The medium term support area around 13.72 EUR should allow Orange shares to re-establish an upward trend in the short term.
Summary
● Overall, and from a short-term perspective, the company presents an interesting fundamental situation.
● The company has a good ESG score relative to its sector, according to MSCI.
Strengths
● The company's earnings per share (EPS) are expected to grow significantly over the next few years according to the consensus of analysts covering the stock.
● The company's EBITDA/Sales ratio is relatively high and results in high margins before depreciation, amortization and taxes.
● Given the positive cash flows generated by its business, the company's valuation level is an asset.
● The company is one of the best yield companies with high dividend expectations.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● For the past twelve months, EPS forecast has been revised upwards.
● The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
● The opinion of analysts covering the stock has improved over the past four months.
Weaknesses
● The group shows a rather high level of debt in proportion to its EBITDA.
● Over the past twelve months, analysts' consensus has been significantly revised downwards.
● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.
● The group usually releases earnings worse than estimated.
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Orange is the French leader of telecommunications company. Net sales (including intragroup) break down by activity as follows:
- telecommunication services for individuals (78.2%): mobile telephone services (272.8 million clients at the end of 2025; Orange brand in France, Orange Belgium in Belgium, Orange Communications Luxembourg in Luxembourg, MásOrange in Spain, Orange Polska in Poland, etc.), fixed telephone services and Internet access (38.1 million clients). The group also offers services for telecommunication operators. Net sales break down by country between France (54.6%), Europe (21.8%), Africa and Middle East (23.6%);
- telecommunication services to businesses (117.2%): Internet access services, mobile telephone, voice and data transmission services and integration and information management for communication applications;
- telecommunication services to international telecommunication operators (2.9%);
- operation of passive mobile infrastructure (1.7%; Totem): management of a portfolio of approximately 27,000 telecommunications towers in France and Spain.
This super rating is the result of a weighted average of the rankings based on the following ratings: Valuation (Composite), EPS Revisions (4 months), and Visibility (Composite). We recommend that you carefully review the associated descriptions.
Investor
Investor
This super composite rating is the result of a weighted average of the rankings based on the following ratings: Fundamentals (Composite), Valuation (Composite), EPS Revisions (1 year), and Visibility (Composite). We recommend that you carefully review the associated descriptions.
Global
Global
This composite rating is the result of an average of the rankings based on the following ratings: Fundamentals (Composite), Valuation (Composite), Financial Estimates Revisions (Composite), Consensus (Composite) and Visibility (Composite). The company must be covered by at least 4 of these 5 ratings for the calculation to be carried out. We recommend that you carefully review the associated descriptions.
Quality
Quality
This composite rating is the result of an average of rankings based on the following ratings: Returns (Composite), Profitability (Composite) and Quality of Financial Reporting (Composite), and Financial Health (Composite). The company must be covered by at least 2 of these 3 ratings for the calculation to be performed. We recommend that you carefully read the associated descriptions.
ESG MSCI
ESG MSCI
The MSCI ESG score assesses a company’s environmental, social, and governance practices relative to its industry peers. Companies are rated from CCC (laggard) to AAA (leader). This rating helps investors incorporate sustainability risks and opportunities into their investment decisions.
