Orange SA

Orange SA maintains a capital structure characterized by significant leverage, with long-term debt of €45.5 billion against total equity of €29.7 billion, resulting in a debt-to-equity ratio of 1.53. The company holds €8.4 billion in cash and equivalents, yet this is insufficient to cover total liabilities of €77.7 billion, leading to a negative net cash position. Liquidity is assessed as medium, supported by a current ratio of 1.11, which indicates adequate short-term coverage but limited buffer. Operating cash flow stands at €10.8 billion, providing substantial operational liquidity, though free cash flow is compressed to €216 million due to high capital expenditures of €7.3 billion.

Profitability metrics reveal thin returns on capital, with a return on equity of 1.81% and a return on assets of 0.50%. The company reports a gross profit of €24.8 billion on revenue of €40.4 billion, yielding a gross margin of approximately 61.3%. However, operating income is €3.4 billion, and net income is further reduced to €539 million, indicating high operating leverage and expense intensity. The price-to-earnings ratio of 87.94 reflects the low net income base relative to the market capitalization of €47.4 billion, while the enterprise value-to-EBITDA multiple of 24.70 suggests a premium valuation relative to earnings before interest, taxes, depreciation, and amortization.

Revenue generation is driven by its core telecommunications activities, with total revenue reaching €40.4 billion. The company operates as a diversified telecommunications service provider, implying a broad customer base across consumer and enterprise segments. Without specific segment breakdowns in the immediate data, the revenue concentration is assumed to be spread across its primary geographic markets, typical for integrated telecom operators. The gross profit of €24.8 billion underscores the scale of its operations, though the transition from gross profit to net income highlights significant operational and financial costs.

Growth trajectory analysis is limited by the absence of historical period data in the current snapshot. The current revenue figure of €40.4 billion serves as the baseline for performance evaluation. The high capital expenditure of €7.3 billion suggests ongoing investment in network infrastructure, which is critical for maintaining competitive positioning in the telecommunications sector. The low free cash flow of €216 million indicates that current operations are heavily reinvested into the business, limiting immediate cash return to shareholders.

Risk assessment identifies medium liquidity risk and low dilution risk. The key flag notes that net cash is negative after subtracting total debt, highlighting the company's reliance on debt financing. The debt-to-equity ratio of 1.53 is elevated, exposing the company to interest rate risks and refinancing challenges. The current ratio of 1.11 provides a modest cushion for short-term obligations, but the overall financial structure requires careful management of cash flows to service debt.

Recent observations from investor relations indicate a mean analyst price target of €19.11, with a median target of €19.20, suggesting modest upside potential from the current market price of €17.84. The mean recommendation of 2.22 leans towards a buy rating, with 3 strong buys and 8 buys compared to 7 holds. This analyst sentiment reflects confidence in the company's strategic direction and operational stability, despite the current valuation multiples and profitability constraints.

There are no material changes to report for Orange S.A. (ORAN.PA) based on the available data. The analysis indicates no significant shifts in the company's profile compared to prior assessments, with no new events, ratings, or holder changes identified in the provided facts. The monitoring signals for the company remain quiet. Over the 30-day period ending in July 2026, there was virtually no news dispatch activity, with only a single dispatch recorded on July 9, 2026. This lack of volume suggests a period of stability or low external attention regarding the firm. Fundamental metrics and analyst coverage data are not available in the current dataset. Information regarding officer counts, analyst estimates, index memberships, and top holders is absent, preventing any detailed commentary on governance, market sentiment, or institutional positioning. Consequently, the significance of this period for Orange S.A. is defined by the absence of new material developments. Without specific financial updates, ESG changes, or strategic announcements cited in the reference documents, the company's status remains unchanged from previous analyses.

Analysts project 7.1% upside to a mean price target of 19.11 euros based on 18 recommendations.

Free cash flow improved significantly from negative 1.46 billion euros in 2022 to 2.00 billion euros in 2025.

Long-term debt decreased to 43.01 billion euros in 2025, down from a peak of 48.08 billion euros in 2023.

Operating income reached 5.12 billion euros in 2025, representing a substantial increase from 2.52 billion euros in 2022.

Cash conversion ratio of 20.0 ranks as best-in-class compared to the cohort median of 1.46.

The company carries a high credit risk flag, indicating significant concerns regarding its debt servicing ability.

Debt-to-equity ratio of 1.53 places the company in the bottom quartile of its telecommunications cohort.

Net margin of 1.33% and ROE of 1.81% both lag significantly behind their respective cohort medians.

Revenue €10.10B, +1,9% YoY.

• ▍Revenue €10.10B, +1,9% YoY

Revenue €9.99B, −0,0% YoY.

• ▍Revenue €9.99B, −0,0% YoY

Revenue €9.91B.

• ▍Revenue €9.91B

Revenue €9.99B.

• ▍Revenue €9.99B

Revenue €40.40B, +0,3% YoY; Operating income −33,1% YoY.

• ▍Revenue €40.40B, +0,3% YoY
• ▍Operating income −33,1% YoY
• ▍Net income −77,1% YoY
• ▍Free cash flow −89,2% YoY
• ▍Net margin 1.3%

Revenue €40.26B, +1,5% YoY; Operating income +8,1% YoY.

• ▍Revenue €40.26B, +1,5% YoY
• ▍Operating income +8,1% YoY
• ▍Net income −3,7% YoY
• ▍Free cash flow +9,3% YoY
• ▍Net margin 5.8%

Revenue €39.68B, +1,4% YoY; Operating income −1,2% YoY.

• ▍Revenue €39.68B, +1,4% YoY
• ▍Operating income −1,2% YoY
• ▍Net income +13,7% YoY
• ▍Free cash flow +283,9% YoY
• ▍Net margin 6.1%

Revenue €39.13B, −8,0% YoY; Operating income +90,0% YoY.

• ▍Revenue €39.13B, −8,0% YoY
• ▍Operating income +90,0% YoY
• ▍Net income +825,0% YoY
• ▍Free cash flow +132,7% YoY
• ▍Net margin 5.5%

Revenue €42.52B; Operating income €2.52B.

• ▍Revenue €42.52B
• ▍Operating income €2.52B
• ▍Net margin 0.5%