Ormat Technologies, Inc. (ORA) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Ormat Technologies, Inc.

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Vistra Corp.

NRG Energy, Inc.

Why is Ormat Technologies, Inc. ?

Company has a low Debt to Equity ratio (avg) at times

Poor long term growth as Operating profit has grown by an annual rate -3.50% of over the last 5 years

Flat results in Jun 25

DIVIDEND PAYOUT RATIO(Y) Lowest at 26.11%
RAW MATERIAL COST(Y) Grown by 16.21% (YoY)
CASH AND EQV(HY) Lowest at USD 430.77 MM

With ROCE of 3.54%, it has a very expensive valuation with a 1.47 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 42.58%, its profits have fallen by -8.9%

Market Beating Performance

The stock has generated a return of 42.58% in the last 1 year, much higher than market (S&P 500) returns of 13.22%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Ormat Technologies, Inc. should be less than 10%
Overall Portfolio exposure to Power should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Power)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Ormat Technologies, Inc. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Ormat Technologies, Inc.

42.58%

1.92

26.39%

S&P 500

13.22%

0.65

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.42%

EBIT Growth (5y)

-3.50%

EBIT to Interest (avg)

1.87

Debt to EBITDA (avg)

4.23

Net Debt to Equity (avg)

0.95

Sales to Capital Employed (avg)

0.18

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

23.58%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

4.87%

ROE (avg)

5.17%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.92

EV to EBIT

41.49

EV to EBITDA

15.85

EV to Capital Employed

1.47

EV to Sales

7.98

PEG Ratio

Dividend Yield

0.61%

ROCE (Latest)

3.54%

ROE (Latest)

5.31%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bullish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

5What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 449.93 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 4.23 times

NET SALES(Q)

Highest at USD 234.02 MM

-6What is not working for the Company

DIVIDEND PAYOUT RATIO(Y)

Lowest at 26.11%

RAW MATERIAL COST(Y)

Grown by 16.21% (YoY

CASH AND EQV(HY)

Lowest at USD 430.77 MM

DEBT-EQUITY RATIO (HY)

Highest at 101.33 %

INTEREST(Q)

Highest at USD 36.78 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 46.45 %

Here's what is working for Ormat Technologies, Inc.

Operating Cash Flow

Highest at USD 449.93 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Net Sales

Highest at USD 234.02 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Debtors Turnover Ratio

Highest at 4.23 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Depreciation

Highest at USD 72.13 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Ormat Technologies, Inc.

Interest

Highest at USD 36.78 MM

in the last five periods and Increased by 6.39% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Operating Profit Margin

Lowest at 46.45 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at USD 430.77 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 101.33 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Dividend Payout Ratio

Lowest at 26.11%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Grown by 16.21% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales

Non Operating Income

Highest at USD 1.06 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income