Looking for growth without the hefty price tag? Consider NYSE:HAE.

Last update: Jun 25, 2024

Our stock screener has singled out HAEMONETICS CORP/MASS (NYSE:HAE) as an attractive growth opportunity. NYSE:HAE is demonstrating remarkable growth potential while maintaining strong financial indicators, making it a reasonably priced option. We'll explore this further.

Unpacking NYSE:HAE's Growth Rating

ChartMill assigns a Growth Rating to each stock, ranging from 0 to 10. This rating is determined by analyzing different growth elements, including EPS and revenue growth, spanning both historical and future figures. In the case of NYSE:HAE, the assigned 7 reflects its growth potential:

HAE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 31.35%, which is quite impressive.
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 a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.40% yearly.
Based on estimates for the next years, HAE will show a quite strong growth in Revenue. The Revenue will grow by 10.74% on average per year.
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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.

Analyzing Valuation Metrics

ChartMill employs its own Valuation Rating system for all stocks. This score, ranging from 0 to 10, is determined by evaluating different valuation factors, including price to earnings and free cash flow, both in absolute terms and relative to the market and industry. NYSE:HAE has earned a 6 for valuation:

HAE's Price/Earnings ratio is rather cheap when compared to the industry. HAE is cheaper than 82.98% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 28.70. HAE is valued slightly cheaper when compared to this.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HAE indicates a rather cheap valuation: HAE is cheaper than 84.04% of the companies listed in the same industry.
Based on the Enterprise Value to EBITDA ratio, HAE is valued cheaper than 83.51% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, HAE is valued cheaply inside the industry as 82.45% of the companies are valued more expensively.
HAE has an outstanding profitability rating, which may justify a higher PE ratio.
HAE's earnings are expected to grow with 16.87% in the coming years. This may justify a more expensive valuation.

Evaluating Health: NYSE:HAE

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NYSE:HAE has earned a 5 out of 10:

HAE has an Altman-Z score of 3.50. This indicates that HAE is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 3.50, HAE is doing good in the industry, outperforming 69.68% of the companies in the same industry.
HAE's Debt to FCF ratio of 7.00 is fine compared to the rest of the industry. HAE outperforms 76.60% of its industry peers.
HAE has a Current Ratio of 2.56. This indicates that HAE is financially healthy and has no problem in meeting its short term obligations.

Assessing Profitability for NYSE:HAE

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:

The Return On Assets of HAE (5.35%) is better than 84.04% of its industry peers.
With an excellent Return On Equity value of 12.24%, HAE belongs to the best of the industry, outperforming 87.77% of the companies in the same industry.
With an excellent Return On Invested Capital value of 8.55%, HAE belongs to the best of the industry, outperforming 88.30% 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.
Looking at the Profit Margin, with a value of 8.98%, HAE belongs to the top of the industry, outperforming 82.98% of the companies in the same industry.
In the last couple of years the Profit Margin of HAE has grown nicely.
Looking at the Operating Margin, with a value of 15.57%, HAE belongs to the top of the industry, outperforming 86.17% of the companies in the same industry.
In the last couple of years the Operating Margin of HAE has grown nicely.
HAE's Gross Margin has improved in the last couple of years.

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

Disclaimer

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.