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Orange S.A.

ORANY
40
Telecommunications Services · Communication Services
Price
$18.39
-0.10 (-0.54%)
Market Cap
$48.89B
Exchange
Other OTC
Winston Score
40
Winston is serious
Mixed quality — meaningful strengths and weaknesses.
Data as of Jul 27, 2026 · filings through Dec 31, 2025

Share count rising — dilution

+111.9% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 2.66B (2021) → 5.63B (2025)

Orange S.A. operates as a major telecommunications provider, serving customers in France and worldwide. The company delivers a broad spectrum of services, including essential mobile communication features like voice calls, text messages, and data access, alongside fixed-line broadband and narrowband internet services for homes. For businesses, it offers specialized fixed-line solutions and network services for reliable voice and data connectivity. Beyond core services, Orange also retails a variety of devices, such as mobile phones, internet equipment, connected gadgets, and accessories. Furthermore, its portfolio extends to comprehensive IT and integration services. These encompass unified communication and collaboration tools, including LAN and telephony systems, as well as consulting, integration, and project management expertise. The company provides hosting and infrastructure solutions, notably cloud computing, along with customer relationship management and other software applications, robust security services, and video conferencing facilities, often paired with related equipment sales. Additionally, Orange provides national and international roaming services, digital advertising opportunities, support for mobile virtual network operators, network infrastructure sharing agreements, and mobile financial services. It also acts as a supplier of equipment to external distributors, brokers, and other operators. All of its offerings are marketed under the prominent "Orange" brand. Originally incorporated in 1991 as France Telecom, the company officially rebranded to Orange S.A. in July 2013 and is headquartered in Issy-les-Moulineaux, France.

Winston Score History

Score breakdown

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Quality

Gross Margin
19.9%
Thin — 19.9% gross margin
Operating Margin
13.3%
Healthy — 13.3% operating margin
ROCE
3.9%
Weak — 3.9% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales YoY
-5.9%
Shrinking sales (-5.9% YoY)
EPS YoY
-77.2%
Earnings shrinking (-77.2% YoY)

Earnings per share down more than 10%. Either a bad year, or a real decline.

EPS Consistency
0/8 quarters
Earnings rarely grow — volatile business

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Cash Flow

Cash Conversion
1920%
Turns 1920% of profit into real cash
FCF Margin
8.8%
Modest free cash flow (8.8%)

FCF margin between 0% and 10%. Some cash from sales, but not a lot.

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Stability

Debt / Equity
1.74
Elevated debt (1.74)
Interest Cover
2.51x
Tight — interest eats into profit (2.5x)

Interest coverage between 1 and 3. Profits cover interest, but with little room to spare.

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Valuation

P/E Ratio (TTM)
87.6x
Expensive — P/E 87.6

P/E over 35. The market is pricing in heavy, sustained growth.

P/E vs Forward
+75.3
GROWING
Earnings expected to grow meaningfully — cheaper on forward P/E (87.6 → 12.3)

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Dividends

Dividend Yield
4.64%
Healthy income — 4.64% yield

Generous yield. Worth checking whether the payout is sustainable.

Dividend Growth
-12.8%
Dividend cut (-12.8% YoY) — warning sign

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