HAMILTON BEACH BRAND-A (HBB)
US40701T1043 - Common Stock
We assign a fundamental rating of 4 out of 10 to HBB. HBB was compared to 67 industry peers in the Household Durables industry. HBB has an excellent financial health rating, but there are some minor concerns on its profitability. HBB has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
HBB had positive earnings in the past year.
In the past year HBB had a positive cash flow from operations.
Of the past 5 years HBB 4 years were profitable.
The reported operating cash flow has been mixed in the past 5 years: HBB reported negative operating cash flow in multiple years.
1.2 Ratios
HBB has a Return On Assets (6.54%) which is in line with its industry peers.
Looking at the Return On Equity, with a value of 17.09%, HBB is in the better half of the industry, outperforming 78.79% of the companies in the same industry.
HBB has a better Return On Invested Capital (11.24%) than 74.24% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HBB is in line with the industry average of 10.03%.
The 3 year average ROIC (11.14%) for HBB is below the current ROIC(11.24%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.54% | ||
| ROE | 17.09% | ||
| ROIC | 11.24% |
ROA(3y)6.21%
ROA(5y)5.16%
ROE(3y)19.43%
ROE(5y)15.78%
ROIC(3y)11.14%
ROIC(5y)14.56%
1.3 Margins
HBB has a Profit Margin (4.02%) which is in line with its industry peers.
HBB's Profit Margin has improved in the last couple of years.
HBB has a Operating Margin of 5.59%. This is comparable to the rest of the industry: HBB outperforms 46.97% of its industry peers.
HBB's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 22.97%, HBB is doing worse than 66.67% of the companies in the same industry.
In the last couple of years the Gross Margin of HBB has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.59% | ||
| PM (TTM) | 4.02% | ||
| GM | 22.97% |
OM growth 3Y-2.81%
OM growth 5Y-1.28%
PM growth 3Y-19.27%
PM growth 5Y3.11%
GM growth 3Y0.1%
GM growth 5Y1.08%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so HBB is still creating some value.
HBB has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for HBB has been increased compared to 5 years ago.
Compared to 1 year ago, HBB has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.58 indicates that HBB is not in any danger for bankruptcy at the moment.
The Altman-Z score of HBB (3.58) is comparable to the rest of the industry.
HBB has a debt to FCF ratio of 0.59. This is a very positive value and a sign of high solvency as it would only need 0.59 years to pay back of all of its debts.
HBB has a Debt to FCF ratio of 0.59. This is amongst the best in the industry. HBB outperforms 81.82% of its industry peers.
HBB has a Debt/Equity ratio of 0.34. This is a healthy value indicating a solid balance between debt and equity.
HBB has a Debt to Equity ratio (0.34) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 0.59 | ||
| Altman-Z | 3.58 |
ROIC/WACC1.09
WACC10.31%
2.3 Liquidity
HBB has a Current Ratio of 2.05. This indicates that HBB is financially healthy and has no problem in meeting its short term obligations.
HBB has a Current ratio (2.05) which is comparable to the rest of the industry.
HBB has a Quick Ratio of 1.15. This is a normal value and indicates that HBB is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.15, HBB is in line with its industry, outperforming 57.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.05 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
HBB shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by 0.00%.
HBB shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.63% yearly.
HBB shows a decrease in Revenue. In the last year, the revenue decreased by -2.38%.
HBB shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.13% yearly.
EPS 1Y (TTM)0%
EPS 3Y1.71%
EPS 5Y2.63%
EPS growth Q2Q174.51%
Revenue 1Y (TTM)-2.38%
Revenue growth 3Y1.2%
Revenue growth 5Y-0.13%
Revenue growth Q2Q5.33%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next Y-10.72%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year1.46%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.30, HBB is valued correctly.
HBB's Price/Earnings is on the same level as the industry average.
HBB is valuated cheaply when we compare the Price/Earnings ratio to 28.11, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 14.90, the valuation of HBB can be described as correct.
The rest of the industry has a similar Price/Forward Earnings ratio as HBB.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.39, HBB is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.3 | ||
| Fwd PE | 14.9 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of HBB is on the same level as its industry peers.
92.42% of the companies in the same industry are more expensive than HBB, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.99 | ||
| EV/EBITDA | 9.29 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)5.07
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
HBB has a Yearly Dividend Yield of 1.87%.
HBB's Dividend Yield is rather good when compared to the industry average which is at 3.06. HBB pays more dividend than 87.88% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.40, HBB is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.87% |
5.2 History
The dividend of HBB has a limited annual growth rate of 5.17%.
HBB has been paying a dividend for over 5 years, so it has already some track record.
HBB has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)5.17%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
24.16% of the earnings are spent on dividend by HBB. This is a low number and sustainable payout ratio.
DP24.16%
EPS Next 2YN/A
EPS Next 3YN/A
HAMILTON BEACH BRAND-A
NYSE:HBB (5/8/2024, 9:52:51 AM)
24.08
+0.65 (+2.77%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap340.25M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.87% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.3 | ||
| Fwd PE | 14.9 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)5.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.54% | ||
| ROE | 17.09% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 5.59% | ||
| PM (TTM) | 4.02% | ||
| GM | 22.97% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.05 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)0%
EPS 3Y1.71%
EPS 5Y
EPS growth Q2Q
EPS Next Y-10.72%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-2.38%
Revenue growth 3Y1.2%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y