HAWAIIAN ELECTRIC INDS (HE) Stock Fundamental Analysis
USA - NYSE:HE - US4198701009 - Common Stock
11.57 USD
-0.02 (-0.17%)
11.57 USD
0 (0%)
Taking everything into account, HE scores 3 out of 10 in our fundamental rating. HE was compared to 47 industry peers in the Electric Utilities industry. Both the profitability and financial health of HE have multiple concerns. HE has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
HE had positive earnings in the past year.
HE had a positive operating cash flow in the past year.
HE had positive earnings in 4 of the past 5 years.
HE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
HE has a Return On Assets of -1.44%. This is amonst the worse of the industry: HE underperforms 95.74% of its industry peers.
HE's Return On Equity of -7.64% is on the low side compared to the rest of the industry. HE is outperformed by 95.74% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.03%, HE is doing worse than 74.47% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for HE is below the industry average of 4.90%.
The last Return On Invested Capital (3.03%) for HE is above the 3 year average (1.99%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.44% | ||
| ROE | -7.64% | ||
| ROIC | 3.03% |
ROA(3y)-4.44%
ROA(5y)-2.09%
ROE(3y)-25.02%
ROE(5y)-11.32%
ROIC(3y)1.99%
ROIC(5y)1.95%
1.3 Margins
HE's Operating Margin of 9.94% is on the low side compared to the rest of the industry. HE is outperformed by 87.23% of its industry peers.
In the last couple of years the Operating Margin of HE has declined.
HE does not have Profit Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.94% | ||
| PM (TTM) | N/A | ||
| GM | N/A |
OM growth 3Y-17.69%
OM growth 5Y-9.56%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so HE is destroying value.
Compared to 1 year ago, HE has more shares outstanding
HE has more shares outstanding than it did 5 years ago.
HE has a worse debt/assets ratio than last year.
2.2 Solvency
HE has an Altman-Z score of 0.53. This is a bad value and indicates that HE is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.53, HE is doing worse than 85.11% of the companies in the same industry.
The Debt to FCF ratio of HE is 16.51, which is on the high side as it means it would take HE, 16.51 years of fcf income to pay off all of its debts.
HE has a Debt to FCF ratio of 16.51. This is in the better half of the industry: HE outperforms 78.72% of its industry peers.
A Debt/Equity ratio of 1.51 is on the high side and indicates that HE has dependencies on debt financing.
HE's Debt to Equity ratio of 1.51 is in line compared to the rest of the industry. HE outperforms 42.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.51 | ||
| Debt/FCF | 16.51 | ||
| Altman-Z | 0.53 |
ROIC/WACC0.97
WACC3.12%
2.3 Liquidity
A Current Ratio of 1.15 indicates that HE should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.15, HE is in the better half of the industry, outperforming 76.60% of the companies in the same industry.
HE has a Quick Ratio of 1.15. This is a normal value and indicates that HE is financially healthy and should not expect problems in meeting its short term obligations.
HE has a Quick ratio of 1.15. This is amongst the best in the industry. HE outperforms 80.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
HE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -43.52%.
The Earnings Per Share has been decreasing by -4.97% on average over the past years.
HE shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -20.18%.
The Revenue has been growing slightly by 2.30% on average over the past years.
EPS 1Y (TTM)-43.52%
EPS 3Y-11.55%
EPS 5Y-4.97%
EPS Q2Q%-54.55%
Revenue 1Y (TTM)-20.18%
Revenue growth 3Y4.15%
Revenue growth 5Y2.3%
Sales Q2Q%-16.82%
3.2 Future
HE is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -10.07% yearly.
The Revenue is expected to grow by 1.62% on average over the next years.
EPS Next Y-34.21%
EPS Next 2Y-19.16%
EPS Next 3Y-14.62%
EPS Next 5Y-10.07%
Revenue Next Year-1.73%
Revenue Next 2Y0.16%
Revenue Next 3Y0.85%
Revenue Next 5Y1.62%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
With a Price/Earnings ratio of 10.61, the valuation of HE can be described as very reasonable.
Based on the Price/Earnings ratio, HE is valued a bit cheaper than 72.34% of the companies in the same industry.
When comparing the Price/Earnings ratio of HE to the average of the S&P500 Index (25.83), we can say HE is valued rather cheaply.
The Price/Forward Earnings ratio is 11.42, which indicates a very decent valuation of HE.
Based on the Price/Forward Earnings ratio, HE is valued a bit cheaper than the industry average as 76.60% of the companies are valued more expensively.
HE's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 32.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.61 | ||
| Fwd PE | 11.42 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HE is valued a bit cheaper than 76.60% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HE indicates a rather cheap valuation: HE is cheaper than 80.85% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.09 | ||
| EV/EBITDA | 7.9 |
4.3 Compensation for Growth
A cheap valuation may be justified as HE's earnings are expected to decrease with -14.62% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-19.16%
EPS Next 3Y-14.62%
5. Dividend
5.1 Amount
No dividends for HE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
11.57
-0.02 (-0.17%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners76.45%
Inst Owner Change0.46%
Ins Owners0.19%
Ins Owner Change9.05%
Market Cap2.00B
Revenue(TTM)2.92B
Net Income(TTM)-119.89M
Analysts42
Price Target11.35 (-1.9%)
Short Float %5.79%
Short Ratio5.42
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.01
Dividend Growth(5Y)-59.93%
DP-1.58%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.47%
Min EPS beat(2)-3.75%
Max EPS beat(2)6.69%
EPS beat(4)1
Avg EPS beat(4)-15.97%
Min EPS beat(4)-51.9%
Max EPS beat(4)6.69%
EPS beat(8)2
Avg EPS beat(8)-12.42%
EPS beat(12)3
Avg EPS beat(12)-10.16%
EPS beat(16)5
Avg EPS beat(16)-5.06%
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-6.64%
PT rev (3m)-6.32%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-313.37%
EPS NY rev (1m)-0.25%
EPS NY rev (3m)-1.94%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-8.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.61 | ||
| Fwd PE | 11.42 | ||
| P/S | 0.68 | ||
| P/FCF | 13.09 | ||
| P/OCF | 4.17 | ||
| P/B | 1.27 | ||
| P/tB | 1.27 | ||
| EV/EBITDA | 7.9 |
EPS(TTM)1.09
EY9.42%
EPS(NY)1.01
Fwd EY8.75%
FCF(TTM)0.88
FCFY7.64%
OCF(TTM)2.77
OCFY23.96%
SpS16.89
BVpS9.09
TBVpS9.09
PEG (NY)N/A
PEG (5Y)N/A
Graham Number14.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.44% | ||
| ROE | -7.64% | ||
| ROCE | 3.76% | ||
| ROIC | 3.03% | ||
| ROICexc | 3.09% | ||
| ROICexgc | 3.56% | ||
| OM | 9.94% | ||
| PM (TTM) | N/A | ||
| GM | N/A | ||
| FCFM | 5.23% |
ROA(3y)-4.44%
ROA(5y)-2.09%
ROE(3y)-25.02%
ROE(5y)-11.32%
ROIC(3y)1.99%
ROIC(5y)1.95%
ROICexc(3y)2.09%
ROICexc(5y)2.03%
ROICexgc(3y)2.33%
ROICexgc(5y)2.25%
ROCE(3y)2.54%
ROCE(5y)2.47%
ROICexgc growth 3Y8.08%
ROICexgc growth 5Y3.01%
ROICexc growth 3Y6.51%
ROICexc growth 5Y2.51%
OM growth 3Y-17.69%
OM growth 5Y-9.56%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.51 | ||
| Debt/FCF | 16.51 | ||
| Debt/EBITDA | 4.35 | ||
| Cap/Depr | 127.01% | ||
| Cap/Sales | 11.18% | ||
| Interest Coverage | 3815.3 | ||
| Cash Conversion | 87.54% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | 0.53 |
F-Score5
WACC3.12%
ROIC/WACC0.97
Cap/Depr(3y)144.45%
Cap/Depr(5y)144.46%
Cap/Sales(3y)11.17%
Cap/Sales(5y)11.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-43.52%
EPS 3Y-11.55%
EPS 5Y-4.97%
EPS Q2Q%-54.55%
EPS Next Y-34.21%
EPS Next 2Y-19.16%
EPS Next 3Y-14.62%
EPS Next 5Y-10.07%
Revenue 1Y (TTM)-20.18%
Revenue growth 3Y4.15%
Revenue growth 5Y2.3%
Sales Q2Q%-16.82%
Revenue Next Year-1.73%
Revenue Next 2Y0.16%
Revenue Next 3Y0.85%
Revenue Next 5Y1.62%
EBIT growth 1Y-8.68%
EBIT growth 3Y-14.27%
EBIT growth 5Y-7.48%
EBIT Next Year50.64%
EBIT Next 3Y17.87%
EBIT Next 5Y12.29%
FCF growth 1Y-52.22%
FCF growth 3Y32.77%
FCF growth 5Y21.1%
OCF growth 1Y-36.33%
OCF growth 3Y9.07%
OCF growth 5Y-1%
HAWAIIAN ELECTRIC INDS / HE FAQ
What is the ChartMill fundamental rating of HAWAIIAN ELECTRIC INDS (HE) stock?
ChartMill assigns a fundamental rating of 3 / 10 to HE.
What is the valuation status for HE stock?
ChartMill assigns a valuation rating of 6 / 10 to HAWAIIAN ELECTRIC INDS (HE). This can be considered as Fairly Valued.
Can you provide the profitability details for HAWAIIAN ELECTRIC INDS?
HAWAIIAN ELECTRIC INDS (HE) has a profitability rating of 2 / 10.
What is the earnings growth outlook for HAWAIIAN ELECTRIC INDS?
The Earnings per Share (EPS) of HAWAIIAN ELECTRIC INDS (HE) is expected to decline by -34.21% in the next year.
How sustainable is the dividend of HAWAIIAN ELECTRIC INDS (HE) stock?
The dividend rating of HAWAIIAN ELECTRIC INDS (HE) is 0 / 10 and the dividend payout ratio is -1.58%.