2.52 USD
-0.01 (-0.4%)
2.56 USD
+0.04 (+1.59%)
HNST gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 34 industry peers in the Personal Care Products industry. No worries on liquidiy or solvency for HNST as it has an excellent financial health rating, but there are worries on the profitability. HNST is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year HNST was profitable.
HNST had a negative operating cash flow in the past year.
In the past 5 years HNST always reported negative net income.
The reported operating cash flow has been mixed in the past 5 years: HNST reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.93%, HNST is in line with its industry, outperforming 60.00% of the companies in the same industry.
HNST has a better Return On Equity (3.72%) than 68.57% of its industry peers.
Looking at the Return On Invested Capital, with a value of 1.88%, HNST is in line with its industry, outperforming 48.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.93% | ||
| ROE | 3.72% | ||
| ROIC | 1.88% |
ROA(3y)-14.1%
ROA(5y)-11.89%
ROE(3y)-22.95%
ROE(5y)-19.23%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 1.85%, HNST is in line with its industry, outperforming 57.14% of the companies in the same industry.
The Operating Margin of HNST (1.22%) is comparable to the rest of the industry.
HNST has a worse Gross Margin (38.81%) than 77.14% of its industry peers.
HNST's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.22% | ||
| PM (TTM) | 1.85% | ||
| GM | 38.81% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.71%
GM growth 5Y3.49%
2. Health
2.1 Basic Checks
HNST 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, HNST has more shares outstanding
HNST has more shares outstanding than it did 5 years ago.
HNST 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
HNST has an Altman-Z score of 3.01. This indicates that HNST is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.01, HNST is in the better half of the industry, outperforming 62.86% of the companies in the same industry.
HNST has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.01 |
ROIC/WACC0.22
WACC8.7%
2.3 Liquidity
HNST has a Current Ratio of 4.82. This indicates that HNST is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 4.82, HNST belongs to the top of the industry, outperforming 91.43% of the companies in the same industry.
HNST has a Quick Ratio of 2.73. This indicates that HNST is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 2.73, HNST is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.82 | ||
| Quick Ratio | 2.73 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 250.00% over the past year.
HNST shows a small growth in Revenue. In the last year, the Revenue has grown by 3.89%.
Measured over the past years, HNST shows a quite strong growth in Revenue. The Revenue has been growing by 9.94% on average per year.
EPS 1Y (TTM)250%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%318.75%
Revenue 1Y (TTM)3.89%
Revenue growth 3Y5.9%
Revenue growth 5Y9.94%
Sales Q2Q%-6.72%
3.2 Future
HNST is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 66.09% yearly.
The Revenue is expected to grow by 5.89% on average over the next years.
EPS Next Y266.6%
EPS Next 2Y93.24%
EPS Next 3Y57%
EPS Next 5Y66.09%
Revenue Next Year5.5%
Revenue Next 2Y5.16%
Revenue Next 3Y4.96%
Revenue Next 5Y5.89%
3.3 Evolution
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
A Price/Earnings ratio of 42.00 indicates a quite expensive valuation of HNST.
HNST's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of HNST to the average of the S&P500 Index (25.45), we can say HNST is valued expensively.
A Price/Forward Earnings ratio of 24.22 indicates a rather expensive valuation of HNST.
HNST's Price/Forward Earnings is on the same level as the industry average.
HNST's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 34.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42 | ||
| Fwd PE | 24.22 |
4.2 Price Multiples
HNST's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. HNST is more expensive than 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 27.6 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
HNST's earnings are expected to grow with 57.00% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.16
PEG (5Y)N/A
EPS Next 2Y93.24%
EPS Next 3Y57%
5. Dividend
5.1 Amount
No dividends for HNST!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
2.52
-0.01 (-0.4%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryPersonal Care Products
Earnings (Last)
Earnings (Next)
Inst Owners57.84%
Inst Owner Change-85.33%
Ins Owners13.36%
Ins Owner Change0.49%
Market Cap280.40M
Revenue(TTM)383.12M
Net Income(TTM)7.07M
Analysts78.46
Price Target4.12 (63.49%)
Short Float %17.55%
Short Ratio3.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)400.77%
Min EPS beat(2)166.24%
Max EPS beat(2)635.29%
EPS beat(4)4
Avg EPS beat(4)624.34%
Min EPS beat(4)34.64%
Max EPS beat(4)1661.18%
EPS beat(8)8
Avg EPS beat(8)350.72%
EPS beat(12)9
Avg EPS beat(12)214.83%
EPS beat(16)9
Avg EPS beat(16)151.54%
Revenue beat(2)0
Avg Revenue beat(2)-4.66%
Min Revenue beat(2)-8.69%
Max Revenue beat(2)-0.63%
Revenue beat(4)2
Avg Revenue beat(4)-1.18%
Min Revenue beat(4)-8.69%
Max Revenue beat(4)3.11%
Revenue beat(8)6
Avg Revenue beat(8)1.42%
Revenue beat(12)9
Avg Revenue beat(12)2.81%
Revenue beat(16)10
Avg Revenue beat(16)1.58%
PT rev (1m)-40.49%
PT rev (3m)-40.49%
EPS NQ rev (1m)-293.4%
EPS NQ rev (3m)-412.5%
EPS NY rev (1m)-2%
EPS NY rev (3m)1.38%
Revenue NQ rev (1m)-13.43%
Revenue NQ rev (3m)-13.18%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42 | ||
| Fwd PE | 24.22 | ||
| P/S | 0.73 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.47 | ||
| P/tB | 1.49 | ||
| EV/EBITDA | 27.6 |
EPS(TTM)0.06
EY2.38%
EPS(NY)0.1
Fwd EY4.13%
FCF(TTM)-0.19
FCFYN/A
OCF(TTM)-0.19
OCFYN/A
SpS3.44
BVpS1.71
TBVpS1.69
PEG (NY)0.16
PEG (5Y)N/A
Graham Number1.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.93% | ||
| ROE | 3.72% | ||
| ROCE | 2.38% | ||
| ROIC | 1.88% | ||
| ROICexc | 2.95% | ||
| ROICexgc | 3.01% | ||
| OM | 1.22% | ||
| PM (TTM) | 1.85% | ||
| GM | 38.81% | ||
| FCFM | N/A |
ROA(3y)-14.1%
ROA(5y)-11.89%
ROE(3y)-22.95%
ROE(5y)-19.23%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.71%
GM growth 5Y3.49%
F-Score5
Asset Turnover1.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 21.07% | ||
| Cap/Sales | 0.16% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.82 | ||
| Quick Ratio | 2.73 | ||
| Altman-Z | 3.01 |
F-Score5
WACC8.7%
ROIC/WACC0.22
Cap/Depr(3y)48.33%
Cap/Depr(5y)30.88%
Cap/Sales(3y)0.4%
Cap/Sales(5y)0.27%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)250%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%318.75%
EPS Next Y266.6%
EPS Next 2Y93.24%
EPS Next 3Y57%
EPS Next 5Y66.09%
Revenue 1Y (TTM)3.89%
Revenue growth 3Y5.9%
Revenue growth 5Y9.94%
Sales Q2Q%-6.72%
Revenue Next Year5.5%
Revenue Next 2Y5.16%
Revenue Next 3Y4.96%
Revenue Next 5Y5.89%
EBIT growth 1Y214.85%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year520.66%
EBIT Next 3Y68.14%
EBIT Next 5Y90.1%
FCF growth 1Y-20.38%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-29.86%
OCF growth 3YN/A
OCF growth 5YN/A
HONEST CO INC/THE / HNST FAQ
Can you provide the ChartMill fundamental rating for HONEST CO INC/THE?
ChartMill assigns a fundamental rating of 5 / 10 to HNST.
What is the valuation status for HNST stock?
ChartMill assigns a valuation rating of 3 / 10 to HONEST CO INC/THE (HNST). This can be considered as Overvalued.
What is the profitability of HNST stock?
HONEST CO INC/THE (HNST) has a profitability rating of 3 / 10.
Can you provide the PE and PB ratios for HNST stock?
The Price/Earnings (PE) ratio for HONEST CO INC/THE (HNST) is 42 and the Price/Book (PB) ratio is 1.47.
Can you provide the financial health for HNST stock?
The financial health rating of HONEST CO INC/THE (HNST) is 8 / 10.