HEICO CORP-CLASS A (HEI.A) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:HEI.A - US4228062083 - Common Stock
267.185 USD
+0.11 (+0.04%)
HEI.A gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 73 industry peers in the Aerospace & Defense industry. While HEI.A belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. HEI.A shows excellent growth, but is valued quite expensive already. This makes HEI.A very considerable for growth investing!
1. Profitability
1.1 Basic Checks
- In the past year HEI.A was profitable.
- In the past year HEI.A had a positive cash flow from operations.
- Each year in the past 5 years HEI.A has been profitable.
- Each year in the past 5 years HEI.A had a positive operating cash flow.
1.2 Ratios
- HEI.A has a Return On Assets of 8.12%. This is amongst the best in the industry. HEI.A outperforms 86.30% of its industry peers.
- HEI.A has a Return On Equity of 16.04%. This is amongst the best in the industry. HEI.A outperforms 82.19% of its industry peers.
- With an excellent Return On Invested Capital value of 11.03%, HEI.A belongs to the best of the industry, outperforming 86.30% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for HEI.A is in line with the industry average of 8.56%.
- The 3 year average ROIC (9.64%) for HEI.A is below the current ROIC(11.03%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.12% | ||
| ROE | 16.04% | ||
| ROIC | 11.03% |
ROA(3y)6.83%
ROA(5y)7.56%
ROE(3y)14.33%
ROE(5y)13.99%
ROIC(3y)9.64%
ROIC(5y)10.07%
1.3 Margins
- HEI.A has a better Profit Margin (15.39%) than 94.52% of its industry peers.
- HEI.A's Profit Margin has declined in the last couple of years.
- HEI.A's Operating Margin of 22.72% is amongst the best of the industry. HEI.A outperforms 93.15% of its industry peers.
- HEI.A's Operating Margin has improved in the last couple of years.
- HEI.A has a better Gross Margin (39.83%) than 80.82% of its industry peers.
- HEI.A's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.72% | ||
| PM (TTM) | 15.39% | ||
| GM | 39.83% |
OM growth 3Y0.33%
OM growth 5Y1.51%
PM growth 3Y-1.13%
PM growth 5Y-2.61%
GM growth 3Y0.65%
GM growth 5Y0.86%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so HEI.A is still creating some value.
- HEI.A has more shares outstanding than it did 1 year ago.
- HEI.A has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, HEI.A has an improved debt to assets ratio.
2.2 Solvency
- HEI.A has an Altman-Z score of 7.06. This indicates that HEI.A is financially healthy and has little risk of bankruptcy at the moment.
- HEI.A has a Altman-Z score of 7.06. This is in the better half of the industry: HEI.A outperforms 67.12% of its industry peers.
- HEI.A has a debt to FCF ratio of 2.52. This is a good value and a sign of high solvency as HEI.A would need 2.52 years to pay back of all of its debts.
- With an excellent Debt to FCF ratio value of 2.52, HEI.A belongs to the best of the industry, outperforming 89.04% of the companies in the same industry.
- HEI.A has a Debt/Equity ratio of 0.50. This is a neutral value indicating HEI.A is somewhat dependend on debt financing.
- HEI.A's Debt to Equity ratio of 0.50 is in line compared to the rest of the industry. HEI.A outperforms 49.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 2.52 | ||
| Altman-Z | 7.06 |
ROIC/WACC1.12
WACC9.82%
2.3 Liquidity
- HEI.A has a Current Ratio of 2.83. This indicates that HEI.A is financially healthy and has no problem in meeting its short term obligations.
- HEI.A has a Current ratio (2.83) which is in line with its industry peers.
- A Quick Ratio of 1.28 indicates that HEI.A should not have too much problems paying its short term obligations.
- HEI.A has a worse Quick ratio (1.28) than 60.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.83 | ||
| Quick Ratio | 1.28 |
3. Growth
3.1 Past
- HEI.A shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 34.29%, which is quite impressive.
- Measured over the past years, HEI.A shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.50% on average per year.
- HEI.A shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.26%.
- The Revenue has been growing by 20.21% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)34.29%
EPS 3Y24.45%
EPS 5Y16.5%
EPS Q2Q%34.84%
Revenue 1Y (TTM)16.26%
Revenue growth 3Y26.64%
Revenue growth 5Y20.21%
Sales Q2Q%19.31%
3.2 Future
- Based on estimates for the next years, HEI.A will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.60% on average per year.
- The Revenue is expected to grow by 10.46% on average over the next years. This is quite good.
EPS Next Y13.62%
EPS Next 2Y13.09%
EPS Next 3Y13.52%
EPS Next 5Y18.6%
Revenue Next Year11.25%
Revenue Next 2Y9.81%
Revenue Next 3Y8.93%
Revenue Next 5Y10.46%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 54.42, which means the current valuation is very expensive for HEI.A.
- HEI.A's Price/Earnings is on the same level as the industry average.
- The average S&P500 Price/Earnings ratio is at 26.94. HEI.A is valued rather expensively when compared to this.
- The Price/Forward Earnings ratio is 47.85, which means the current valuation is very expensive for HEI.A.
- Based on the Price/Forward Earnings ratio, HEI.A is valued a bit cheaper than 60.27% of the companies in the same industry.
- HEI.A's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 23.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.42 | ||
| Fwd PE | 47.85 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as HEI.A.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of HEI.A indicates a somewhat cheap valuation: HEI.A is cheaper than 75.34% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.18 | ||
| EV/EBITDA | 32.2 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates HEI.A does not grow enough to justify the current Price/Earnings ratio.
- HEI.A has an outstanding profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as HEI.A's earnings are expected to grow with 13.52% in the coming years.
PEG (NY)4
PEG (5Y)3.3
EPS Next 2Y13.09%
EPS Next 3Y13.52%
5. Dividend
5.1 Amount
- HEI.A has a yearly dividend return of 0.07%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.34, HEI.A pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.83, HEI.A's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.07% |
5.2 History
- The dividend of HEI.A is nicely growing with an annual growth rate of 7.53%!
- HEI.A has been paying a dividend for at least 10 years, so it has a reliable track record.
- As HEI.A did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)7.53%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
- HEI.A pays out 4.63% of its income as dividend. This is a sustainable payout ratio.
- The dividend of HEI.A is growing, but earnings are growing more, so the dividend growth is sustainable.
DP4.63%
EPS Next 2Y13.09%
EPS Next 3Y13.52%
NYSE:HEI.A (1/21/2026, 9:54:56 AM)
267.185
+0.11 (+0.04%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)12-22 2025-12-22/amc
Earnings (Next)02-24 2026-02-24
Inst Owners73%
Inst Owner Change0.03%
Ins Owners15.5%
Ins Owner ChangeN/A
Market Cap37.19B
Revenue(TTM)4.49B
Net Income(TTM)690.38M
Analysts79.2
Price Target286.85 (7.36%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.07% |
Yearly Dividend0.23
Dividend Growth(5Y)7.53%
DP4.63%
Div Incr Years7
Div Non Decr Years7
Ex-Date01-05 2026-01-05 (0.12)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.72%
Min EPS beat(2)5.63%
Max EPS beat(2)9.81%
EPS beat(4)4
Avg EPS beat(4)12.08%
Min EPS beat(4)5.63%
Max EPS beat(4)25.49%
EPS beat(8)7
Avg EPS beat(8)8.74%
EPS beat(12)10
Avg EPS beat(12)6.64%
EPS beat(16)13
Avg EPS beat(16)4.65%
Revenue beat(2)2
Avg Revenue beat(2)0.93%
Min Revenue beat(2)0.03%
Max Revenue beat(2)1.83%
Revenue beat(4)4
Avg Revenue beat(4)2.07%
Min Revenue beat(4)0.03%
Max Revenue beat(4)4.12%
Revenue beat(8)4
Avg Revenue beat(8)0.37%
Revenue beat(12)8
Avg Revenue beat(12)1.21%
Revenue beat(16)11
Avg Revenue beat(16)0.94%
PT rev (1m)3.29%
PT rev (3m)1.06%
EPS NQ rev (1m)3.43%
EPS NQ rev (3m)3.51%
EPS NY rev (1m)1.97%
EPS NY rev (3m)3.32%
Revenue NQ rev (1m)0.77%
Revenue NQ rev (3m)1.38%
Revenue NY rev (1m)1.29%
Revenue NY rev (3m)1.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.42 | ||
| Fwd PE | 47.85 | ||
| P/S | 8.29 | ||
| P/FCF | 43.18 | ||
| P/OCF | 39.81 | ||
| P/B | 8.64 | ||
| P/tB | N/A | ||
| EV/EBITDA | 32.2 |
EPS(TTM)4.91
EY1.84%
EPS(NY)5.58
Fwd EY2.09%
FCF(TTM)6.19
FCFY2.32%
OCF(TTM)6.71
OCFY2.51%
SpS32.22
BVpS30.93
TBVpS-5.95
PEG (NY)4
PEG (5Y)3.3
Graham Number58.45
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.12% | ||
| ROE | 16.04% | ||
| ROCE | 13.29% | ||
| ROIC | 11.03% | ||
| ROICexc | 11.35% | ||
| ROICexgc | 36.48% | ||
| OM | 22.72% | ||
| PM (TTM) | 15.39% | ||
| GM | 39.83% | ||
| FCFM | 19.21% |
ROA(3y)6.83%
ROA(5y)7.56%
ROE(3y)14.33%
ROE(5y)13.99%
ROIC(3y)9.64%
ROIC(5y)10.07%
ROICexc(3y)9.9%
ROICexc(5y)10.38%
ROICexgc(3y)33.39%
ROICexgc(5y)33.47%
ROCE(3y)11.62%
ROCE(5y)12.13%
ROICexgc growth 3Y-0.02%
ROICexgc growth 5Y1.82%
ROICexc growth 3Y-0.9%
ROICexc growth 5Y1.04%
OM growth 3Y0.33%
OM growth 5Y1.51%
PM growth 3Y-1.13%
PM growth 5Y-2.61%
GM growth 3Y0.65%
GM growth 5Y0.86%
F-Score8
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 2.52 | ||
| Debt/EBITDA | 1.78 | ||
| Cap/Depr | 37.17% | ||
| Cap/Sales | 1.63% | ||
| Interest Coverage | 7.9 | ||
| Cash Conversion | 76.89% | ||
| Profit Quality | 124.77% | ||
| Current Ratio | 2.83 | ||
| Quick Ratio | 1.28 | ||
| Altman-Z | 7.06 |
F-Score8
WACC9.82%
ROIC/WACC1.12
Cap/Depr(3y)36.14%
Cap/Depr(5y)36.1%
Cap/Sales(3y)1.6%
Cap/Sales(5y)1.64%
Profit Quality(3y)114.39%
Profit Quality(5y)120.24%
High Growth Momentum
Growth
EPS 1Y (TTM)34.29%
EPS 3Y24.45%
EPS 5Y16.5%
EPS Q2Q%34.84%
EPS Next Y13.62%
EPS Next 2Y13.09%
EPS Next 3Y13.52%
EPS Next 5Y18.6%
Revenue 1Y (TTM)16.26%
Revenue growth 3Y26.64%
Revenue growth 5Y20.21%
Sales Q2Q%19.31%
Revenue Next Year11.25%
Revenue Next 2Y9.81%
Revenue Next 3Y8.93%
Revenue Next 5Y10.46%
EBIT growth 1Y22.48%
EBIT growth 3Y27.05%
EBIT growth 5Y22.02%
EBIT Next Year34.15%
EBIT Next 3Y16.88%
EBIT Next 5Y19.29%
FCF growth 1Y40.27%
FCF growth 3Y25.49%
FCF growth 5Y17.4%
OCF growth 1Y38.95%
OCF growth 3Y25.93%
OCF growth 5Y17.96%
HEICO CORP-CLASS A / HEI.A FAQ
Can you provide the ChartMill fundamental rating for HEICO CORP-CLASS A?
ChartMill assigns a fundamental rating of 7 / 10 to HEI.A.
What is the valuation status of HEICO CORP-CLASS A (HEI.A) stock?
ChartMill assigns a valuation rating of 3 / 10 to HEICO CORP-CLASS A (HEI.A). This can be considered as Overvalued.
What is the profitability of HEI.A stock?
HEICO CORP-CLASS A (HEI.A) has a profitability rating of 8 / 10.
What is the earnings growth outlook for HEICO CORP-CLASS A?
The Earnings per Share (EPS) of HEICO CORP-CLASS A (HEI.A) is expected to grow by 13.62% in the next year.
Can you provide the dividend sustainability for HEI.A stock?
The dividend rating of HEICO CORP-CLASS A (HEI.A) is 6 / 10 and the dividend payout ratio is 4.63%.