10.435 USD
+0.15 (+1.41%)
Last: Feb 10, 2026, 10:19 AM
Taking everything into account, HLIT scores 6 out of 10 in our fundamental rating. HLIT was compared to 48 industry peers in the Communications Equipment industry. While HLIT has a great profitability rating, there are some minor concerns on its financial health. HLIT has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year HLIT was profitable.
- HLIT had a positive operating cash flow in the past year.
- Of the past 5 years HLIT 4 years were profitable.
- HLIT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- HLIT has a better Return On Assets (6.54%) than 79.17% of its industry peers.
- HLIT's Return On Equity of 11.20% is fine compared to the rest of the industry. HLIT outperforms 79.17% of its industry peers.
- HLIT has a better Return On Invested Capital (9.21%) than 77.08% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for HLIT is below the industry average of 11.74%.
- The last Return On Invested Capital (9.21%) for HLIT is above the 3 year average (7.26%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.54% | ||
| ROE | 11.2% | ||
| ROIC | 9.21% |
ROA(3y)6.61%
ROA(5y)3.36%
ROE(3y)12.12%
ROE(5y)5.9%
ROIC(3y)7.26%
ROIC(5y)N/A
1.3 Margins
- HLIT has a Profit Margin of 7.81%. This is in the better half of the industry: HLIT outperforms 75.00% of its industry peers.
- HLIT's Profit Margin has improved in the last couple of years.
- The Operating Margin of HLIT (12.87%) is better than 79.17% of its industry peers.
- In the last couple of years the Operating Margin of HLIT has grown nicely.
- HLIT's Gross Margin of 55.71% is fine compared to the rest of the industry. HLIT outperforms 72.92% of its industry peers.
- HLIT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.87% | ||
| PM (TTM) | 7.81% | ||
| GM | 55.71% |
OM growth 3Y52.34%
OM growth 5Y25.49%
PM growth 3Y30.12%
PM growth 5YN/A
GM growth 3Y1.69%
GM growth 5Y-0.62%
2. Health
2.1 Basic Checks
- HLIT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- Compared to 1 year ago, HLIT has more shares outstanding
- Compared to 5 years ago, HLIT has more shares outstanding
- Compared to 1 year ago, HLIT has an improved debt to assets ratio.
2.2 Solvency
- HLIT has an Altman-Z score of -0.05. This is a bad value and indicates that HLIT is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of -0.05, HLIT is doing worse than 66.67% of the companies in the same industry.
- The Debt to FCF ratio of HLIT is 0.95, which is an excellent value as it means it would take HLIT, only 0.95 years of fcf income to pay off all of its debts.
- HLIT's Debt to FCF ratio of 0.95 is fine compared to the rest of the industry. HLIT outperforms 77.08% of its industry peers.
- A Debt/Equity ratio of 0.27 indicates that HLIT is not too dependend on debt financing.
- HLIT has a worse Debt to Equity ratio (0.27) than 62.50% of its industry peers.
- Although HLIT does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.95 | ||
| Altman-Z | -0.05 |
ROIC/WACC1
WACC9.2%
2.3 Liquidity
- HLIT has a Current Ratio of 2.08. This indicates that HLIT is financially healthy and has no problem in meeting its short term obligations.
- The Current ratio of HLIT (2.08) is comparable to the rest of the industry.
- HLIT has a Quick Ratio of 1.64. This is a normal value and indicates that HLIT is financially healthy and should not expect problems in meeting its short term obligations.
- HLIT has a Quick ratio of 1.64. This is comparable to the rest of the industry: HLIT outperforms 54.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.64 |
3. Growth
3.1 Past
- HLIT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 63.83%, which is quite impressive.
- The Earnings Per Share has been growing by 23.05% on average over the past years. This is a very strong growth
- The Revenue has been growing slightly by 1.93% in the past year.
- HLIT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.99% yearly.
EPS 1Y (TTM)63.83%
EPS 3Y32.45%
EPS 5Y23.05%
EPS Q2Q%-53.85%
Revenue 1Y (TTM)1.93%
Revenue growth 3Y10.2%
Revenue growth 5Y10.99%
Sales Q2Q%-27.26%
3.2 Future
- Based on estimates for the next years, HLIT will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.53% on average per year.
- Based on estimates for the next years, HLIT will show a small growth in Revenue. The Revenue will grow by 4.72% on average per year.
EPS Next Y-44.65%
EPS Next 2Y-2.89%
EPS Next 3Y11.53%
EPS Next 5YN/A
Revenue Next Year-17.27%
Revenue Next 2Y0.37%
Revenue Next 3Y4.72%
Revenue Next 5YN/A
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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
- A Price/Earnings ratio of 13.55 indicates a correct valuation of HLIT.
- HLIT's Price/Earnings ratio is rather cheap when compared to the industry. HLIT is cheaper than 87.50% of the companies in the same industry.
- When comparing the Price/Earnings ratio of HLIT to the average of the S&P500 Index (28.06), we can say HLIT is valued rather cheaply.
- Based on the Price/Forward Earnings ratio of 14.01, the valuation of HLIT can be described as correct.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of HLIT indicates a rather cheap valuation: HLIT is cheaper than 87.50% of the companies listed in the same industry.
- HLIT is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 27.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.55 | ||
| Fwd PE | 14.01 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, HLIT is valued a bit cheaper than the industry average as 77.08% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, HLIT is valued cheaply inside the industry as 93.75% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.78 | ||
| EV/EBITDA | 12.41 |
4.3 Compensation for Growth
- HLIT has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.59
EPS Next 2Y-2.89%
EPS Next 3Y11.53%
5. Dividend
5.1 Amount
- HLIT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NASDAQ:HLIT (2/10/2026, 10:19:45 AM)
10.435
+0.15 (+1.41%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)11-03 2025-11-03/amc
Earnings (Next)02-19 2026-02-19/amc
Inst Owners91.53%
Inst Owner Change-1.76%
Ins Owners1.2%
Ins Owner Change2.46%
Market Cap1.17B
Revenue(TTM)635.71M
Net Income(TTM)49.63M
Analysts73.85
Price Target12.02 (15.19%)
Short Float %2.53%
Short Ratio2.64
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)195.19%
Min EPS beat(2)159.54%
Max EPS beat(2)230.84%
EPS beat(4)4
Avg EPS beat(4)129.85%
Min EPS beat(4)20.32%
Max EPS beat(4)230.84%
EPS beat(8)8
Avg EPS beat(8)95.47%
EPS beat(12)10
Avg EPS beat(12)59.51%
EPS beat(16)14
Avg EPS beat(16)58.07%
Revenue beat(2)2
Avg Revenue beat(2)7.26%
Min Revenue beat(2)6.03%
Max Revenue beat(2)8.49%
Revenue beat(4)4
Avg Revenue beat(4)4.65%
Min Revenue beat(4)2.02%
Max Revenue beat(4)8.49%
Revenue beat(8)7
Avg Revenue beat(8)3.34%
Revenue beat(12)8
Avg Revenue beat(12)0.92%
Revenue beat(16)12
Avg Revenue beat(16)1.41%
PT rev (1m)0%
PT rev (3m)12.24%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.32%
EPS NY rev (1m)0%
EPS NY rev (3m)10.01%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.59%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.55 | ||
| Fwd PE | 14.01 | ||
| P/S | 1.84 | ||
| P/FCF | 8.78 | ||
| P/OCF | 8.12 | ||
| P/B | 2.64 | ||
| P/tB | 5.82 | ||
| EV/EBITDA | 12.41 |
EPS(TTM)0.77
EY7.38%
EPS(NY)0.74
Fwd EY7.14%
FCF(TTM)1.19
FCFY11.4%
OCF(TTM)1.28
OCFY12.31%
SpS5.66
BVpS3.95
TBVpS1.79
PEG (NY)N/A
PEG (5Y)0.59
Graham Number8.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.54% | ||
| ROE | 11.2% | ||
| ROCE | 13.61% | ||
| ROIC | 9.21% | ||
| ROICexc | 11.69% | ||
| ROICexgc | 23.84% | ||
| OM | 12.87% | ||
| PM (TTM) | 7.81% | ||
| GM | 55.71% | ||
| FCFM | 20.99% |
ROA(3y)6.61%
ROA(5y)3.36%
ROE(3y)12.12%
ROE(5y)5.9%
ROIC(3y)7.26%
ROIC(5y)N/A
ROICexc(3y)8.98%
ROICexc(5y)N/A
ROICexgc(3y)28.66%
ROICexgc(5y)N/A
ROCE(3y)10.73%
ROCE(5y)N/A
ROICexgc growth 3Y15.9%
ROICexgc growth 5Y12.84%
ROICexc growth 3Y44.43%
ROICexc growth 5Y28%
OM growth 3Y52.34%
OM growth 5Y25.49%
PM growth 3Y30.12%
PM growth 5YN/A
GM growth 3Y1.69%
GM growth 5Y-0.62%
F-Score8
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 0.95 | ||
| Debt/EBITDA | 1.27 | ||
| Cap/Depr | 96.13% | ||
| Cap/Sales | 1.69% | ||
| Interest Coverage | 16.99 | ||
| Cash Conversion | 155.02% | ||
| Profit Quality | 268.94% | ||
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.64 | ||
| Altman-Z | -0.05 |
F-Score8
WACC9.2%
ROIC/WACC1
Cap/Depr(3y)73.43%
Cap/Depr(5y)104.94%
Cap/Sales(3y)1.41%
Cap/Sales(5y)3.06%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)63.83%
EPS 3Y32.45%
EPS 5Y23.05%
EPS Q2Q%-53.85%
EPS Next Y-44.65%
EPS Next 2Y-2.89%
EPS Next 3Y11.53%
EPS Next 5YN/A
Revenue 1Y (TTM)1.93%
Revenue growth 3Y10.2%
Revenue growth 5Y10.99%
Sales Q2Q%-27.26%
Revenue Next Year-17.27%
Revenue Next 2Y0.37%
Revenue Next 3Y4.72%
Revenue Next 5YN/A
EBIT growth 1Y73.26%
EBIT growth 3Y67.89%
EBIT growth 5Y39.29%
EBIT Next Year-32%
EBIT Next 3Y22.26%
EBIT Next 5YN/A
FCF growth 1Y964.27%
FCF growth 3Y23.43%
FCF growth 5Y20.25%
OCF growth 1Y615.68%
OCF growth 3Y14.71%
OCF growth 5Y14.62%
HARMONIC INC / HLIT FAQ
Can you provide the ChartMill fundamental rating for HARMONIC INC?
ChartMill assigns a fundamental rating of 6 / 10 to HLIT.
Can you provide the valuation status for HARMONIC INC?
ChartMill assigns a valuation rating of 6 / 10 to HARMONIC INC (HLIT). This can be considered as Fairly Valued.
How profitable is HARMONIC INC (HLIT) stock?
HARMONIC INC (HLIT) has a profitability rating of 7 / 10.
How financially healthy is HARMONIC INC?
The financial health rating of HARMONIC INC (HLIT) is 5 / 10.
What is the expected EPS growth for HARMONIC INC (HLIT) stock?
The Earnings per Share (EPS) of HARMONIC INC (HLIT) is expected to decline by -44.65% in the next year.