HELEN OF TROY LTD (HELE) Stock Fundamental Analysis
NASDAQ:HELE - Nasdaq - BMG4388N1065 - Common Stock - Currency: USD
Taking everything into account, HELE scores 4 out of 10 in our fundamental rating. HELE was compared to 64 industry peers in the Household Durables industry. While HELE is still in line with the averages on profitability rating, there are concerns on its financial health. HELE is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
HELE had positive earnings in the past year.
HELE had a positive operating cash flow in the past year.
HELE had positive earnings in 4 of the past 5 years.
Of the past 5 years HELE 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.89%, HELE is in line with its industry, outperforming 45.31% of the companies in the same industry.
HELE has a Return On Equity (7.10%) which is comparable to the rest of the industry.
HELE's Return On Invested Capital of 6.01% is in line compared to the rest of the industry. HELE outperforms 45.31% of its industry peers.
HELE had an Average Return On Invested Capital over the past 3 years of 9.09%. This is below the industry average of 12.29%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.89% | ||
| ROE | 7.1% | ||
| ROIC | 6.01% |
ROA(3y)6.26%
ROA(5y)7.6%
ROE(3y)12.26%
ROE(5y)14.08%
ROIC(3y)9.09%
ROIC(5y)10.68%
1.3 Margins
HELE has a Profit Margin (6.05%) which is comparable to the rest of the industry.
HELE's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 9.40%, HELE is in line with its industry, outperforming 54.69% of the companies in the same industry.
In the last couple of years the Operating Margin of HELE has remained more or less at the same level.
HELE's Gross Margin of 48.04% is amongst the best of the industry. HELE outperforms 89.06% of its industry peers.
HELE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.4% | ||
| PM (TTM) | 6.05% | ||
| GM | 48.04% |
OM growth 3Y-3.97%
OM growth 5Y-1.08%
PM growth 3Y-11.42%
PM growth 5Y-4.83%
GM growth 3Y2.31%
GM growth 5Y2.91%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so HELE is still creating some value.
HELE 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
HELE has an Altman-Z score of 1.92. This is not the best score and indicates that HELE is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of HELE (1.92) is worse than 64.06% of its industry peers.
The Debt to FCF ratio of HELE is 5.98, which is a neutral value as it means it would take HELE, 5.98 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of HELE (5.98) is comparable to the rest of the industry.
HELE has a Debt/Equity ratio of 0.45. This is a healthy value indicating a solid balance between debt and equity.
HELE has a Debt to Equity ratio of 0.45. This is in the lower half of the industry: HELE underperforms 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 5.98 | ||
| Altman-Z | 1.92 |
ROIC/WACC0.68
WACC8.86%
2.3 Liquidity
HELE has a Current Ratio of 1.92. This is a normal value and indicates that HELE is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of HELE (1.92) is worse than 65.63% of its industry peers.
A Quick Ratio of 1.05 indicates that HELE should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.05, HELE perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
The earnings per share for HELE have decreased strongly by -19.28% in the last year.
The Earnings Per Share has been decreasing by -4.99% on average over the past years.
EPS 1Y (TTM)-19.28%
EPS 3Y-16.48%
EPS 5Y-4.99%
EPS Q2Q%-4.9%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-0.68%
3.2 Future
The Earnings Per Share is expected to grow by 4.28% on average over the next years.
Based on estimates for the next years, HELE will show a small growth in Revenue. The Revenue will grow by 3.94% on average per year.
EPS Next Y7.78%
EPS Next 2Y4.28%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.61%
Revenue Next 2Y3.94%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 3.51, the valuation of HELE can be described as very cheap.
Based on the Price/Earnings ratio, HELE is valued cheaply inside the industry as 93.75% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 28.10. HELE is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 3.26, which indicates a rather cheap valuation of HELE.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HELE indicates a rather cheap valuation: HELE is cheaper than 93.75% of the companies listed in the same industry.
HELE's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 20.74.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.51 | ||
| Fwd PE | 3.26 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HELE is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, HELE is valued cheaply inside the industry as 90.63% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.73 | ||
| EV/EBITDA | 5.7 |
4.3 Compensation for Growth
HELE's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.45
PEG (5Y)N/A
EPS Next 2Y4.28%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for HELE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
25.29
-2.92 (-10.35%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners107.19%
Inst Owner Change-1.32%
Ins Owners1.22%
Ins Owner Change2.61%
Market Cap580.15M
Analysts76.36
Price Target72.42 (186.36%)
Short Float %10.4%
Short Ratio3.83
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)2
Avg EPS beat(2)7.37%
Min EPS beat(2)1.33%
Max EPS beat(2)13.41%
EPS beat(4)3
Avg EPS beat(4)-4.95%
Min EPS beat(4)-39.07%
Max EPS beat(4)13.41%
EPS beat(8)6
Avg EPS beat(8)1.01%
EPS beat(12)10
Avg EPS beat(12)3.66%
EPS beat(16)13
Avg EPS beat(16)6.84%
Revenue beat(2)1
Avg Revenue beat(2)-0.47%
Min Revenue beat(2)-2.4%
Max Revenue beat(2)1.46%
Revenue beat(4)2
Avg Revenue beat(4)-2.18%
Min Revenue beat(4)-8.34%
Max Revenue beat(4)1.46%
Revenue beat(8)4
Avg Revenue beat(8)-0.8%
Revenue beat(12)6
Avg Revenue beat(12)1.25%
Revenue beat(16)10
Avg Revenue beat(16)3.37%
PT rev (1m)-17.2%
PT rev (3m)-17.2%
EPS NQ rev (1m)-0.36%
EPS NQ rev (3m)-0.36%
EPS NY rev (1m)-0.22%
EPS NY rev (3m)-0.22%
Revenue NQ rev (1m)-0.49%
Revenue NQ rev (3m)-0.49%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-0.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.51 | ||
| Fwd PE | 3.26 | ||
| P/S | 0.3 | ||
| P/FCF | 4.73 | ||
| P/OCF | 3.82 | ||
| P/B | 0.36 | ||
| P/tB | 15.54 | ||
| EV/EBITDA | 5.7 |
EPS(TTM)7.2
EY28.47%
EPS(NY)7.76
Fwd EY30.68%
FCF(TTM)5.35
FCFY21.15%
OCF(TTM)6.62
OCFY26.17%
SpS83.3
BVpS70.98
TBVpS1.63
PEG (NY)0.45
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.89% | ||
| ROE | 7.1% | ||
| ROCE | 7.32% | ||
| ROIC | 6.01% | ||
| ROICexc | 6.11% | ||
| ROICexgc | 17.92% | ||
| OM | 9.4% | ||
| PM (TTM) | 6.05% | ||
| GM | 48.04% | ||
| FCFM | 6.42% |
ROA(3y)6.26%
ROA(5y)7.6%
ROE(3y)12.26%
ROE(5y)14.08%
ROIC(3y)9.09%
ROIC(5y)10.68%
ROICexc(3y)9.18%
ROICexc(5y)10.85%
ROICexgc(3y)27.79%
ROICexgc(5y)33.4%
ROCE(3y)11.07%
ROCE(5y)13%
ROICexcg growth 3Y-18.25%
ROICexcg growth 5Y-7.73%
ROICexc growth 3Y-17.18%
ROICexc growth 5Y-7.59%
OM growth 3Y-3.97%
OM growth 5Y-1.08%
PM growth 3Y-11.42%
PM growth 5Y-4.83%
GM growth 3Y2.31%
GM growth 5Y2.91%
F-Score7
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 5.98 | ||
| Debt/EBITDA | 3.09 | ||
| Cap/Depr | 52.64% | ||
| Cap/Sales | 1.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 64.6% | ||
| Profit Quality | 106.19% | ||
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | 1.92 |
F-Score7
WACC8.86%
ROIC/WACC0.68
Cap/Depr(3y)226.77%
Cap/Depr(5y)197.94%
Cap/Sales(3y)4.59%
Cap/Sales(5y)3.9%
Profit Quality(3y)70.37%
Profit Quality(5y)92.48%
High Growth Momentum
Growth
EPS 1Y (TTM)-19.28%
EPS 3Y-16.48%
EPS 5Y-4.99%
EPS Q2Q%-4.9%
EPS Next Y7.78%
EPS Next 2Y4.28%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-0.68%
Revenue Next Year5.61%
Revenue Next 2Y3.94%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-36.59%
EBIT growth 3Y-5.42%
EBIT growth 5Y3.96%
EBIT Next Year2.38%
EBIT Next 3Y4.45%
EBIT Next 5YN/A
FCF growth 1Y866.35%
FCF growth 3Y7.74%
FCF growth 5Y9.79%
OCF growth 1Y-22.29%
OCF growth 3Y-0.86%
OCF growth 5Y9.4%