NYSE:HAE, a growth stock which is not overvalued.

Last update: Jun 3, 2024

Discover HAEMONETICS CORP/MASS (NYSE:HAE), an undervalued growth gem identified by our stock screener. NYSE:HAE is shining in terms of growth metrics, and it's also displaying strong financial health and profitability. What's more, it retains an appealing valuation. We'll break it down further.

Assessing Growth Metrics for NYSE:HAE

A key component of ChartMill's stock assessment is the Growth Rating, which spans from 0 to 10. This rating evaluates diverse growth factors, such as EPS and revenue growth, considering both past performance and future projections. NYSE:HAE has received a 7 out of 10:

The Earnings Per Share has grown by an impressive 31.35% over the past year.
Measured over the past years, HAE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.74% on average per year.
HAE shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.01%.
HAE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.32% yearly.
Based on estimates for the next years, HAE will show a quite strong growth in Revenue. The Revenue will grow by 8.44% on average per year.
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

Evaluating Valuation: NYSE:HAE

An integral part of ChartMill's stock analysis is the Valuation Rating, which spans from 0 to 10. This rating evaluates diverse valuation factors, including price to earnings and cash flows, while considering the stock's profitability and growth. NYSE:HAE has received a 6 out of 10:

Compared to the rest of the industry, the Price/Earnings ratio of HAE indicates a rather cheap valuation: HAE is cheaper than 84.38% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.06, HAE is valued a bit cheaper.
Based on the Price/Forward Earnings ratio, HAE is valued cheaper than 83.33% of the companies in the same industry.
84.38% of the companies in the same industry are more expensive than HAE, based on the Enterprise Value to EBITDA ratio.
82.81% of the companies in the same industry are more expensive than HAE, based on the Price/Free Cash Flow ratio.
HAE has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as HAE's earnings are expected to grow with 16.94% in the coming years.

How do we evaluate the Health for NYSE:HAE?

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:HAE has achieved a 5 out of 10:

HAE has an Altman-Z score of 3.46. This indicates that HAE is financially healthy and has little risk of bankruptcy at the moment.
HAE's Altman-Z score of 3.46 is fine compared to the rest of the industry. HAE outperforms 68.75% of its industry peers.
With a decent Debt to FCF ratio value of 7.00, HAE is doing good in the industry, outperforming 76.56% of the companies in the same industry.
A Current Ratio of 2.56 indicates that HAE has no problem at all paying its short term obligations.

Looking at the Profitability

ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. NYSE:HAE has earned a 9 out of 10:

HAE has a Return On Assets of 5.35%. This is amongst the best in the industry. HAE outperforms 83.85% of its industry peers.
HAE has a better Return On Equity (12.24%) than 87.50% of its industry peers.
With an excellent Return On Invested Capital value of 8.55%, HAE belongs to the best of the industry, outperforming 88.02% of the companies in the same industry.
The last Return On Invested Capital (8.55%) for HAE is above the 3 year average (7.51%), which is a sign of increasing profitability.
HAE has a Profit Margin of 8.98%. This is amongst the best in the industry. HAE outperforms 82.81% of its industry peers.
In the last couple of years the Profit Margin of HAE has grown nicely.
HAE has a better Operating Margin (15.57%) than 86.46% of its industry peers.
In the last couple of years the Operating Margin of HAE has grown nicely.
In the last couple of years the Gross Margin of HAE has grown nicely.

Every day, new Affordable Growth stocks can be found on ChartMill in our Affordable Growth screener.

For an up to date full fundamental analysis you can check the fundamental report of HAE

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.