HEIDRICK & STRUGGLES INTL (HSII) Stock Fundamental Analysis
USA - NASDAQ:HSII - US4228191023 - Common Stock
58.81 USD
+0.03 (+0.05%)
58.81 USD
0 (0%)
HSII gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 87 industry peers in the Professional Services industry. HSII has only an average score on both its financial health and profitability. HSII is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year HSII was profitable.
HSII had a positive operating cash flow in the past year.
HSII had positive earnings in 4 of the past 5 years.
HSII had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
HSII has a Return On Assets (2.93%) which is in line with its industry peers.
Looking at the Return On Equity, with a value of 7.28%, HSII is in line with its industry, outperforming 49.43% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.74%, HSII is in the better half of the industry, outperforming 62.07% of the companies in the same industry.
HSII had an Average Return On Invested Capital over the past 3 years of 10.87%. This is significantly below the industry average of 22.56%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.93% | ||
| ROE | 7.28% | ||
| ROIC | 8.74% |
ROA(3y)4.09%
ROA(5y)2.81%
ROE(3y)11.02%
ROE(5y)8.12%
ROIC(3y)10.87%
ROIC(5y)11.02%
1.3 Margins
The Profit Margin of HSII (3.04%) is comparable to the rest of the industry.
HSII's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 6.59%, HSII perfoms like the industry average, outperforming 56.32% of the companies in the same industry.
HSII's Operating Margin has declined in the last couple of years.
HSII has a Gross Margin of 87.57%. This is amongst the best in the industry. HSII outperforms 95.40% of its industry peers.
HSII's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.59% | ||
| PM (TTM) | 3.04% | ||
| GM | 87.57% |
OM growth 3Y-13.17%
OM growth 5Y-6.58%
PM growth 3Y-52.28%
PM growth 5Y-34.45%
GM growth 3Y-2.32%
GM growth 5Y-2.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so HSII is still creating some value.
The number of shares outstanding for HSII has been increased compared to 1 year ago.
The number of shares outstanding for HSII has been increased compared to 5 years ago.
HSII has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 2.69 indicates that HSII is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of HSII (2.69) is comparable to the rest of the industry.
HSII has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 2.69 |
ROIC/WACC1
WACC8.74%
2.3 Liquidity
A Current Ratio of 1.53 indicates that HSII should not have too much problems paying its short term obligations.
With a Current ratio value of 1.53, HSII perfoms like the industry average, outperforming 52.87% of the companies in the same industry.
A Quick Ratio of 1.53 indicates that HSII should not have too much problems paying its short term obligations.
HSII has a Quick ratio (1.53) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.53 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 23.38% over the past year.
Measured over the past 5 years, HSII shows a small growth in Earnings Per Share. The EPS has been growing by 3.93% on average per year.
Looking at the last year, HSII shows a quite strong growth in Revenue. The Revenue has grown by 11.53% in the last year.
HSII shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.99% yearly.
EPS 1Y (TTM)23.38%
EPS 3Y-7.75%
EPS 5Y3.93%
EPS Q2Q%15.28%
Revenue 1Y (TTM)11.53%
Revenue growth 3Y3.42%
Revenue growth 5Y8.99%
Sales Q2Q%15.94%
3.2 Future
Based on estimates for the next years, HSII will show a small growth in Earnings Per Share. The EPS will grow by 6.13% on average per year.
Based on estimates for the next years, HSII will show a small growth in Revenue. The Revenue will grow by 6.20% on average per year.
EPS Next Y-2.87%
EPS Next 2Y6.88%
EPS Next 3Y6.13%
EPS Next 5YN/A
Revenue Next Year10.47%
Revenue Next 2Y5.83%
Revenue Next 3Y6.2%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 17.15, which indicates a rather expensive current valuation of HSII.
Compared to the rest of the industry, the Price/Earnings ratio of HSII indicates a somewhat cheap valuation: HSII is cheaper than 63.22% of the companies listed in the same industry.
HSII's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.45.
HSII is valuated correctly with a Price/Forward Earnings ratio of 16.40.
HSII's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.46, HSII is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.15 | ||
| Fwd PE | 16.4 |
4.2 Price Multiples
88.51% of the companies in the same industry are more expensive than HSII, based on the Enterprise Value to EBITDA ratio.
83.91% of the companies in the same industry are more expensive than HSII, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.23 | ||
| EV/EBITDA | 6.16 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)4.37
EPS Next 2Y6.88%
EPS Next 3Y6.13%
5. Dividend
5.1 Amount
HSII has a Yearly Dividend Yield of 1.02%.
Compared to an average industry Dividend Yield of 4.28, HSII pays a bit more dividend than its industry peers.
With a Dividend Yield of 1.02, HSII pays less dividend than the S&P500 average, which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.02% |
5.2 History
The dividend of HSII has a limited annual growth rate of 0.64%.
HSII has paid a dividend for at least 10 years, which is a reliable track record.
HSII has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)0.64%
Div Incr Years0
Div Non Decr Years11
5.3 Sustainability
35.14% of the earnings are spent on dividend by HSII. This is a low number and sustainable payout ratio.
HSII's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP35.14%
EPS Next 2Y6.88%
EPS Next 3Y6.13%
58.81
+0.03 (+0.05%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners97.45%
Inst Owner Change0.04%
Ins Owners1.47%
Ins Owner Change2.86%
Market Cap1.22B
Revenue(TTM)1.22B
Net Income(TTM)37.05M
Analysts45.71
Price Target60.18 (2.33%)
Short Float %1.7%
Short Ratio1.04
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.02% |
Yearly Dividend0.64
Dividend Growth(5Y)0.64%
DP35.14%
Div Incr Years0
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.1%
Min EPS beat(2)7.07%
Max EPS beat(2)13.12%
EPS beat(4)3
Avg EPS beat(4)21.68%
Min EPS beat(4)-2.45%
Max EPS beat(4)68.96%
EPS beat(8)7
Avg EPS beat(8)15.42%
EPS beat(12)10
Avg EPS beat(12)13.71%
EPS beat(16)13
Avg EPS beat(16)13.68%
Revenue beat(2)2
Avg Revenue beat(2)5.17%
Min Revenue beat(2)4.75%
Max Revenue beat(2)5.59%
Revenue beat(4)4
Avg Revenue beat(4)4.94%
Min Revenue beat(4)4.61%
Max Revenue beat(4)5.59%
Revenue beat(8)8
Avg Revenue beat(8)3.68%
Revenue beat(12)11
Avg Revenue beat(12)2.99%
Revenue beat(16)13
Avg Revenue beat(16)2.7%
PT rev (1m)10.63%
PT rev (3m)13.46%
EPS NQ rev (1m)3.7%
EPS NQ rev (3m)9.8%
EPS NY rev (1m)0%
EPS NY rev (3m)4.42%
Revenue NQ rev (1m)2.3%
Revenue NQ rev (3m)4.09%
Revenue NY rev (1m)0%
Revenue NY rev (3m)4.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.15 | ||
| Fwd PE | 16.4 | ||
| P/S | 1 | ||
| P/FCF | 9.23 | ||
| P/OCF | 7.58 | ||
| P/B | 2.4 | ||
| P/tB | 3.42 | ||
| EV/EBITDA | 6.16 |
EPS(TTM)3.43
EY5.83%
EPS(NY)3.59
Fwd EY6.1%
FCF(TTM)6.37
FCFY10.83%
OCF(TTM)7.76
OCFY13.19%
SpS58.59
BVpS24.49
TBVpS17.21
PEG (NY)N/A
PEG (5Y)4.37
Graham Number43.48
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.93% | ||
| ROE | 7.28% | ||
| ROCE | 11.06% | ||
| ROIC | 8.74% | ||
| ROICexc | 32.14% | ||
| ROICexgc | 138.41% | ||
| OM | 6.59% | ||
| PM (TTM) | 3.04% | ||
| GM | 87.57% | ||
| FCFM | 10.87% |
ROA(3y)4.09%
ROA(5y)2.81%
ROE(3y)11.02%
ROE(5y)8.12%
ROIC(3y)10.87%
ROIC(5y)11.02%
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)13.76%
ROCE(5y)13.95%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y-49.09%
ROICexc growth 5Y4.22%
OM growth 3Y-13.17%
OM growth 5Y-6.58%
PM growth 3Y-52.28%
PM growth 5Y-34.45%
GM growth 3Y-2.32%
GM growth 5Y-2.06%
F-Score5
Asset Turnover0.96
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 140.86% | ||
| Cap/Sales | 2.37% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 160.16% | ||
| Profit Quality | 357.48% | ||
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.53 | ||
| Altman-Z | 2.69 |
F-Score5
WACC8.74%
ROIC/WACC1
Cap/Depr(3y)105.62%
Cap/Depr(5y)75.16%
Cap/Sales(3y)1.56%
Cap/Sales(5y)1.29%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)23.38%
EPS 3Y-7.75%
EPS 5Y3.93%
EPS Q2Q%15.28%
EPS Next Y-2.87%
EPS Next 2Y6.88%
EPS Next 3Y6.13%
EPS Next 5YN/A
Revenue 1Y (TTM)11.53%
Revenue growth 3Y3.42%
Revenue growth 5Y8.99%
Sales Q2Q%15.94%
Revenue Next Year10.47%
Revenue Next 2Y5.83%
Revenue Next 3Y6.2%
Revenue Next 5YN/A
EBIT growth 1Y5.29%
EBIT growth 3Y-10.2%
EBIT growth 5Y1.81%
EBIT Next Year95.07%
EBIT Next 3Y30.7%
EBIT Next 5YN/A
FCF growth 1Y503.79%
FCF growth 3Y-22.36%
FCF growth 5Y10.54%
OCF growth 1Y894.35%
OCF growth 3Y-17.86%
OCF growth 5Y13.86%
HEIDRICK & STRUGGLES INTL / HSII FAQ
What is the fundamental rating for HSII stock?
ChartMill assigns a fundamental rating of 5 / 10 to HSII.
What is the valuation status for HSII stock?
ChartMill assigns a valuation rating of 5 / 10 to HEIDRICK & STRUGGLES INTL (HSII). This can be considered as Fairly Valued.
What is the profitability of HSII stock?
HEIDRICK & STRUGGLES INTL (HSII) has a profitability rating of 4 / 10.
Can you provide the financial health for HSII stock?
The financial health rating of HEIDRICK & STRUGGLES INTL (HSII) is 6 / 10.
Can you provide the expected EPS growth for HSII stock?
The Earnings per Share (EPS) of HEIDRICK & STRUGGLES INTL (HSII) is expected to decline by -2.87% in the next year.