ORANGE SA (ORA) AI Stock Analysis

• Market Cap: €36.47B
• Dividend Yield: 5.29%
• Average Volume (3M): 3.96M
• Price to Earnings (P/E): 32.3
• Beta (1Y): 0.13
• Revenue Growth: -5.05%
• EPS Growth: -49.01%
• Country: FR
• Employees: 126,909
• Sector: Services
• Sector Strength: N/A
• Industry: Telecommunications Services
• EPS (TTM): 0.36
• Shares Outstanding: 2,660,056,600
• 10 Day Avg. Volume: 4,270,151
• 30 Day Avg. Volume: 3,964,616
• PEG Ratio: -3.09
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 0.64
• P/FCF Ratio: 7.35
• 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: €14.92
• Price Target Upside: 5.37% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: €14.50 ▲(2.40% Upside)

The overall stock score for Orange SA is primarily influenced by its solid financial performance, despite concerns over revenue and free cash flow decline. Technical analysis suggests a neutral to bearish trend, and the high P/E ratio indicates potential overvaluation, though the attractive dividend yield provides some compensation. The absence of earnings call data and notable corporate events limits additional insights.

ORANGE SA Business Overview & Revenue Model

Company Description

ORANGE SA (ORA) is a global telecommunications operator headquartered in France, providing a wide range of services including mobile and fixed telephony, internet services, and digital solutions. The company operates in several segments, including mobile and fixed line services, broadband services, and enterprise solutions, catering to both individual consumers and businesses. Orange is known for its broad portfolio of telecommunications services, as well as its investments in digital transformation and innovation, including cloud services and cybersecurity.

How the Company Makes Money

ORANGE SA generates revenue primarily through its telecommunications services, which include mobile subscription fees, fixed-line connectivity, and broadband internet services. The company has a diverse revenue model that encompasses both consumer and enterprise segments. Key revenue streams include monthly subscription fees from mobile and internet services, pay-per-use charges, and value-added services such as data packages, entertainment subscriptions, and mobile payments. Additionally, Orange has formed significant partnerships and collaborations with various technology firms and content providers, which enhance its service offerings and drive additional revenue through bundled services and co-branded products. The company also monetizes its investments in digital services, including cloud computing and cybersecurity solutions, catering to the growing demand from businesses for digital transformation.

ORANGE SA Financial Statement Overview

Summary

Orange SA demonstrates solid profitability and cash flow generation, supported by stable margins and efficient cash conversion. The balance sheet shows moderate leverage, but high debt levels warrant attention. While operational efficiency is commendable, the decline in revenue and free cash flow growth are areas of concern and should be monitored closely for future performance sustainability.

Income Statement

Orange SA's income statement shows a stable performance with a gross profit margin of 39.6% and a net profit margin of 5.8% for 2024. The EBIT margin stands at 12.7% and EBITDA margin at 32.2%, indicating healthy operational profitability. However, revenue declined by 8.7% from 2023 to 2024, a concern for revenue growth sustainability.

Balance Sheet

The balance sheet reflects a balanced financial structure with a debt-to-equity ratio of 1.34, indicating moderate leverage. The return on equity (ROE) is 7.4%, showing reasonable returns for shareholders. The equity ratio of 30.6% suggests a stable asset base, but high total debt levels could pose risks if not managed effectively.

Cash Flow

Orange SA's cash flow analysis indicates solid cash generation with an operating cash flow to net income ratio of 4.34. There is a free cash flow to net income ratio of 1.48, reflecting strong cash conversion. However, free cash flow declined by 17.5% from 2023 to 2024, which could impact future financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	40.27B	40.26B	44.12B	43.47B	42.52B	42.27B
Gross Profit	10.51B	15.96B	16.68B	16.76B	15.56B	16.98B
EBITDA	11.75B	12.96B	13.12B	12.98B	11.64B	12.89B
Net Income	1.13B	2.35B	2.44B	2.15B	233.00M	4.82B
Balance Sheet
Total Assets	101.62B	103.87B	110.05B	113.17B	111.32B	110.92B
Cash, Cash Equivalents and Short-Term Investments	10.58B	12.21B	8.32B	10.50B	10.89B	11.35B
Total Debt	7.51B	42.67B	8.57B	53.11B	52.07B	51.56B
Total Liabilities	69.00B	68.71B	74.95B	83.17B	81.46B	79.52B
Stockholders Equity	29.42B	31.77B	31.82B	26.83B	26.84B	28.75B
Cash Flow
Free Cash Flow	3.15B	3.48B	4.22B	2.46B	2.49B	4.15B
Operating Cash Flow	10.19B	10.20B	12.05B	11.23B	11.24B	12.70B
Investing Cash Flow	-4.86B	-1.46B	-7.01B	-10.45B	-5.97B	-5.56B
Financing Cash Flow	-5.94B	-5.73B	-5.46B	-3.34B	-4.84B	-5.41B

ORANGE SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.16
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:ORA, the sentiment is Positive. The current price of 14.16 is above the 20-day moving average (MA) of 13.92, above the 50-day MA of 13.75, and above the 200-day MA of 12.66, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 60.00 is Neutral, neither overbought nor oversold. The STOCH value of 59.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:ORA.

ORANGE SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PUB	73 Outperform	€21.30B	12.47	17.51%	4.28%	9.88%	16.84%
TEP	72 Outperform	€3.65B	7.51	11.73%	7.27%	9.08%	-22.55%
TFI	68 Neutral	€1.65B	8.76	9.15%	7.65%	1.00%	-7.89%
VIV	65 Neutral	€2.97B	7.84	―	1.33%	―	―
ORA	65 Neutral	€36.47B	32.32	4.23%	5.29%	-5.05%	-49.01%
SESG	56 Neutral	€2.73B	-49.66	-2.14%	9.43%	-0.99%	93.75%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%