HAWAIIAN ELECTRIC INDS (HE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:HE - US4198701009 - Common Stock
11.76 USD
-0.03 (-0.25%)
11.76 USD
0 (0%)
Overall HE gets a fundamental rating of 3 out of 10. We evaluated HE against 47 industry peers in the Electric Utilities industry. The financial health of HE is average, but 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.
HE had positive earnings in 4 of the past 5 years.
HE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of HE (-1.44%) is worse than 95.74% of its industry peers.
With a Return On Equity value of -7.64%, HE is not doing good in the industry: 95.74% of the companies in the same industry are doing better.
HE has a Return On Invested Capital of 3.03%. This is in the lower half of the industry: HE underperforms 74.47% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for HE is below the industry average of 4.92%.
The last Return On Invested Capital (3.03%) for HE is above the 3 year average (1.99%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.44% | ||
| ROE | -7.64% | ||
| ROIC | 3.03% |
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
Looking at the Operating Margin, with a value of 9.94%, HE is doing worse than 85.11% of the companies in the same industry.
HE's Operating Margin has declined in the last couple of years.
The Profit Margin and Gross Margin are not available for HE so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.94% | ||
| PM (TTM) | N/A | ||
| 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.
HE has a worse debt/assets ratio than last year.
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.
HE's Altman-Z score of 0.54 is on the low side compared to the rest of the industry. HE is outperformed by 85.11% of its industry peers.
The Debt to FCF ratio of HE is 16.51, which is on the high side as it means it would take HE, 16.51 years of fcf income to pay off all of its debts.
HE's Debt to FCF ratio of 16.51 is amongst the best of the industry. HE outperforms 80.85% of its industry peers.
A Debt/Equity ratio of 1.51 is on the high side and indicates that HE has dependencies on debt financing.
HE's Debt to Equity ratio of 1.51 is in line compared to the rest of the industry. HE outperforms 42.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.51 | ||
| Debt/FCF | 16.51 | ||
| Altman-Z | 0.54 |
ROIC/WACC0.97
WACC3.11%
2.3 Liquidity
A Current Ratio of 1.15 indicates that HE should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.15, HE belongs to the top of the industry, outperforming 82.98% of the companies in the same industry.
HE has a Quick Ratio of 1.15. This is a normal value and indicates that HE is financially healthy and should not expect problems in meeting its short term obligations.
With an excellent Quick ratio value of 1.15, HE belongs to the best of the industry, outperforming 85.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
The earnings per share for HE have decreased strongly by -55.19% in the last year.
HE shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -4.97% yearly.
The Revenue has decreased by -2.06% in the past year.
The Revenue has been growing slightly by 2.30% on average over the past years.
EPS 1Y (TTM)-55.19%
EPS 3Y-11.55%
EPS 5Y-4.97%
EPS Q2Q%-58.7%
Revenue 1Y (TTM)-2.06%
Revenue growth 3Y4.15%
Revenue growth 5Y2.3%
Sales Q2Q%-15.75%
3.2 Future
HE is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -10.07% yearly.
The Revenue is expected to grow by 1.62% on average over the next years.
EPS Next Y-34.21%
EPS Next 2Y-19.16%
EPS Next 3Y-14.62%
EPS Next 5Y-10.07%
Revenue Next Year-1.73%
Revenue Next 2Y0.16%
Revenue Next 3Y0.85%
Revenue Next 5Y1.62%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
HE is valuated correctly with a Price/Earnings ratio of 14.34.
Based on the Price/Earnings ratio, HE is valued a bit cheaper than 65.96% of the companies in the same industry.
HE is valuated rather cheaply when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 11.61, the valuation of HE can be described as very reasonable.
Based on the Price/Forward Earnings ratio, HE is valued a bit cheaper than 74.47% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.59. HE is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.34 | ||
| Fwd PE | 11.61 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HE is valued a bit cheaper than the industry average as 76.60% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, HE is valued cheaply inside the industry as 82.98% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.31 | ||
| EV/EBITDA | 7.96 |
4.3 Compensation for Growth
A cheap valuation may be justified as HE's earnings are expected to decrease with -14.62% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-19.16%
EPS Next 3Y-14.62%
5. Dividend
5.1 Amount
HE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
11.76
-0.03 (-0.25%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners76.45%
Inst Owner Change-1.94%
Ins Owners0.19%
Ins Owner Change9.05%
Market Cap2.03B
Revenue(TTM)3.22B
Net Income(TTM)-119.89M
Analysts42
Price Target11.35 (-3.49%)
Short Float %6.01%
Short Ratio6.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.01
Dividend Growth(5Y)-59.93%
DP-1.58%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.47%
Min EPS beat(2)-3.75%
Max EPS beat(2)6.69%
EPS beat(4)1
Avg EPS beat(4)-15.97%
Min EPS beat(4)-51.9%
Max EPS beat(4)6.69%
EPS beat(8)2
Avg EPS beat(8)-12.42%
EPS beat(12)3
Avg EPS beat(12)-10.16%
EPS beat(16)5
Avg EPS beat(16)-5.06%
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)2.3%
PT rev (3m)-6.32%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-313.37%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.94%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.34 | ||
| Fwd PE | 11.61 | ||
| P/S | 0.7 | ||
| P/FCF | 13.31 | ||
| P/OCF | 4.24 | ||
| P/B | 1.29 | ||
| P/tB | 1.29 | ||
| EV/EBITDA | 7.96 |
EPS(TTM)0.82
EY6.97%
EPS(NY)1.01
Fwd EY8.61%
FCF(TTM)0.88
FCFY7.52%
OCF(TTM)2.77
OCFY23.57%
SpS16.89
BVpS9.09
TBVpS9.09
PEG (NY)N/A
PEG (5Y)N/A
Graham Number12.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.44% | ||
| ROE | -7.64% | ||
| ROCE | 3.76% | ||
| ROIC | 3.03% | ||
| ROICexc | 3.09% | ||
| ROICexgc | 3.56% | ||
| OM | 9.94% | ||
| PM (TTM) | N/A | ||
| GM | N/A | ||
| FCFM | 5.23% |
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-Score5
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.51 | ||
| Debt/FCF | 16.51 | ||
| Debt/EBITDA | 4.35 | ||
| Cap/Depr | 127.01% | ||
| Cap/Sales | 11.18% | ||
| Interest Coverage | 3815.3 | ||
| Cash Conversion | 87.54% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | 0.54 |
F-Score5
WACC3.11%
ROIC/WACC0.97
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-34.21%
EPS Next 2Y-19.16%
EPS Next 3Y-14.62%
EPS Next 5Y-10.07%
Revenue 1Y (TTM)-2.06%
Revenue growth 3Y4.15%
Revenue growth 5Y2.3%
Sales Q2Q%-15.75%
Revenue Next Year-1.73%
Revenue Next 2Y0.16%
Revenue Next 3Y0.85%
Revenue Next 5Y1.62%
EBIT growth 1Y-8.68%
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-52.22%
FCF growth 3Y32.77%
FCF growth 5Y21.1%
OCF growth 1Y-36.33%
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 -34.21% 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 -1.58%.