HELIOS TECHNOLOGIES INC (HLIO) Stock Fundamental Analysis
USA - NYSE:HLIO - US42328H1095 - Common Stock
54.39 USD
+0.09 (+0.17%)
54.39 USD
0 (0%)
HLIO gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 128 industry peers in the Machinery industry. While HLIO seems to be doing ok healthwise, there are quite some concerns on its profitability. HLIO is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
HLIO had positive earnings in the past year.
HLIO had a positive operating cash flow in the past year.
HLIO had positive earnings in each of the past 5 years.
In the past 5 years HLIO always reported a positive cash flow from operatings.
1.2 Ratios
HLIO's Return On Assets of 2.21% is in line compared to the rest of the industry. HLIO outperforms 40.63% of its industry peers.
Looking at the Return On Equity, with a value of 3.83%, HLIO is doing worse than 63.28% of the companies in the same industry.
HLIO has a worse Return On Invested Capital (4.07%) than 64.06% of its industry peers.
HLIO had an Average Return On Invested Capital over the past 3 years of 5.62%. This is below the industry average of 10.02%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.21% | ||
| ROE | 3.83% | ||
| ROIC | 4.07% |
ROA(3y)3.89%
ROA(5y)4.03%
ROE(3y)7.09%
ROE(5y)7.67%
ROIC(3y)5.62%
ROIC(5y)6.26%
1.3 Margins
The Profit Margin of HLIO (4.46%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of HLIO has declined.
With a Operating Margin value of 9.51%, HLIO perfoms like the industry average, outperforming 50.78% of the companies in the same industry.
HLIO's Operating Margin has declined in the last couple of years.
HLIO has a Gross Margin of 30.93%. This is comparable to the rest of the industry: HLIO outperforms 50.00% of its industry peers.
HLIO's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.51% | ||
| PM (TTM) | 4.46% | ||
| GM | 30.93% |
OM growth 3Y-17.29%
OM growth 5Y-9.84%
PM growth 3Y-26.19%
PM growth 5Y-14.94%
GM growth 3Y-4.54%
GM growth 5Y-3.94%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so HLIO is destroying value.
Compared to 1 year ago, HLIO has more shares outstanding
HLIO has more shares outstanding than it did 5 years ago.
HLIO has a better debt/assets ratio than last year.
2.2 Solvency
HLIO has an Altman-Z score of 2.91. This is not the best score and indicates that HLIO is in the grey zone with still only limited risk for bankruptcy at the moment.
HLIO has a Altman-Z score of 2.91. This is comparable to the rest of the industry: HLIO outperforms 50.00% of its industry peers.
HLIO has a debt to FCF ratio of 4.42. This is a neutral value as HLIO would need 4.42 years to pay back of all of its debts.
HLIO has a Debt to FCF ratio (4.42) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.45 indicates that HLIO is not too dependend on debt financing.
The Debt to Equity ratio of HLIO (0.45) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 4.42 | ||
| Altman-Z | 2.91 |
ROIC/WACC0.41
WACC9.88%
2.3 Liquidity
A Current Ratio of 2.45 indicates that HLIO has no problem at all paying its short term obligations.
HLIO's Current ratio of 2.45 is fine compared to the rest of the industry. HLIO outperforms 63.28% of its industry peers.
A Quick Ratio of 1.41 indicates that HLIO should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.41, HLIO is doing good in the industry, outperforming 61.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.45 | ||
| Quick Ratio | 1.41 |
3. Growth
3.1 Past
HLIO shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.01%.
Measured over the past years, HLIO shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.97% on average per year.
HLIO shows a decrease in Revenue. In the last year, the revenue decreased by -5.41%.
Measured over the past years, HLIO shows a small growth in Revenue. The Revenue has been growing by 7.76% on average per year.
EPS 1Y (TTM)-2.01%
EPS 3Y-21.19%
EPS 5Y-2.97%
EPS Q2Q%-7.81%
Revenue 1Y (TTM)-5.41%
Revenue growth 3Y-2.49%
Revenue growth 5Y7.76%
Sales Q2Q%-3.37%
3.2 Future
HLIO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.56% yearly.
Based on estimates for the next years, HLIO will show a small growth in Revenue. The Revenue will grow by 3.70% on average per year.
EPS Next Y18.35%
EPS Next 2Y16.43%
EPS Next 3Y12.53%
EPS Next 5Y13.56%
Revenue Next Year2.25%
Revenue Next 2Y2.42%
Revenue Next 3Y2.19%
Revenue Next 5Y3.7%
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 27.89 indicates a quite expensive valuation of HLIO.
The rest of the industry has a similar Price/Earnings ratio as HLIO.
When comparing the Price/Earnings ratio of HLIO to the average of the S&P500 Index (27.27), we can say HLIO is valued inline with the index average.
The Price/Forward Earnings ratio is 19.20, which indicates a rather expensive current valuation of HLIO.
HLIO's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.77, HLIO is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.89 | ||
| Fwd PE | 19.2 |
4.2 Price Multiples
HLIO's Enterprise Value to EBITDA ratio is in line with the industry average.
HLIO's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. HLIO is cheaper than 71.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.38 | ||
| EV/EBITDA | 15.75 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
HLIO's earnings are expected to grow with 12.53% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.52
PEG (5Y)N/A
EPS Next 2Y16.43%
EPS Next 3Y12.53%
5. Dividend
5.1 Amount
HLIO has a yearly dividend return of 0.64%, which is pretty low.
HLIO's Dividend Yield is comparable with the industry average which is at 1.74.
Compared to an average S&P500 Dividend Yield of 2.38, HLIO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.64% |
5.2 History
The dividend of HLIO decreases each year by -1.24%.
HLIO has been paying a dividend for at least 10 years, so it has a reliable track record.
HLIO has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)-1.24%
Div Incr Years0
Div Non Decr Years7
5.3 Sustainability
34.10% of the earnings are spent on dividend by HLIO. This is a low number and sustainable payout ratio.
DP34.1%
EPS Next 2Y16.43%
EPS Next 3Y12.53%
54.39
+0.09 (+0.17%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners93.53%
Inst Owner Change-7.56%
Ins Owners0.37%
Ins Owner Change0.51%
Market Cap1.80B
Analysts87.27
Price Target61.81 (13.64%)
Short Float %4.42%
Short Ratio3.27
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.64% |
Yearly Dividend0.36
Dividend Growth(5Y)-1.24%
DP34.1%
Div Incr Years0
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.19%
Min EPS beat(2)13.86%
Max EPS beat(2)18.51%
EPS beat(4)3
Avg EPS beat(4)8.29%
Min EPS beat(4)-5.54%
Max EPS beat(4)18.51%
EPS beat(8)6
Avg EPS beat(8)6.6%
EPS beat(12)7
Avg EPS beat(12)2.54%
EPS beat(16)10
Avg EPS beat(16)6.26%
Revenue beat(2)2
Avg Revenue beat(2)2.44%
Min Revenue beat(2)2.19%
Max Revenue beat(2)2.68%
Revenue beat(4)2
Avg Revenue beat(4)0.45%
Min Revenue beat(4)-3%
Max Revenue beat(4)2.68%
Revenue beat(8)5
Avg Revenue beat(8)-0.45%
Revenue beat(12)7
Avg Revenue beat(12)-1.36%
Revenue beat(16)10
Avg Revenue beat(16)0.3%
PT rev (1m)30.32%
PT rev (3m)35.67%
EPS NQ rev (1m)-0.3%
EPS NQ rev (3m)25.93%
EPS NY rev (1m)28.99%
EPS NY rev (3m)26.14%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)10.24%
Revenue NY rev (1m)5.27%
Revenue NY rev (3m)7.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.89 | ||
| Fwd PE | 19.2 | ||
| P/S | 2.31 | ||
| P/FCF | 18.38 | ||
| P/OCF | 14.25 | ||
| P/B | 1.98 | ||
| P/tB | 751.26 | ||
| EV/EBITDA | 15.75 |
EPS(TTM)1.95
EY3.59%
EPS(NY)2.83
Fwd EY5.21%
FCF(TTM)2.96
FCFY5.44%
OCF(TTM)3.82
OCFY7.02%
SpS23.59
BVpS27.5
TBVpS0.07
PEG (NY)1.52
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.21% | ||
| ROE | 3.83% | ||
| ROCE | 5.3% | ||
| ROIC | 4.07% | ||
| ROICexc | 4.23% | ||
| ROICexgc | 12.96% | ||
| OM | 9.51% | ||
| PM (TTM) | 4.46% | ||
| GM | 30.93% | ||
| FCFM | 12.54% |
ROA(3y)3.89%
ROA(5y)4.03%
ROE(3y)7.09%
ROE(5y)7.67%
ROIC(3y)5.62%
ROIC(5y)6.26%
ROICexc(3y)5.8%
ROICexc(5y)6.44%
ROICexgc(3y)18%
ROICexgc(5y)21.78%
ROCE(3y)7.33%
ROCE(5y)8.16%
ROICexcg growth 3Y-25.64%
ROICexcg growth 5Y-13.16%
ROICexc growth 3Y-21.55%
ROICexc growth 5Y-9.59%
OM growth 3Y-17.29%
OM growth 5Y-9.84%
PM growth 3Y-26.19%
PM growth 5Y-14.94%
GM growth 3Y-4.54%
GM growth 5Y-3.94%
F-Score7
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 4.42 | ||
| Debt/EBITDA | 2.95 | ||
| Cap/Depr | 44.38% | ||
| Cap/Sales | 3.63% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.4% | ||
| Profit Quality | 281.09% | ||
| Current Ratio | 2.45 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | 2.91 |
F-Score7
WACC9.88%
ROIC/WACC0.41
Cap/Depr(3y)59.6%
Cap/Depr(5y)55.17%
Cap/Sales(3y)4.19%
Cap/Sales(5y)3.83%
Profit Quality(3y)142.42%
Profit Quality(5y)232.3%
High Growth Momentum
Growth
EPS 1Y (TTM)-2.01%
EPS 3Y-21.19%
EPS 5Y-2.97%
EPS Q2Q%-7.81%
EPS Next Y18.35%
EPS Next 2Y16.43%
EPS Next 3Y12.53%
EPS Next 5Y13.56%
Revenue 1Y (TTM)-5.41%
Revenue growth 3Y-2.49%
Revenue growth 5Y7.76%
Sales Q2Q%-3.37%
Revenue Next Year2.25%
Revenue Next 2Y2.42%
Revenue Next 3Y2.19%
Revenue Next 5Y3.7%
EBIT growth 1Y3.33%
EBIT growth 3Y-19.34%
EBIT growth 5Y-2.85%
EBIT Next Year30.34%
EBIT Next 3Y15.02%
EBIT Next 5Y14.67%
FCF growth 1Y56.96%
FCF growth 3Y4.01%
FCF growth 5Y6.96%
OCF growth 1Y21.52%
OCF growth 3Y2.55%
OCF growth 5Y6.17%