HIREQUEST INC (HQI) Stock Fundamental Analysis
USA - NASDAQ:HQI - US4335351015 - Common Stock
9.16 USD
-0.19 (-2.03%)
HQI gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 82 industry peers in the Professional Services industry. HQI is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. HQI is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
HQI had positive earnings in the past year.
In the past year HQI had a positive cash flow from operations.
Each year in the past 5 years HQI has been profitable.
HQI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
HQI's Return On Assets of 2.58% is in line compared to the rest of the industry. HQI outperforms 50.00% of its industry peers.
The Return On Equity of HQI (3.69%) is comparable to the rest of the industry.
HQI has a Return On Invested Capital of 9.57%. This is in the better half of the industry: HQI outperforms 65.85% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for HQI is above the industry average of 13.20%.
The last Return On Invested Capital (9.57%) for HQI is well below the 3 year average (16.15%), which needs to be investigated, but indicates that HQI had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.58% | ||
| ROE | 3.69% | ||
| ROIC | 9.57% |
ROA(3y)7.29%
ROA(5y)9.62%
ROE(3y)12.27%
ROE(5y)15.38%
ROIC(3y)16.15%
ROIC(5y)15.06%
1.3 Margins
HQI has a Profit Margin of 7.47%. This is in the better half of the industry: HQI outperforms 73.17% of its industry peers.
In the last couple of years the Profit Margin of HQI has declined.
HQI has a Operating Margin of 24.94%. This is amongst the best in the industry. HQI outperforms 91.46% of its industry peers.
In the last couple of years the Operating Margin of HQI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.94% | ||
| PM (TTM) | 7.47% | ||
| GM | N/A |
OM growth 3Y-3.97%
OM growth 5Y11.43%
PM growth 3Y-41.35%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so HQI is creating value.
The number of shares outstanding for HQI has been increased compared to 1 year ago.
Compared to 5 years ago, HQI has more shares outstanding
Compared to 1 year ago, HQI has an improved debt to assets ratio.
2.2 Solvency
HQI has an Altman-Z score of 4.23. This indicates that HQI is financially healthy and has little risk of bankruptcy at the moment.
HQI's Altman-Z score of 4.23 is fine compared to the rest of the industry. HQI outperforms 73.17% of its industry peers.
The Debt to FCF ratio of HQI is 0.26, which is an excellent value as it means it would take HQI, only 0.26 years of fcf income to pay off all of its debts.
HQI's Debt to FCF ratio of 0.26 is amongst the best of the industry. HQI outperforms 81.71% of its industry peers.
HQI has a Debt/Equity ratio of 0.07. This is a healthy value indicating a solid balance between debt and equity.
HQI has a better Debt to Equity ratio (0.07) than 68.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.26 | ||
| Altman-Z | 4.23 |
ROIC/WACC1.09
WACC8.74%
2.3 Liquidity
A Current Ratio of 2.23 indicates that HQI has no problem at all paying its short term obligations.
With an excellent Current ratio value of 2.23, HQI belongs to the best of the industry, outperforming 81.71% of the companies in the same industry.
A Quick Ratio of 2.23 indicates that HQI has no problem at all paying its short term obligations.
HQI has a better Quick ratio (2.23) than 81.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.23 | ||
| Quick Ratio | 2.23 |
3. Growth
3.1 Past
HQI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 45.24%, which is quite impressive.
HQI shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -31.31% yearly.
HQI shows a decrease in Revenue. In the last year, the revenue decreased by -9.76%.
Measured over the past years, HQI shows a quite strong growth in Revenue. The Revenue has been growing by 16.85% on average per year.
EPS 1Y (TTM)45.24%
EPS 3Y-31.31%
EPS 5YN/A
EPS Q2Q%-46.67%
Revenue 1Y (TTM)-9.76%
Revenue growth 3Y15.37%
Revenue growth 5Y16.85%
Sales Q2Q%-12%
3.2 Future
The Earnings Per Share is expected to grow by 1.04% on average over the next years.
HQI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.25% yearly.
EPS Next Y-28.58%
EPS Next 2Y-17.21%
EPS Next 3Y-3.65%
EPS Next 5Y1.04%
Revenue Next Year-14.74%
Revenue Next 2Y-7.03%
Revenue Next 3Y-1.14%
Revenue Next 5Y1.25%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
HQI is valuated correctly with a Price/Earnings ratio of 15.02.
Compared to the rest of the industry, the Price/Earnings ratio of HQI indicates a somewhat cheap valuation: HQI is cheaper than 73.17% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.76. HQI is valued slightly cheaper when compared to this.
HQI is valuated rather expensively with a Price/Forward Earnings ratio of 19.09.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HQI is on the same level as its industry peers.
HQI is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.21, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.02 | ||
| Fwd PE | 19.09 |
4.2 Price Multiples
68.29% of the companies in the same industry are more expensive than HQI, based on the Enterprise Value to EBITDA ratio.
HQI's Price/Free Cash Flow ratio is rather cheap when compared to the industry. HQI is cheaper than 89.02% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.63 | ||
| EV/EBITDA | 11.75 |
4.3 Compensation for Growth
The decent profitability rating of HQI may justify a higher PE ratio.
A cheap valuation may be justified as HQI's earnings are expected to decrease with -3.65% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-17.21%
EPS Next 3Y-3.65%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.60%, HQI has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.62, HQI pays a better dividend. On top of this HQI pays more dividend than 89.02% of the companies listed in the same industry.
HQI's Dividend Yield is comparable with the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.6% |
5.2 History
HQI has been paying a dividend for over 5 years, so it has already some track record.
HQI has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
HQI pays out 138.16% of its income as dividend. This is not a sustainable payout ratio.
DP138.16%
EPS Next 2Y-17.21%
EPS Next 3Y-3.65%
NASDAQ:HQI (10/7/2025, 4:30:01 PM)
9.16
-0.19 (-2.03%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners12.52%
Inst Owner Change0%
Ins Owners43.53%
Ins Owner Change0.3%
Market Cap129.16M
Analysts83.33
Price Target14.28 (55.9%)
Short Float %4.3%
Short Ratio25.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.6% |
Yearly Dividend0.24
Dividend Growth(5Y)N/A
DP138.16%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-30.33%
Min EPS beat(2)-33.99%
Max EPS beat(2)-26.66%
EPS beat(4)1
Avg EPS beat(4)-1.99%
Min EPS beat(4)-33.99%
Max EPS beat(4)67.08%
EPS beat(8)4
Avg EPS beat(8)17.59%
EPS beat(12)4
Avg EPS beat(12)2.32%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-4.58%
Min Revenue beat(2)-7.82%
Max Revenue beat(2)-1.34%
Revenue beat(4)1
Avg Revenue beat(4)-4.75%
Min Revenue beat(4)-13.98%
Max Revenue beat(4)4.16%
Revenue beat(8)4
Avg Revenue beat(8)-0.49%
Revenue beat(12)5
Avg Revenue beat(12)-6.15%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.45%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.21%
Revenue NY rev (1m)0.29%
Revenue NY rev (3m)-1.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.02 | ||
| Fwd PE | 19.09 | ||
| P/S | 3.96 | ||
| P/FCF | 7.63 | ||
| P/OCF | 7.5 | ||
| P/B | 1.96 | ||
| P/tB | 3.43 | ||
| EV/EBITDA | 11.75 |
EPS(TTM)0.61
EY6.66%
EPS(NY)0.48
Fwd EY5.24%
FCF(TTM)1.2
FCFY13.1%
OCF(TTM)1.22
OCFY13.34%
SpS2.31
BVpS4.68
TBVpS2.67
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.58% | ||
| ROE | 3.69% | ||
| ROCE | 11.44% | ||
| ROIC | 9.57% | ||
| ROICexc | 9.92% | ||
| ROICexgc | 16.28% | ||
| OM | 24.94% | ||
| PM (TTM) | 7.47% | ||
| GM | N/A | ||
| FCFM | 51.9% |
ROA(3y)7.29%
ROA(5y)9.62%
ROE(3y)12.27%
ROE(5y)15.38%
ROIC(3y)16.15%
ROIC(5y)15.06%
ROICexc(3y)16.72%
ROICexc(5y)17.02%
ROICexgc(3y)38.78%
ROICexgc(5y)32.73%
ROCE(3y)18.21%
ROCE(5y)16.98%
ROICexcg growth 3Y-0.19%
ROICexcg growth 5Y25.64%
ROICexc growth 3Y3.13%
ROICexc growth 5Y11.87%
OM growth 3Y-3.97%
OM growth 5Y11.43%
PM growth 3Y-41.35%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.26 | ||
| Debt/EBITDA | 0.39 | ||
| Cap/Depr | 10.65% | ||
| Cap/Sales | 0.94% | ||
| Interest Coverage | 12.01 | ||
| Cash Conversion | 156.7% | ||
| Profit Quality | 694.46% | ||
| Current Ratio | 2.23 | ||
| Quick Ratio | 2.23 | ||
| Altman-Z | 4.23 |
F-Score6
WACC8.74%
ROIC/WACC1.09
Cap/Depr(3y)36.09%
Cap/Depr(5y)317.81%
Cap/Sales(3y)2.51%
Cap/Sales(5y)5.81%
Profit Quality(3y)200.92%
Profit Quality(5y)180.57%
High Growth Momentum
Growth
EPS 1Y (TTM)45.24%
EPS 3Y-31.31%
EPS 5YN/A
EPS Q2Q%-46.67%
EPS Next Y-28.58%
EPS Next 2Y-17.21%
EPS Next 3Y-3.65%
EPS Next 5Y1.04%
Revenue 1Y (TTM)-9.76%
Revenue growth 3Y15.37%
Revenue growth 5Y16.85%
Sales Q2Q%-12%
Revenue Next Year-14.74%
Revenue Next 2Y-7.03%
Revenue Next 3Y-1.14%
Revenue Next 5Y1.25%
EBIT growth 1Y-14.02%
EBIT growth 3Y10.79%
EBIT growth 5Y30.2%
EBIT Next Year55.97%
EBIT Next 3Y24.08%
EBIT Next 5Y16.26%
FCF growth 1Y161.58%
FCF growth 3Y-9.2%
FCF growth 5Y20.97%
OCF growth 1Y127.6%
OCF growth 3Y-11.52%
OCF growth 5Y19.4%