Orion Oyj (OTCMKTS:ORINY) and L’Oréal (OTCMKTS:LRLCY) Financial Analysis

Orion Oyj (OTCMKTS:ORINY) and L’Oréal (OTCMKTS:LRLCY) are both medical companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, analyst recommendations, dividends, institutional ownership, earnings, risk and valuation.

Volatility & Risk

Orion Oyj has a beta of 0.19, suggesting that its stock price is 81% less volatile than the S&P 500. Comparatively, L’Oréal has a beta of 0.89, suggesting that its stock price is 11% less volatile than the S&P 500.

Dividends

Orion Oyj pays an annual dividend of $0.37 per share and has a dividend yield of 1.7%. L’Oréal pays an annual dividend of $1.03 per share and has a dividend yield of 1.2%. Orion Oyj pays out 44.0% of its earnings in the form of a dividend.

Valuation & Earnings

This table compares Orion Oyj and L’Oréal’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Orion Oyj	$1.29 billion	4.67	$234.62 million	$0.84	25.36
L’Oréal	$44.57 billion	5.25	$6.69 billion	N/A	N/A

L’Oréal has higher revenue and earnings than Orion Oyj.

Insider and Institutional Ownership

0.4% of L’Oréal shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Orion Oyj and L’Oréal’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Orion Oyj	17.74%	27.96%	15.64%
L’Oréal	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of current ratings for Orion Oyj and L’Oréal, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Orion Oyj	0	1	0	0	2.00
L’Oréal	1	1	3	0	2.40

Summary

L’Oréal beats Orion Oyj on 8 of the 12 factors compared between the two stocks.

About Orion Oyj

Orion Oyj develops, manufactures, and markets human and veterinary pharmaceuticals and active pharmaceutical ingredients (APIs) in Finland, Scandinavia, rest of Europe, North America, and internationally. The company provides prescription drugs and self-care products, which includes Nubeqa for the treatment of prostate cancer; Precedex, Dexdor, and Precedex for human use; Burana for inflammatory pain; Divina series for menopausal symptoms; Trexan for rheumatoid arthritis and cancer; Stalevo, Entacapone, and Comtess/Comtan for Parkinson's disease; Biosimilars for rheumatoid arthritis and inflammatory bowel diseases; and Simdax for acute decompensated heart failure, as well as Fareston for breast cancer. It also offers Salmeterol/fluticasone Easyhaler, Budesonide/formoterol Easyhaler, Formoterol Easyhaler, Budesonide Easyhaler, Beclomet Easyhaler, and Buventol Easyhaler drugs for the treatment of asthma and chronic obstructive pulmonary disease. In addition, the company provides veterinary drugs comprising Bonqat, Clevor, Domosedan, Domitor, Antisedan, Dexdomitor, Domosedan Gel, Sileo, and Tessie; APIs for generic compounds and proprietary products, as well as contract manufacturing services; and markets and sells veterinary drugs manufactured by other international companies. Further, the company has partnership with Propeller Health to connect the Easyhaler(R) product portfolio; and a research collaboration and license agreement with Amneal Pharmaceuticals, Inc. to commercialize Amneal's generic products. Orion Oyj was founded in 1917 and is headquartered in Espoo, Finland.

About L’Oréal

L'Oréal S.A., through its subsidiaries, manufactures and sells cosmetic products for women and men worldwide. The company operates through four divisions: Consumer Products, L'oréal Luxe, Professional Products, and Dermatological Beauty. It offers skincare, make-up, hair colourants, haircare, perfumes, and hygiene products. The company provides its products under the L'Oréal Paris, Garnier, Maybelline New York, NYX Professional Makeup, Stylenanda, Essie, Dark & Lovely, Mixa, Magic Mask, Niley, Lancôme, Yves Saint Laurent, Armani, Kiehl's Since 1851, Helena Rubinstein, Biotherm, Shu Uemura, IT Cosmetics, Ralph Lauren Fragrance, Urban Decay, Mugler, Valentino, Viktor&Rolf, Azzaro, Prada, Cacharel, Maison Margela Fragrance, Diesel, Yue Sai, Atelier Colonge, Carita, Takami, Aesop, L'Oréal Professionnel Paris, Kérastase, Redken, Matrix, Pureology, Pulp Riot, La Roche-Posay, Vichy, CeraVe, SkinCeuticals, and Skinbetter Science brands. It sells its products through distribution channels, such as hair salons, local stores, e-commerce, travel retail, mass market retail, department store perfumeries, pharmacies, drug stores, medi-spas, and free-standing stores. L'Oréal S.A. was founded in 1909 and is headquartered in Clichy, France.