HIREQUEST INC (HQI) Stock Fundamental Analysis
USA - NASDAQ:HQI - US4335351015 - Common Stock
9.14 USD
+0.43 (+4.94%)
9.14 USD
0 (0%)
Overall HQI gets a fundamental rating of 6 out of 10. We evaluated HQI against 87 industry peers in the Professional Services industry. While HQI has a great health rating, its profitability is only average at the moment. HQI has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year HQI was profitable.
HQI had a positive operating cash flow in the past year.
HQI had positive earnings in each of the past 5 years.
HQI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 2.59%, HQI perfoms like the industry average, outperforming 49.43% of the companies in the same industry.
With a Return On Equity value of 3.68%, HQI perfoms like the industry average, outperforming 44.83% of the companies in the same industry.
The Return On Invested Capital of HQI (9.57%) is better than 67.82% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HQI is significantly below the industry average of 22.56%.
The 3 year average ROIC (16.31%) for HQI is well above the current ROIC(9.57%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.59% | ||
| ROE | 3.68% | ||
| ROIC | 9.57% |
ROA(3y)7.29%
ROA(5y)9.62%
ROE(3y)12.25%
ROE(5y)15.37%
ROIC(3y)16.31%
ROIC(5y)15.16%
1.3 Margins
With a decent Profit Margin value of 7.45%, HQI is doing good in the industry, outperforming 73.56% of the companies in the same industry.
HQI's Profit Margin has declined in the last couple of years.
HQI's Operating Margin of 24.93% is amongst the best of the industry. HQI outperforms 91.95% of its industry peers.
HQI's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.93% | ||
| PM (TTM) | 7.45% | ||
| GM | N/A |
OM growth 3Y-3.95%
OM growth 5Y11.44%
PM growth 3Y-41.36%
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.
Compared to 1 year ago, HQI has about the same amount of shares outstanding.
Compared to 5 years ago, HQI has more shares outstanding
HQI has a better debt/assets ratio than last year.
2.2 Solvency
HQI has an Altman-Z score of 4.07. This indicates that HQI is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of HQI (4.07) is better than 78.16% of its industry peers.
HQI has a debt to FCF ratio of 0.26. This is a very positive value and a sign of high solvency as it would only need 0.26 years to pay back of all of its debts.
The Debt to FCF ratio of HQI (0.26) is better than 78.16% 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.
With a decent Debt to Equity ratio value of 0.07, HQI is doing good in the industry, outperforming 64.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.26 | ||
| Altman-Z | 4.07 |
ROIC/WACC1.11
WACC8.66%
2.3 Liquidity
HQI has a Current Ratio of 2.26. This indicates that HQI is financially healthy and has no problem in meeting its short term obligations.
HQI's Current ratio of 2.26 is fine compared to the rest of the industry. HQI outperforms 78.16% of its industry peers.
HQI has a Quick Ratio of 2.26. This indicates that HQI is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 2.26, HQI is in the better half of the industry, outperforming 78.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.26 | ||
| Quick Ratio | 2.26 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.57% over the past year.
HQI shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -31.47% yearly.
Looking at the last year, HQI shows a decrease in Revenue. The Revenue has decreased by -8.67% in the last year.
The Revenue has been growing by 16.85% on average over the past years. This is quite good.
EPS 1Y (TTM)3.57%
EPS 3Y-31.47%
EPS 5YN/A
EPS Q2Q%-11.11%
Revenue 1Y (TTM)-8.67%
Revenue growth 3Y15.37%
Revenue growth 5Y16.85%
Sales Q2Q%-9.76%
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
With a Price/Earnings ratio of 15.76, HQI is valued correctly.
70.11% of the companies in the same industry are more expensive than HQI, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 25.45. HQI is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 19.05, which indicates a rather expensive current valuation of HQI.
HQI's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 34.46. HQI is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.76 | ||
| Fwd PE | 19.05 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HQI is valued a bit cheaper than the industry average as 73.56% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HQI indicates a rather cheap valuation: HQI is cheaper than 88.51% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.63 | ||
| EV/EBITDA | 10.93 |
4.3 Compensation for Growth
HQI has a very decent profitability rating, which 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 2.53%, HQI has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.28, HQI pays a better dividend. On top of this HQI pays more dividend than 83.91% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.45, HQI has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.53% |
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
138.27% of the earnings are spent on dividend by HQI. This is not a sustainable payout ratio.
DP138.27%
EPS Next 2Y-17.21%
EPS Next 3Y-3.65%
9.14
+0.43 (+4.94%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners12.52%
Inst Owner Change-0.21%
Ins Owners43.53%
Ins Owner Change0.34%
Market Cap128.87M
Revenue(TTM)34.60M
Net Income(TTM)2.43M
Analysts83.33
Price Target14.28 (56.24%)
Short Float %4.11%
Short Ratio20.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.53% |
Yearly Dividend0.24
Dividend Growth(5Y)N/A
DP138.27%
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)0.24%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.76 | ||
| Fwd PE | 19.05 | ||
| P/S | 3.95 | ||
| P/FCF | 7.63 | ||
| P/OCF | 7.5 | ||
| P/B | 1.95 | ||
| P/tB | 3.45 | ||
| EV/EBITDA | 10.93 |
EPS(TTM)0.58
EY6.35%
EPS(NY)0.48
Fwd EY5.25%
FCF(TTM)1.2
FCFY13.11%
OCF(TTM)1.22
OCFY13.34%
SpS2.31
BVpS4.68
TBVpS2.65
PEG (NY)N/A
PEG (5Y)N/A
Graham Number7.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.59% | ||
| ROE | 3.68% | ||
| ROCE | 11.45% | ||
| ROIC | 9.57% | ||
| ROICexc | 9.92% | ||
| ROICexgc | 16.38% | ||
| OM | 24.93% | ||
| PM (TTM) | 7.45% | ||
| GM | N/A | ||
| FCFM | 51.8% |
ROA(3y)7.29%
ROA(5y)9.62%
ROE(3y)12.25%
ROE(5y)15.37%
ROIC(3y)16.31%
ROIC(5y)15.16%
ROICexc(3y)16.88%
ROICexc(5y)17.12%
ROICexgc(3y)39.28%
ROICexgc(5y)33.02%
ROCE(3y)18.39%
ROCE(5y)17.09%
ROICexgc growth 3Y-0.4%
ROICexgc growth 5Y25.49%
ROICexc growth 3Y3.11%
ROICexc growth 5Y11.86%
OM growth 3Y-3.95%
OM growth 5Y11.44%
PM growth 3Y-41.36%
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 | 10.49% | ||
| Cap/Sales | 0.92% | ||
| Interest Coverage | 11.96 | ||
| Cash Conversion | 156.42% | ||
| Profit Quality | 695.06% | ||
| Current Ratio | 2.26 | ||
| Quick Ratio | 2.26 | ||
| Altman-Z | 4.07 |
F-Score6
WACC8.66%
ROIC/WACC1.11
Cap/Depr(3y)36.13%
Cap/Depr(5y)317.83%
Cap/Sales(3y)2.52%
Cap/Sales(5y)5.82%
Profit Quality(3y)202.62%
Profit Quality(5y)181.59%
High Growth Momentum
Growth
EPS 1Y (TTM)3.57%
EPS 3Y-31.47%
EPS 5YN/A
EPS Q2Q%-11.11%
EPS Next Y-28.58%
EPS Next 2Y-17.21%
EPS Next 3Y-3.65%
EPS Next 5Y1.04%
Revenue 1Y (TTM)-8.67%
Revenue growth 3Y15.37%
Revenue growth 5Y16.85%
Sales Q2Q%-9.76%
Revenue Next Year-14.74%
Revenue Next 2Y-7.03%
Revenue Next 3Y-1.14%
Revenue Next 5Y1.25%
EBIT growth 1Y-14.09%
EBIT growth 3Y10.81%
EBIT growth 5Y30.22%
EBIT Next Year55.97%
EBIT Next 3Y24.08%
EBIT Next 5Y16.26%
FCF growth 1Y161.05%
FCF growth 3Y-9.3%
FCF growth 5Y20.89%
OCF growth 1Y127.08%
OCF growth 3Y-11.62%
OCF growth 5Y19.33%
HIREQUEST INC / HQI FAQ
Can you provide the ChartMill fundamental rating for HIREQUEST INC?
ChartMill assigns a fundamental rating of 6 / 10 to HQI.
What is the valuation status of HIREQUEST INC (HQI) stock?
ChartMill assigns a valuation rating of 5 / 10 to HIREQUEST INC (HQI). This can be considered as Fairly Valued.
How profitable is HIREQUEST INC (HQI) stock?
HIREQUEST INC (HQI) has a profitability rating of 6 / 10.
What is the expected EPS growth for HIREQUEST INC (HQI) stock?
The Earnings per Share (EPS) of HIREQUEST INC (HQI) is expected to decline by -28.58% in the next year.
Can you provide the dividend sustainability for HQI stock?
The dividend rating of HIREQUEST INC (HQI) is 3 / 10 and the dividend payout ratio is 138.27%.