94.64 USD
-0.6 (-0.63%)
At close: May 30, 2025
94.64 USD
0 (0%)
After Hours: 5/30/2025, 8:01:00 PM
Taking everything into account, HEES scores 3 out of 10 in our fundamental rating. HEES was compared to 50 industry peers in the Trading Companies & Distributors industry. There are concerns on the financial health of HEES while its profitability can be described as average. HEES is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- HEES had positive earnings in the past year.
- HEES had a positive operating cash flow in the past year.
- Of the past 5 years HEES 4 years were profitable.
- Each year in the past 5 years HEES had a positive operating cash flow.
1.2 Ratios
- With a Return On Assets value of 3.39%, HEES perfoms like the industry average, outperforming 51.02% of the companies in the same industry.
- HEES has a Return On Equity of 15.05%. This is in the better half of the industry: HEES outperforms 63.27% of its industry peers.
- HEES's Return On Invested Capital of 5.96% is in line compared to the rest of the industry. HEES outperforms 48.98% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for HEES is in line with the industry average of 9.60%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.39% | ||
| ROE | 15.05% | ||
| ROIC | 5.96% |
ROA(3y)5.53%
ROA(5y)3.97%
ROE(3y)28.14%
ROE(5y)20.89%
ROIC(3y)8.17%
ROIC(5y)6.83%
1.3 Margins
- Looking at the Profit Margin, with a value of 6.21%, HEES is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
- In the last couple of years the Profit Margin of HEES has remained more or less at the same level.
- HEES has a better Operating Margin (12.36%) than 75.51% of its industry peers.
- HEES's Operating Margin has been stable in the last couple of years.
- With a decent Gross Margin value of 43.28%, HEES is doing good in the industry, outperforming 77.55% of the companies in the same industry.
- HEES's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.36% | ||
| PM (TTM) | 6.21% | ||
| GM | 43.28% |
OM growth 3Y7.13%
OM growth 5Y0.88%
PM growth 3Y-5.62%
PM growth 5Y0.89%
GM growth 3Y4.44%
GM growth 5Y2.47%
2. Health
2.1 Basic Checks
- HEES has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- HEES has more shares outstanding than it did 1 year ago.
- HEES has more shares outstanding than it did 5 years ago.
- HEES has a better debt/assets ratio than last year.
2.2 Solvency
- HEES has an Altman-Z score of 1.93. This is not the best score and indicates that HEES is in the grey zone with still only limited risk for bankruptcy at the moment.
- HEES's Altman-Z score of 1.93 is on the low side compared to the rest of the industry. HEES is outperformed by 71.43% of its industry peers.
- The Debt to FCF ratio of HEES is 13.77, which is on the high side as it means it would take HEES, 13.77 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of HEES (13.77) is comparable to the rest of the industry.
- A Debt/Equity ratio of 2.26 is on the high side and indicates that HEES has dependencies on debt financing.
- HEES's Debt to Equity ratio of 2.26 is on the low side compared to the rest of the industry. HEES is outperformed by 79.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.26 | ||
| Debt/FCF | 13.77 | ||
| Altman-Z | 1.93 |
ROIC/WACC0.62
WACC9.54%
2.3 Liquidity
- A Current Ratio of 0.63 indicates that HEES may have some problems paying its short term obligations.
- Looking at the Current ratio, with a value of 0.63, HEES is doing worse than 95.92% of the companies in the same industry.
- HEES has a Quick Ratio of 0.63. This is a bad value and indicates that HEES is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of HEES (0.59) is worse than 81.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.63 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
- The earnings per share for HEES have decreased strongly by -41.84% in the last year.
- Measured over the past 5 years, HEES shows a small growth in Earnings Per Share. The EPS has been growing by 5.09% on average per year.
- Looking at the last year, HEES shows a decrease in Revenue. The Revenue has decreased by -3.52% in the last year.
- Measured over the past years, HEES shows a small growth in Revenue. The Revenue has been growing by 6.18% on average per year.
EPS 1Y (TTM)-41.84%
EPS 3Y24.34%
EPS 5Y5.09%
EPS Q2Q%-95.77%
Revenue 1Y (TTM)-3.52%
Revenue growth 3Y12.58%
Revenue growth 5Y6.18%
Sales Q2Q%-13.98%
3.2 Future
- Based on estimates for the next years, HEES will show a decrease in Earnings Per Share. The EPS will decrease by -0.18% on average per year.
- The Revenue is expected to grow by 3.68% on average over the next years.
EPS Next Y-31.61%
EPS Next 2Y-0.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year0.39%
Revenue Next 2Y3.68%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 34.04, HEES can be considered very expensive at the moment.
- 61.22% of the companies in the same industry are cheaper than HEES, based on the Price/Earnings ratio.
- HEES's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.92.
- A Price/Forward Earnings ratio of 27.45 indicates a quite expensive valuation of HEES.
- 65.31% of the companies in the same industry are cheaper than HEES, based on the Price/Forward Earnings ratio.
- HEES is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 27.78, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.04 | ||
| Fwd PE | 27.45 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, HEES is valued cheaply inside the industry as 85.71% of the companies are valued more expensively.
- HEES's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.07 | ||
| EV/EBITDA | 7.76 |
4.3 Compensation for Growth
- HEES has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)6.69
EPS Next 2Y-0.18%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- HEES has a Yearly Dividend Yield of 1.16%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 0.88, HEES pays a bit more dividend than its industry peers.
- HEES's Dividend Yield is slightly below the S&P500 average, which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
5.2 History
- The dividend of HEES decreases each year by -0.02%.
- HEES has paid a dividend for at least 10 years, which is a reliable track record.
- HEES has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-0.02%
Div Incr Years0
Div Non Decr Years10
5.3 Sustainability
- 44.29% of the earnings are spent on dividend by HEES. This is a bit on the high side, but may be sustainable.
- The Dividend Rate of HEES has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP44.29%
EPS Next 2Y-0.18%
EPS Next 3YN/A
94.64
-0.6 (-0.63%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)04-29 2025-04-29/bmo
Earnings (Next)07-28 2025-07-28/bmo
Inst Owners78.62%
Inst Owner Change-95.89%
Ins Owners0.67%
Ins Owner Change0%
Market Cap3.47B
Revenue(TTM)1.46B
Net Income(TTM)90.89M
Analysts47.5
Price Target86.7 (-8.39%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
Yearly Dividend1.1
Dividend Growth(5Y)-0.02%
DP44.29%
Div Incr Years0
Div Non Decr Years10
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-37.57%
Min EPS beat(2)-95.33%
Max EPS beat(2)20.2%
EPS beat(4)1
Avg EPS beat(4)-26.33%
Min EPS beat(4)-95.33%
Max EPS beat(4)20.2%
EPS beat(8)4
Avg EPS beat(8)-10.27%
EPS beat(12)8
Avg EPS beat(12)1.39%
EPS beat(16)12
Avg EPS beat(16)7.88%
Revenue beat(2)1
Avg Revenue beat(2)-6.27%
Min Revenue beat(2)-13.63%
Max Revenue beat(2)1.09%
Revenue beat(4)1
Avg Revenue beat(4)-4.69%
Min Revenue beat(4)-13.63%
Max Revenue beat(4)1.09%
Revenue beat(8)4
Avg Revenue beat(8)-1.43%
Revenue beat(12)7
Avg Revenue beat(12)-0.3%
Revenue beat(16)9
Avg Revenue beat(16)-1.57%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)35.45%
EPS NQ rev (3m)-19.89%
EPS NY rev (1m)0%
EPS NY rev (3m)-38.3%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-7.18%
Revenue NY rev (1m)3.15%
Revenue NY rev (3m)-3.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.04 | ||
| Fwd PE | 27.45 | ||
| P/S | 2.37 | ||
| P/FCF | 35.07 | ||
| P/OCF | 6.8 | ||
| P/B | 5.75 | ||
| P/tB | 8.51 | ||
| EV/EBITDA | 7.76 |
EPS(TTM)2.78
EY2.94%
EPS(NY)3.45
Fwd EY3.64%
FCF(TTM)2.7
FCFY2.85%
OCF(TTM)13.91
OCFY14.7%
SpS39.94
BVpS16.47
TBVpS11.12
PEG (NY)N/A
PEG (5Y)6.69
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.39% | ||
| ROE | 15.05% | ||
| ROCE | 7.87% | ||
| ROIC | 5.96% | ||
| ROICexc | 5.99% | ||
| ROICexgc | 6.54% | ||
| OM | 12.36% | ||
| PM (TTM) | 6.21% | ||
| GM | 43.28% | ||
| FCFM | 6.76% |
ROA(3y)5.53%
ROA(5y)3.97%
ROE(3y)28.14%
ROE(5y)20.89%
ROIC(3y)8.17%
ROIC(5y)6.83%
ROICexc(3y)8.33%
ROICexc(5y)7.4%
ROICexgc(3y)8.97%
ROICexgc(5y)7.96%
ROCE(3y)10.79%
ROCE(5y)9.02%
ROICexgc growth 3Y1.18%
ROICexgc growth 5Y-1.16%
ROICexc growth 3Y0.48%
ROICexc growth 5Y-0.78%
OM growth 3Y7.13%
OM growth 5Y0.88%
PM growth 3Y-5.62%
PM growth 5Y0.89%
GM growth 3Y4.44%
GM growth 5Y2.47%
F-Score5
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.26 | ||
| Debt/FCF | 13.77 | ||
| Debt/EBITDA | 2.19 | ||
| Cap/Depr | 93.34% | ||
| Cap/Sales | 28.07% | ||
| Interest Coverage | 2.59 | ||
| Cash Conversion | 82.07% | ||
| Profit Quality | 108.88% | ||
| Current Ratio | 0.63 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 1.93 |
F-Score5
WACC9.54%
ROIC/WACC0.62
Cap/Depr(3y)155.79%
Cap/Depr(5y)138%
Cap/Sales(3y)40.66%
Cap/Sales(5y)35.59%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-41.84%
EPS 3Y24.34%
EPS 5Y5.09%
EPS Q2Q%-95.77%
EPS Next Y-31.61%
EPS Next 2Y-0.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-3.52%
Revenue growth 3Y12.58%
Revenue growth 5Y6.18%
Sales Q2Q%-13.98%
Revenue Next Year0.39%
Revenue Next 2Y3.68%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-36.15%
EBIT growth 3Y20.61%
EBIT growth 5Y7.11%
EBIT Next Year175.47%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y142.65%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y60.44%
OCF growth 3Y24.05%
OCF growth 5Y9.2%
H&E EQUIPMENT SERVICES INC / HEES FAQ
Can you provide the ChartMill fundamental rating for H&E EQUIPMENT SERVICES INC?
ChartMill assigns a fundamental rating of 3 / 10 to HEES.
What is the valuation status for HEES stock?
ChartMill assigns a valuation rating of 2 / 10 to H&E EQUIPMENT SERVICES INC (HEES). This can be considered as Overvalued.
What is the profitability of HEES stock?
H&E EQUIPMENT SERVICES INC (HEES) has a profitability rating of 6 / 10.
Can you provide the financial health for HEES stock?
The financial health rating of H&E EQUIPMENT SERVICES INC (HEES) is 1 / 10.
Is the dividend of H&E EQUIPMENT SERVICES INC sustainable?
The dividend rating of H&E EQUIPMENT SERVICES INC (HEES) is 5 / 10 and the dividend payout ratio is 44.29%.