Orion S.A.

OEC

Chemicals - Specialty · Basic Materials

Price

$6.85

+0.18 (+2.70%)

Market Cap

$386.3M

Winston Score

Winston is worried

Weak fundamentals across most pillars.

Share count falling — buybacks

−7.6% over 4y

The company has reduced its share count over this period, returning value to shareholders through buybacks.

Diluted shares outstanding: 61.0M (2021) → 56.3M (2025)

Orion Engineered Carbons makes carbon black, a fine black powder created by burning oil or gas in a controlled way. Carbon black is used to make tires stronger and longer-lasting, and it also gives rubber, plastics, coatings, and inks their black color. The company sells to tire manufacturers, auto parts makers, and industrial companies around the world.

Orion earns money by selling carbon black in two main segments: Rubber Carbon Black, which goes mostly into tires, and Specialty Carbon Black, which is used in higher-value products like batteries, coatings, and electronics. The company operates plants in Europe, the Americas, and Asia, generating roughly $1.7 billion in annual revenue. Its competitive position relies on long-term customer contracts and technical expertise in specialty grades, but the business faces real pressure from raw material cost swings and weak demand in the auto industry. Growth in specialty carbon black for lithium-ion batteries is a key opportunity, though it is still a small part of the overall business.

Winston Score History

Growth Profile

For growth stock investors

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

-3.8% YoY

YoY Growth Rate

Revenue declining

EPS Growth

-212.5% YoY

YoY Growth Rate

Earnings declining

R&D Spend

$28M/ year

→ Flat (+1% vs prior year)

1.5% of revenue

Below sector average (3%)

Steady R&D investment year-over-year

Insider Activity

9.4%ownership

↑ Rising

Insiders increasing their stake — aligned with shareholders

Cash Runway

~3 months

$52M cash & investments

Quarterly Free Cash Flow

↓ Burn rate worsening

Short runway — potential dilution ahead through share issuance

Cash watch

Orion S.A. has less than a year of cash at its current burn rate. Growth investors should watch for potential share dilution from future fundraising — that directly reduces your ownership.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

Each metric is explained in plain language so you know exactly what you're looking at. Start your free trial now.

Quality

Gross Margin

17.2%

Thin — 17.2% gross margin

Operating Margin

2.8%

Thin — 2.8% operating margin

ROCE

0.9%

Weak — 0.9% return on capital

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

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Growth

Sales YoY

-3.4%

Shrinking sales (-3.4% YoY)

EPS YoY

-447.8%

Earnings shrinking (-447.8% 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

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Cash Flow

Cash Conversion

N/A

Data not available

FCF Margin

1.5%

Thin free cash flow (1.5%)

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

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Stability

Debt / Equity

2.67

Heavy debt load (2.67)

Interest Cover

1.27x

Dangerous — barely covers interest (1.3x)

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

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Valuation

P/E Ratio (TTM)

N/M

Negative earnings — P/E not meaningful

P/E vs Forward

N/A

not available

Data not available

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Dividends

Dividend Yield

1.08%

Small dividend — 1.08% yield

Modest yield. The bulk of any return needs to come from price appreciation.

Dividend Growth

+0.0%

Dividend flat

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

🔒 See full fundamentals and if they are improving or declining — click here for your free trial now.

Start free trial