HILLENBRAND INC (HI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:HI - US4315711089 - Common Stock
31.72 USD
-0.01 (-0.03%)
31.72 USD
0 (0%)
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.
HI had positive earnings in 4 of the past 5 years.
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 63.64% of the companies in the same industry.
With a Return On Equity value of 3.11%, HI perfoms like the industry average, outperforming 40.15% of the companies in the same industry.
HI has a Return On Invested Capital (5.36%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for HI is below the industry average of 10.27%.
| 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
With a Profit Margin value of 1.61%, HI is not doing good in the industry: 61.36% of the companies in the same industry are doing better.
In the last couple of years the Profit Margin of HI has declined.
HI has a Operating Margin of 8.75%. This is comparable to the rest of the industry: HI outperforms 52.27% of its industry peers.
In the last couple of years the Operating Margin of HI has declined.
The Gross Margin of HI (34.05%) is better than 62.12% 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.
The Altman-Z score of HI (1.59) is worse than 75.00% of its industry peers.
The Debt to FCF ratio of HI is 85.18, which is on the high side as it means it would take HI, 85.18 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 85.18, HI is doing worse than 65.91% of the companies in the same industry.
HI has a Debt/Equity ratio of 1.08. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.08, HI is doing worse than 78.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 85.18 | ||
| Altman-Z | 1.59 |
ROIC/WACC0.6
WACC8.97%
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's Current ratio of 1.22 is on the low side compared to the rest of the industry. HI is outperformed by 82.58% of its industry peers.
A Quick Ratio of 0.88 indicates that HI may have some problems paying its short term obligations.
HI has a Quick ratio of 0.88. This is in the lower half of the industry: HI underperforms 68.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
The earnings per share for HI have decreased strongly by -24.47% in the last year.
The Earnings Per Share has been decreasing by -0.55% on average over the past years.
Looking at the last year, HI shows a very negative growth in Revenue. The Revenue has decreased by -15.99% in the last year.
Measured over the past years, HI shows a small growth in Revenue. The Revenue has been growing by 1.22% on average per year.
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.
Based on estimates for the next years, HI will show a decrease in Revenue. The Revenue will decrease by -2.86% on average per year.
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
A Price/Earnings ratio of 12.69 indicates a correct valuation of HI.
Based on the Price/Earnings ratio, HI is valued cheaper than 90.91% of the companies in the same industry.
When comparing the Price/Earnings ratio of HI to the average of the S&P500 Index (26.51), we can say HI is valued rather cheaply.
A Price/Forward Earnings ratio of 13.03 indicates a correct valuation of HI.
Based on the Price/Forward Earnings ratio, HI is valued cheaper than 87.88% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.13, HI is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.69 | ||
| Fwd PE | 13.03 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HI is valued cheaply inside the industry as 81.82% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, HI is valued a bit more expensive than the industry average as 65.91% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 124.95 | ||
| EV/EBITDA | 9.66 |
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 2.87%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 0.98, HI pays a better dividend. On top of this HI pays more dividend than 92.42% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.00, HI pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.87% |
5.2 History
The dividend of HI decreases each year by -0.52%.
HI has been paying a dividend for at least 10 years, so it has a reliable track record.
HI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-0.52%
Div Incr Years16
Div Non Decr Years16
5.3 Sustainability
147.10% of the earnings are spent on dividend by HI. This is not a sustainable payout ratio.
DP147.1%
EPS Next 2Y3.5%
EPS Next 3YN/A
31.72
-0.01 (-0.03%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners92.89%
Inst Owner Change1.1%
Ins Owners1.04%
Ins Owner Change6.51%
Market Cap2.24B
Revenue(TTM)2.67B
Net Income(TTM)43.10M
Analysts80
Price Target32.64 (2.9%)
Short Float %3.17%
Short Ratio1.89
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.87% |
Yearly Dividend0.9
Dividend Growth(5Y)-0.52%
DP147.1%
Div Incr Years16
Div Non Decr Years16
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.97%
Min EPS beat(2)0.13%
Max EPS beat(2)31.82%
EPS beat(4)4
Avg EPS beat(4)10.44%
Min EPS beat(4)0.13%
Max EPS beat(4)31.82%
EPS beat(8)6
Avg EPS beat(8)5.85%
EPS beat(12)9
Avg EPS beat(12)3.05%
EPS beat(16)12
Avg EPS beat(16)2.7%
Revenue beat(2)2
Avg Revenue beat(2)4.07%
Min Revenue beat(2)1.57%
Max Revenue beat(2)6.57%
Revenue beat(4)3
Avg Revenue beat(4)1.85%
Min Revenue beat(4)-1.32%
Max Revenue beat(4)6.57%
Revenue beat(8)4
Avg Revenue beat(8)-0.71%
Revenue beat(12)4
Avg Revenue beat(12)-2.6%
Revenue beat(16)4
Avg Revenue beat(16)-7.3%
PT rev (1m)0%
PT rev (3m)-3.03%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.03%
EPS NY rev (1m)3.1%
EPS NY rev (3m)2.45%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.12%
Revenue NY rev (1m)0.77%
Revenue NY rev (3m)0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.69 | ||
| Fwd PE | 13.03 | ||
| P/S | 0.84 | ||
| P/FCF | 124.95 | ||
| P/OCF | 39.8 | ||
| P/B | 1.61 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.66 |
EPS(TTM)2.5
EY7.88%
EPS(NY)2.43
Fwd EY7.67%
FCF(TTM)0.25
FCFY0.8%
OCF(TTM)0.8
OCFY2.51%
SpS37.92
BVpS19.67
TBVpS-19.16
PEG (NY)N/A
PEG (5Y)N/A
Graham Number33.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.96% | ||
| ROE | 3.11% | ||
| ROCE | 6.79% | ||
| ROIC | 5.36% | ||
| ROICexc | 5.63% | ||
| ROICexgc | 33.95% | ||
| OM | 8.75% | ||
| PM (TTM) | 1.61% | ||
| GM | 34.05% | ||
| FCFM | 0.67% |
ROA(3y)2.4%
ROA(5y)3.77%
ROE(3y)7.74%
ROE(5y)12.64%
ROIC(3y)6.16%
ROIC(5y)6.6%
ROICexc(3y)6.5%
ROICexc(5y)7.16%
ROICexgc(3y)38.7%
ROICexgc(5y)39.05%
ROCE(3y)7.8%
ROCE(5y)8.35%
ROICexgc growth 3Y-5.09%
ROICexgc growth 5Y1.64%
ROICexc growth 3Y-15.38%
ROICexc growth 5Y-7.05%
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%
F-Score6
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 85.18 | ||
| Debt/EBITDA | 4.03 | ||
| Cap/Depr | 27.65% | ||
| Cap/Sales | 1.43% | ||
| Interest Coverage | 2.61 | ||
| Cash Conversion | 15.09% | ||
| Profit Quality | 41.53% | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 1.59 |
F-Score6
WACC8.97%
ROIC/WACC0.6
Cap/Depr(3y)39.04%
Cap/Depr(5y)36.59%
Cap/Sales(3y)1.86%
Cap/Sales(5y)1.7%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-24.47%
EPS 3Y-13.92%
EPS 5Y-0.55%
EPS Q2Q%-17.82%
EPS Next Y-2.64%
EPS Next 2Y3.5%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-15.99%
Revenue growth 3Y4.92%
Revenue growth 5Y1.22%
Sales Q2Q%-22.15%
Revenue Next Year-8.05%
Revenue Next 2Y-2.86%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-32.42%
EBIT growth 3Y-8.05%
EBIT growth 5Y-4.28%
EBIT Next Year31.91%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-84.27%
FCF growth 3Y-51.07%
FCF growth 5Y-43.79%
OCF growth 1Y-66.55%
OCF growth 3Y-33.5%
OCF growth 5Y-30.82%
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 12.69 and the Price/Book (PB) ratio is 1.61.
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%.