Orica Ltd
ASX:ORI

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Orica Ltd
ASX:ORI
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Price: 20.93 AUD -0.1%
Market Cap: AU$9.7B

EV/GP

5.7
Current
1%
Cheaper
vs 3-y average of 5.8

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
5.7
=
Enterprise Value
AU$13.4B
/
Gross Profit
AU$2.1B

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
5.7
=
Enterprise Value
AU$13.4B
/
Gross Profit
AU$2.1B

Valuation Scenarios

Orica Ltd is trading below its 3-year average

If EV/GP returns to its 3-Year Average (5.8), the stock would be worth AU$21.17 (1% upside from current price).

Statistics
Positive Scenarios
3/4
Maximum Downside
-27%
Maximum Upside
+3%
Average Downside
5%
Scenario EV/GP Value Implied Price Upside/Downside
Current Multiple 5.7 AU$20.93
0%
3-Year Average 5.8 AU$21.17
+1%
5-Year Average 5.9 AU$21.65
+3%
Industry Average 4.2 AU$15.35
-27%
Country Average 5.8 AU$21.33
+2%

Forward EV/GP
Today’s price vs future gross profit

Not enough data available to calculate forward EV/GP

Peer Comparison

All Multiples
EV/GP
P/E
All Countries
Close

Market Distribution

In line with most companies in Australia
Percentile
49th
Based on 1 296 companies
49th percentile
5.7
Low
0 — 3.4
Typical Range
3.4 — 11.1
High
11.1 —
Distribution Statistics
Australia
Min 0
30th Percentile 3.4
Median 5.8
70th Percentile 11.1
Max 27 768.2

Orica Ltd
Glance View

Orica Ltd, tracing its roots back to 1874, stands as a venerable player in the mining and infrastructure sectors, with a storied history that speaks to its resilience and adaptability. Initially established as a supplier of explosives, the company has evolved through the years, expanding its purview to encompass a vast array of ground support and technical services, vital for industries operating in challenging environments. The company's prowess lies in its ability to deliver complex and highly engineered solutions that ensure efficiency and safety for its varied clientele. This expertise underscores Orica's reputation as a linchpin in the mineral extraction industry, where the precise deployment of its products and services facilitates the safe and effective recovery of valuable resources. At the core of Orica's business model is its specialization in the manufacture and supply of commercial explosives, blasting systems, and mining chemicals, which cater predominantly to the mining, quarrying, and construction industries. The company's success hinges on its sophisticated supply chain and robust distribution network, which ensures just-in-time delivery of essential products to mining operations across the globe. Furthermore, Orica leverages its proprietary technologies and predictive analytics tools to optimize blasting processes, significantly enhancing operational efficiencies and cost savings for its clients. Through strategic innovations and unwavering commitment to safety and environmental stewardship, Orica not only drives profitability but also fortifies its market position in an industry where precision and reliability are paramount.

ORI Intrinsic Value
19.14 AUD
Overvaluation 9%
Intrinsic Value
Price AU$20.93
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