Ormat Technologies EBITDA vs. Cash Flow From Operations
| ORA Stock | USD 80.74 0.66 0.82% |
EBITDA | First Reported 2010-12-31 | Previous Quarter 468.9 M | Current Value 492.4 M | Quarterly Volatility 146.4 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.27 | 0.3183 |
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For Ormat Technologies profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Ormat Technologies to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Ormat Technologies utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Ormat Technologies's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Ormat Technologies over time as well as its relative position and ranking within its peers.
Ormat |
Ormat Technologies' Revenue Breakdown by Earning Segment
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Is Independent Power and Renewable Electricity Producers space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Ormat Technologies. If investors know Ormat will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Ormat Technologies listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.39) | Dividend Share 0.48 | Earnings Share 1.96 | Revenue Per Share 14.733 | Quarterly Revenue Growth 0.018 |
The market value of Ormat Technologies is measured differently than its book value, which is the value of Ormat that is recorded on the company's balance sheet. Investors also form their own opinion of Ormat Technologies' value that differs from its market value or its book value, called intrinsic value, which is Ormat Technologies' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Ormat Technologies' market value can be influenced by many factors that don't directly affect Ormat Technologies' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Ormat Technologies' value and its price as these two are different measures arrived at by different means. Investors typically determine if Ormat Technologies is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Ormat Technologies' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Ormat Technologies Cash Flow From Operations vs. EBITDA Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Ormat Technologies's current stock value. Our valuation model uses many indicators to compare Ormat Technologies value to that of its competitors to determine the firm's financial worth. Ormat Technologies is rated below average in ebitda category among its peers. It also is rated below average in cash flow from operations category among its peers making about 0.66 of Cash Flow From Operations per EBITDA. The ratio of EBITDA to Cash Flow From Operations for Ormat Technologies is roughly 1.52 . At present, Ormat Technologies' EBITDA is projected to increase significantly based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Ormat Technologies' earnings, one of the primary drivers of an investment's value.Ormat Technologies' Earnings Breakdown by Geography
Ormat Cash Flow From Operations vs. EBITDA
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.
Ormat Technologies |
| = | 468.93 M |
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
Operating Cash Flow reveals the quality of a company's reported earnings and is calculated by deducting company's income taxes from earnings before interest, taxes, and depreciation (EBITDA). In other words, Operating Cash Flow refers to the amount of cash a firm generates from the sales or products or from rendering services. Operating Cash Flow typically excludes costs associated with long-term investments or investment in marketable securities and is usually used by investors or analysts to check on the quality of a company's earnings.
Ormat Technologies |
| = | 309.4 M |
Operating Cash Flow shows the difference between reported income and actual cash flows of the company. If a firm does not have enough cash or cash equivalents to cover its current liabilities, then both investors and management should be concerned about the company having enough liquid resources to meet current and long term debt obligations.
Ormat Cash Flow From Operations Comparison
Ormat Technologies is currently under evaluation in cash flow from operations category among its peers.
Ormat Technologies Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Ormat Technologies, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Ormat Technologies will eventually generate negative long term returns. The profitability progress is the general direction of Ormat Technologies' change in net profit over the period of time. It can combine multiple indicators of Ormat Technologies, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | -1.3 M | -1.4 M | |
| Operating Income | 166.6 M | 174.9 M | |
| Income Before Tax | 139.1 M | 146 M | |
| Total Other Income Expense Net | -27.5 M | -26.1 M | |
| Net Income | 124.4 M | 130.6 M | |
| Income Tax Expense | 6 M | 5.7 M | |
| Net Income Applicable To Common Shares | 75.7 M | 45.1 M | |
| Net Income From Continuing Ops | 114.5 M | 64.4 M | |
| Non Operating Income Net Other | 31.6 M | 33.2 M | |
| Interest Income | 10.9 M | 10.3 M | |
| Net Interest Income | -86.1 M | -90.4 M | |
| Change To Netincome | 30.1 M | 25.6 M | |
| Net Income Per Share | 2.09 | 2.20 | |
| Income Quality | 2.49 | 1.39 | |
| Net Income Per E B T | 0.89 | 0.94 |
Ormat Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Ormat Technologies. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Ormat Technologies position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Ormat Technologies' important profitability drivers and their relationship over time.
Use Ormat Technologies in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Ormat Technologies position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Ormat Technologies will appreciate offsetting losses from the drop in the long position's value.Ormat Technologies Pair Trading
Ormat Technologies Pair Trading Analysis
The ability to find closely correlated positions to Ormat Technologies could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Ormat Technologies when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Ormat Technologies - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Ormat Technologies to buy it.
The correlation of Ormat Technologies is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Ormat Technologies moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Ormat Technologies moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Ormat Technologies can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Ormat Technologies position
In addition to having Ormat Technologies in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Adviser Favorites
Financial advisors frequently recommend that individuals diversify their investment portfolios with a mix of different types of stocks. These can include blue-chip stocks, growth stocks, and dividend stocks. The Adviser Favorites theme has 17 constituents at this time.
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Check out Your Equity Center. For information on how to trade Ormat Stock refer to our How to Trade Ormat Stock guide.You can also try the Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
To fully project Ormat Technologies' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Ormat Technologies at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Ormat Technologies' income statement, its balance sheet, and the statement of cash flows.