2.58 USD
-0.05 (-1.9%)
2.5817 USD
+0 (+0.07%)
Taking everything into account, HNST scores 5 out of 10 in our fundamental rating. HNST was compared to 36 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 quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year HNST was profitable.
In the past year HNST has reported a negative cash flow from operations.
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
HNST has a Return On Assets of 2.93%. This is comparable to the rest of the industry: HNST outperforms 58.33% of its industry peers.
With a decent Return On Equity value of 3.72%, HNST is doing good in the industry, outperforming 66.67% of the companies in the same industry.
HNST's Return On Invested Capital of 1.88% is in line compared to the rest of the industry. HNST outperforms 47.22% of its industry peers.
| 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
HNST has a Profit Margin (1.85%) which is in line with its industry peers.
The Operating Margin of HNST (1.22%) is comparable to the rest of the industry.
HNST's Gross Margin of 38.81% is on the low side compared to the rest of the industry. HNST is outperformed by 72.22% of its industry peers.
In the last couple of years the Gross Margin of HNST has grown nicely.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so HNST is destroying value.
HNST has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, HNST has more shares outstanding
There is no outstanding debt for HNST. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 3.17 indicates that HNST is not in any danger for bankruptcy at the moment.
HNST's Altman-Z score of 3.17 is in line compared to the rest of the industry. HNST outperforms 58.33% of its industry peers.
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 | 3.17 |
ROIC/WACC0.21
WACC8.83%
2.3 Liquidity
A Current Ratio of 4.82 indicates that HNST has no problem at all paying its short term obligations.
HNST has a Current ratio of 4.82. This is amongst the best in the industry. HNST outperforms 86.11% of its industry peers.
A Quick Ratio of 2.73 indicates that HNST has no problem at all paying its short term obligations.
HNST's Quick ratio of 2.73 is fine compared to the rest of the industry. HNST outperforms 75.00% of its industry peers.
| 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.
The Revenue has been growing slightly by 3.89% in the past year.
HNST shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.94% yearly.
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
The Earnings Per Share is expected to grow by 66.09% on average over the next years. This is a very strong growth
HNST is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.89% yearly.
EPS Next Y83.68%
EPS Next 2Y63.71%
EPS Next 3Y45.89%
EPS Next 5Y66.09%
Revenue Next Year-1.08%
Revenue Next 2Y-4.44%
Revenue Next 3Y-0.26%
Revenue Next 5Y5.89%
3.3 Evolution
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
With a Price/Earnings ratio of 43.00, HNST can be considered very expensive at the moment.
HNST's Price/Earnings ratio is in line with the industry average.
HNST is valuated expensively when we compare the Price/Earnings ratio to 27.00, which is the current average of the S&P500 Index.
HNST is valuated quite expensively with a Price/Forward Earnings ratio of 63.24.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HNST is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.70, HNST is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43 | ||
| Fwd PE | 63.24 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as HNST.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 29.4 |
4.3 Compensation for Growth
HNST's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as HNST's earnings are expected to grow with 45.89% in the coming years.
PEG (NY)0.51
PEG (5Y)N/A
EPS Next 2Y63.71%
EPS Next 3Y45.89%
5. Dividend
5.1 Amount
HNST does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
2.58
-0.05 (-1.9%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryPersonal Care Products
Earnings (Last)
Earnings (Next)
Inst Owners47.72%
Inst Owner Change0%
Ins Owners13.15%
Ins Owner Change-0.71%
Market Cap288.42M
Revenue(TTM)383.12M
Net Income(TTM)7.07M
Analysts76.92
Price Target3.82 (48.06%)
Short Float %14.98%
Short Ratio4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
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)-7.39%
PT rev (3m)-44.89%
EPS NQ rev (1m)60.98%
EPS NQ rev (3m)-168.76%
EPS NY rev (1m)79.57%
EPS NY rev (3m)-109.6%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)-16.76%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-6.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43 | ||
| Fwd PE | 63.24 | ||
| P/S | 0.75 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.52 | ||
| P/tB | 1.54 | ||
| EV/EBITDA | 29.4 |
EPS(TTM)0.06
EY2.33%
EPS(NY)0.04
Fwd EY1.58%
FCF(TTM)-0.19
FCFYN/A
OCF(TTM)-0.19
OCFYN/A
SpS3.43
BVpS1.7
TBVpS1.68
PEG (NY)0.51
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 | 3.17 |
F-Score5
WACC8.83%
ROIC/WACC0.21
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 Y83.68%
EPS Next 2Y63.71%
EPS Next 3Y45.89%
EPS Next 5Y66.09%
Revenue 1Y (TTM)3.89%
Revenue growth 3Y5.9%
Revenue growth 5Y9.94%
Sales Q2Q%-6.72%
Revenue Next Year-1.08%
Revenue Next 2Y-4.44%
Revenue Next 3Y-0.26%
Revenue Next 5Y5.89%
EBIT growth 1Y214.85%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year427.95%
EBIT Next 3Y75.45%
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 of HONEST CO INC/THE (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.
What is the valuation of HONEST CO INC/THE based on its PE and PB ratios?
The Price/Earnings (PE) ratio for HONEST CO INC/THE (HNST) is 43 and the Price/Book (PB) ratio is 1.52.
Can you provide the dividend sustainability for HNST stock?
The dividend rating of HONEST CO INC/THE (HNST) is 0 / 10 and the dividend payout ratio is 0%.