HERITAGE GLOBAL INC (HGBL) Stock Fundamental Analysis
NASDAQ:HGBL - Nasdaq - US42727E1038 - Common Stock - Currency: USD
HGBL gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 227 industry peers in the Capital Markets industry. HGBL has an average financial health and profitability rating. HGBL is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year HGBL was profitable.
In the past year HGBL had a positive cash flow from operations.
Each year in the past 5 years HGBL has been profitable.
HGBL had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
HGBL's Return On Assets of 6.37% is fine compared to the rest of the industry. HGBL outperforms 74.45% of its industry peers.
The Return On Equity of HGBL (7.95%) is comparable to the rest of the industry.
With a decent Return On Invested Capital value of 7.02%, HGBL is doing good in the industry, outperforming 78.41% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for HGBL is above the industry average of 7.06%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.37% | ||
| ROE | 7.95% | ||
| ROIC | 7.02% |
ROA(3y)14.77%
ROA(5y)14.4%
ROE(3y)20.15%
ROE(5y)20.41%
ROIC(3y)9.06%
ROIC(5y)7.53%
1.3 Margins
With a Profit Margin value of 11.42%, HGBL is not doing good in the industry: 60.35% of the companies in the same industry are doing better.
HGBL's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 14.06%, HGBL is doing worse than 66.52% of the companies in the same industry.
HGBL's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 68.86%, HGBL is in the better half of the industry, outperforming 73.57% of the companies in the same industry.
In the last couple of years the Gross Margin of HGBL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.06% | ||
| PM (TTM) | 11.42% | ||
| GM | 68.86% |
OM growth 3Y13.35%
OM growth 5Y10.34%
PM growth 3Y-1.15%
PM growth 5Y-5.18%
GM growth 3Y-1.1%
GM growth 5Y-0.45%
2. Health
2.1 Basic Checks
Compared to 1 year ago, HGBL has less shares outstanding
Compared to 5 years ago, HGBL has more shares outstanding
HGBL has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -0.19, we must say that HGBL is in the distress zone and has some risk of bankruptcy.
HGBL's Altman-Z score of -0.19 is on the low side compared to the rest of the industry. HGBL is outperformed by 77.53% of its industry peers.
There is no outstanding debt for HGBL. 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 | 0.05 | ||
| Altman-Z | -0.19 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
HGBL has a Current Ratio of 2.27. This indicates that HGBL is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.27, HGBL is in the better half of the industry, outperforming 74.89% of the companies in the same industry.
HGBL has a Quick Ratio of 1.90. This is a normal value and indicates that HGBL is financially healthy and should not expect problems in meeting its short term obligations.
HGBL has a better Quick ratio (1.90) than 67.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.27 | ||
| Quick Ratio | 1.9 |
3. Growth
3.1 Past
The earnings per share for HGBL have decreased strongly by -57.58% in the last year.
HGBL shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 1.44% yearly.
The Revenue for HGBL has decreased by -25.08% in the past year. This is quite bad
The Revenue has been growing by 11.63% on average over the past years. This is quite good.
EPS 1Y (TTM)-57.58%
EPS 3Y15.87%
EPS 5Y1.44%
EPS Q2Q%-107.69%
Revenue 1Y (TTM)-25.08%
Revenue growth 3Y20.71%
Revenue growth 5Y11.63%
Sales Q2Q%-29.55%
3.2 Future
The Earnings Per Share is expected to grow by 30.85% on average over the next years. This is a very strong growth
HGBL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.02% yearly.
EPS Next Y31.14%
EPS Next 2Y30.85%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.72%
Revenue Next 2Y10.02%
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 14.29 indicates a correct valuation of HGBL.
HGBL's Price/Earnings is on the same level as the industry average.
HGBL is valuated rather cheaply when we compare the Price/Earnings ratio to 28.29, which is the current average of the S&P500 Index.
HGBL is valuated reasonably with a Price/Forward Earnings ratio of 10.89.
60.79% of the companies in the same industry are more expensive than HGBL, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.08, HGBL is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.29 | ||
| Fwd PE | 10.89 |
4.2 Price Multiples
HGBL's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. HGBL is cheaper than 89.43% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HGBL indicates a somewhat cheap valuation: HGBL is cheaper than 74.89% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.33 | ||
| EV/EBITDA | 7.12 |
4.3 Compensation for Growth
HGBL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as HGBL's earnings are expected to grow with 30.85% in the coming years.
PEG (NY)0.46
PEG (5Y)9.95
EPS Next 2Y30.85%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for HGBL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:HGBL (4/17/2025, 8:26:25 PM)
2
+0.02 (+1.01%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners36.32%
Inst Owner Change0%
Ins Owners11.91%
Ins Owner Change-0.05%
Market Cap71.00M
Analysts82.22
Price Target3.91 (95.5%)
Short Float %0.09%
Short Ratio0.42
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)0
Avg EPS beat(2)-85.99%
Min EPS beat(2)-121.01%
Max EPS beat(2)-50.98%
EPS beat(4)0
Avg EPS beat(4)-49.14%
Min EPS beat(4)-121.01%
Max EPS beat(4)-1.96%
EPS beat(8)3
Avg EPS beat(8)-9.44%
EPS beat(12)6
Avg EPS beat(12)7.6%
EPS beat(16)6
Avg EPS beat(16)-6.67%
Revenue beat(2)0
Avg Revenue beat(2)-18.92%
Min Revenue beat(2)-23.68%
Max Revenue beat(2)-14.15%
Revenue beat(4)0
Avg Revenue beat(4)-17.64%
Min Revenue beat(4)-23.68%
Max Revenue beat(4)-14.15%
Revenue beat(8)2
Avg Revenue beat(8)-4.98%
Revenue beat(12)6
Avg Revenue beat(12)4.44%
Revenue beat(16)8
Avg Revenue beat(16)1.2%
PT rev (1m)-8%
PT rev (3m)-8%
EPS NQ rev (1m)-31.24%
EPS NQ rev (3m)-31.24%
EPS NY rev (1m)-22.86%
EPS NY rev (3m)-22.86%
Revenue NQ rev (1m)-7.91%
Revenue NQ rev (3m)-7.91%
Revenue NY rev (1m)-11.51%
Revenue NY rev (3m)-11.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.29 | ||
| Fwd PE | 10.89 | ||
| P/S | 1.57 | ||
| P/FCF | 9.33 | ||
| P/OCF | 9.17 | ||
| P/B | 1.09 | ||
| P/tB | 1.31 | ||
| EV/EBITDA | 7.12 |
EPS(TTM)0.14
EY7%
EPS(NY)0.18
Fwd EY9.18%
FCF(TTM)0.21
FCFY10.72%
OCF(TTM)0.22
OCFY10.91%
SpS1.28
BVpS1.84
TBVpS1.53
PEG (NY)0.46
PEG (5Y)9.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.37% | ||
| ROE | 7.95% | ||
| ROCE | 9.56% | ||
| ROIC | 7.02% | ||
| ROICexc | 10.42% | ||
| ROICexgc | 13.72% | ||
| OM | 14.06% | ||
| PM (TTM) | 11.42% | ||
| GM | 68.86% | ||
| FCFM | 16.77% |
ROA(3y)14.77%
ROA(5y)14.4%
ROE(3y)20.15%
ROE(5y)20.41%
ROIC(3y)9.06%
ROIC(5y)7.53%
ROICexc(3y)11.88%
ROICexc(5y)13.37%
ROICexgc(3y)15.54%
ROICexgc(5y)N/A
ROCE(3y)12.33%
ROCE(5y)10.25%
ROICexcg growth 3Y-7.36%
ROICexcg growth 5Y-37.82%
ROICexc growth 3Y8.82%
ROICexc growth 5Y-8.63%
OM growth 3Y13.35%
OM growth 5Y10.34%
PM growth 3Y-1.15%
PM growth 5Y-5.18%
GM growth 3Y-1.1%
GM growth 5Y-0.45%
F-Score7
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.05 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 23.18% | ||
| Cap/Sales | 0.3% | ||
| Interest Coverage | 70.09 | ||
| Cash Conversion | 111.14% | ||
| Profit Quality | 146.82% | ||
| Current Ratio | 2.27 | ||
| Quick Ratio | 1.9 | ||
| Altman-Z | -0.19 |
F-Score7
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)37.97%
Cap/Depr(5y)85.51%
Cap/Sales(3y)0.4%
Cap/Sales(5y)1.36%
Profit Quality(3y)96.52%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-57.58%
EPS 3Y15.87%
EPS 5Y1.44%
EPS Q2Q%-107.69%
EPS Next Y31.14%
EPS Next 2Y30.85%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-25.08%
Revenue growth 3Y20.71%
Revenue growth 5Y11.63%
Sales Q2Q%-29.55%
Revenue Next Year5.72%
Revenue Next 2Y10.02%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-51.87%
EBIT growth 3Y36.82%
EBIT growth 5Y23.17%
EBIT Next Year7.9%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-40.39%
FCF growth 3YN/A
FCF growth 5Y62.57%
OCF growth 1Y-40.52%
OCF growth 3YN/A
OCF growth 5Y57.86%