Fact based stock research
Orora (ASX:ORA)

AU000000ORA8

How to read the free ranks

For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

Orora stock research in summary

ororagroup.com

ANALYSIS: With an Obermatt Combined Rank of 41 (worse than 59% compared with investment alternatives), Orora (Metal & Glass Containers, Australia) shares have somewhat below-average financial characteristics compared with similar stocks. Shares of Orora are a good value (attractively priced) with a consolidated Value Rank of 51 (better than 51% of alternatives) but show below-average growth (Growth Rank of 29), and are riskily financed (Safety Rank of 47), which means above-average debt burdens. ...read more

RECOMMENDATION: A Combined Rank of 41, is a hold recommendation based on Orora's financial characteristics. As the company Orora's key financial metrics exhibit good value (Obermatt Value Rank of 51) but low growth (Obermatt Growth Rank of 29) and risky financing practices (Obermatt Safety Rank of 47), it may be a risky investment, because debt in times of crises can make things worse. The good value, better than 51% of comparable companies, may indicate the company's future is challenging. If you believe that low growth is temporary or just due to a specific current event, you may conclude that the good value of the stock provides an attractive investment opportunity. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more

Latest Obermatt Ranks


360° View^new
Sentiment Rank^new
Value Rank	51
Growth Rank	29
Safety Rank	47
Combined Rank	41

Country	Australia
Industry	Metal & Glass Containers
Index	ASX 100, ASX 200, ASX 300, Low Emissions, Human Rights
Size class	Large

This stock has achievements: Top 10 Stock.

14-Nov-2024. Stock data may be delayed. Log in or sign up to get the most recent research.

Further information

Multiple opinions. One number.

Analysts rarely agree on a stock’s future. So, who do you believe? Obermatt translates those collective views into a single Sentiment Rank. That plus the financial ranks give you the ultimate 360° View. Sign up to access them.

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Review the performance ranks of the individual metrics that form each investment strategy.

Research History: Orora

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	51	33	63	51
GROWTH
GROWTH	21	31	45	29
SAFETY
SAFETY	33	23	23	47
SENTIMENT
SENTIMENT	n/a	52	42	^new
360° VIEW
360° VIEW	n/a	18	34	^new

Most recent update of the stock research: 14-Nov-2024. Financial reporting date used for calculating ranks: 30-Jun-2024. Stock research history is based on the Obermatt Method. The higher the rank, the better Orora is in the corresponding investment strategy.
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Combined financial peformance in Detail

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	51	33	63	51
GROWTH
GROWTH	21	31	45	29
SAFETY
SAFETY	33	23	23	47
COMBINED
COMBINED	17	12	42	41

Last update of combined financial performance: 14-Nov-2024. Stock analysis on combined financial performance: The higher the rank of Orora the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 51 (better than 51% compared with alternatives), Orora shares are more attractively priced than the majority of comparable stocks. The Value Rank is based on consolidating four value indicators, with three out of four indicators below average for Orora. Only the metric dividend yield has an above-average rank, reflecting that dividend practices are expected to be higher than 78% of comparable companies, making the stock an attractive buy for dividend investors. However, dividend investors may get disappointed because all other critical financial indicators are below the market median: Price-to-Sales is 46 which means that the stock price compared with what market professionals expect for future profits is higher than 54% of comparable companies, indicating a low value concerning Orora's sales levels. The same is valid for Price-to-Profit (also referred to as price-earnings, P/E) with a rank of 34 which means that the stock price compared with what market professionals expect for future profit levels is higher than 66% of comparable companies. In addition, Price-to-Book (also referred to as market-to-book ratio) with a Price-to-Book Rank of 41 is also low. Compared with invested capital, the stock price is higher than for 59% of comparable investments. ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 51, is a buy recommendation based on Orora's stock price compared with the company's operational size and dividend yields. Should dividend investors pick Orora? The company-reported financials speak against it. The company is expensive compared with revenue and invested capital levels, two reliable company size indicators. In addition, it currently has a low level of profits. How can future dividends be paid in the case that profits remain low? Dividend investors should choose Orora only if they reasonably expect the low current profit levels to be transitory. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision, which is essential in this case, as the financial indicators are inconclusive. ...read more

VALUE METRICS	2021	2022	2023	2024
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	54	55	52	46
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	40	18	59	34
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	12	16	38	41
DIVIDEND YIELD
DIVIDEND YIELD	82	78	94	78
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	51	33	63	51

Last update of Value Rank: 14-Nov-2024. Stock analysis on value ratios: The higher the rank, the lower the value ratio of Orora; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 29 (better than 29% compared with alternatives), Orora shows a below-average growth dynamic in its industry. There is limited momentum in this company. The Growth Rank is based on consolidating four value indicators, with three out of four indicators below-average for Orora. While Sales Growth ranks at 86, professionals currently expect the company to grow more than 86% of its competitors, while all other growth ranks are below the market median. Profit Growth has a rank of 30, which means that, currently, professionals expect the company to grow its profits less than 70% of its competitors, and Capital Growth has a low rank of 1. Historic stock returns were also below average with a current Stock Returns rank of 45 which means that the stock returns have recently been below 55% of alternative investments. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 29, is a hold recommendation for growth and momentum investors. If revenues are expected to increase, but all other growth indicators are negative, the company may be investing in future growth through means not visible in the balance sheet and thus not reflected in capital growth. The fact that Stock Returns have been below market doesn't mean that much, as it may be due to overly optimistic investor behavior in the past, which has been corrected to a more reasonable level recently. If that were the case, a positive Value Rank would be a reason to invest because the company is still expected to grow, while stock prices are now at a more reasonable level. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance isn't stellar here. ...read more

GROWTH METRICS	2021	2022	2023	2024
REVENUE GROWTH
REVENUE GROWTH	19	28	84	86
PROFIT GROWTH
PROFIT GROWTH	55	23	69	30
CAPITAL GROWTH
CAPITAL GROWTH	n/a	30	13	1
STOCK RETURNS
STOCK RETURNS	68	87	27	45
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	21	31	45	29

Last update of Growth Rank: 14-Nov-2024. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of Orora.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 47 (better than 47% compared with alternatives), the company Orora has financing practices on the riskier side, which means that their overall debt burden is above the industry average. This doesn't mean that the business of Orora is also risky, it only means that the company is on the riskier side in respect to bankruptcy in case things turn sour, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with just one indicator above average for Orora and the other two below average. Refinancing is at 53, meaning the portion of the debt about to be refinanced is below average. It has less debt in the refinancing stage than 53% of its competitors. But Leverage is high with a rank of 24, meaning the company has an above-average debt-to-equity ratio. It has more debt than 76% of its competitors. Liquidity is also on the riskier side with a rank of 45, meaning the company generates less profit to service its debt than 55% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 47 (worse than 53% compared with alternatives), Orora has a financing structure that is riskier than that of its competitors. A good Refinancing Rank means that the problems of the company may not be around the corner. But high Leverage is only good if things go well, and low Liquidity is a signal for caution. The financing signals for Orora are on the riskier side, requiring the company's future to be on the safer side. Investors may want to look at Growth and Sentiment ranks before making an investment decision. In the long-term, investors may have a debt challenge with Orora and should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more

SAFETY METRICS	2021	2022	2023	2024
LEVERAGE
LEVERAGE	45	28	16	24
REFINANCING
REFINANCING	27	17	15	53
LIQUIDITY
LIQUIDITY	56	36	50	45
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	33	23	23	47

Last update of Safety Rank: 14-Nov-2024. Stock analysis on safety metrics: The higher the rank, the lower the leverage of Orora and the more cash is available to service its debt.

Sentiment Metrics in Detail

SENTIMENT	2021	2022	2023	2024
ANALYST OPINIONS
ANALYST OPINIONS	n/a	28	32	^new
OPINIONS CHANGE
OPINIONS CHANGE	n/a	35	6	^new
PRO HOLDINGS
PRO HOLDINGS	n/a	77	69	^new
MARKET PULSE
MARKET PULSE	n/a	67	76	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	n/a	52	42	^new

Last update of Sentiment Rank: 14-Nov-2024. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for Orora.
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