HireRight Holdings Corporation (HRT) Stock Fundamental Analysis

NYSE:HRT • US4335371070

14.36 USD
-0.02 (-0.14%)
At close: Jun 27, 2024
14.36 USD
0 (0%)
After Hours: 6/27/2024, 8:21:54 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

Overall HRT gets a fundamental rating of 4 out of 10. We evaluated HRT against 88 industry peers in the Professional Services industry. While HRT is still in line with the averages on profitability rating, there are concerns on its financial health. HRT is valued quite cheap, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

  • HRT had positive earnings in the past year.
  • In the past year HRT had a positive cash flow from operations.
  • HRT had negative earnings in 4 of the past 5 years.
  • HRT had a positive operating cash flow in each of the past 5 years.
HRT Yearly Net Income VS EBIT VS OCF VS FCFHRT Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2019 2020 2021 2022 2023 0 50M -50M 100M

1.2 Ratios

  • Looking at the Return On Assets, with a value of -0.46%, HRT is doing worse than 64.63% of the companies in the same industry.
  • With a Return On Equity value of -1.55%, HRT is not doing good in the industry: 67.07% of the companies in the same industry are doing better.
  • The Return On Invested Capital of HRT (4.90%) is comparable to the rest of the industry.
  • HRT had an Average Return On Invested Capital over the past 3 years of 4.42%. This is significantly below the industry average of 12.91%.
  • The last Return On Invested Capital (4.90%) for HRT is above the 3 year average (4.42%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA -0.46%
ROE -1.55%
ROIC 4.9%
ROA(3y)2.29%
ROA(5y)-0.83%
ROE(3y)6.03%
ROE(5y)-7.45%
ROIC(3y)4.42%
ROIC(5y)3.25%
HRT Yearly ROA, ROE, ROICHRT Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2019 2020 2021 2022 2023 0 20 -20

1.3 Margins

  • HRT has a better Operating Margin (11.85%) than 82.93% of its industry peers.
  • HRT's Operating Margin has improved in the last couple of years.
  • HRT's Gross Margin of 48.75% is in line compared to the rest of the industry. HRT outperforms 57.32% of its industry peers.
  • HRT's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 11.85%
PM (TTM) N/A
GM 48.75%
OM growth 3Y70.3%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.2%
GM growth 5YN/A
HRT Yearly Profit, Operating, Gross MarginsHRT Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2019 2020 2021 2022 2023 0 20 40

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. Health

2.1 Basic Checks

  • HRT has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • HRT has less shares outstanding than it did 1 year ago.
  • Compared to 1 year ago, HRT has a worse debt to assets ratio.
HRT Yearly Shares OutstandingHRT Yearly Shares OutstandingYearly Shares Outstanding 2019 2020 2021 2022 2023 20M 40M 60M
HRT Yearly Total Debt VS Total AssetsHRT Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2019 2020 2021 2022 2023 500M 1B 1.5B

2.2 Solvency

  • HRT has an Altman-Z score of 1.08. This is a bad value and indicates that HRT is not financially healthy and even has some risk of bankruptcy.
  • With a Altman-Z score value of 1.08, HRT is not doing good in the industry: 71.95% of the companies in the same industry are doing better.
  • HRT has a debt to FCF ratio of 10.42. This is a negative value and a sign of low solvency as HRT would need 10.42 years to pay back of all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 10.42, HRT is doing worse than 63.41% of the companies in the same industry.
  • HRT has a Debt/Equity ratio of 1.61. This is a high value indicating a heavy dependency on external financing.
  • HRT has a Debt to Equity ratio of 1.61. This is amonst the worse of the industry: HRT underperforms 85.37% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.61
Debt/FCF 10.42
Altman-Z 1.08
ROIC/WACC0.54
WACC9.02%
HRT Yearly LT Debt VS Equity VS FCFHRT Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2019 2020 2021 2022 2023 200M 400M 600M 800M 1B

2.3 Liquidity

  • A Current Ratio of 1.76 indicates that HRT should not have too much problems paying its short term obligations.
  • HRT's Current ratio of 1.76 is fine compared to the rest of the industry. HRT outperforms 63.41% of its industry peers.
  • HRT has a Quick Ratio of 1.76. This is a normal value and indicates that HRT is financially healthy and should not expect problems in meeting its short term obligations.
  • HRT's Quick ratio of 1.76 is fine compared to the rest of the industry. HRT outperforms 63.41% of its industry peers.
Industry RankSector Rank
Current Ratio 1.76
Quick Ratio 1.76
HRT Yearly Current Assets VS Current LiabilitesHRT Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2019 2020 2021 2022 2023 100M 200M 300M

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. Growth

3.1 Past

  • The earnings per share for HRT have decreased strongly by -53.25% in the last year.
  • The Revenue has decreased by -8.14% in the past year.
  • Measured over the past years, HRT shows a quite strong growth in Revenue. The Revenue has been growing by 10.15% on average per year.
EPS 1Y (TTM)-53.25%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%22.22%
Revenue 1Y (TTM)-8.14%
Revenue growth 3Y10.15%
Revenue growth 5YN/A
Sales Q2Q%-1.28%

3.2 Future

  • The Earnings Per Share is expected to grow by 23.89% on average over the next years. This is a very strong growth
  • Based on estimates for the next years, HRT will show a small growth in Revenue. The Revenue will grow by 6.63% on average per year.
EPS Next Y22.84%
EPS Next 2Y27.37%
EPS Next 3Y23.89%
EPS Next 5YN/A
Revenue Next Year4.35%
Revenue Next 2Y7.18%
Revenue Next 3Y6.63%
Revenue Next 5YN/A

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.
HRT Yearly Revenue VS EstimatesHRT Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 200M 400M 600M 800M
HRT Yearly EPS VS EstimatesHRT Yearly EPS VS EstimatesYearly EPS VS Estimates 2021 2022 2023 2024 2025 2026 0.5 1 1.5 2 2.5

More info and screens

Find the best growth stocksShow best growing peers

8

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 12.49 indicates a correct valuation of HRT.
  • HRT's Price/Earnings ratio is rather cheap when compared to the industry. HRT is cheaper than 82.93% of the companies in the same industry.
  • When comparing the Price/Earnings ratio of HRT to the average of the S&P500 Index (27.21), we can say HRT is valued rather cheaply.
  • HRT is valuated cheaply with a Price/Forward Earnings ratio of 7.97.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of HRT indicates a rather cheap valuation: HRT is cheaper than 93.90% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.13, HRT is valued rather cheaply.
Industry RankSector Rank
PE 12.49
Fwd PE 7.97
HRT Price Earnings VS Forward Price EarningsHRT Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • HRT's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. HRT is cheaper than 76.83% of the companies in the same industry.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of HRT indicates a somewhat cheap valuation: HRT is cheaper than 79.27% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 13.78
EV/EBITDA 9.64
HRT Per share dataHRT EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5 10 -10

4.3 Compensation for Growth

  • HRT'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 HRT's earnings are expected to grow with 23.89% in the coming years.
PEG (NY)0.55
PEG (5Y)N/A
EPS Next 2Y27.37%
EPS Next 3Y23.89%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • HRT does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

Find the best dividend stocksShow peers with best dividend

HireRight Holdings Corporation

NYSE:HRT (6/27/2024, 8:21:54 PM)

After market: 14.36 0 (0%)

14.36

-0.02 (-0.14%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)05-07
Earnings (Next)08-06
Inst Owners1.42%
Inst Owner Change0%
Ins Owners11.66%
Ins Owner Change0%
Market Cap967.15M
Revenue(TTM)719.65M
Net Income(TTM)-6.98M
Analysts46.67
Price Target14.37 (0.07%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield N/A
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)8.84%
Min EPS beat(2)5.74%
Max EPS beat(2)11.94%
EPS beat(4)3
Avg EPS beat(4)5.01%
Min EPS beat(4)-3.39%
Max EPS beat(4)11.94%
EPS beat(8)6
Avg EPS beat(8)37.54%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-3.25%
Min Revenue beat(2)-3.53%
Max Revenue beat(2)-2.98%
Revenue beat(4)1
Avg Revenue beat(4)-1.69%
Min Revenue beat(4)-3.53%
Max Revenue beat(4)0.22%
Revenue beat(8)4
Avg Revenue beat(8)0.51%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)5.62%
PT rev (3m)5.62%
EPS NQ rev (1m)-10.53%
EPS NQ rev (3m)-10.53%
EPS NY rev (1m)-7.53%
EPS NY rev (3m)3.7%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.08%
Revenue NY rev (1m)0.52%
Revenue NY rev (3m)-0.21%
Valuation
Industry RankSector Rank
PE 12.49
Fwd PE 7.97
P/S 1.34
P/FCF 13.78
P/OCF 11.25
P/B 2.15
P/tB N/A
EV/EBITDA 9.64
EPS(TTM)1.15
EY8.01%
EPS(NY)1.8
Fwd EY12.54%
FCF(TTM)1.04
FCFY7.26%
OCF(TTM)1.28
OCFY8.89%
SpS10.69
BVpS6.68
TBVpS-10.44
PEG (NY)0.55
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA -0.46%
ROE -1.55%
ROCE 6.21%
ROIC 4.9%
ROICexc 5.19%
ROICexgc 46.9%
OM 11.85%
PM (TTM) N/A
GM 48.75%
FCFM 9.75%
ROA(3y)2.29%
ROA(5y)-0.83%
ROE(3y)6.03%
ROE(5y)-7.45%
ROIC(3y)4.42%
ROIC(5y)3.25%
ROICexc(3y)4.88%
ROICexc(5y)3.53%
ROICexgc(3y)63.88%
ROICexgc(5y)52.87%
ROCE(3y)5.59%
ROCE(5y)4.11%
ROICexgc growth 3Y28.97%
ROICexgc growth 5YN/A
ROICexc growth 3Y88.84%
ROICexc growth 5YN/A
OM growth 3Y70.3%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.2%
GM growth 5YN/A
F-Score4
Asset Turnover0.48
Health
Industry RankSector Rank
Debt/Equity 1.61
Debt/FCF 10.42
Debt/EBITDA 4.3
Cap/Depr 19.08%
Cap/Sales 2.2%
Interest Coverage 1.27
Cash Conversion 51.13%
Profit Quality N/A
Current Ratio 1.76
Quick Ratio 1.76
Altman-Z 1.08
F-Score4
WACC9.02%
ROIC/WACC0.54
Cap/Depr(3y)19.13%
Cap/Depr(5y)18.31%
Cap/Sales(3y)1.98%
Cap/Sales(5y)2.08%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-53.25%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%22.22%
EPS Next Y22.84%
EPS Next 2Y27.37%
EPS Next 3Y23.89%
EPS Next 5YN/A
Revenue 1Y (TTM)-8.14%
Revenue growth 3Y10.15%
Revenue growth 5YN/A
Sales Q2Q%-1.28%
Revenue Next Year4.35%
Revenue Next 2Y7.18%
Revenue Next 3Y6.63%
Revenue Next 5YN/A
EBIT growth 1Y-1.86%
EBIT growth 3Y87.58%
EBIT growth 5YN/A
EBIT Next Year195.39%
EBIT Next 3Y58.42%
EBIT Next 5YN/A
FCF growth 1Y164.8%
FCF growth 3Y160.88%
FCF growth 5YN/A
OCF growth 1Y103.29%
OCF growth 3Y76.53%
OCF growth 5YN/A

HireRight Holdings Corporation / HRT FAQ

What is the fundamental rating for HRT stock?

ChartMill assigns a fundamental rating of 4 / 10 to HRT.


Can you provide the valuation status for HireRight Holdings Corporation?

ChartMill assigns a valuation rating of 8 / 10 to HireRight Holdings Corporation (HRT). This can be considered as Undervalued.


How profitable is HireRight Holdings Corporation (HRT) stock?

HireRight Holdings Corporation (HRT) has a profitability rating of 4 / 10.


What is the expected EPS growth for HireRight Holdings Corporation (HRT) stock?

The Earnings per Share (EPS) of HireRight Holdings Corporation (HRT) is expected to grow by 22.84% in the next year.