HAWAIIAN ELECTRIC INDS (HE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:HE - US4198701009 - Common Stock
12.12 USD
+0.21 (+1.76%)
12.12 USD
0 (0%)
Taking everything into account, HE scores 3 out of 10 in our fundamental rating. HE was compared to 47 industry peers in the Electric Utilities industry. While HE seems to be doing ok healthwise, there are quite some concerns on its profitability. HE is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
HE had positive earnings in the past year.
HE had a positive operating cash flow in the past year.
Of the past 5 years HE 4 years were profitable.
HE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of HE (0.17%) is worse than 95.74% of its industry peers.
Looking at the Return On Equity, with a value of 0.95%, HE is doing worse than 95.74% of the companies in the same industry.
HE has a Return On Invested Capital of 2.25%. This is amonst the worse of the industry: HE underperforms 89.36% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for HE is below the industry average of 5.04%.
The 3 year average ROIC (1.99%) for HE is below the current ROIC(2.25%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.17% | ||
| ROE | 0.95% | ||
| ROIC | 2.25% |
ROA(3y)-4.44%
ROA(5y)-2.09%
ROE(3y)-25.02%
ROE(5y)-11.32%
ROIC(3y)1.99%
ROIC(5y)1.95%
1.3 Margins
HE's Profit Margin of 0.55% is on the low side compared to the rest of the industry. HE is outperformed by 93.62% of its industry peers.
HE has a worse Operating Margin (8.33%) than 87.23% of its industry peers.
In the last couple of years the Operating Margin of HE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.33% | ||
| PM (TTM) | 0.55% | ||
| GM | N/A |
OM growth 3Y-17.69%
OM growth 5Y-9.56%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
HE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, HE has more shares outstanding
The number of shares outstanding for HE has been increased compared to 5 years ago.
Compared to 1 year ago, HE has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.54, we must say that HE is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.54, HE is doing worse than 85.11% of the companies in the same industry.
HE has a debt to FCF ratio of 36.77. This is a negative value and a sign of low solvency as HE would need 36.77 years to pay back of all of its debts.
HE's Debt to FCF ratio of 36.77 is fine compared to the rest of the industry. HE outperforms 76.60% of its industry peers.
A Debt/Equity ratio of 1.76 is on the high side and indicates that HE has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.76, HE is doing worse than 70.21% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.76 | ||
| Debt/FCF | 36.77 | ||
| Altman-Z | 0.54 |
ROIC/WACC0.7
WACC3.23%
2.3 Liquidity
HE has a Current Ratio of 2.20. This indicates that HE is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 2.20, HE belongs to the best of the industry, outperforming 93.62% of the companies in the same industry.
HE has a Quick Ratio of 2.20. This indicates that HE is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 2.20, HE belongs to the top of the industry, outperforming 93.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.2 | ||
| Quick Ratio | 2.2 |
3. Growth
3.1 Past
The earnings per share for HE have decreased strongly by -55.19% in the last year.
Measured over the past years, HE shows a decrease in Earnings Per Share. The EPS has been decreasing by -4.97% on average per year.
Looking at the last year, HE shows a very negative growth in Revenue. The Revenue has decreased by -24.97% in the last year.
HE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.30% yearly.
EPS 1Y (TTM)-55.19%
EPS 3Y-11.55%
EPS 5Y-4.97%
EPS Q2Q%-58.7%
Revenue 1Y (TTM)-24.97%
Revenue growth 3Y4.15%
Revenue growth 5Y2.3%
Sales Q2Q%-15.75%
3.2 Future
Based on estimates for the next years, HE will show a very negative growth in Earnings Per Share. The EPS will decrease by -10.07% on average per year.
The Revenue is expected to grow by 1.62% on average over the next years.
EPS Next Y-33.77%
EPS Next 2Y-19.85%
EPS Next 3Y-14.42%
EPS Next 5Y-10.07%
Revenue Next Year-1.71%
Revenue Next 2Y0.11%
Revenue Next 3Y0.85%
Revenue Next 5Y1.62%
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.
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
With a Price/Earnings ratio of 14.78, HE is valued correctly.
Based on the Price/Earnings ratio, HE is valued a bit cheaper than the industry average as 63.83% of the companies are valued more expensively.
HE's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.92.
With a Price/Forward Earnings ratio of 12.17, HE is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HE indicates a somewhat cheap valuation: HE is cheaper than 70.21% of the companies listed in the same industry.
HE's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.78 | ||
| Fwd PE | 12.17 |
4.2 Price Multiples
68.09% of the companies in the same industry are more expensive than HE, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HE indicates a rather cheap valuation: HE is cheaper than 80.85% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.09 | ||
| EV/EBITDA | 9.3 |
4.3 Compensation for Growth
A cheap valuation may be justified as HE's earnings are expected to decrease with -14.42% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-19.85%
EPS Next 3Y-14.42%
5. Dividend
5.1 Amount
HE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
12.12
+0.21 (+1.76%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners74.38%
Inst Owner Change-1.94%
Ins Owners0.19%
Ins Owner Change9.05%
Market Cap2.09B
Revenue(TTM)2.77B
Net Income(TTM)15.26M
Analysts42
Price Target11.22 (-7.43%)
Short Float %5.46%
Short Ratio4.07
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly Dividend0.01
Dividend Growth(5Y)-59.93%
DP12.39%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)99%
Min EPS beat(2)6.69%
Max EPS beat(2)191.32%
EPS beat(4)2
Avg EPS beat(4)35.59%
Min EPS beat(4)-51.9%
Max EPS beat(4)191.32%
EPS beat(8)2
Avg EPS beat(8)11.33%
EPS beat(12)3
Avg EPS beat(12)5.73%
EPS beat(16)6
Avg EPS beat(16)7.2%
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.12%
PT rev (3m)-7.69%
EPS NQ rev (1m)-36.56%
EPS NQ rev (3m)-36.56%
EPS NY rev (1m)0.67%
EPS NY rev (3m)0.42%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.78 | ||
| Fwd PE | 12.17 | ||
| P/S | 0.76 | ||
| P/FCF | 26.09 | ||
| P/OCF | 4.97 | ||
| P/B | 1.31 | ||
| P/tB | 1.31 | ||
| EV/EBITDA | 9.3 |
EPS(TTM)0.82
EY6.77%
EPS(NY)1
Fwd EY8.22%
FCF(TTM)0.46
FCFY3.83%
OCF(TTM)2.44
OCFY20.13%
SpS16.04
BVpS9.26
TBVpS9.26
PEG (NY)N/A
PEG (5Y)N/A
Graham Number13.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.17% | ||
| ROE | 0.95% | ||
| ROCE | 2.77% | ||
| ROIC | 2.25% | ||
| ROICexc | 2.41% | ||
| ROICexgc | 2.77% | ||
| OM | 8.33% | ||
| PM (TTM) | 0.55% | ||
| GM | N/A | ||
| FCFM | 2.9% |
ROA(3y)-4.44%
ROA(5y)-2.09%
ROE(3y)-25.02%
ROE(5y)-11.32%
ROIC(3y)1.99%
ROIC(5y)1.95%
ROICexc(3y)2.09%
ROICexc(5y)2.03%
ROICexgc(3y)2.33%
ROICexgc(5y)2.25%
ROCE(3y)2.54%
ROCE(5y)2.47%
ROICexgc growth 3Y8.08%
ROICexgc growth 5Y3.01%
ROICexc growth 3Y6.51%
ROICexc growth 5Y2.51%
OM growth 3Y-17.69%
OM growth 5Y-9.56%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.76 | ||
| Debt/FCF | 36.77 | ||
| Debt/EBITDA | 5.8 | ||
| Cap/Depr | 134.96% | ||
| Cap/Sales | 12.32% | ||
| Interest Coverage | 4191.95 | ||
| Cash Conversion | 87.17% | ||
| Profit Quality | 525.51% | ||
| Current Ratio | 2.2 | ||
| Quick Ratio | 2.2 | ||
| Altman-Z | 0.54 |
F-Score6
WACC3.23%
ROIC/WACC0.7
Cap/Depr(3y)144.45%
Cap/Depr(5y)144.46%
Cap/Sales(3y)11.17%
Cap/Sales(5y)11.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-55.19%
EPS 3Y-11.55%
EPS 5Y-4.97%
EPS Q2Q%-58.7%
EPS Next Y-33.77%
EPS Next 2Y-19.85%
EPS Next 3Y-14.42%
EPS Next 5Y-10.07%
Revenue 1Y (TTM)-24.97%
Revenue growth 3Y4.15%
Revenue growth 5Y2.3%
Sales Q2Q%-15.75%
Revenue Next Year-1.71%
Revenue Next 2Y0.11%
Revenue Next 3Y0.85%
Revenue Next 5Y1.62%
EBIT growth 1Y-34.85%
EBIT growth 3Y-14.27%
EBIT growth 5Y-7.48%
EBIT Next Year50.64%
EBIT Next 3Y17.87%
EBIT Next 5Y12.29%
FCF growth 1Y-69.91%
FCF growth 3Y32.77%
FCF growth 5Y21.1%
OCF growth 1Y-41.22%
OCF growth 3Y9.07%
OCF growth 5Y-1%
HAWAIIAN ELECTRIC INDS / HE FAQ
What is the ChartMill fundamental rating of HAWAIIAN ELECTRIC INDS (HE) stock?
ChartMill assigns a fundamental rating of 3 / 10 to HE.
What is the valuation status for HE stock?
ChartMill assigns a valuation rating of 5 / 10 to HAWAIIAN ELECTRIC INDS (HE). This can be considered as Fairly Valued.
Can you provide the profitability details for HAWAIIAN ELECTRIC INDS?
HAWAIIAN ELECTRIC INDS (HE) has a profitability rating of 2 / 10.
What is the earnings growth outlook for HAWAIIAN ELECTRIC INDS?
The Earnings per Share (EPS) of HAWAIIAN ELECTRIC INDS (HE) is expected to decline by -33.77% in the next year.
How sustainable is the dividend of HAWAIIAN ELECTRIC INDS (HE) stock?
The dividend rating of HAWAIIAN ELECTRIC INDS (HE) is 0 / 10 and the dividend payout ratio is 12.39%.