18.4 USD
-0.25 (-1.34%)
18.4 USD
0 (0%)
Taking everything into account, HCKT scores 6 out of 10 in our fundamental rating. HCKT was compared to 86 industry peers in the IT Services industry. Both the health and profitability get an excellent rating, making HCKT a very profitable company, without any liquidiy or solvency issues. HCKT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year HCKT was profitable.
HCKT had a positive operating cash flow in the past year.
HCKT had positive earnings in each of the past 5 years.
In the past 5 years HCKT always reported a positive cash flow from operatings.
1.2 Ratios
HCKT's Return On Assets of 5.44% is fine compared to the rest of the industry. HCKT outperforms 70.93% of its industry peers.
With a decent Return On Equity value of 10.74%, HCKT is doing good in the industry, outperforming 68.60% of the companies in the same industry.
With an excellent Return On Invested Capital value of 11.47%, HCKT belongs to the best of the industry, outperforming 80.23% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for HCKT is below the industry average of 29.74%.
The 3 year average ROIC (27.20%) for HCKT is well above the current ROIC(11.47%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.44% | ||
| ROE | 10.74% | ||
| ROIC | 11.47% |
ROA(3y)18.77%
ROA(5y)15.84%
ROE(3y)44.51%
ROE(5y)33.26%
ROIC(3y)27.2%
ROIC(5y)22.5%
1.3 Margins
HCKT has a Profit Margin of 3.53%. This is in the better half of the industry: HCKT outperforms 60.47% of its industry peers.
HCKT's Profit Margin has improved in the last couple of years.
HCKT's Operating Margin of 8.19% is fine compared to the rest of the industry. HCKT outperforms 65.12% of its industry peers.
In the last couple of years the Operating Margin of HCKT has grown nicely.
Looking at the Gross Margin, with a value of 37.78%, HCKT is in line with its industry, outperforming 58.14% of the companies in the same industry.
In the last couple of years the Gross Margin of HCKT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.19% | ||
| PM (TTM) | 3.53% | ||
| GM | 37.78% |
OM growth 3Y-5.13%
OM growth 5Y3.06%
PM growth 3Y-14.08%
PM growth 5Y2.74%
GM growth 3Y1.18%
GM growth 5Y2.78%
2. Health
2.1 Basic Checks
HCKT has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for HCKT has been increased compared to 1 year ago.
Compared to 5 years ago, HCKT has less shares outstanding
HCKT has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.78 indicates that HCKT is not in any danger for bankruptcy at the moment.
The Altman-Z score of HCKT (5.78) is better than 81.40% of its industry peers.
HCKT has a debt to FCF ratio of 1.25. This is a very positive value and a sign of high solvency as it would only need 1.25 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.25, HCKT is in the better half of the industry, outperforming 75.58% of the companies in the same industry.
HCKT has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
HCKT has a Debt to Equity ratio of 0.43. This is comparable to the rest of the industry: HCKT outperforms 47.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 1.25 | ||
| Altman-Z | 5.78 |
ROIC/WACC1.32
WACC8.69%
2.3 Liquidity
HCKT has a Current Ratio of 1.88. This is a normal value and indicates that HCKT is financially healthy and should not expect problems in meeting its short term obligations.
HCKT's Current ratio of 1.88 is in line compared to the rest of the industry. HCKT outperforms 56.98% of its industry peers.
HCKT has a Quick Ratio of 1.88. This is a normal value and indicates that HCKT is financially healthy and should not expect problems in meeting its short term obligations.
HCKT has a Quick ratio of 1.88. This is comparable to the rest of the industry: HCKT outperforms 56.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.88 |
3. Growth
3.1 Past
HCKT shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.87%.
Measured over the past years, HCKT shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.71% on average per year.
HCKT shows a small growth in Revenue. In the last year, the Revenue has grown by 0.68%.
Measured over the past years, HCKT shows a small growth in Revenue. The Revenue has been growing by 2.13% on average per year.
EPS 1Y (TTM)1.87%
EPS 3Y8.65%
EPS 5Y10.71%
EPS Q2Q%-13.95%
Revenue 1Y (TTM)0.68%
Revenue growth 3Y4.03%
Revenue growth 5Y2.13%
Sales Q2Q%-8.36%
3.2 Future
HCKT is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.49% yearly.
Based on estimates for the next years, HCKT will show a small growth in Revenue. The Revenue will grow by 2.01% on average per year.
EPS Next Y-7.51%
EPS Next 2Y1.49%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-0.74%
Revenue Next 2Y2.01%
Revenue Next 3YN/A
Revenue Next 5YN/A
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 decreasing.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 11.29 indicates a reasonable valuation of HCKT.
HCKT's Price/Earnings ratio is rather cheap when compared to the industry. HCKT is cheaper than 86.05% of the companies in the same industry.
HCKT is valuated cheaply when we compare the Price/Earnings ratio to 26.15, which is the current average of the S&P500 Index.
HCKT is valuated reasonably with a Price/Forward Earnings ratio of 10.63.
HCKT's Price/Forward Earnings ratio is rather cheap when compared to the industry. HCKT is cheaper than 86.05% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of HCKT to the average of the S&P500 Index (36.12), we can say HCKT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.29 | ||
| Fwd PE | 10.63 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of HCKT is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, HCKT is valued a bit cheaper than 72.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.46 | ||
| EV/EBITDA | 17.75 |
4.3 Compensation for Growth
The decent profitability rating of HCKT may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.05
EPS Next 2Y1.49%
EPS Next 3YN/A
5. Dividend
5.1 Amount
HCKT has a Yearly Dividend Yield of 2.72%.
Compared to an average industry Dividend Yield of 2.06, HCKT pays a better dividend. On top of this HCKT pays more dividend than 94.19% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, HCKT has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.72% |
5.2 History
On average, the dividend of HCKT grows each year by 7.93%, which is quite nice.
HCKT has been paying a dividend for at least 10 years, so it has a reliable track record.
HCKT has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)7.93%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
HCKT pays out 116.23% of its income as dividend. This is not a sustainable payout ratio.
HCKT's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP116.23%
EPS Next 2Y1.49%
EPS Next 3YN/A
18.4
-0.25 (-1.34%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners84.54%
Inst Owner Change3.09%
Ins Owners10.38%
Ins Owner Change0%
Market Cap506.18M
Revenue(TTM)309.11M
Net Income(TTM)10.91M
Analysts84.44
Price Target28.9 (57.07%)
Short Float %5.92%
Short Ratio5.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.72% |
Yearly Dividend0.44
Dividend Growth(5Y)7.93%
DP116.23%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.08%
Min EPS beat(2)-1.09%
Max EPS beat(2)-1.07%
EPS beat(4)2
Avg EPS beat(4)2.45%
Min EPS beat(4)-1.09%
Max EPS beat(4)11.48%
EPS beat(8)6
Avg EPS beat(8)3.03%
EPS beat(12)9
Avg EPS beat(12)2.88%
EPS beat(16)13
Avg EPS beat(16)5.15%
Revenue beat(2)0
Avg Revenue beat(2)-2.71%
Min Revenue beat(2)-4.49%
Max Revenue beat(2)-0.94%
Revenue beat(4)1
Avg Revenue beat(4)-1.02%
Min Revenue beat(4)-4.49%
Max Revenue beat(4)2.63%
Revenue beat(8)5
Avg Revenue beat(8)0.05%
Revenue beat(12)7
Avg Revenue beat(12)0.06%
Revenue beat(16)10
Avg Revenue beat(16)0.62%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)1.77%
EPS NQ rev (3m)-5.74%
EPS NY rev (1m)0%
EPS NY rev (3m)-3.79%
Revenue NQ rev (1m)-8.9%
Revenue NQ rev (3m)-8.9%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.29 | ||
| Fwd PE | 10.63 | ||
| P/S | 1.64 | ||
| P/FCF | 14.46 | ||
| P/OCF | 12.09 | ||
| P/B | 4.98 | ||
| P/tB | 67.64 | ||
| EV/EBITDA | 17.75 |
EPS(TTM)1.63
EY8.86%
EPS(NY)1.73
Fwd EY9.41%
FCF(TTM)1.27
FCFY6.91%
OCF(TTM)1.52
OCFY8.27%
SpS11.24
BVpS3.69
TBVpS0.27
PEG (NY)N/A
PEG (5Y)1.05
Graham Number11.64
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.44% | ||
| ROE | 10.74% | ||
| ROCE | 16.02% | ||
| ROIC | 11.47% | ||
| ROICexc | 12.57% | ||
| ROICexgc | 36.26% | ||
| OM | 8.19% | ||
| PM (TTM) | 3.53% | ||
| GM | 37.78% | ||
| FCFM | 11.32% |
ROA(3y)18.77%
ROA(5y)15.84%
ROE(3y)44.51%
ROE(5y)33.26%
ROIC(3y)27.2%
ROIC(5y)22.5%
ROICexc(3y)33.26%
ROICexc(5y)28.91%
ROICexgc(3y)192.93%
ROICexgc(5y)166.38%
ROCE(3y)38.01%
ROCE(5y)31.45%
ROICexgc growth 3Y-11.97%
ROICexgc growth 5Y9.73%
ROICexc growth 3Y-5.69%
ROICexc growth 5Y5.53%
OM growth 3Y-5.13%
OM growth 5Y3.06%
PM growth 3Y-14.08%
PM growth 5Y2.74%
GM growth 3Y1.18%
GM growth 5Y2.78%
F-Score5
Asset Turnover1.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 1.25 | ||
| Debt/EBITDA | 1.45 | ||
| Cap/Depr | 140.63% | ||
| Cap/Sales | 2.22% | ||
| Interest Coverage | 19.73 | ||
| Cash Conversion | 138.64% | ||
| Profit Quality | 320.66% | ||
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.88 | ||
| Altman-Z | 5.78 |
F-Score5
WACC8.69%
ROIC/WACC1.32
Cap/Depr(3y)119.95%
Cap/Depr(5y)95.2%
Cap/Sales(3y)1.42%
Cap/Sales(5y)1.24%
Profit Quality(3y)125.92%
Profit Quality(5y)249.68%
High Growth Momentum
Growth
EPS 1Y (TTM)1.87%
EPS 3Y8.65%
EPS 5Y10.71%
EPS Q2Q%-13.95%
EPS Next Y-7.51%
EPS Next 2Y1.49%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)0.68%
Revenue growth 3Y4.03%
Revenue growth 5Y2.13%
Sales Q2Q%-8.36%
Revenue Next Year-0.74%
Revenue Next 2Y2.01%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-48.96%
EBIT growth 3Y-1.31%
EBIT growth 5Y5.25%
EBIT Next Year25.96%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y9.58%
FCF growth 3Y0.42%
FCF growth 5Y2.93%
OCF growth 1Y14.29%
OCF growth 3Y0.98%
OCF growth 5Y2.42%
HACKETT GROUP INC/THE / HCKT FAQ
What is the ChartMill fundamental rating of HACKETT GROUP INC/THE (HCKT) stock?
ChartMill assigns a fundamental rating of 6 / 10 to HCKT.
What is the valuation status for HCKT stock?
ChartMill assigns a valuation rating of 6 / 10 to HACKETT GROUP INC/THE (HCKT). This can be considered as Fairly Valued.
Can you provide the profitability details for HACKETT GROUP INC/THE?
HACKETT GROUP INC/THE (HCKT) has a profitability rating of 7 / 10.
Can you provide the expected EPS growth for HCKT stock?
The Earnings per Share (EPS) of HACKETT GROUP INC/THE (HCKT) is expected to decline by -7.51% in the next year.
Can you provide the dividend sustainability for HCKT stock?
The dividend rating of HACKETT GROUP INC/THE (HCKT) is 5 / 10 and the dividend payout ratio is 116.23%.