OC Oerlikon Corporation AG (OERL) AI Stock Analysis

• Market Cap: CHF1.04B
• Dividend Yield: 6.22%
• Average Volume (3M): 573.81K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.36
• Revenue Growth: -17.75%
• EPS Growth: 83.94%
• Country: CH
• Employees: 12,064
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): N/A
• Shares Outstanding: 339,758,600
• 10 Day Avg. Volume: 541,486
• 30 Day Avg. Volume: 573,808
• PEG Ratio: 0.17
• Price to Book (P/B): 1.02
• Price to Sales (P/S): 0.48
• P/FCF Ratio: 7.66
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: CHF3.23
• Price Target Upside: 0.62% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: CHF3.00 ▼(-6.54% Downside)

The overall stock score of 57 reflects a combination of mixed financial performance, bearish technical indicators, and valuation concerns. While the company demonstrates strong cash flow management and improving profitability margins, the declining revenue and negative P/E ratio are significant risks. The technical analysis suggests bearish momentum, further impacting the stock's attractiveness.

Positive Factors

Cash Flow Management

Strong cash generation capabilities highlight effective cash management, ensuring liquidity and financial flexibility for future investments.

Profitability Margins

Improving profitability margins indicate better cost management and operational efficiency, enhancing long-term financial health.

Equity Utilization

Improved return on equity suggests more effective use of shareholder funds, potentially leading to better returns for investors over time.

Negative Factors

Revenue Decline

Declining revenue trends may indicate challenges in market demand or competitive pressures, impacting long-term growth prospects.

Operational Efficiency

Zero EBIT reflects operational inefficiencies, which could hinder profitability and competitiveness if not addressed.

Leverage Concerns

Moderate leverage requires careful management to avoid financial strain, especially in a declining revenue environment.

OC Oerlikon Corporation AG Business Overview & Revenue Model

Company Description

OC Oerlikon Corporation AG is a global technology group headquartered in Switzerland, specializing in advanced surface engineering and materials solutions. The company operates across several sectors, including Industrial Solutions, Manmade Fibers, and Surface Solutions. OC Oerlikon offers a diverse range of products and services, including coating technologies, polymer processing solutions, and materials for aerospace, automotive, and energy applications, emphasizing innovation and sustainability in its offerings.

How the Company Makes Money

OC Oerlikon generates revenue through multiple streams, primarily by providing high-value industrial solutions and services. Key revenue streams include the sale of equipment and systems for manmade fiber production, surface coatings, and advanced materials. The company also earns income from service contracts and maintenance agreements, which are crucial for ongoing customer relationships and long-term revenue stability. Strategic partnerships with leading manufacturers and investments in research and development allow OC Oerlikon to continuously innovate and expand its product portfolio, driving profitability. Additionally, global demand for sustainable and high-performance materials enhances its market position and revenue potential.

OC Oerlikon Corporation AG Financial Statement Overview

Summary

OC Oerlikon Corporation AG shows a mixed financial performance. Declining revenues are a concern, but profitability margins are improving. The balance sheet reveals moderate leverage with a decent equity base. Cash flows are robust, demonstrating good cash management. Overall, while there are areas of concern such as declining sales and operational efficiency, the company has strengths in cash flow generation and profitability improvements.

Income Statement

The company has experienced a decrease in total revenue over the last year, from $2.693 billion to $2.372 billion. Gross profit margin stands at 27.28%, which is stable but not exceptional. The net profit margin improved to 2.78% from 1.22% in the previous year, indicating better cost management. However, the EBIT and EBITDA margins show volatility, with EBIT at 0% due to zero EBIT in the latest year, which is a concern for operational efficiency. Overall, revenue trends show a decline, but profitability measures are improving slightly.

Balance Sheet

The company maintains a debt-to-equity ratio of 1.35, indicating moderate leverage. The return on equity has improved to 5.90%, showing better utilization of equity. Equity ratio is at 27.93%, suggesting a reasonable level of equity financing compared to total assets. The company's leverage is manageable, but the reliance on debt should be monitored.

Cash Flow

Operating cash flow increased significantly from $181 million to $272 million, reflecting strong cash generation capabilities. Free cash flow also improved substantially, indicating better cash management. The operating cash flow to net income ratio is 4.12, showing strong conversion of income to cash. The free cash flow to net income ratio is 2.26, indicating efficient cash flow management relative to net income growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.99B	2.37B	2.69B	2.91B	2.65B	2.26B
Gross Profit	537.00M	647.00M	651.00M	731.00M	640.00M	463.00M
EBITDA	253.00M	373.00M	334.00M	393.00M	451.00M	279.00M
Net Income	-1.00M	66.00M	33.00M	89.00M	164.00M	35.00M
Balance Sheet
Total Assets	3.68B	4.00B	4.10B	4.09B	4.52B	3.49B
Cash, Cash Equivalents and Short-Term Investments	180.00M	412.00M	541.00M	477.00M	619.00M	433.00M
Total Debt	1.51B	1.51B	1.69B	947.00M	961.00M	371.00M
Total Liabilities	2.76B	2.87B	3.06B	2.77B	3.05B	2.13B
Stockholders Equity	907.00M	1.12B	1.01B	1.27B	1.42B	1.32B
Cash Flow
Free Cash Flow	67.00M	149.00M	98.00M	90.00M	184.00M	184.00M
Operating Cash Flow	133.00M	272.00M	181.00M	221.00M	315.00M	301.00M
Investing Cash Flow	-89.00M	-86.00M	-504.00M	-155.00M	-419.00M	-113.00M
Financing Cash Flow	-61.00M	-324.00M	425.00M	-182.00M	266.00M	-418.00M

OC Oerlikon Corporation AG Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.21
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:OERL, the sentiment is Positive. The current price of 3.21 is above the 20-day moving average (MA) of 3.16, above the 50-day MA of 3.00, and below the 200-day MA of 3.34, indicating a neutral trend. The MACD of 0.06 indicates Positive momentum. The RSI at 58.75 is Neutral, neither overbought nor oversold. The STOCH value of 69.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CH:OERL.

OC Oerlikon Corporation AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SUN	75 Outperform	CHF4.91B	17.98	23.37%	2.93%	5.79%	13.20%
VACN	73 Outperform	CHF11.42B	51.13	32.09%	1.64%	19.22%	11.62%
KARN	70 Outperform	CHF2.12B	28.56	―	2.19%	11.43%	6.46%
BUCN	65 Neutral	CHF3.73B	16.54	―	3.01%	-11.64%	-24.17%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
OERL	57 Neutral	CHF1.04B	-1,036.13	―	6.22%	-17.75%	83.94%
GF	54 Neutral	CHF4.35B	15.71	―	2.54%	-24.42%	32.48%

OC Oerlikon Corporation AG Corporate Events

Oerlikon Reports Strong Q3 Performance and Strategic Leadership Changes

Oerlikon reported a strong performance in Q3 2025, with an 11% increase in order intake and a 2.9% rise in sales, despite challenges in end markets and geopolitical uncertainties. The company successfully placed CHF 350 million in senior bonds, reinforcing financial stability and confidence in its long-term strategy. The appointment of Marco Freidl and Dr. Andreas Weiss to the Executive Committee marks a strategic move towards Oerlikon’s pureplay future, with the divestment of Barmag expected to complete in Q4 2025.