Oil Refineries (ORL) AI Stock Analysis

• Market Cap: ₪3.31B
• Dividend Yield: 9.37%
• Average Volume (3M): 9.03M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.95
• Revenue Growth: -26.25%
• EPS Growth: -104.97%
• Country: US
• Employees: 1,492
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Refining & Marketing
• EPS (TTM): -4.30
• Shares Outstanding: 3,110,830,300
• 10 Day Avg. Volume: 6,558,334
• 30 Day Avg. Volume: 9,030,976
• PEG Ratio: -0.10
• Price to Book (P/B): 0.46
• Price to Sales (P/S): 0.11
• P/FCF Ratio: 3.19
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 58 Neutral
• Price Target: 107.00 ▲(20.77% Upside)

Oil Refineries is facing financial challenges with declining revenues and profitability, which is the most significant factor affecting its score. Despite this, the company has shown positive cash flow trends, providing some stability. Technical analysis indicates a bullish trend, but valuation concerns due to a negative P/E ratio and high dividend yield suggest caution.

Positive Factors

Cash Flow Generation

Strong cash flow growth indicates robust internal funding capability, providing financial stability and flexibility for future investments.

Distribution Efficiency

Efficient distribution through strategic partnerships strengthens market reach and operational efficiency, supporting long-term revenue stability.

Moderate Leverage

Moderate leverage indicates manageable debt levels, allowing the company to maintain financial flexibility and reduce risk during economic fluctuations.

Negative Factors

Declining Revenue

A decline in revenue suggests challenges in maintaining market demand and competitiveness, potentially impacting long-term growth prospects.

Profitability Challenges

Negative profit margins reflect operational inefficiencies and market pressures, posing risks to sustainable profitability and shareholder returns.

Negative Return on Equity

Negative ROE indicates difficulty in generating returns for shareholders, potentially affecting investor confidence and capital raising ability.

Oil Refineries Business Overview & Revenue Model

Company Description

Oil Refineries (ORL) is a leading company in the petroleum sector that specializes in the processing and refining of crude oil into various petroleum products. The company operates several state-of-the-art refineries equipped with advanced technology to produce fuels such as gasoline, diesel, jet fuel, and other petrochemicals. In addition to refining, ORL is involved in the distribution and marketing of its products to both domestic and international markets, catering to a diverse range of industrial and consumer needs.

How the Company Makes Money

ORL generates revenue primarily through the sale of refined petroleum products. The company purchases crude oil from various suppliers and processes it in its refineries to produce high-demand fuels and petrochemicals. Key revenue streams include sales of gasoline, diesel, and jet fuel to wholesalers, retailers, and directly to consumers. Additionally, ORL may engage in trading activities, capitalizing on fluctuations in crude oil prices to maximize profit margins. Strategic partnerships with logistics companies enhance distribution efficiency, while long-term contracts with major airlines and transportation companies provide stable revenue sources. Factors such as global oil prices, regulatory policies, and demand trends in the energy sector significantly influence ORL's earnings.

Oil Refineries Financial Statement Overview

Summary

The company is experiencing financial stress with declining revenue and profitability, as indicated by a negative net profit margin and a significant drop in revenue. However, the balance sheet shows moderate leverage, and there is a positive trend in cash flow, which provides some financial stability.

Income Statement

The income statement shows a challenging period for Oil Refineries with declining revenue and profitability. The TTM data indicates a negative net profit margin of -0.98%, reflecting a loss-making period. Revenue has decreased by 9.47% compared to the previous year, and the gross profit margin has also declined significantly. These factors suggest financial stress and operational inefficiencies.

Balance Sheet

The balance sheet reflects moderate financial stability with a debt-to-equity ratio of 0.75, indicating a manageable level of leverage. However, the return on equity is negative at -3.80% in the TTM, highlighting challenges in generating returns for shareholders. The equity ratio is relatively stable, suggesting a balanced asset structure.

Cash Flow

Cash flow analysis reveals a positive trend with a significant free cash flow growth of 61.30% in the TTM. The operating cash flow to net income ratio is 0.28, indicating that operating cash flows are covering net income, albeit at a lower level. The company is generating cash, which is a positive sign amidst profitability challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.00B	7.54B	8.32B	10.83B	6.58B	4.06B
Gross Profit	138.66M	430.00M	764.08M	780.67M	569.64M	-12.60M
EBITDA	297.54M	430.00M	773.00M	780.89M	569.61M	-6.53M
Net Income	-4.48M	113.00M	408.27M	441.22M	252.84M	-274.31M
Balance Sheet
Total Assets	4.24B	4.45B	4.66B	4.53B	4.39B	3.92B
Cash, Cash Equivalents and Short-Term Investments	617.00M	752.00M	831.15M	751.06M	637.73M	809.70M
Total Debt	1.28B	1.26B	1.32B	1.42B	1.66B	1.61B
Total Liabilities	2.56B	2.69B	2.80B	2.78B	3.01B	2.84B
Stockholders Equity	1.68B	1.76B	1.86B	1.74B	1.37B	1.08B
Cash Flow
Free Cash Flow	237.84M	254.00M	541.23M	497.11M	-89.95M	347.09M
Operating Cash Flow	482.48M	441.00M	704.59M	700.81M	12.94M	435.25M
Investing Cash Flow	-284.59M	-84.00M	-153.14M	-226.40M	-133.41M	-6.43M
Financing Cash Flow	-42.00M	-363.00M	-539.96M	-363.44M	-49.75M	-45.00M

Oil Refineries Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 88.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:ORL, the sentiment is Positive. The current price of 88.6 is below the 20-day moving average (MA) of 104.07, below the 50-day MA of 102.69, and below the 200-day MA of 93.70, indicating a bullish trend. The MACD of 1.14 indicates Positive momentum. The RSI at 53.96 is Neutral, neither overbought nor oversold. The STOCH value of 52.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:ORL.

Oil Refineries Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TMRP	65 Neutral	₪2.68B	18.69	―	7.38%	5.30%	-23.48%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
ORL	58 Neutral	₪3.31B	-141.33	-0.23%	9.37%	-26.25%	-104.97%
MSKE	52 Neutral	₪7.89B	―	―	―	―	―
DORL	51 Neutral	₪8.46B	-22.63	―	―	113.54%	-242.38%