Analyzing Orkla Asa (ORKLY) and Its Peers

Orkla Asa (OTCMKTS:ORKLY) is one of 52 public companies in the “DIVERSIFIED OPS” industry, but how does it weigh in compared to its competitors? We will compare Orkla Asa to similar companies based on the strength of its valuation, dividends, profitability, analyst recommendations, institutional ownership, risk and earnings.

Earnings and Valuation

This table compares Orkla Asa and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Orkla Asa	$6.57 billion	$546.95 million	18.48
Orkla Asa Competitors	$13.29 billion	$972.27 million	43.10

Orkla Asa’s competitors have higher revenue and earnings than Orkla Asa. Orkla Asa is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Risk & Volatility

Orkla Asa has a beta of 0.49, meaning that its stock price is 51% less volatile than the S&P 500. Comparatively, Orkla Asa’s competitors have a beta of 0.79, meaning that their average stock price is 21% less volatile than the S&P 500.

Dividends

Orkla Asa pays an annual dividend of $0.27 per share and has a dividend yield of 2.5%. Orkla Asa pays out 46.6% of its earnings in the form of a dividend. As a group, “DIVERSIFIED OPS” companies pay a dividend yield of 1.6% and pay out 26.9% of their earnings in the form of a dividend.

Insider and Institutional Ownership

44.2% of shares of all “DIVERSIFIED OPS” companies are owned by institutional investors. 28.6% of shares of all “DIVERSIFIED OPS” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current ratings for Orkla Asa and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Orkla Asa	0	0	0	1	4.00
Orkla Asa Competitors	200	872	1637	64	2.56

As a group, “DIVERSIFIED OPS” companies have a potential downside of 4.91%. Given Orkla Asa’s competitors higher probable upside, analysts plainly believe Orkla Asa has less favorable growth aspects than its competitors.

Profitability

This table compares Orkla Asa and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Orkla Asa	9.02%	13.32%	7.44%
Orkla Asa Competitors	-21.64%	-39.26%	-6.96%

Summary

Orkla Asa competitors beat Orkla Asa on 9 of the 15 factors compared.

About Orkla Asa

Orkla ASA engages in branded consumer goods, and industrial and financial investment businesses. The company offers branded products, including frozen pizza, ketchup, soups, sauces, bread toppings, and ready-to-eat meals through grocery channels, as well as food service, convenience stores, and petrol stations. It also provides confectionery, biscuit, and snack products; and spices, masalas, and various food products based on dried mixes. In addition, the company offers personal care, hygiene, laundry detergent, and cleaning products; dietary supplement, oral care, sport nutrition, and weight control products; wound care products and first aid equipment; painting tools and accessories; basic and wool garments; and professional cleaning products. It operates Gymgrossisten, Proteinfabrikken, Bodystore, and Fitnesstukku e-commerce portals for health and sports nutrition products; and restaurants. Additionally, the company supplies margarine and butter blends, bread and cake improvers and mixes, yeast, marzipan, and ice cream ingredients; produces and supplies hydro power to the Nordic power market; and develops and sells real estate properties. It offers its food products under the Grandiosa, TORO, Stabburet, Felix, Paulúns, Fun Light, Abba, Beauvais, Kalles, Den Gamle Fabrik, Hamé, and Vitana brands; confectionery and snacks under the KiMs, Nidar, Stratos, Sætre, Göteborgs Kex, OLW, Panda, Laima, Selga, Taffel, Kalev, and Nói Síríus brands; home and personal care products under Zalo, OMO, Blenda, Jif, Define, Solidox, Dr Greve, Lano, and Bliw; health produtcs under Möller's, Jordan, Vitalab, OSL, Cederroth First Aid, Salvequick, Livol, Nutrilett, Maxim, Collett, Solidox and CuraMed brands; and food ingredients under the Odense, Mors Hjemmebakte, KronJäst, Bakkedal, and NATURLI brands. It has operations in Norway, Sweden, Denmark, Finland, Iceland, the Baltics, rest of Europe, and internationally. The company was founded in 1918 and is headquartered in Oslo, Norway.