zealand, Honduras, and internationally. More Details
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential and fair value.
Similar Companies
Share Price & News
How has Ormat Technologies's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ORA is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: ORA's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
-0.9%
ORA
0.3%
US Renewable Energy
0.5%
US Market
1 Year Return
8.3%
ORA
40.0%
US Renewable Energy
42.6%
US Market
Return vs Industry: ORA underperformed the US Renewable Energy industry which returned 40% over the past year.
Return vs Market: ORA underperformed the US Market which returned 42.6% over the past year.
Shareholder returns
| ORA | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.9% | 0.3% | 0.5% |
| 30 Day | -1.2% | 3.4% | 1.9% |
| 90 Day | -10.3% | -0.3% | 7.9% |
| 1 Year | 9.0%8.3% | 44.1%40.0% | 44.9%42.6% |
| 3 Year | 29.5%27.0% | 52.7%39.8% | 64.4%54.1% |
| 5 Year | 60.1%54.4% | 150.5%107.8% | 128.3%102.7% |
Long-Term Price Volatility Vs. Market
How volatile is Ormat Technologies's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Is Ormat Technologies (NYSE:ORA) Using Too Much Debt?1 month ago | Simply Wall St
Should Ormat Technologies (NYSE:ORA) Be Disappointed With Their 61% Profit?2 months ago | Simply Wall St
There Are Reasons To Feel Uneasy About Ormat Technologies' (NYSE:ORA) Returns On CapitalValuation
Is Ormat Technologies 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: ORA ($67.55) is trading below our estimate of fair value ($156.55)
Significantly Below Fair Value: ORA is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ORA is poor value based on its PE Ratio (47.8x) compared to the North American Renewable Energy industry average (29.4x).
PE vs Market: ORA is poor value based on its PE Ratio (47.8x) compared to the US market (19.2x).
Price to Earnings Growth Ratio
PEG Ratio: ORA is poor value based on its PEG Ratio (2.2x)
Price to Book Ratio
PB vs Industry: ORA is good value based on its PB Ratio (2.1x) compared to the US Renewable Energy industry average (2.6x).
Future Growth
How is Ormat Technologies forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
21.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ORA's forecast earnings growth (21.5% per year) is above the savings rate (2%).
Earnings vs Market: ORA's earnings (21.5% per year) are forecast to grow faster than the US market (15.7% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: ORA's revenue (12% per year) is forecast to grow faster than the US market (9.5% per year).
High Growth Revenue: ORA's revenue (12% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ORA's Return on Equity is forecast to be low in 3 years time (7.1%).
Past Performance
How has Ormat Technologies performed over the past 5 years?
-9.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ORA has high quality earnings.
Growing Profit Margin: ORA's current net profit margins (11%) are lower than last year (11.9%).
Past Earnings Growth Analysis
Earnings Trend: ORA's earnings have declined by 9.1% per year over the past 5 years.
Accelerating Growth: ORA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ORA had negative earnings growth (-15.3%) over the past year, making it difficult to compare to the Renewable Energy industry average (-4%).
Return on Equity
High ROE: ORA's Return on Equity (4.6%) is considered low.
Financial Health
How is Ormat Technologies's financial position?
Financial Position Analysis
Short Term Liabilities: ORA's short term assets ($724.9M) exceed its short term liabilities ($254.2M).
Long Term Liabilities: ORA's short term assets ($724.9M) do not cover its long term liabilities ($1.6B).
Debt to Equity History and Analysis
Debt Level: ORA's debt to equity ratio (73%) is considered high.
Reducing Debt: ORA's debt to equity ratio has reduced from 81.8% to 73% over the past 5 years.
Debt Coverage: ORA's debt is not well covered by operating cash flow (17.8%).
Interest Coverage: ORA's interest payments on its debt are not well covered by EBIT (2.4x coverage).
Balance Sheet
Dividend
What is Ormat Technologies's current dividend yield, its reliability and sustainability?
0.71%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ORA's dividend (0.71%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.3%).
High Dividend: ORA's dividend (0.71%) is low compared to the top 25% of dividend payers in the US market (3.46%).
Stability and Growth of Payments
Stable Dividend: ORA's dividend payments have been volatile in the past 10 years.
Growing Dividend: ORA's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (32.5%), ORA's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ORA's dividends in 3 years are forecast to be well covered by earnings (23.5% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.0yrs
Average management tenure
CEO
Doron Blachar (52 yo)
0.92
Tenure
US$2,405,763
Compensation
Mr. Doron Blachar has been Chief Executive Officer of Ormat Technologies, Inc. since July 1, 2020 and served its President since November 6, 2019 until January 01, 2021. Mr. Blachar serves as the Chief Fin...
CEO Compensation Analysis
Compensation vs Market: Doron's total compensation ($USD2.41M) is below average for companies of similar size in the US market ($USD5.31M).
Compensation vs Earnings: Doron's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
Experienced Management: ORA's management team is not considered experienced ( 1 years average tenure), which suggests a new team.
Board Members
Experienced Board: ORA's board of directors are considered experienced (3.1 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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 9.7%.
Top Shareholders
Company Information
Ormat Technologies, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Ormat Technologies, Inc.
- Ticker: ORA
- Exchange: NYSE
- Founded: 1965
- Industry: Renewable Electricity
- Sector: Utilities
- Market Cap: US$3.782b
- Shares outstanding: 55.98m
- Website: https://www.ormat.com
Number of Employees
Location
- Ormat Technologies, Inc.
- 6140 Plumas Street
- Reno
- Nevada
- 89519-6075
- United States
Listings
Biography
Ormat Technologies, Inc. engages in the geothermal and recovered energy power business in the United States, Indonesia, Kenya, Turkey, Chile, Guadeloupe, Guatemala, Ethiopia, New Zealand, Honduras, and int...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/06/24 04:27 |
| End of Day Share Price | 2021/06/23 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/12/31 |
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.