HUDSON TECHNOLOGIES INC (HDSN) Stock Fundamental Analysis
NASDAQ:HDSN - Nasdaq - US4441441098 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to HDSN. HDSN was compared to 49 industry peers in the Trading Companies & Distributors industry. HDSN scores excellent points on both the profitability and health parts. This is a solid base for a good stock. HDSN is valued quite cheap, but it does not seem to be growing. With these ratings, HDSN could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
HDSN had positive earnings in the past year.
In the past year HDSN had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: HDSN reported negative net income in multiple years.
HDSN had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
HDSN has a Return On Assets of 9.99%. This is amongst the best in the industry. HDSN outperforms 81.25% of its industry peers.
Looking at the Return On Equity, with a value of 12.17%, HDSN is doing worse than 60.42% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 11.59%, HDSN is in the better half of the industry, outperforming 77.08% of the companies in the same industry.
HDSN had an Average Return On Invested Capital over the past 3 years of 32.15%. This is significantly above the industry average of 9.86%.
The last Return On Invested Capital (11.59%) for HDSN is well below the 3 year average (32.15%), which needs to be investigated, but indicates that HDSN had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.99% | ||
| ROE | 12.17% | ||
| ROIC | 11.59% |
ROA(3y)23.56%
ROA(5y)10.62%
ROE(3y)42.58%
ROE(5y)11.5%
ROIC(3y)32.15%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 12.49%, HDSN belongs to the top of the industry, outperforming 85.42% of the companies in the same industry.
HDSN's Operating Margin of 15.08% is fine compared to the rest of the industry. HDSN outperforms 70.83% of its industry peers.
HDSN's Operating Margin has improved in the last couple of years.
HDSN has a Gross Margin (29.88%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of HDSN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.08% | ||
| PM (TTM) | 12.49% | ||
| GM | 29.88% |
OM growth 3Y89.14%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y17.17%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so HDSN is creating value.
HDSN has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, HDSN has more shares outstanding
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
HDSN has an Altman-Z score of 5.22. This indicates that HDSN is financially healthy and has little risk of bankruptcy at the moment.
HDSN's Altman-Z score of 5.22 is amongst the best of the industry. HDSN outperforms 85.42% 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 | 5.22 |
ROIC/WACC0.94
WACC12.32%
2.3 Liquidity
A Current Ratio of 4.37 indicates that HDSN has no problem at all paying its short term obligations.
HDSN's Current ratio of 4.37 is amongst the best of the industry. HDSN outperforms 91.67% of its industry peers.
HDSN has a Quick Ratio of 2.15. This indicates that HDSN is financially healthy and has no problem in meeting its short term obligations.
HDSN's Quick ratio of 2.15 is amongst the best of the industry. HDSN outperforms 89.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.37 | ||
| Quick Ratio | 2.15 |
3. Growth
3.1 Past
HDSN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -45.38%.
HDSN shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -15.18%.
Measured over the past years, HDSN shows a quite strong growth in Revenue. The Revenue has been growing by 11.66% on average per year.
EPS 1Y (TTM)-45.38%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-50%
Revenue 1Y (TTM)-15.18%
Revenue growth 3Y25.11%
Revenue growth 5Y11.66%
Sales Q2Q%-19.02%
3.2 Future
HDSN is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -9.97% yearly.
Based on estimates for the next years, HDSN will show a decrease in Revenue. The Revenue will decrease by -1.72% on average per year.
EPS Next Y-51.93%
EPS Next 2Y-37.6%
EPS Next 3Y-9.97%
EPS Next 5YN/A
Revenue Next Year-15.48%
Revenue Next 2Y-8.34%
Revenue Next 3Y-1.72%
Revenue Next 5YN/A
3.3 Evolution
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
HDSN is valuated reasonably with a Price/Earnings ratio of 8.72.
Based on the Price/Earnings ratio, HDSN is valued cheaper than 95.83% of the companies in the same industry.
When comparing the Price/Earnings ratio of HDSN to the average of the S&P500 Index (28.47), we can say HDSN is valued rather cheaply.
The Price/Forward Earnings ratio is 12.56, which indicates a correct valuation of HDSN.
HDSN's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. HDSN is cheaper than 79.17% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 92.74, HDSN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.72 | ||
| Fwd PE | 12.56 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HDSN is valued cheaply inside the industry as 95.83% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, HDSN is valued cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.16 | ||
| EV/EBITDA | 4.67 |
4.3 Compensation for Growth
The decent profitability rating of HDSN may justify a higher PE ratio.
HDSN's earnings are expected to decrease with -9.97% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-37.6%
EPS Next 3Y-9.97%
5. Dividend
5.1 Amount
No dividends for HDSN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
HUDSON TECHNOLOGIES INC
NASDAQ:HDSN (2/4/2025, 8:00:01 PM)
After market: 5.62 -0.05 (-0.88%)5.67
-0.06 (-1.05%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners75.91%
Inst Owner Change-1.11%
Ins Owners11.91%
Ins Owner Change0.02%
Market Cap256.28M
Analysts48.89
Price Target7.46 (31.57%)
Short Float %1.28%
Short Ratio1.03
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)-8.51%
Min EPS beat(2)-22.35%
Max EPS beat(2)5.32%
EPS beat(4)2
Avg EPS beat(4)-4.7%
Min EPS beat(4)-22.35%
Max EPS beat(4)5.32%
EPS beat(8)6
Avg EPS beat(8)8.45%
EPS beat(12)10
Avg EPS beat(12)90.82%
EPS beat(16)13
Avg EPS beat(16)101.48%
Revenue beat(2)0
Avg Revenue beat(2)-7.45%
Min Revenue beat(2)-8.14%
Max Revenue beat(2)-6.77%
Revenue beat(4)2
Avg Revenue beat(4)-1.19%
Min Revenue beat(4)-8.14%
Max Revenue beat(4)9.17%
Revenue beat(8)3
Avg Revenue beat(8)-0.41%
Revenue beat(12)7
Avg Revenue beat(12)8.43%
Revenue beat(16)9
Avg Revenue beat(16)6.64%
PT rev (1m)0%
PT rev (3m)-28.22%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-111.43%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.17%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-15.52%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.72 | ||
| Fwd PE | 12.56 | ||
| P/S | 1.04 | ||
| P/FCF | 3.16 | ||
| P/OCF | 2.98 | ||
| P/B | 1.01 | ||
| P/tB | 1.45 | ||
| EV/EBITDA | 4.67 |
EPS(TTM)0.65
EY11.46%
EPS(NY)0.45
Fwd EY7.96%
FCF(TTM)1.79
FCFY31.61%
OCF(TTM)1.91
OCFY33.61%
SpS5.47
BVpS5.62
TBVpS3.9
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.99% | ||
| ROE | 12.17% | ||
| ROCE | 14.18% | ||
| ROIC | 11.59% | ||
| ROICexc | 14.76% | ||
| ROICexgc | 23.62% | ||
| OM | 15.08% | ||
| PM (TTM) | 12.49% | ||
| GM | 29.88% | ||
| FCFM | 32.76% |
ROA(3y)23.56%
ROA(5y)10.62%
ROE(3y)42.58%
ROE(5y)11.5%
ROIC(3y)32.15%
ROIC(5y)N/A
ROICexc(3y)33.2%
ROICexc(5y)N/A
ROICexgc(3y)49.23%
ROICexgc(5y)N/A
ROCE(3y)40.2%
ROCE(5y)N/A
ROICexcg growth 3Y61.13%
ROICexcg growth 5YN/A
ROICexc growth 3Y93.03%
ROICexc growth 5YN/A
OM growth 3Y89.14%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y17.17%
GM growth 5YN/A
F-Score6
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 83.61% | ||
| Cap/Sales | 2.07% | ||
| Interest Coverage | 48.17 | ||
| Cash Conversion | 198.45% | ||
| Profit Quality | 262.21% | ||
| Current Ratio | 4.37 | ||
| Quick Ratio | 2.15 | ||
| Altman-Z | 5.22 |
F-Score6
WACC12.32%
ROIC/WACC0.94
Cap/Depr(3y)51.43%
Cap/Depr(5y)38.52%
Cap/Sales(3y)1.12%
Cap/Sales(5y)1%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-45.38%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-50%
EPS Next Y-51.93%
EPS Next 2Y-37.6%
EPS Next 3Y-9.97%
EPS Next 5YN/A
Revenue 1Y (TTM)-15.18%
Revenue growth 3Y25.11%
Revenue growth 5Y11.66%
Sales Q2Q%-19.02%
Revenue Next Year-15.48%
Revenue Next 2Y-8.34%
Revenue Next 3Y-1.72%
Revenue Next 5YN/A
EBIT growth 1Y-53.74%
EBIT growth 3Y136.63%
EBIT growth 5YN/A
EBIT Next Year-52.42%
EBIT Next 3Y-8.52%
EBIT Next 5YN/A
FCF growth 1Y69.49%
FCF growth 3Y75.21%
FCF growth 5Y9.3%
OCF growth 1Y69.65%
OCF growth 3Y71.09%
OCF growth 5Y10.01%