HUDSON TECHNOLOGIES INC (HDSN) Stock Fundamental Analysis
NASDAQ:HDSN - Nasdaq - US4441441098 - Common Stock - Currency: USD
HDSN gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 49 industry peers in the Trading Companies & Distributors industry. HDSN has an excellent financial health rating, but there are some minor concerns on its profitability. HDSN is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year HDSN was profitable.
HDSN had a positive operating cash flow in the past year.
Of the past 5 years HDSN 4 years were profitable.
Of the past 5 years HDSN 4 years had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 8.06%, HDSN is doing good in the industry, outperforming 73.47% of the companies in the same industry.
HDSN has a Return On Equity of 9.92%. This is comparable to the rest of the industry: HDSN outperforms 48.98% of its industry peers.
HDSN's Return On Invested Capital of 8.68% is fine compared to the rest of the industry. HDSN outperforms 65.31% of its industry peers.
HDSN had an Average Return On Invested Capital over the past 3 years of 26.20%. This is significantly above the industry average of 9.16%.
The last Return On Invested Capital (8.68%) for HDSN is well below the 3 year average (26.20%), which needs to be investigated, but indicates that HDSN had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.06% | ||
| ROE | 9.92% | ||
| ROIC | 8.68% |
ROA(3y)21.25%
ROA(5y)15.1%
ROE(3y)30.7%
ROE(5y)24.97%
ROIC(3y)26.2%
ROIC(5y)20.28%
1.3 Margins
With an excellent Profit Margin value of 10.29%, HDSN belongs to the best of the industry, outperforming 81.63% of the companies in the same industry.
In the last couple of years the Profit Margin of HDSN has declined.
HDSN has a better Operating Margin (12.36%) than 73.47% of its industry peers.
HDSN's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 27.71%, HDSN perfoms like the industry average, outperforming 42.86% of the companies in the same industry.
In the last couple of years the Gross Margin of HDSN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.36% | ||
| PM (TTM) | 10.29% | ||
| GM | 27.71% |
OM growth 3Y-17.43%
OM growth 5YN/A
PM growth 3Y-15.02%
PM growth 5YN/A
GM growth 3Y-9.36%
GM growth 5Y21.17%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so HDSN is creating value.
HDSN has less shares outstanding than it did 1 year ago.
The number of shares outstanding for HDSN has been increased compared to 5 years ago.
HDSN 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
HDSN has an Altman-Z score of 5.30. This indicates that HDSN is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.30, HDSN belongs to the top of the industry, outperforming 83.67% of the companies in the same industry.
HDSN 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 | 5.3 |
ROIC/WACC0.89
WACC9.78%
2.3 Liquidity
A Current Ratio of 4.09 indicates that HDSN has no problem at all paying its short term obligations.
HDSN has a Current ratio of 4.09. This is amongst the best in the industry. HDSN outperforms 83.67% of its industry peers.
A Quick Ratio of 2.08 indicates that HDSN has no problem at all paying its short term obligations.
HDSN has a better Quick ratio (2.08) than 79.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.09 | ||
| Quick Ratio | 2.08 |
3. Growth
3.1 Past
HDSN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -56.03%.
HDSN shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -10.44% yearly.
HDSN shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -17.97%.
Measured over the past years, HDSN shows a small growth in Revenue. The Revenue has been growing by 7.90% on average per year.
EPS 1Y (TTM)-56.03%
EPS 3Y-10.44%
EPS 5YN/A
EPS Q2Q%-175%
Revenue 1Y (TTM)-17.97%
Revenue growth 3Y7.16%
Revenue growth 5Y7.9%
Sales Q2Q%-22.77%
3.2 Future
The Earnings Per Share is expected to grow by 5.17% on average over the next years.
The Revenue is expected to grow by 1.97% on average over the next years.
EPS Next Y-19.85%
EPS Next 2Y5.17%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-5.77%
Revenue Next 2Y1.97%
Revenue Next 3YN/A
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 12.61, which indicates a correct valuation of HDSN.
Based on the Price/Earnings ratio, HDSN is valued cheaper than 83.67% of the companies in the same industry.
HDSN is valuated cheaply when we compare the Price/Earnings ratio to 28.87, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 15.73, which indicates a correct valuation of HDSN.
Based on the Price/Forward Earnings ratio, HDSN is valued a bit cheaper than the industry average as 67.35% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 21.38. HDSN is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.61 | ||
| Fwd PE | 15.73 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HDSN is valued cheaper than 87.76% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, HDSN is valued cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.27 | ||
| EV/EBITDA | 5.97 |
4.3 Compensation for Growth
HDSN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y5.17%
EPS Next 3YN/A
5. Dividend
5.1 Amount
HDSN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
6.43
+0.2 (+3.21%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners74.33%
Inst Owner Change-0.82%
Ins Owners12%
Ins Owner Change0.02%
Market Cap283.11M
Analysts48.89
Price Target6.69 (4.04%)
Short Float %2.01%
Short Ratio1.6
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)1
Avg EPS beat(2)-241.46%
Min EPS beat(2)-488.23%
Max EPS beat(2)5.32%
EPS beat(4)2
Avg EPS beat(4)-126.27%
Min EPS beat(4)-488.23%
Max EPS beat(4)5.32%
EPS beat(8)5
Avg EPS beat(8)-58.46%
EPS beat(12)9
Avg EPS beat(12)18.2%
EPS beat(16)13
Avg EPS beat(16)72.2%
Revenue beat(2)0
Avg Revenue beat(2)-9.33%
Min Revenue beat(2)-10.52%
Max Revenue beat(2)-8.14%
Revenue beat(4)1
Avg Revenue beat(4)-6.11%
Min Revenue beat(4)-10.52%
Max Revenue beat(4)0.99%
Revenue beat(8)2
Avg Revenue beat(8)-4.74%
Revenue beat(12)6
Avg Revenue beat(12)4.65%
Revenue beat(16)9
Avg Revenue beat(16)6.6%
PT rev (1m)-7.89%
PT rev (3m)-10.26%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-37.5%
EPS NY rev (1m)0%
EPS NY rev (3m)-9.49%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.09%
Revenue NY rev (1m)-5.2%
Revenue NY rev (3m)-5.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.61 | ||
| Fwd PE | 15.73 | ||
| P/S | 1.19 | ||
| P/FCF | 3.27 | ||
| P/OCF | 3.08 | ||
| P/B | 1.15 | ||
| P/tB | 1.67 | ||
| EV/EBITDA | 5.97 |
EPS(TTM)0.51
EY7.93%
EPS(NY)0.41
Fwd EY6.36%
FCF(TTM)1.96
FCFY30.56%
OCF(TTM)2.09
OCFY32.43%
SpS5.39
BVpS5.58
TBVpS3.85
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.06% | ||
| ROE | 9.92% | ||
| ROCE | 11.5% | ||
| ROIC | 8.68% | ||
| ROICexc | 11.98% | ||
| ROICexgc | 20.42% | ||
| OM | 12.36% | ||
| PM (TTM) | 10.29% | ||
| GM | 27.71% | ||
| FCFM | 36.48% |
ROA(3y)21.25%
ROA(5y)15.1%
ROE(3y)30.7%
ROE(5y)24.97%
ROIC(3y)26.2%
ROIC(5y)20.28%
ROICexc(3y)28.13%
ROICexc(5y)21.53%
ROICexgc(3y)41.04%
ROICexgc(5y)33.11%
ROCE(3y)34.71%
ROCE(5y)27.37%
ROICexcg growth 3Y-15.43%
ROICexcg growth 5YN/A
ROICexc growth 3Y-15.17%
ROICexc growth 5YN/A
OM growth 3Y-17.43%
OM growth 5YN/A
PM growth 3Y-15.02%
PM growth 5YN/A
GM growth 3Y-9.36%
GM growth 5Y21.17%
F-Score6
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 82.98% | ||
| Cap/Sales | 2.24% | ||
| Interest Coverage | 42.47 | ||
| Cash Conversion | 257.26% | ||
| Profit Quality | 354.73% | ||
| Current Ratio | 4.09 | ||
| Quick Ratio | 2.08 | ||
| Altman-Z | 5.3 |
F-Score6
WACC9.78%
ROIC/WACC0.89
Cap/Depr(3y)68.73%
Cap/Depr(5y)52.28%
Cap/Sales(3y)1.53%
Cap/Sales(5y)1.32%
Profit Quality(3y)172.31%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-56.03%
EPS 3Y-10.44%
EPS 5YN/A
EPS Q2Q%-175%
EPS Next Y-19.85%
EPS Next 2Y5.17%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-17.97%
Revenue growth 3Y7.16%
Revenue growth 5Y7.9%
Sales Q2Q%-22.77%
Revenue Next Year-5.77%
Revenue Next 2Y1.97%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-62.55%
EBIT growth 3Y-11.52%
EBIT growth 5YN/A
EBIT Next Year-9.86%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y57.39%
FCF growth 3YN/A
FCF growth 5Y21.4%
OCF growth 1Y56.82%
OCF growth 3YN/A
OCF growth 5Y22.11%