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Ormat Technologies (Ormat Technologies) PE Ratio

: 30.50 (As of Today)
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The PE Ratio, or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). As of today (2024-04-19), Ormat Technologies's share price is $63.75. Ormat Technologies's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2023 was $2.09. Therefore, Ormat Technologies's PE Ratio for today is 30.50.

Good Sign:

Ormat Technologies Inc stock PE Ratio (=30.25) is close to 5-year low of 30.11


The historical rank and industry rank for Ormat Technologies's PE Ratio or its related term are showing as below:

ORA' s PE Ratio Range Over the Past 10 Years
Min: 14.25   Med: 35.39   Max: 85.41
Current: 30.5


During the past 13 years, the highest PE Ratio of Ormat Technologies was 85.41. The lowest was 14.25. And the median was 35.39.


ORA's PE Ratio is ranked worse than
72.73% of 297 companies
in the Utilities - Independent Power Producers industry
Industry Median: 16.42 vs ORA: 30.50

Ormat Technologies's Earnings per Share (Diluted) for the three months ended in Dec. 2023 was $0.59. Its Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2023 was $2.09.

As of today (2024-04-19), Ormat Technologies's share price is $63.75. Ormat Technologies's EPS without NRI for the trailing twelve months (TTM) ended in Dec. 2023 was $2.08. Therefore, Ormat Technologies's PE Ratio without NRI for today is 30.69.

During the past 13 years, Ormat Technologies's highest PE Ratio without NRI was 535.68. The lowest was 13.98. And the median was 34.59.

Ormat Technologies's EPS without NRI for the three months ended in Dec. 2023 was $0.67. Its EPS without NRI for the trailing twelve months (TTM) ended in Dec. 2023 was $2.08.

During the past 12 months, Ormat Technologies's average EPS without NRI Growth Rate was 24.40% per year. During the past 3 years, the average EPS without NRI Growth Rate was 17.10% per year. During the past 5 years, the average EPS without NRI Growth Rate was 0.10% per year. During the past 10 years, the average EPS without NRI Growth Rate was 2.80% per year.

During the past 13 years, Ormat Technologies's highest 3-Year average EPS without NRI Growth Rate was 78.60% per year. The lowest was -35.80% per year. And the median was 5.50% per year.

Ormat Technologies's EPS (Basic) for the three months ended in Dec. 2023 was $0.59. Its EPS (Basic) for the trailing twelve months (TTM) ended in Dec. 2023 was $2.09.


Ormat Technologies PE Ratio Historical Data

The historical data trend for Ormat Technologies's PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Array ( [0] => - [1] => - [2] => - [3] => - [4] => - [5] => 43.33 [6] => 54.72 [7] => 72.09 [8] => 73.91 [9] => 36.44 )
Ormat Technologies Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PE Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 43.33 54.72 72.09 73.91 36.44

Ormat Technologies Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
PE Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 73.91 62.79 51.91 38.42 36.44

Competitive Comparison

For the Utilities - Renewable subindustry, Ormat Technologies's PE Ratio, along with its competitors' market caps and PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Ormat Technologies PE Ratio Distribution

For the Utilities - Independent Power Producers industry and Utilities sector, Ormat Technologies's PE Ratio distribution charts can be found below:

* The bar in red indicates where Ormat Technologies's PE Ratio falls into.



Ormat Technologies PE Ratio Calculation

The PE Ratio, or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). It is the most widely used ratio in the valuation of stocks.

Ormat Technologies's PE Ratio for today is calculated as

PE Ratio=Share Price/Earnings per Share (Diluted) (TTM)
=63.75/2.090
=30.50

Ormat Technologies's Share Price of today is $63.75.
Ormat Technologies's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $2.09.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:


There are at least three kinds of PE Ratios used by different investors. They are Trailing Twelve Month PE Ratio or PE Ratio (TTM), Forward PE Ratio, or PE Ratio without NRI. A new PE Ratio based on inflation-adjusted normalized PE Ratio is called Shiller PE Ratio, after Yale professor Robert Shiller.

In the calculation of PE Ratio, the earnings per share used are the earnings per share over the past 12 months. For Forward PE Ratio, the earnings are the expected earnings for the next twelve months. In the case of PE Ratio without NRI, the reported earnings less the non-recurring items are used.

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. Since it looks at the average over the last 10 years, Shiller PE Ratio is also called PE10.


Ormat Technologies  (NYSE:ORA) PE Ratio Explanation

The PE Ratio can be viewed as the number of years it takes for the company to earn back the price you pay for the stock. For example, if a company earns $2 a share per year, and the stock is traded at $30, the PE Ratio is 15. Therefore it takes 15 years for the company to earn back the $30 you paid for its stock, assuming the earnings stays constant over the next 15 years.

In real business, earnings never stay constant. If a company can grow its earnings, it takes fewer years for the company to earn back the price you pay for the stock. If a company's earnings decline it takes more years. As a shareholder, you want the company to earn back the price you pay as soon as possible. Therefore, lower P/E stocks are more attractive than higher P/E stocks so long as the PE Ratio is positive. Also for stocks with the same PE Ratio, the one with faster growth business is more attractive.

If a company loses money, the PE Ratio becomes meaningless.

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the PE Ratio divided by the growth ratio. He thinks a company with a PE Ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a PE Ratio of 20, instead of a company growing 10% a year with a PE Ratio of 10.

Because the PE Ratio measures how long it takes to earn back the price you pay, the PE Ratio can be applied to the stocks across different industries. That is why it is the one of the most important and widely used indicators for the valuation of stocks.

Similar to the PE Ratio without NRI or PS Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PE Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

Investors need to be aware that the PE Ratio can be misleading a lot of times, especially when the underlying business is cyclical and unpredictable. As Peter Lynch pointed out, cyclical businesses have higher profit margins at the peaks of the business cycles. Their earnings are high and PE Ratios are artificially low. It is usually a bad idea to buy a cyclical business when the PE Ratio is low. A better ratio to identify the time to buy a cyclical businesses is the PS Ratio .

PE Ratio can also be affected by non-recurring-items such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio.


Ormat Technologies PE Ratio Related Terms

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Ormat Technologies (Ormat Technologies) Business Description

Traded in Other Exchanges
Address
6140 Plumas Street, Reno, NV, USA, 89519-6075
Ormat Technologies Inc is engaged in the geothermal energy power business. The company is engaged in three business segments: 1) Electricity Segment. where the company develops, builds, owns and operates geothermal, solar PV and recovered energy-based power plants in the United States and geothermal power plants in other countries and sell the electricity generated. 2) Product Segment includes designing, manufacturing and selling equipment for geothermal and recovered energy-based electricity generation and providing services relating to the engineering, procurement and construction of geothermal and recovered energy-based power plants. 3) Energy Storage Segment includes owning and operating grid-connected which provide capacity, energy and ancillary services directly to the electric grid.
Executives
Dafna Sharir director C/O AMPAL AMERICAN ISRAEL CORP, 111 ARLOZOROV STREET, TEL AVIV ISREL L3 00000
Isaac Angel officer: CEO Appointee 2099 GATEWAY PLACE, SUITE 600 CA 95110
Doron Blachar officer: CFO 6225 NEIL ROAD, RENO NV 89511
Stanley Stern director C/O THCG, INC, 650 MADISON AVENUE, 21ST FL, NEW YORK NY 10022
Orix Corp 10 percent owner WORLD TRADE CENTER BLDG., SOUTH TOWER, 2-4-1 HAMAMATSU-CHO, MINATO-KU, TOKYO M0 105 5135
Byron G. Wong director 2 TRAILS END, WESTPORT CT 06880
David Granot director 6225 NEIL ROAD, RENO NV 89511
Shimon Hatzir officer: VP, Elect. & Conceptual Engin. 6225 NEIL ROAD, SUITE 300, C/O ORMAT TECHNOLOGIES, INC., RENO NV 89511
Shlomi Argas officer: V.P., Projects 6225 NEIL ROAD, RENO NV 89511
Karin Corfee director 6140 PLUMAS STREET, RENO NV 89519
Michal Marom director 6140 PLUMAS STREET, RENO NV 89519
Dan Falk director 6225 NEIL ROAD, SUITE 300, C/O ORMAT TECHNOLOGIES, INC., RENO NV 89511
Jessica Woelfel officer: General Counsel and CCO 6140 PLUMAS STREET, RENO NV 89519
Mike Nikkel director 6140 PLUMAS STREET, RENO NV 89519
Zvi Krieger officer: VP, Geothermal Enginerring 6225 NEIL ROAD, SUITE 300, C/O ORMAT TECHNOLOGIES, INC., RENO NV 89511