26.42 USD
+0.01 (+0.04%)
26.48 USD
+0.06 (+0.23%)
HOLI gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 124 industry peers in the Electronic Equipment, Instruments & Components industry. While HOLI has a great health rating, its profitability is only average at the moment. HOLI has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year HOLI was profitable.
- In the past year HOLI had a positive cash flow from operations.
- HOLI had positive earnings in each of the past 5 years.
- HOLI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- HOLI's Return On Assets of 4.19% is fine compared to the rest of the industry. HOLI outperforms 66.14% of its industry peers.
- HOLI has a Return On Equity of 6.13%. This is in the better half of the industry: HOLI outperforms 60.63% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 4.57%, HOLI is in the better half of the industry, outperforming 61.42% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for HOLI is below the industry average of 8.83%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.19% | ||
| ROE | 6.13% | ||
| ROIC | 4.57% |
ROA(3y)5.65%
ROA(5y)6.47%
ROE(3y)8.04%
ROE(5y)9.09%
ROIC(3y)6.19%
ROIC(5y)7.91%
1.3 Margins
- HOLI has a Profit Margin of 9.52%. This is amongst the best in the industry. HOLI outperforms 82.68% of its industry peers.
- HOLI's Profit Margin has declined in the last couple of years.
- HOLI's Operating Margin of 8.63% is fine compared to the rest of the industry. HOLI outperforms 75.59% of its industry peers.
- HOLI's Operating Margin has declined in the last couple of years.
- HOLI's Gross Margin of 31.07% is in line compared to the rest of the industry. HOLI outperforms 51.97% of its industry peers.
- HOLI's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.63% | ||
| PM (TTM) | 9.52% | ||
| GM | 31.07% |
OM growth 3Y-16.97%
OM growth 5Y-11.65%
PM growth 3Y-4.47%
PM growth 5Y-7.05%
GM growth 3Y-4.62%
GM growth 5Y-2.9%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so HOLI is destroying value.
- HOLI has about the same amout of shares outstanding than it did 1 year ago.
- Compared to 1 year ago, HOLI has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 3.81 indicates that HOLI is not in any danger for bankruptcy at the moment.
- With a decent Altman-Z score value of 3.81, HOLI is doing good in the industry, outperforming 67.72% of the companies in the same industry.
- HOLI has a debt to FCF ratio of 1.59. This is a very positive value and a sign of high solvency as it would only need 1.59 years to pay back of all of its debts.
- The Debt to FCF ratio of HOLI (1.59) is better than 72.44% of its industry peers.
- HOLI has a Debt/Equity ratio of 0.04. This is a healthy value indicating a solid balance between debt and equity.
- HOLI has a Debt to Equity ratio (0.04) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 1.59 | ||
| Altman-Z | 3.81 |
ROIC/WACC0.61
WACC7.49%
2.3 Liquidity
- HOLI has a Current Ratio of 3.02. This indicates that HOLI is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 3.02, HOLI is in the better half of the industry, outperforming 63.78% of the companies in the same industry.
- HOLI has a Quick Ratio of 2.80. This indicates that HOLI is financially healthy and has no problem in meeting its short term obligations.
- With a decent Quick ratio value of 2.80, HOLI is doing good in the industry, outperforming 74.02% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.02 | ||
| Quick Ratio | 2.8 |
3. Growth
3.1 Past
- The earnings per share for HOLI have decreased strongly by -27.98% in the last year.
- HOLI shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.30% yearly.
- HOLI shows a small growth in Revenue. In the last year, the Revenue has grown by 3.60%.
- Measured over the past years, HOLI shows a small growth in Revenue. The Revenue has been growing by 7.53% on average per year.
EPS 1Y (TTM)-27.98%
EPS 3Y9.58%
EPS 5Y-0.3%
EPS Q2Q%-66.37%
Revenue 1Y (TTM)3.6%
Revenue growth 3Y15.59%
Revenue growth 5Y7.53%
Sales Q2Q%3.48%
3.2 Future
- HOLI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.20% yearly.
- HOLI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.31% yearly.
EPS Next Y24.79%
EPS Next 2Y17.2%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year9.43%
Revenue Next 2Y12.33%
Revenue Next 3Y15.31%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- 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 21.83, HOLI is valued on the expensive side.
- Based on the Price/Earnings ratio, HOLI is valued a bit cheaper than the industry average as 70.08% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, HOLI is valued at the same level.
- The Price/Forward Earnings ratio is 11.40, which indicates a very decent valuation of HOLI.
- 87.40% of the companies in the same industry are more expensive than HOLI, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 24.26. HOLI is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.83 | ||
| Fwd PE | 11.4 |
4.2 Price Multiples
- HOLI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. HOLI is cheaper than 72.44% of the companies in the same industry.
- HOLI's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.84 | ||
| EV/EBITDA | 12.54 |
4.3 Compensation for Growth
- HOLI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- HOLI's earnings are expected to grow with 17.20% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.88
PEG (5Y)N/A
EPS Next 2Y17.2%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- HOLI has a Yearly Dividend Yield of 1.93%.
- Compared to an average industry Dividend Yield of 0.46, HOLI pays a better dividend. On top of this HOLI pays more dividend than 94.49% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, HOLI has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.93% |
5.2 History
- HOLI has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y17.2%
EPS Next 3YN/A
HOLLYSYS AUTOMATION TECHNOLO / HOLI FAQ
What is the ChartMill fundamental rating of HOLLYSYS AUTOMATION TECHNOLO (HOLI) stock?
ChartMill assigns a fundamental rating of 5 / 10 to HOLI.
Can you provide the valuation status for HOLLYSYS AUTOMATION TECHNOLO?
ChartMill assigns a valuation rating of 5 / 10 to HOLLYSYS AUTOMATION TECHNOLO (HOLI). This can be considered as Fairly Valued.
Can you provide the profitability details for HOLLYSYS AUTOMATION TECHNOLO?
HOLLYSYS AUTOMATION TECHNOLO (HOLI) has a profitability rating of 5 / 10.
What is the earnings growth outlook for HOLLYSYS AUTOMATION TECHNOLO?
The Earnings per Share (EPS) of HOLLYSYS AUTOMATION TECHNOLO (HOLI) is expected to grow by 24.79% in the next year.
Is the dividend of HOLLYSYS AUTOMATION TECHNOLO sustainable?
The dividend rating of HOLLYSYS AUTOMATION TECHNOLO (HOLI) is 3 / 10 and the dividend payout ratio is 0%.