Ormat Technologies
Market Cap
US$4.0b
Last Updated
2020/01/19 23:53 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, Guatemala, New Zealand, and internationally.
Rewards
Risk Analysis
Snowflake Analysis
Slightly overvalued with questionable track record.
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 has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
4.6%
ORA
2.6%
US Renewable Energy
1.7%
US Market
1 Year Return
41.3%
ORA
23.3%
US Renewable Energy
23.6%
US Market
Return vs Industry: ORA exceeded the US Renewable Energy industry which returned 22.4% over the past year.
Return vs Market: ORA exceeded the US Market which returned 24.7% over the past year.
Shareholder returns
| ORA | Industry | Market | |
|---|---|---|---|
| 7 Day | 4.6% | 2.6% | 1.7% |
| 30 Day | 2.7% | 2.4% | 3.5% |
| 90 Day | 2.1% | 4.4% | 11.7% |
| 1 Year | 42.2%41.3% | 27.4%23.3% | 26.2%23.6% |
| 3 Year | 51.7%48.1% | 62.2%45.4% | 53.2%43.3% |
| 5 Year | 202.4%189.6% | 35.9%4.0% | 75.5%56.1% |
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
At US$74.90, Is Ormat Technologies, Inc. (NYSE:ORA) Worth Looking At Closely?4 weeks ago | Simply Wall St
Why Ormat Technologies, Inc.'s (NYSE:ORA) High P/E Ratio Isn't Necessarily A Bad Thing1 month ago | Simply Wall St
What Did Ormat Technologies, Inc.'s (NYSE:ORA) CEO Take Home Last Year?Valuation
Is Ormat Technologies undervalued compared to its fair value and its price relative to the market?
38.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ORA ($76.34) is trading below our estimate of fair value ($126.49)
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 (41.4x) compared to the Renewable Energy industry average (25.1x).
PE vs Market: ORA is poor value based on its PE Ratio (41.4x) compared to the US market (18.9x).
Price to Earnings Growth Ratio
PEG Ratio: ORA is poor value based on its PEG Ratio (3.1x)
Price to Book Ratio
PB vs Industry: ORA is overvalued based on its PB Ratio (2.8x) compared to the US Renewable Energy industry average (1.7x).
Next Steps
Future Growth
How is Ormat Technologies forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
13.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ORA's forecast earnings growth (13.4% per year) is above the savings rate (1.7%).
Earnings vs Market: ORA's earnings (13.4% per year) are forecast to grow slower than the US market (14.3% per year).
High Growth Earnings: ORA's earnings are forecast to grow, but not significantly.
Revenue vs Market: ORA's revenue (6.4% per year) is forecast to grow slower than the US market (7.5% per year).
High Growth Revenue: ORA's revenue (6.4% 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 (7.8%).
Next Steps
Past Performance
How has Ormat Technologies performed over the past 5 years?
8.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ORA has high quality earnings.
Growing Profit Margin: ORA's current net profit margins (12.6%) are lower than last year (20.8%).
Past Earnings Growth Analysis
Earnings Trend: ORA's earnings have grown by 8.5% 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 (-35.1%) over the past year, making it difficult to compare to the Renewable Energy industry average (-28.4%).
Return on Equity
High ROE: ORA's Return on Equity (6.8%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Ormat Technologies's financial position?
Financial Position Analysis
Short Term Liabilities: ORA's short term assets ($432.3M) exceed its short term liabilities ($352.7M).
Long Term Liabilities: ORA's short term assets ($432.3M) do not cover its long term liabilities ($1.4B).
Debt to Equity History and Analysis
Debt Level: ORA's debt to equity ratio (81.3%) is considered high.
Reducing Debt: ORA's debt to equity ratio has reduced from 132.7% to 81.3% over the past 5 years.
Debt Coverage: ORA's debt is not well covered by operating cash flow (19.8%).
Interest Coverage: ORA's interest payments on its debt are not well covered by EBIT (2.4x coverage).
Balance Sheet
Inventory Level: ORA has a high level of physical assets or inventory.
Debt Coverage by Assets: ORA's debt is not covered by short term assets (assets are 0.4x debt).
Next Steps
Dividend
What is Ormat Technologies's current dividend yield, its reliability and sustainability?
0.52%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: ORA's dividend (0.54%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.4%).
High Dividend: ORA's dividend (0.54%) is low compared to the top 25% of dividend payers in the US market (3.66%).
Stability and Growth of Payments
Stable Dividend: ORA is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: ORA is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: ORA is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of ORA's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
What is the CEO of Ormat Technologies's salary, the management and board of directors tenure and is there insider trading?
5.0yrs
Average management tenure
CEO
Isaac Angel (63yo)
5.5yrs
Tenure
US$7,984,551
Compensation
Mr. Isaac Angel serves as the Chairman and Chief Executive Officer of Ormat Funding Corp. Mr. Angel has been Chief Executive Officer at Ormat Technologies, Inc. since July 1, 2014. Mr. Angel served as the ...
CEO Compensation Analysis
Compensation vs Market: Isaac's total compensation ($USD7.98M) is above average for companies of similar size in the US market ($USD4.99M).
Compensation vs Earnings: Isaac's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Management Age and Tenure
5.0yrs
Average Tenure
59.5yo
Average Age
Experienced Management: ORA's management team is seasoned and experienced (5 years average tenure).
Board Age and Tenure
2.5yrs
Average Tenure
62yo
Average Age
Experienced Board: ORA's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.
Insider Trading
Insider Buying: ORA insiders have only sold shares in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chief Operating Officer Executive Vice President of Products Segment & Operations |
| Shares | 668 |
| Max Price | US$77.70 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 1,460 |
| Max Price | US$77.01 |
| Entity | Individual |
| Role | Senior Key Executive Executive Vice President of Electricity Segment |
| Shares | 668 |
| Max Price | US$76.88 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Isaac Angel (63yo)
Chief Executive Officer
- Tenure: 5.5yrs
- Compensation: US$7.98m
Etty Rosner (63yo)
Senior Vice President of Contract Management & Corporate Secretary
- Tenure: 15.3yrs
Zvi Krieger (63yo)
Executive Vice President of Electricity Segment
- Tenure: 12.3yrs
- Compensation: US$1.15m
Uzi Albert (67yo)
Manager of Logistics & Production of Ormat Systems
- Tenure: 15.5yrs
Doron Blachar (51yo)
President & CFO
- Tenure: 0.2yrs
- Compensation: US$573.77k
Nir Wolf (53yo)
Executive Vice President of Market Development
- Tenure: 5yrs
Bob Sullivan (56yo)
Executive Vice President of Business Development
- Tenure: 5yrs
- Compensation: US$976.68k
Shlomi Argas (54yo)
Executive Vice President of Products Segment & Operations
- Tenure: 2yrs
- Compensation: US$1.21m
Smadar Lavi
VP Corporate Finance and Head of Investor Relations
Hezi Kattan
General Counsel & CCO
- Tenure: 1.9yrs
Board Members
Stanley Stern (62yo)
Independent Director
- Tenure: 4.2yrs
- Compensation: US$207.50k
Dan Falk (74yo)
Independent Director
- Tenure: 15.2yrs
- Compensation: US$230.00k
Ishay Davidi (57yo)
Chairman of Ormat Industries
Ravit Barniv (55yo)
Independent Director
- Tenure: 4.2yrs
- Compensation: US$225.00k
Dafna Sharir (51yo)
Independent Director
- Tenure: 1.7yrs
- Compensation: US$233.00k
David Granot (72yo)
Independent Director
- Tenure: 7.7yrs
- Compensation: US$224.35k
Todd Freeland
Independent Chairman of the Board
- Tenure: 2.5yrs
- Compensation: US$324.00k
Yuichi Nishigori (62yo)
Independent Director
- Tenure: 2.5yrs
- Compensation: US$24.00k
Stan H. Koyanagi (59yo)
Independent Director
- Tenure: 2.5yrs
- Compensation: US$24.00k
Byron Wong (67yo)
Independent Director
- Tenure: 2.5yrs
- Compensation: US$212.50k
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$3.998b
- Shares outstanding: 50.99m
- Website: https://www.ormat.com
Number of Employees
Location
- Ormat Technologies, Inc.
- 6140 Plumas Street
- Reno
- Nevada
- 89519
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ORA | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Nov 2004 |
| HNM | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Nov 2004 |
| ORA | TASE (The Tel-Aviv Stock Exchange) | Yes | Common Stock | IL | ILS | Nov 2004 |
| 0KDH | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Nov 2004 |
Biography
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.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/01/19 23:53 |
| End of Day Share Price | 2020/01/17 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.