HOLLEY INC (HLLY) Stock Fundamental Analysis
USA - NYSE:HLLY - US43538H1032 - Common Stock
2.84 USD
-0.09 (-3.07%)
2.94 USD
+0.1 (+3.52%)
Overall HLLY gets a fundamental rating of 4 out of 10. We evaluated HLLY against 82 industry peers in the Automobile Components industry. While HLLY is still in line with the averages on profitability rating, there are concerns on its financial health. HLLY is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year HLLY was profitable.
HLLY had a positive operating cash flow in the past year.
In multiple years HLLY reported negative net income over the last 5 years.
Each year in the past 5 years HLLY had a positive operating cash flow.
1.2 Ratios
HLLY has a Return On Assets of -2.62%. This is amonst the worse of the industry: HLLY underperforms 80.49% of its industry peers.
HLLY's Return On Equity of -6.94% is on the low side compared to the rest of the industry. HLLY is outperformed by 76.83% of its industry peers.
With a Return On Invested Capital value of 5.46%, HLLY is not doing good in the industry: 71.95% of the companies in the same industry are doing better.
HLLY had an Average Return On Invested Capital over the past 3 years of 4.83%. This is below the industry average of 8.52%.
The 3 year average ROIC (4.83%) for HLLY is below the current ROIC(5.46%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.62% | ||
| ROE | -6.94% | ||
| ROIC | 5.46% |
ROA(3y)1.82%
ROA(5y)1.25%
ROE(3y)5.52%
ROE(5y)4.27%
ROIC(3y)4.83%
ROIC(5y)5.94%
1.3 Margins
Looking at the Operating Margin, with a value of 13.94%, HLLY belongs to the top of the industry, outperforming 97.56% of the companies in the same industry.
In the last couple of years the Operating Margin of HLLY has declined.
The Gross Margin of HLLY (42.07%) is better than 93.90% of its industry peers.
HLLY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.94% | ||
| PM (TTM) | N/A | ||
| GM | 42.07% |
OM growth 3Y-12.56%
OM growth 5Y-3.75%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.46%
GM growth 5Y-0.37%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), HLLY is destroying value.
The number of shares outstanding for HLLY has been increased compared to 1 year ago.
The debt/assets ratio for HLLY is higher compared to a year ago.
2.2 Solvency
HLLY has an Altman-Z score of 1.31. This is a bad value and indicates that HLLY is not financially healthy and even has some risk of bankruptcy.
HLLY has a Altman-Z score of 1.31. This is amonst the worse of the industry: HLLY underperforms 85.37% of its industry peers.
HLLY has a debt to FCF ratio of 55.25. This is a negative value and a sign of low solvency as HLLY would need 55.25 years to pay back of all of its debts.
HLLY has a worse Debt to FCF ratio (55.25) than 76.83% of its industry peers.
A Debt/Equity ratio of 1.24 is on the high side and indicates that HLLY has dependencies on debt financing.
HLLY has a Debt to Equity ratio of 1.24. This is amonst the worse of the industry: HLLY underperforms 85.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.24 | ||
| Debt/FCF | 55.25 | ||
| Altman-Z | 1.31 |
ROIC/WACC0.59
WACC9.29%
2.3 Liquidity
HLLY has a Current Ratio of 2.93. This indicates that HLLY is financially healthy and has no problem in meeting its short term obligations.
HLLY's Current ratio of 2.93 is amongst the best of the industry. HLLY outperforms 86.59% of its industry peers.
A Quick Ratio of 1.18 indicates that HLLY should not have too much problems paying its short term obligations.
HLLY has a better Quick ratio (1.18) than 71.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.93 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
HLLY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 61.54%, which is quite impressive.
The Revenue has decreased by -7.27% in the past year.
Measured over the past years, HLLY shows a quite strong growth in Revenue. The Revenue has been growing by 10.31% on average per year.
EPS 1Y (TTM)61.54%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-10%
Revenue 1Y (TTM)-7.27%
Revenue growth 3Y-4.56%
Revenue growth 5Y10.31%
Sales Q2Q%-1.67%
3.2 Future
The Earnings Per Share is expected to grow by 33.77% on average over the next years. This is a very strong growth
Based on estimates for the next years, HLLY will show a small growth in Revenue. The Revenue will grow by 4.83% on average per year.
EPS Next Y19.49%
EPS Next 2Y36.06%
EPS Next 3Y32.23%
EPS Next 5Y33.77%
Revenue Next Year-1.36%
Revenue Next 2Y1.81%
Revenue Next 3Y2.94%
Revenue Next 5Y4.83%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 13.52, which indicates a correct valuation of HLLY.
63.41% of the companies in the same industry are more expensive than HLLY, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.13, HLLY is valued a bit cheaper.
A Price/Forward Earnings ratio of 7.67 indicates a rather cheap valuation of HLLY.
HLLY's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. HLLY is cheaper than 78.05% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.35. HLLY is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.52 | ||
| Fwd PE | 7.67 |
4.2 Price Multiples
HLLY's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HLLY indicates a slightly more expensive valuation: HLLY is more expensive than 60.98% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.37 | ||
| EV/EBITDA | 7.24 |
4.3 Compensation for Growth
HLLY'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 HLLY's earnings are expected to grow with 32.23% in the coming years.
PEG (NY)0.69
PEG (5Y)N/A
EPS Next 2Y36.06%
EPS Next 3Y32.23%
5. Dividend
5.1 Amount
HLLY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
2.84
-0.09 (-3.07%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners46.46%
Inst Owner Change-0.34%
Ins Owners5.68%
Ins Owner Change8.19%
Market Cap342.22M
Revenue(TTM)593.80M
Net Income(TTM)-30390000
Analysts81.43
Price Target4 (40.85%)
Short Float %1.59%
Short Ratio1.67
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)-34.68%
Min EPS beat(2)-61.55%
Max EPS beat(2)-7.81%
EPS beat(4)1
Avg EPS beat(4)89.86%
Min EPS beat(4)-134.84%
Max EPS beat(4)563.65%
EPS beat(8)2
Avg EPS beat(8)20.19%
EPS beat(12)4
Avg EPS beat(12)21.36%
EPS beat(16)5
Avg EPS beat(16)12.06%
Revenue beat(2)2
Avg Revenue beat(2)0.81%
Min Revenue beat(2)0.45%
Max Revenue beat(2)1.18%
Revenue beat(4)2
Avg Revenue beat(4)-1.6%
Min Revenue beat(4)-7.8%
Max Revenue beat(4)1.18%
Revenue beat(8)3
Avg Revenue beat(8)-1.3%
Revenue beat(12)4
Avg Revenue beat(12)-0.87%
Revenue beat(16)7
Avg Revenue beat(16)0.49%
PT rev (1m)0%
PT rev (3m)17.5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)19.26%
EPS NY rev (1m)0%
EPS NY rev (3m)15.7%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.15%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.52 | ||
| Fwd PE | 7.67 | ||
| P/S | 0.58 | ||
| P/FCF | 34.37 | ||
| P/OCF | 9.77 | ||
| P/B | 0.78 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.24 |
EPS(TTM)0.21
EY7.39%
EPS(NY)0.37
Fwd EY13.04%
FCF(TTM)0.08
FCFY2.91%
OCF(TTM)0.29
OCFY10.23%
SpS4.93
BVpS3.63
TBVpS-2.81
PEG (NY)0.69
PEG (5Y)N/A
Graham Number4.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.62% | ||
| ROE | -6.94% | ||
| ROCE | 7.85% | ||
| ROIC | 5.46% | ||
| ROICexc | 5.81% | ||
| ROICexgc | 26.8% | ||
| OM | 13.94% | ||
| PM (TTM) | N/A | ||
| GM | 42.07% | ||
| FCFM | 1.68% |
ROA(3y)1.82%
ROA(5y)1.25%
ROE(3y)5.52%
ROE(5y)4.27%
ROIC(3y)4.83%
ROIC(5y)5.94%
ROICexc(3y)4.95%
ROICexc(5y)6.18%
ROICexgc(3y)20.46%
ROICexgc(5y)30.08%
ROCE(3y)6.95%
ROCE(5y)8.53%
ROICexgc growth 3Y-17.55%
ROICexgc growth 5YN/A
ROICexc growth 3Y-14.27%
ROICexc growth 5YN/A
OM growth 3Y-12.56%
OM growth 5Y-3.75%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.46%
GM growth 5Y-0.37%
F-Score4
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.24 | ||
| Debt/FCF | 55.25 | ||
| Debt/EBITDA | 4.75 | ||
| Cap/Depr | 79.04% | ||
| Cap/Sales | 4.22% | ||
| Interest Coverage | 1.84 | ||
| Cash Conversion | 30.59% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.93 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 1.31 |
F-Score4
WACC9.29%
ROIC/WACC0.59
Cap/Depr(3y)32.44%
Cap/Depr(5y)41.39%
Cap/Sales(3y)1.33%
Cap/Sales(5y)1.62%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)61.54%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-10%
EPS Next Y19.49%
EPS Next 2Y36.06%
EPS Next 3Y32.23%
EPS Next 5Y33.77%
Revenue 1Y (TTM)-7.27%
Revenue growth 3Y-4.56%
Revenue growth 5Y10.31%
Sales Q2Q%-1.67%
Revenue Next Year-1.36%
Revenue Next 2Y1.81%
Revenue Next 3Y2.94%
Revenue Next 5Y4.83%
EBIT growth 1Y6.5%
EBIT growth 3Y-16.55%
EBIT growth 5Y6.17%
EBIT Next Year90.4%
EBIT Next 3Y28.39%
EBIT Next 5Y20.1%
FCF growth 1Y-47.97%
FCF growth 3Y84.83%
FCF growth 5Y114.65%
OCF growth 1Y35.4%
OCF growth 3Y29.53%
OCF growth 5Y37.85%
HOLLEY INC / HLLY FAQ
What is the ChartMill fundamental rating of HOLLEY INC (HLLY) stock?
ChartMill assigns a fundamental rating of 4 / 10 to HLLY.
What is the valuation status for HLLY stock?
ChartMill assigns a valuation rating of 6 / 10 to HOLLEY INC (HLLY). This can be considered as Fairly Valued.
Can you provide the profitability details for HOLLEY INC?
HOLLEY INC (HLLY) has a profitability rating of 4 / 10.
What is the financial health of HOLLEY INC (HLLY) stock?
The financial health rating of HOLLEY INC (HLLY) is 3 / 10.