HUDSON TECHNOLOGIES INC (HDSN) Stock Fundamental Analysis
NASDAQ:HDSN - Nasdaq - US4441441098 - Common Stock - Currency: USD
Overall HDSN gets a fundamental rating of 6 out of 10. We evaluated HDSN against 48 industry peers in the Trading Companies & Distributors industry. HDSN has an excellent financial health rating, but there are some minor concerns on its profitability. HDSN has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
HDSN had positive earnings in the past year.
HDSN had a positive operating cash flow in the past year.
HDSN had positive earnings in 4 of the past 5 years.
HDSN had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
HDSN's Return On Assets of 8.06% is fine compared to the rest of the industry. HDSN outperforms 72.92% of its industry peers.
HDSN's Return On Equity of 9.92% is in line compared to the rest of the industry. HDSN outperforms 47.92% of its industry peers.
HDSN has a Return On Invested Capital of 8.68%. This is in the better half of the industry: HDSN outperforms 64.58% of its industry peers.
HDSN had an Average Return On Invested Capital over the past 3 years of 26.20%. This is significantly above the industry average of 9.25%.
The last Return On Invested Capital (8.68%) for HDSN is well below the 3 year average (26.20%), which needs to be investigated, but indicates that HDSN had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.06% | ||
| ROE | 9.92% | ||
| ROIC | 8.68% |
ROA(3y)21.25%
ROA(5y)15.1%
ROE(3y)30.7%
ROE(5y)24.97%
ROIC(3y)26.2%
ROIC(5y)20.28%
1.3 Margins
Looking at the Profit Margin, with a value of 10.29%, HDSN belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
In the last couple of years the Profit Margin of HDSN has declined.
HDSN has a Operating Margin of 12.36%. This is in the better half of the industry: HDSN outperforms 72.92% of its industry peers.
In the last couple of years the Operating Margin of HDSN has declined.
Looking at the Gross Margin, with a value of 27.71%, HDSN is in line with its industry, outperforming 43.75% of the companies in the same industry.
HDSN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.36% | ||
| PM (TTM) | 10.29% | ||
| GM | 27.71% |
OM growth 3Y-17.43%
OM growth 5YN/A
PM growth 3Y-15.02%
PM growth 5YN/A
GM growth 3Y-9.36%
GM growth 5Y21.17%
2. Health
2.1 Basic Checks
HDSN has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
HDSN has less shares outstanding than it did 1 year ago.
The number of shares outstanding for HDSN has been increased compared to 5 years ago.
There is no outstanding debt for HDSN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 4.86 indicates that HDSN is not in any danger for bankruptcy at the moment.
HDSN has a better Altman-Z score (4.86) than 81.25% of its industry peers.
There is no outstanding debt for HDSN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 4.86 |
ROIC/WACC0.88
WACC9.89%
2.3 Liquidity
A Current Ratio of 4.09 indicates that HDSN has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 4.09, HDSN belongs to the top of the industry, outperforming 85.42% of the companies in the same industry.
HDSN has a Quick Ratio of 2.08. This indicates that HDSN is financially healthy and has no problem in meeting its short term obligations.
HDSN's Quick ratio of 2.08 is amongst the best of the industry. HDSN outperforms 81.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.09 | ||
| Quick Ratio | 2.08 |
3. Growth
3.1 Past
The earnings per share for HDSN have decreased strongly by -56.03% in the last year.
The earnings per share for HDSN have been decreasing by -10.44% on average. This is quite bad
Looking at the last year, HDSN shows a very negative growth in Revenue. The Revenue has decreased by -17.97% in the last year.
Measured over the past years, HDSN shows a small growth in Revenue. The Revenue has been growing by 7.90% on average per year.
EPS 1Y (TTM)-56.03%
EPS 3Y-10.44%
EPS 5YN/A
EPS Q2Q%-175%
Revenue 1Y (TTM)-17.97%
Revenue growth 3Y7.16%
Revenue growth 5Y7.9%
Sales Q2Q%-22.77%
3.2 Future
Based on estimates for the next years, HDSN will show a small growth in Earnings Per Share. The EPS will grow by 5.17% on average per year.
HDSN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.97% yearly.
EPS Next Y-19.85%
EPS Next 2Y5.17%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-5.77%
Revenue Next 2Y1.97%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.73, the valuation of HDSN can be described as reasonable.
Based on the Price/Earnings ratio, HDSN is valued cheaply inside the industry as 85.42% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 28.29, HDSN is valued rather cheaply.
HDSN is valuated correctly with a Price/Forward Earnings ratio of 13.38.
HDSN's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. HDSN is cheaper than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.08, HDSN is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.73 | ||
| Fwd PE | 13.38 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HDSN is valued cheaply inside the industry as 93.75% of the companies are valued more expensively.
HDSN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. HDSN is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.78 | ||
| EV/EBITDA | 4.78 |
4.3 Compensation for Growth
The decent profitability rating of HDSN may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y5.17%
EPS Next 3YN/A
5. Dividend
5.1 Amount
HDSN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
5.47
+0.08 (+1.48%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners74.33%
Inst Owner Change-0.78%
Ins Owners12%
Ins Owner Change0.02%
Market Cap240.84M
Analysts48.89
Price Target6.69 (22.3%)
Short Float %1.5%
Short Ratio1.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-241.46%
Min EPS beat(2)-488.23%
Max EPS beat(2)5.32%
EPS beat(4)2
Avg EPS beat(4)-126.27%
Min EPS beat(4)-488.23%
Max EPS beat(4)5.32%
EPS beat(8)5
Avg EPS beat(8)-58.46%
EPS beat(12)9
Avg EPS beat(12)18.2%
EPS beat(16)13
Avg EPS beat(16)72.2%
Revenue beat(2)0
Avg Revenue beat(2)-9.33%
Min Revenue beat(2)-10.52%
Max Revenue beat(2)-8.14%
Revenue beat(4)1
Avg Revenue beat(4)-6.11%
Min Revenue beat(4)-10.52%
Max Revenue beat(4)0.99%
Revenue beat(8)2
Avg Revenue beat(8)-4.74%
Revenue beat(12)6
Avg Revenue beat(12)4.65%
Revenue beat(16)9
Avg Revenue beat(16)6.6%
PT rev (1m)-7.89%
PT rev (3m)-10.26%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-37.5%
EPS NY rev (1m)-9.49%
EPS NY rev (3m)-9.49%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.09%
Revenue NY rev (1m)-5.2%
Revenue NY rev (3m)-5.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.73 | ||
| Fwd PE | 13.38 | ||
| P/S | 1.02 | ||
| P/FCF | 2.78 | ||
| P/OCF | 2.62 | ||
| P/B | 0.98 | ||
| P/tB | 1.42 | ||
| EV/EBITDA | 4.78 |
EPS(TTM)0.51
EY9.32%
EPS(NY)0.41
Fwd EY7.47%
FCF(TTM)1.96
FCFY35.92%
OCF(TTM)2.09
OCFY38.12%
SpS5.39
BVpS5.58
TBVpS3.85
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.06% | ||
| ROE | 9.92% | ||
| ROCE | 11.5% | ||
| ROIC | 8.68% | ||
| ROICexc | 11.98% | ||
| ROICexgc | 20.42% | ||
| OM | 12.36% | ||
| PM (TTM) | 10.29% | ||
| GM | 27.71% | ||
| FCFM | 36.48% |
ROA(3y)21.25%
ROA(5y)15.1%
ROE(3y)30.7%
ROE(5y)24.97%
ROIC(3y)26.2%
ROIC(5y)20.28%
ROICexc(3y)28.13%
ROICexc(5y)21.53%
ROICexgc(3y)41.04%
ROICexgc(5y)33.11%
ROCE(3y)34.71%
ROCE(5y)27.37%
ROICexcg growth 3Y-15.43%
ROICexcg growth 5YN/A
ROICexc growth 3Y-15.17%
ROICexc growth 5YN/A
OM growth 3Y-17.43%
OM growth 5YN/A
PM growth 3Y-15.02%
PM growth 5YN/A
GM growth 3Y-9.36%
GM growth 5Y21.17%
F-Score6
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 82.98% | ||
| Cap/Sales | 2.24% | ||
| Interest Coverage | 42.47 | ||
| Cash Conversion | 257.26% | ||
| Profit Quality | 354.73% | ||
| Current Ratio | 4.09 | ||
| Quick Ratio | 2.08 | ||
| Altman-Z | 4.86 |
F-Score6
WACC9.89%
ROIC/WACC0.88
Cap/Depr(3y)68.73%
Cap/Depr(5y)52.28%
Cap/Sales(3y)1.53%
Cap/Sales(5y)1.32%
Profit Quality(3y)172.31%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-56.03%
EPS 3Y-10.44%
EPS 5YN/A
EPS Q2Q%-175%
EPS Next Y-19.85%
EPS Next 2Y5.17%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-17.97%
Revenue growth 3Y7.16%
Revenue growth 5Y7.9%
Sales Q2Q%-22.77%
Revenue Next Year-5.77%
Revenue Next 2Y1.97%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-62.55%
EBIT growth 3Y-11.52%
EBIT growth 5YN/A
EBIT Next Year-9.86%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y57.39%
FCF growth 3YN/A
FCF growth 5Y21.4%
OCF growth 1Y56.82%
OCF growth 3YN/A
OCF growth 5Y22.11%