HIGH LINER FOODS INC (HLF.CA) Stock Fundamental Analysis
Canada - TSX:HLF - CA4296951094 - Common Stock
15.88 CAD
+0.02 (+0.13%)
Overall HLF gets a fundamental rating of 7 out of 10. We evaluated HLF against 13 industry peers in the Food Products industry. HLF scores excellent on profitability, but there are some minor concerns on its financial health. HLF may be a bit undervalued, certainly considering the very reasonable score on growth HLF also has an excellent dividend rating. This makes HLF very considerable for value and dividend investing!
1. Profitability
1.1 Basic Checks
In the past year HLF was profitable.
In the past year HLF had a positive cash flow from operations.
In the past 5 years HLF has always been profitable.
HLF had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.50%, HLF belongs to the top of the industry, outperforming 84.62% of the companies in the same industry.
HLF has a Return On Equity of 11.48%. This is amongst the best in the industry. HLF outperforms 84.62% of its industry peers.
HLF has a better Return On Invested Capital (8.66%) than 76.92% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for HLF is significantly below the industry average of 103.08%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.5% | ||
| ROE | 11.48% | ||
| ROIC | 8.66% |
ROA(3y)5.44%
ROA(5y)5.03%
ROE(3y)12.56%
ROE(5y)12.06%
ROIC(3y)9.05%
ROIC(5y)8.8%
1.3 Margins
HLF has a better Profit Margin (4.94%) than 92.31% of its industry peers.
In the last couple of years the Profit Margin of HLF has grown nicely.
HLF has a Operating Margin of 7.24%. This is amongst the best in the industry. HLF outperforms 84.62% of its industry peers.
HLF's Operating Margin has improved in the last couple of years.
HLF has a Gross Margin of 22.24%. This is in the better half of the industry: HLF outperforms 69.23% of its industry peers.
HLF's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.24% | ||
| PM (TTM) | 4.94% | ||
| GM | 22.24% |
OM growth 3Y3.44%
OM growth 5Y7.37%
PM growth 3Y9.17%
PM growth 5Y41.82%
GM growth 3Y-0.02%
GM growth 5Y2.82%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so HLF is still creating some value.
Compared to 1 year ago, HLF has less shares outstanding
Compared to 5 years ago, HLF has less shares outstanding
HLF has a better debt/assets ratio than last year.
2.2 Solvency
HLF has an Altman-Z score of 2.72. This is not the best score and indicates that HLF is in the grey zone with still only limited risk for bankruptcy at the moment.
HLF's Altman-Z score of 2.72 is fine compared to the rest of the industry. HLF outperforms 69.23% of its industry peers.
HLF has a debt to FCF ratio of 14.84. This is a negative value and a sign of low solvency as HLF would need 14.84 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 14.84, HLF is in the better half of the industry, outperforming 61.54% of the companies in the same industry.
A Debt/Equity ratio of 0.59 indicates that HLF is somewhat dependend on debt financing.
HLF has a Debt to Equity ratio of 0.59. This is amongst the best in the industry. HLF outperforms 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 14.84 | ||
| Altman-Z | 2.72 |
ROIC/WACC1.13
WACC7.65%
2.3 Liquidity
HLF has a Current Ratio of 2.61. This indicates that HLF is financially healthy and has no problem in meeting its short term obligations.
HLF's Current ratio of 2.61 is amongst the best of the industry. HLF outperforms 100.00% of its industry peers.
HLF has a Quick Ratio of 2.61. This is a bad value and indicates that HLF is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Quick ratio value of 0.71, HLF is doing good in the industry, outperforming 76.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.61 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
HLF shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 21.26%, which is quite impressive.
Measured over the past years, HLF shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.18% on average per year.
The Revenue has decreased by -2.03% in the past year.
HLF shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.36% yearly.
EPS 1Y (TTM)21.26%
EPS 3Y5.66%
EPS 5Y12.18%
EPS Q2Q%8.57%
Revenue 1Y (TTM)-2.03%
Revenue growth 3Y3.09%
Revenue growth 5Y0.36%
Sales Q2Q%9.75%
3.2 Future
Based on estimates for the next years, HLF will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.41% on average per year.
HLF is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.39% yearly.
EPS Next Y5.28%
EPS Next 2Y7.51%
EPS Next 3Y8.41%
EPS Next 5YN/A
Revenue Next Year7.77%
Revenue Next 2Y6.77%
Revenue Next 3Y5.39%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 7.46, the valuation of HLF can be described as very cheap.
Based on the Price/Earnings ratio, HLF is valued cheaper than 100.00% of the companies in the same industry.
HLF is valuated cheaply when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 6.57, which indicates a rather cheap valuation of HLF.
Based on the Price/Forward Earnings ratio, HLF is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
HLF's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.73.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.46 | ||
| Fwd PE | 6.57 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HLF is valued cheaply inside the industry as 84.62% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, HLF is valued a bit cheaper than 69.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.16 | ||
| EV/EBITDA | 6.28 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of HLF may justify a higher PE ratio.
PEG (NY)1.41
PEG (5Y)0.61
EPS Next 2Y7.51%
EPS Next 3Y8.41%
5. Dividend
5.1 Amount
HLF has a Yearly Dividend Yield of 4.29%, which is a nice return.
Compared to an average industry Dividend Yield of 3.47, HLF pays a better dividend. On top of this HLF pays more dividend than 92.31% of the companies listed in the same industry.
HLF's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.29% |
5.2 History
The dividend of HLF decreases each year by -0.71%.
HLF has paid a dividend for at least 10 years, which is a reliable track record.
HLF has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-0.71%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
HLF pays out 29.16% of its income as dividend. This is a sustainable payout ratio.
DP29.16%
EPS Next 2Y7.51%
EPS Next 3Y8.41%
TSX:HLF (9/12/2025, 7:00:00 PM)
15.88
+0.02 (+0.13%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners16.41%
Inst Owner ChangeN/A
Ins Owners5.43%
Ins Owner ChangeN/A
Market Cap461.00M
Analysts75.56
Price Target21.73 (36.84%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.29% |
Yearly Dividend0.6
Dividend Growth(5Y)-0.71%
DP29.16%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.25%
Min EPS beat(2)-8.23%
Max EPS beat(2)5.74%
EPS beat(4)2
Avg EPS beat(4)15.5%
Min EPS beat(4)-11.99%
Max EPS beat(4)76.5%
EPS beat(8)5
Avg EPS beat(8)15.83%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-2.22%
Min Revenue beat(2)-3.46%
Max Revenue beat(2)-0.99%
Revenue beat(4)2
Avg Revenue beat(4)1.11%
Min Revenue beat(4)-3.46%
Max Revenue beat(4)8.36%
Revenue beat(8)2
Avg Revenue beat(8)-1.16%
Revenue beat(12)4
Avg Revenue beat(12)-0.52%
Revenue beat(16)7
Avg Revenue beat(16)0.11%
PT rev (1m)-2.29%
PT rev (3m)2.96%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-13.43%
EPS NY rev (1m)1.88%
EPS NY rev (3m)1.88%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.24%
Revenue NY rev (1m)0.99%
Revenue NY rev (3m)0.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.46 | ||
| Fwd PE | 6.57 | ||
| P/S | 0.34 | ||
| P/FCF | 19.16 | ||
| P/OCF | 8.54 | ||
| P/B | 0.8 | ||
| P/tB | 2.2 | ||
| EV/EBITDA | 6.28 |
EPS(TTM)2.13
EY13.41%
EPS(NY)2.42
Fwd EY15.22%
FCF(TTM)0.83
FCFY5.22%
OCF(TTM)1.86
OCFY11.71%
SpS46.36
BVpS19.97
TBVpS7.22
PEG (NY)1.41
PEG (5Y)0.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.5% | ||
| ROE | 11.48% | ||
| ROCE | 9.82% | ||
| ROIC | 8.66% | ||
| ROICexc | 8.67% | ||
| ROICexgc | 13.83% | ||
| OM | 7.24% | ||
| PM (TTM) | 4.94% | ||
| GM | 22.24% | ||
| FCFM | 1.79% |
ROA(3y)5.44%
ROA(5y)5.03%
ROE(3y)12.56%
ROE(5y)12.06%
ROIC(3y)9.05%
ROIC(5y)8.8%
ROICexc(3y)9.16%
ROICexc(5y)8.97%
ROICexgc(3y)15.19%
ROICexgc(5y)15.84%
ROCE(3y)10.9%
ROCE(5y)10.38%
ROICexcg growth 3Y2.62%
ROICexcg growth 5Y4.6%
ROICexc growth 3Y5.57%
ROICexc growth 5Y7.17%
OM growth 3Y3.44%
OM growth 5Y7.37%
PM growth 3Y9.17%
PM growth 5Y41.82%
GM growth 3Y-0.02%
GM growth 5Y2.82%
F-Score5
Asset Turnover1.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 14.84 | ||
| Debt/EBITDA | 2.62 | ||
| Cap/Depr | 91.17% | ||
| Cap/Sales | 2.22% | ||
| Interest Coverage | 4.05 | ||
| Cash Conversion | 41.45% | ||
| Profit Quality | 36.17% | ||
| Current Ratio | 2.61 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 2.72 |
F-Score5
WACC7.65%
ROIC/WACC1.13
Cap/Depr(3y)87.81%
Cap/Depr(5y)78.02%
Cap/Sales(3y)2.06%
Cap/Sales(5y)1.92%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)21.26%
EPS 3Y5.66%
EPS 5Y12.18%
EPS Q2Q%8.57%
EPS Next Y5.28%
EPS Next 2Y7.51%
EPS Next 3Y8.41%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.03%
Revenue growth 3Y3.09%
Revenue growth 5Y0.36%
Sales Q2Q%9.75%
Revenue Next Year7.77%
Revenue Next 2Y6.77%
Revenue Next 3Y5.39%
Revenue Next 5YN/A
EBIT growth 1Y-2.83%
EBIT growth 3Y6.64%
EBIT growth 5Y7.76%
EBIT Next Year32.35%
EBIT Next 3Y12.33%
EBIT Next 5Y9.08%
FCF growth 1Y153.97%
FCF growth 3Y99.58%
FCF growth 5Y8.22%
OCF growth 1Y619.83%
OCF growth 3Y46.69%
OCF growth 5Y11.91%