94.64 USD
-0.6 (-0.63%)
94.64 USD
0 (0%)
Overall HEES gets a fundamental rating of 3 out of 10. We evaluated HEES against 50 industry peers in the Trading Companies & Distributors industry. While HEES is still in line with the averages on profitability rating, there are concerns on its financial health. HEES does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
HEES had positive earnings in the past year.
HEES had a positive operating cash flow in the past year.
Of the past 5 years HEES 4 years were profitable.
In the past 5 years HEES always reported a positive cash flow from operatings.
1.2 Ratios
HEES has a Return On Assets of 3.39%. This is comparable to the rest of the industry: HEES outperforms 51.02% of its industry peers.
With a decent Return On Equity value of 15.05%, HEES is doing good in the industry, outperforming 63.27% of the companies in the same industry.
HEES has a Return On Invested Capital (5.96%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for HEES is in line with the industry average of 9.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.39% | ||
| ROE | 15.05% | ||
| ROIC | 5.96% |
ROA(3y)5.53%
ROA(5y)3.97%
ROE(3y)28.14%
ROE(5y)20.89%
ROIC(3y)8.17%
ROIC(5y)6.83%
1.3 Margins
With a decent Profit Margin value of 6.21%, HEES is doing good in the industry, outperforming 71.43% of the companies in the same industry.
In the last couple of years the Profit Margin of HEES has remained more or less at the same level.
The Operating Margin of HEES (12.36%) is better than 75.51% of its industry peers.
HEES's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 43.28%, HEES is in the better half of the industry, outperforming 77.55% of the companies in the same industry.
In the last couple of years the Gross Margin of HEES has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.36% | ||
| PM (TTM) | 6.21% | ||
| GM | 43.28% |
OM growth 3Y7.13%
OM growth 5Y0.88%
PM growth 3Y-5.62%
PM growth 5Y0.89%
GM growth 3Y4.44%
GM growth 5Y2.47%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so HEES is destroying value.
HEES has more shares outstanding than it did 1 year ago.
HEES has more shares outstanding than it did 5 years ago.
HEES has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.93 indicates that HEES is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 1.93, HEES is not doing good in the industry: 71.43% of the companies in the same industry are doing better.
HEES has a debt to FCF ratio of 13.77. This is a negative value and a sign of low solvency as HEES would need 13.77 years to pay back of all of its debts.
HEES's Debt to FCF ratio of 13.77 is in line compared to the rest of the industry. HEES outperforms 53.06% of its industry peers.
A Debt/Equity ratio of 2.26 is on the high side and indicates that HEES has dependencies on debt financing.
With a Debt to Equity ratio value of 2.26, HEES is not doing good in the industry: 79.59% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.26 | ||
| Debt/FCF | 13.77 | ||
| Altman-Z | 1.93 |
ROIC/WACC0.62
WACC9.54%
2.3 Liquidity
A Current Ratio of 0.63 indicates that HEES may have some problems paying its short term obligations.
HEES has a worse Current ratio (0.63) than 95.92% of its industry peers.
HEES has a Quick Ratio of 0.63. This is a bad value and indicates that HEES is not financially healthy enough and could expect problems in meeting its short term obligations.
HEES has a worse Quick ratio (0.59) than 81.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.63 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
The earnings per share for HEES have decreased strongly by -41.84% in the last year.
The Earnings Per Share has been growing slightly by 5.09% on average over the past years.
HEES shows a decrease in Revenue. In the last year, the revenue decreased by -3.52%.
Measured over the past years, HEES shows a small growth in Revenue. The Revenue has been growing by 6.18% on average per year.
EPS 1Y (TTM)-41.84%
EPS 3Y24.34%
EPS 5Y5.09%
EPS Q2Q%-95.77%
Revenue 1Y (TTM)-3.52%
Revenue growth 3Y12.58%
Revenue growth 5Y6.18%
Sales Q2Q%-13.98%
3.2 Future
Based on estimates for the next years, HEES will show a decrease in Earnings Per Share. The EPS will decrease by -0.18% on average per year.
HEES is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.68% yearly.
EPS Next Y-31.61%
EPS Next 2Y-0.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year0.39%
Revenue Next 2Y3.68%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
Based on the Price/Earnings ratio of 34.04, the valuation of HEES can be described as expensive.
HEES's Price/Earnings ratio is a bit more expensive when compared to the industry. HEES is more expensive than 61.22% of the companies in the same industry.
HEES's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.92.
A Price/Forward Earnings ratio of 27.45 indicates a quite expensive valuation of HEES.
Based on the Price/Forward Earnings ratio, HEES is valued a bit more expensive than the industry average as 65.31% of the companies are valued more cheaply.
When comparing the Price/Forward Earnings ratio of HEES to the average of the S&P500 Index (23.57), we can say HEES is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.04 | ||
| Fwd PE | 27.45 |
4.2 Price Multiples
85.71% of the companies in the same industry are more expensive than HEES, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HEES is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.07 | ||
| EV/EBITDA | 7.76 |
4.3 Compensation for Growth
HEES has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)6.69
EPS Next 2Y-0.18%
EPS Next 3YN/A
5. Dividend
5.1 Amount
HEES has a Yearly Dividend Yield of 1.16%.
Compared to an average industry Dividend Yield of 1.01, HEES pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.94, HEES's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
5.2 History
The dividend of HEES decreases each year by -0.02%.
HEES has paid a dividend for at least 10 years, which is a reliable track record.
HEES has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-0.02%
Div Incr Years0
Div Non Decr Years10
5.3 Sustainability
44.29% of the earnings are spent on dividend by HEES. This is a bit on the high side, but may be sustainable.
HEES's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP44.29%
EPS Next 2Y-0.18%
EPS Next 3YN/A
94.64
-0.6 (-0.63%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners78.62%
Inst Owner Change0%
Ins Owners0.67%
Ins Owner Change0%
Market Cap3.47B
Revenue(TTM)1.46B
Net Income(TTM)90.89M
Analysts47.5
Price Target86.7 (-8.39%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
Yearly Dividend1.1
Dividend Growth(5Y)-0.02%
DP44.29%
Div Incr Years0
Div Non Decr Years10
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-37.57%
Min EPS beat(2)-95.33%
Max EPS beat(2)20.2%
EPS beat(4)1
Avg EPS beat(4)-26.33%
Min EPS beat(4)-95.33%
Max EPS beat(4)20.2%
EPS beat(8)4
Avg EPS beat(8)-10.27%
EPS beat(12)8
Avg EPS beat(12)1.39%
EPS beat(16)12
Avg EPS beat(16)7.88%
Revenue beat(2)1
Avg Revenue beat(2)-6.27%
Min Revenue beat(2)-13.63%
Max Revenue beat(2)1.09%
Revenue beat(4)1
Avg Revenue beat(4)-4.69%
Min Revenue beat(4)-13.63%
Max Revenue beat(4)1.09%
Revenue beat(8)4
Avg Revenue beat(8)-1.43%
Revenue beat(12)7
Avg Revenue beat(12)-0.3%
Revenue beat(16)9
Avg Revenue beat(16)-1.57%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)35.45%
EPS NQ rev (3m)-19.89%
EPS NY rev (1m)0%
EPS NY rev (3m)-38.3%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-7.18%
Revenue NY rev (1m)3.15%
Revenue NY rev (3m)-3.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.04 | ||
| Fwd PE | 27.45 | ||
| P/S | 2.37 | ||
| P/FCF | 35.07 | ||
| P/OCF | 6.8 | ||
| P/B | 5.75 | ||
| P/tB | 8.51 | ||
| EV/EBITDA | 7.76 |
EPS(TTM)2.78
EY2.94%
EPS(NY)3.45
Fwd EY3.64%
FCF(TTM)2.7
FCFY2.85%
OCF(TTM)13.91
OCFY14.7%
SpS39.94
BVpS16.47
TBVpS11.12
PEG (NY)N/A
PEG (5Y)6.69
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.39% | ||
| ROE | 15.05% | ||
| ROCE | 7.87% | ||
| ROIC | 5.96% | ||
| ROICexc | 5.99% | ||
| ROICexgc | 6.54% | ||
| OM | 12.36% | ||
| PM (TTM) | 6.21% | ||
| GM | 43.28% | ||
| FCFM | 6.76% |
ROA(3y)5.53%
ROA(5y)3.97%
ROE(3y)28.14%
ROE(5y)20.89%
ROIC(3y)8.17%
ROIC(5y)6.83%
ROICexc(3y)8.33%
ROICexc(5y)7.4%
ROICexgc(3y)8.97%
ROICexgc(5y)7.96%
ROCE(3y)10.79%
ROCE(5y)9.02%
ROICexgc growth 3Y1.18%
ROICexgc growth 5Y-1.16%
ROICexc growth 3Y0.48%
ROICexc growth 5Y-0.78%
OM growth 3Y7.13%
OM growth 5Y0.88%
PM growth 3Y-5.62%
PM growth 5Y0.89%
GM growth 3Y4.44%
GM growth 5Y2.47%
F-Score5
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.26 | ||
| Debt/FCF | 13.77 | ||
| Debt/EBITDA | 2.19 | ||
| Cap/Depr | 93.34% | ||
| Cap/Sales | 28.07% | ||
| Interest Coverage | 2.59 | ||
| Cash Conversion | 82.07% | ||
| Profit Quality | 108.88% | ||
| Current Ratio | 0.63 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 1.93 |
F-Score5
WACC9.54%
ROIC/WACC0.62
Cap/Depr(3y)155.79%
Cap/Depr(5y)138%
Cap/Sales(3y)40.66%
Cap/Sales(5y)35.59%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-41.84%
EPS 3Y24.34%
EPS 5Y5.09%
EPS Q2Q%-95.77%
EPS Next Y-31.61%
EPS Next 2Y-0.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-3.52%
Revenue growth 3Y12.58%
Revenue growth 5Y6.18%
Sales Q2Q%-13.98%
Revenue Next Year0.39%
Revenue Next 2Y3.68%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-36.15%
EBIT growth 3Y20.61%
EBIT growth 5Y7.11%
EBIT Next Year175.47%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y142.65%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y60.44%
OCF growth 3Y24.05%
OCF growth 5Y9.2%
H&E EQUIPMENT SERVICES INC / HEES FAQ
Can you provide the ChartMill fundamental rating for H&E EQUIPMENT SERVICES INC?
ChartMill assigns a fundamental rating of 3 / 10 to HEES.
What is the valuation status for HEES stock?
ChartMill assigns a valuation rating of 2 / 10 to H&E EQUIPMENT SERVICES INC (HEES). This can be considered as Overvalued.
What is the profitability of HEES stock?
H&E EQUIPMENT SERVICES INC (HEES) has a profitability rating of 6 / 10.
Can you provide the financial health for HEES stock?
The financial health rating of H&E EQUIPMENT SERVICES INC (HEES) is 1 / 10.
Is the dividend of H&E EQUIPMENT SERVICES INC sustainable?
The dividend rating of H&E EQUIPMENT SERVICES INC (HEES) is 5 / 10 and the dividend payout ratio is 44.29%.