Is ORA a high-quality business?

AlphaMadera's AlphaQuality grade scores Ormat Technologies, Inc. on six pillars — profitability, capital efficiency, balance-sheet strength, growth durability, cash generation, and shareholder yield. The composite letter grade reflects how ORA compares to a Buffett-style quality bar.

What is Ormat Technologies, Inc.'s AlphaQuality grade?

AlphaQuality assigns a letter grade (A through F) to ORA based on a six-pillar quantitative model. The live page shows the composite grade plus each pillar's individual score with the underlying metrics.

What makes ORA a quality stock?

AlphaQuality looks at return on capital, free-cash-flow margins, debt-to-equity, revenue stability, dividend and buyback policy, and operating-margin trend. Stocks scoring well across all six pillars earn higher grades — the methodology favors compounders over cyclicals.

ORA - Ormat Technologies, Inc.

Price: -- -- | CONSENSUS: Hold DETAILS | PRICE TARGET: $138.86 DETAILS

AlphaQuality

Quantitative six-pillar business-quality grade

Stable Earnings Power

AlphaQuality — archetype-weighted quantitative grade

D 36.9 / 100 composite

Composite Grade

Composite of six pillars weighted for stable earnings power businesses. Purely quantitative — no stock price or analyst input.

Profitability

Weight: 20%

F 24.1

5yr Avg ROIC 4.1% 30/100
Operating Margin Trend -1.54 pp/yr 9/100

Capital Efficiency

Weight: 15%

D- 30.1

5yr Avg ROE 3.9% 30/100
5yr Share-Count CAGR 2.1% 31/100

Growth Quality

Weight: 15%

A- 84.1

5yr Revenue CAGR 10.5% 81/100
5yr EPS CAGR 16.4% 90/100
Revenue-Growth Years (5) 4/5 80/100

Cash Generation

Weight: 15%

F 0.0

5yr FCF Margin -27.5% 0/100
5yr FCF/NI Conversion -2.46x 0/100

Balance Sheet

Weight: 20%

F 23.7

Net Debt / EBITDA 4.81x 18/100
Interest Coverage (EBIT/Int) 1.75x 24/100
Altman Z-Score 1.74 33/100

Stability

Weight: 15%

B- 68.6

EPS Volatility (σ/μ) 0.25 64/100
Piotroski F-Score 6 67/100
Negative-Revenue Years (5) 1/5 80/100

3 of 4 gurus held; 1 added; 2 trimmed; 2 full exits.

Holders: 3 -1
Avg Δ position: -5.1%
New buys: 0
Full exits: 2

Soros sold -100%
Dalio sold -100%
Cooperman decreased -11%

How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

Profitability (20%) — 5yr Avg ROIC, Operating Margin Trend
Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
Growth Quality (15%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
Cash Generation (15%) — 5yr FCF Margin, 5yr FCF/NI Conversion
Balance Sheet (20%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
Stability (15%) — EPS Volatility (σ/μ), Piotroski F-Score, Negative-Revenue Years (5)

We deliberately ignore stock price, analyst targets, and consensus ratings so the grade is suitable for backtesting forward returns. A minimum of 5 fiscal years of audited statements is required; distressed and highly leveraged infrastructure businesses are declared ungradable rather than forced into a numeric score.