HILLENBRAND INC (HI) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:HI • US4315711089
31.91 USD
+0.02 (+0.06%)
At close: Jan 30, 2026
31.93 USD
+0.02 (+0.06%)
After Hours: 1/30/2026, 8:04:00 PM
Overall HI gets a fundamental rating of 3 out of 10. We evaluated HI against 132 industry peers in the Machinery industry. HI may be in some trouble as it scores bad on both profitability and health. HI is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- HI had positive earnings in the past year.
- HI had a positive operating cash flow in the past year.
- Of the past 5 years HI 4 years were profitable.
- HI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 0.96%, HI is doing worse than 64.39% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 3.11%, HI is in line with its industry, outperforming 40.15% of the companies in the same industry.
- HI has a Return On Invested Capital (5.36%) which is comparable to the rest of the industry.
- The Average Return On Invested Capital over the past 3 years for HI is below the industry average of 10.20%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.96% | ||
| ROE | 3.11% | ||
| ROIC | 5.36% |
ROA(3y)2.4%
ROA(5y)3.77%
ROE(3y)7.74%
ROE(5y)12.64%
ROIC(3y)6.16%
ROIC(5y)6.6%
1.3 Margins
- Looking at the Profit Margin, with a value of 1.61%, HI is doing worse than 62.12% of the companies in the same industry.
- In the last couple of years the Profit Margin of HI has declined.
- Looking at the Operating Margin, with a value of 8.75%, HI is in line with its industry, outperforming 51.52% of the companies in the same industry.
- HI's Operating Margin has declined in the last couple of years.
- HI has a better Gross Margin (34.05%) than 61.36% of its industry peers.
- HI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.75% | ||
| PM (TTM) | 1.61% | ||
| GM | 34.05% |
OM growth 3Y-12.36%
OM growth 5Y-5.43%
PM growth 3Y-43.68%
PM growth 5YN/A
GM growth 3Y0.98%
GM growth 5Y0.98%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so HI is destroying value.
- HI has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, HI has less shares outstanding
- HI has a better debt/assets ratio than last year.
2.2 Solvency
- HI has an Altman-Z score of 1.59. This is a bad value and indicates that HI is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 1.59, HI is doing worse than 73.48% of the companies in the same industry.
- HI has a debt to FCF ratio of 85.18. This is a negative value and a sign of low solvency as HI would need 85.18 years to pay back of all of its debts.
- The Debt to FCF ratio of HI (85.18) is worse than 65.91% of its industry peers.
- A Debt/Equity ratio of 1.08 is on the high side and indicates that HI has dependencies on debt financing.
- HI has a worse Debt to Equity ratio (1.08) than 78.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 85.18 | ||
| Altman-Z | 1.59 |
ROIC/WACC0.59
WACC9.12%
2.3 Liquidity
- HI has a Current Ratio of 1.22. This is a normal value and indicates that HI is financially healthy and should not expect problems in meeting its short term obligations.
- HI has a Current ratio of 1.22. This is amonst the worse of the industry: HI underperforms 83.33% of its industry peers.
- HI has a Quick Ratio of 1.22. This is a bad value and indicates that HI is not financially healthy enough and could expect problems in meeting its short term obligations.
- HI has a worse Quick ratio (0.88) than 70.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
- HI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -24.47%.
- Measured over the past years, HI shows a decrease in Earnings Per Share. The EPS has been decreasing by -0.55% on average per year.
- HI shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -15.99%.
- HI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.22% yearly.
EPS 1Y (TTM)-24.47%
EPS 3Y-13.92%
EPS 5Y-0.55%
EPS Q2Q%-17.82%
Revenue 1Y (TTM)-15.99%
Revenue growth 3Y4.92%
Revenue growth 5Y1.22%
Sales Q2Q%-22.15%
3.2 Future
- The Earnings Per Share is expected to grow by 3.50% on average over the next years.
- HI is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -2.86% yearly.
EPS Next Y-2.64%
EPS Next 2Y3.5%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-8.05%
Revenue Next 2Y-2.86%
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 accelerating.
- 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
- Based on the Price/Earnings ratio of 12.76, the valuation of HI can be described as correct.
- Based on the Price/Earnings ratio, HI is valued cheaply inside the industry as 93.94% of the companies are valued more expensively.
- HI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.30.
- HI is valuated correctly with a Price/Forward Earnings ratio of 13.11.
- Based on the Price/Forward Earnings ratio, HI is valued cheaper than 90.15% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.57, HI is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.76 | ||
| Fwd PE | 13.11 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, HI is valued cheaply inside the industry as 86.36% of the companies are valued more expensively.
- HI's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. HI is more expensive than 65.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 125.7 | ||
| EV/EBITDA | 9.69 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y3.5%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- HI has a Yearly Dividend Yield of 2.85%.
- Compared to an average industry Dividend Yield of 1.02, HI pays a better dividend. On top of this HI pays more dividend than 93.18% of the companies listed in the same industry.
- HI's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.85% |
5.2 History
- The dividend of HI decreases each year by -0.52%.
- HI has paid a dividend for at least 10 years, which is a reliable track record.
- HI has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-0.52%
Div Incr Years16
Div Non Decr Years16
5.3 Sustainability
- HI pays out 147.10% of its income as dividend. This is not a sustainable payout ratio.
DP147.1%
EPS Next 2Y3.5%
EPS Next 3YN/A
HILLENBRAND INC / HI FAQ
What is the ChartMill fundamental rating of HILLENBRAND INC (HI) stock?
ChartMill assigns a fundamental rating of 3 / 10 to HI.
What is the valuation status of HILLENBRAND INC (HI) stock?
ChartMill assigns a valuation rating of 4 / 10 to HILLENBRAND INC (HI). This can be considered as Fairly Valued.
How profitable is HILLENBRAND INC (HI) stock?
HILLENBRAND INC (HI) has a profitability rating of 3 / 10.
Can you provide the PE and PB ratios for HI stock?
The Price/Earnings (PE) ratio for HILLENBRAND INC (HI) is 12.76 and the Price/Book (PB) ratio is 1.62.
Can you provide the dividend sustainability for HI stock?
The dividend rating of HILLENBRAND INC (HI) is 5 / 10 and the dividend payout ratio is 147.1%.