HIGH LINER FOODS INC (HLF.CA) Stock Fundamental Analysis
TSX:HLF - CA4296951094 - Common Stock
16.16 CAD
-0.01 (-0.06%)
HLF gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 14 industry peers in the Food Products industry. HLF scores excellent on profitability, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on HLF. HLF also has an excellent dividend rating. This makes HLF very considerable for value and dividend investing!
1. Profitability
1.1 Basic Checks
HLF had positive earnings in the past year.
In the past year HLF had a positive cash flow from operations.
HLF had positive earnings in each of the past 5 years.
Of the past 5 years HLF 4 years had a positive operating cash flow.
1.2 Ratios
HLF's Return On Assets of 5.50% is amongst the best of the industry. HLF outperforms 85.71% of its industry peers.
With an excellent Return On Equity value of 11.48%, HLF belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
HLF's Return On Invested Capital of 8.66% is fine compared to the rest of the industry. HLF outperforms 78.57% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HLF is significantly below the industry average of 94.71%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.5% | ||
| ROE | 11.48% | ||
| ROIC | 8.66% |
ROA(3y)5.44%
ROA(5y)5.03%
ROE(3y)12.56%
ROE(5y)12.06%
ROIC(3y)9.05%
ROIC(5y)8.8%
1.3 Margins
Looking at the Profit Margin, with a value of 4.94%, HLF belongs to the top of the industry, outperforming 92.86% of the companies in the same industry.
HLF's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 7.24%, HLF is in the better half of the industry, outperforming 78.57% of the companies in the same industry.
In the last couple of years the Operating Margin of HLF has grown nicely.
Looking at the Gross Margin, with a value of 22.24%, HLF is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
In the last couple of years the Gross Margin of HLF has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.24% | ||
| PM (TTM) | 4.94% | ||
| GM | 22.24% |
OM growth 3Y3.44%
OM growth 5Y7.37%
PM growth 3Y9.17%
PM growth 5Y41.82%
GM growth 3Y-0.02%
GM growth 5Y2.82%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), HLF is creating some value.
The number of shares outstanding for HLF has been reduced compared to 1 year ago.
The number of shares outstanding for HLF has been reduced compared to 5 years ago.
The debt/assets ratio for HLF has been reduced compared to a year ago.
2.2 Solvency
HLF has an Altman-Z score of 2.74. This is not the best score and indicates that HLF is in the grey zone with still only limited risk for bankruptcy at the moment.
HLF has a better Altman-Z score (2.74) than 71.43% of its industry peers.
HLF has a debt to FCF ratio of 14.84. This is a negative value and a sign of low solvency as HLF would need 14.84 years to pay back of all of its debts.
The Debt to FCF ratio of HLF (14.84) is comparable to the rest of the industry.
HLF has a Debt/Equity ratio of 0.59. This is a neutral value indicating HLF is somewhat dependend on debt financing.
HLF's Debt to Equity ratio of 0.59 is amongst the best of the industry. HLF outperforms 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 14.84 | ||
| Altman-Z | 2.74 |
ROIC/WACC1.13
WACC7.66%
2.3 Liquidity
A Current Ratio of 2.61 indicates that HLF has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.61, HLF belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
A Quick Ratio of 0.71 indicates that HLF may have some problems paying its short term obligations.
HLF has a Quick ratio of 0.71. This is in the better half of the industry: HLF outperforms 78.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.61 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
HLF shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 21.26%, which is quite impressive.
HLF shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.18% yearly.
HLF shows a decrease in Revenue. In the last year, the revenue decreased by -2.03%.
The Revenue has been growing slightly by 0.36% on average over the past years.
EPS 1Y (TTM)21.26%
EPS 3Y5.66%
EPS 5Y12.18%
EPS Q2Q%8.57%
Revenue 1Y (TTM)-2.03%
Revenue growth 3Y3.09%
Revenue growth 5Y0.36%
Sales Q2Q%9.75%
3.2 Future
HLF is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.41% yearly.
The Revenue is expected to grow by 5.39% on average over the next years.
EPS Next Y5.28%
EPS Next 2Y7.51%
EPS Next 3Y8.41%
EPS Next 5YN/A
Revenue Next Year7.77%
Revenue Next 2Y6.77%
Revenue Next 3Y5.39%
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 decreasing.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.62 indicates a rather cheap valuation of HLF.
Compared to the rest of the industry, the Price/Earnings ratio of HLF indicates a rather cheap valuation: HLF is cheaper than 100.00% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.08. HLF is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 6.73 indicates a rather cheap valuation of HLF.
HLF's Price/Forward Earnings ratio is rather cheap when compared to the industry. HLF is cheaper than 100.00% of the companies in the same industry.
HLF's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.72.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.62 | ||
| Fwd PE | 6.73 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HLF is valued a bit cheaper than 78.57% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, HLF is valued a bit cheaper than the industry average as 64.29% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.64 | ||
| EV/EBITDA | 6.37 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
HLF has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.44
PEG (5Y)0.63
EPS Next 2Y7.51%
EPS Next 3Y8.41%
5. Dividend
5.1 Amount
HLF has a Yearly Dividend Yield of 4.18%, which is a nice return.
HLF's Dividend Yield is rather good when compared to the industry average which is at 3.45. HLF pays more dividend than 92.86% of the companies in the same industry.
HLF's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.18% |
5.2 History
The dividend of HLF decreases each year by -0.71%.
HLF has paid a dividend for at least 10 years, which is a reliable track record.
HLF has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-0.71%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
29.16% of the earnings are spent on dividend by HLF. This is a low number and sustainable payout ratio.
DP29.16%
EPS Next 2Y7.51%
EPS Next 3Y8.41%
TSX:HLF (8/29/2025, 7:00:00 PM)
16.16
-0.01 (-0.06%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners16.41%
Inst Owner ChangeN/A
Ins Owners5.43%
Ins Owner ChangeN/A
Market Cap469.61M
Analysts75.56
Price Target21.73 (34.47%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.18% |
Yearly Dividend0.6
Dividend Growth(5Y)-0.71%
DP29.16%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.25%
Min EPS beat(2)-8.23%
Max EPS beat(2)5.74%
EPS beat(4)2
Avg EPS beat(4)15.5%
Min EPS beat(4)-11.99%
Max EPS beat(4)76.5%
EPS beat(8)5
Avg EPS beat(8)15.83%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-2.22%
Min Revenue beat(2)-3.46%
Max Revenue beat(2)-0.99%
Revenue beat(4)2
Avg Revenue beat(4)1.11%
Min Revenue beat(4)-3.46%
Max Revenue beat(4)8.36%
Revenue beat(8)2
Avg Revenue beat(8)-1.16%
Revenue beat(12)4
Avg Revenue beat(12)-0.52%
Revenue beat(16)7
Avg Revenue beat(16)0.11%
PT rev (1m)-2.29%
PT rev (3m)12.11%
EPS NQ rev (1m)-6.45%
EPS NQ rev (3m)-13.43%
EPS NY rev (1m)1.88%
EPS NY rev (3m)1.88%
Revenue NQ rev (1m)0.52%
Revenue NQ rev (3m)-1.24%
Revenue NY rev (1m)0.69%
Revenue NY rev (3m)0.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.62 | ||
| Fwd PE | 6.73 | ||
| P/S | 0.35 | ||
| P/FCF | 19.64 | ||
| P/OCF | 8.76 | ||
| P/B | 0.82 | ||
| P/tB | 2.26 | ||
| EV/EBITDA | 6.37 |
EPS(TTM)2.12
EY13.12%
EPS(NY)2.4
Fwd EY14.86%
FCF(TTM)0.82
FCFY5.09%
OCF(TTM)1.85
OCFY11.42%
SpS46.01
BVpS19.81
TBVpS7.16
PEG (NY)1.44
PEG (5Y)0.63
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.5% | ||
| ROE | 11.48% | ||
| ROCE | 9.82% | ||
| ROIC | 8.66% | ||
| ROICexc | 8.67% | ||
| ROICexgc | 13.83% | ||
| OM | 7.24% | ||
| PM (TTM) | 4.94% | ||
| GM | 22.24% | ||
| FCFM | 1.79% |
ROA(3y)5.44%
ROA(5y)5.03%
ROE(3y)12.56%
ROE(5y)12.06%
ROIC(3y)9.05%
ROIC(5y)8.8%
ROICexc(3y)9.16%
ROICexc(5y)8.97%
ROICexgc(3y)15.19%
ROICexgc(5y)15.84%
ROCE(3y)10.9%
ROCE(5y)10.38%
ROICexcg growth 3Y2.62%
ROICexcg growth 5Y4.6%
ROICexc growth 3Y5.57%
ROICexc growth 5Y7.17%
OM growth 3Y3.44%
OM growth 5Y7.37%
PM growth 3Y9.17%
PM growth 5Y41.82%
GM growth 3Y-0.02%
GM growth 5Y2.82%
F-Score5
Asset Turnover1.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 14.84 | ||
| Debt/EBITDA | 2.62 | ||
| Cap/Depr | 91.17% | ||
| Cap/Sales | 2.22% | ||
| Interest Coverage | 4.05 | ||
| Cash Conversion | 41.45% | ||
| Profit Quality | 36.17% | ||
| Current Ratio | 2.61 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 2.74 |
F-Score5
WACC7.66%
ROIC/WACC1.13
Cap/Depr(3y)87.81%
Cap/Depr(5y)78.02%
Cap/Sales(3y)2.06%
Cap/Sales(5y)1.92%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)21.26%
EPS 3Y5.66%
EPS 5Y12.18%
EPS Q2Q%8.57%
EPS Next Y5.28%
EPS Next 2Y7.51%
EPS Next 3Y8.41%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.03%
Revenue growth 3Y3.09%
Revenue growth 5Y0.36%
Sales Q2Q%9.75%
Revenue Next Year7.77%
Revenue Next 2Y6.77%
Revenue Next 3Y5.39%
Revenue Next 5YN/A
EBIT growth 1Y-2.83%
EBIT growth 3Y6.64%
EBIT growth 5Y7.76%
EBIT Next Year32.35%
EBIT Next 3Y12.33%
EBIT Next 5Y9.08%
FCF growth 1Y153.97%
FCF growth 3Y99.58%
FCF growth 5Y8.22%
OCF growth 1Y619.83%
OCF growth 3Y46.69%
OCF growth 5Y11.91%