HEARTCORE ENTERPRISES INC (HTCR) Stock Fundamental Analysis
NASDAQ:HTCR - Nasdaq - US42240Q1040 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to HTCR. HTCR was compared to 284 industry peers in the Software industry. The financial health of HTCR is average, but there are quite some concerns on its profitability. HTCR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year HTCR has reported negative net income.
HTCR had a negative operating cash flow in the past year.
HTCR had negative earnings in 4 of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: HTCR reported negative operating cash flow in multiple years.
1.2 Ratios
HTCR has a Return On Assets of -10.61%. This is in the lower half of the industry: HTCR underperforms 60.56% of its industry peers.
HTCR's Return On Equity of -31.83% is on the low side compared to the rest of the industry. HTCR is outperformed by 61.62% of its industry peers.
HTCR has a better Return On Invested Capital (83.78%) than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -10.61% | ||
| ROE | -31.83% | ||
| ROIC | 83.78% |
ROA(3y)-28.99%
ROA(5y)-17.85%
ROE(3y)-83.94%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
HTCR's Operating Margin of 23.74% is amongst the best of the industry. HTCR outperforms 90.49% of its industry peers.
HTCR's Operating Margin has improved in the last couple of years.
HTCR has a Gross Margin of 58.63%. This is in the lower half of the industry: HTCR underperforms 61.27% of its industry peers.
In the last couple of years the Gross Margin of HTCR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.74% | ||
| PM (TTM) | N/A | ||
| GM | 58.63% |
OM growth 3Y249.84%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.92%
GM growth 5Y9.71%
2. Health
2.1 Basic Checks
HTCR has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for HTCR has been increased compared to 1 year ago.
HTCR has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, HTCR has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.33 indicates that HTCR is not in any danger for bankruptcy at the moment.
The Altman-Z score of HTCR (3.33) is better than 61.97% of its industry peers.
A Debt/Equity ratio of 0.33 indicates that HTCR is not too dependend on debt financing.
HTCR has a Debt to Equity ratio of 0.33. This is comparable to the rest of the industry: HTCR outperforms 40.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.33 |
ROIC/WACC10.25
WACC8.17%
2.3 Liquidity
A Current Ratio of 1.27 indicates that HTCR should not have too much problems paying its short term obligations.
HTCR has a Current ratio of 1.27. This is in the lower half of the industry: HTCR underperforms 60.21% of its industry peers.
A Quick Ratio of 1.27 indicates that HTCR should not have too much problems paying its short term obligations.
HTCR has a Quick ratio (1.27) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.27 |
3. Growth
3.1 Past
HTCR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 53.33%, which is quite impressive.
Looking at the last year, HTCR shows a very strong growth in Revenue. The Revenue has grown by 39.18%.
Measured over the past years, HTCR shows a very strong growth in Revenue. The Revenue has been growing by 33.35% on average per year.
EPS 1Y (TTM)53.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-214.29%
Revenue 1Y (TTM)39.18%
Revenue growth 3Y41.12%
Revenue growth 5Y33.35%
Sales Q2Q%3.47%
3.2 Future
HTCR is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 60.71% yearly.
The Revenue is expected to decrease by -20.80% on average over the next years. This is quite bad
EPS Next Y260.29%
EPS Next 2Y60.71%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-36.89%
Revenue Next 2Y-20.8%
Revenue Next 3YN/A
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.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for HTCR. In the last year negative earnings were reported.
HTCR is valuated cheaply with a Price/Forward Earnings ratio of 5.88.
Based on the Price/Forward Earnings ratio, HTCR is valued cheaper than 97.89% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.94. HTCR is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 5.88 |
4.2 Price Multiples
HTCR's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. HTCR is cheaper than 98.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 0.59 |
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.
A more expensive valuation may be justified as HTCR's earnings are expected to grow with 60.71% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y60.71%
EPS Next 3YN/A
5. Dividend
5.1 Amount
HTCR has a Yearly Dividend Yield of 13.39%, which is a nice return.
The stock price of HTCR dropped by -56.56% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 14.36, HTCR pays a better dividend. On top of this HTCR pays more dividend than 98.94% of the companies listed in the same industry.
HTCR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 13.39% |
5.2 History
HTCR is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of HTCR are negative and hence is the payout ratio. HTCR will probably not be able to sustain this dividend level.
DP-56.34%
EPS Next 2Y60.71%
EPS Next 3YN/A
NASDAQ:HTCR (5/13/2025, 2:47:48 PM)
0.66
+0.02 (+3.13%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners2.93%
Inst Owner Change29.81%
Ins Owners75.35%
Ins Owner Change-0.02%
Market Cap14.57M
AnalystsN/A
Price Target2.81 (325.76%)
Short Float %0.03%
Short Ratio0.03
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 13.39% |
Yearly Dividend0.04
Dividend Growth(5Y)N/A
DP-56.34%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
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)-17.9%
Min Revenue beat(2)-28.69%
Max Revenue beat(2)-7.12%
Revenue beat(4)0
Avg Revenue beat(4)-17.81%
Min Revenue beat(4)-32.44%
Max Revenue beat(4)-2.98%
Revenue beat(8)2
Avg Revenue beat(8)14.36%
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)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-9.62%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-9.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 5.88 | ||
| P/S | 0.48 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 3.13 | ||
| P/tB | 3.13 | ||
| EV/EBITDA | 0.59 |
EPS(TTM)-0.07
EYN/A
EPS(NY)0.11
Fwd EY17%
FCF(TTM)-0.22
FCFYN/A
OCF(TTM)-0.22
OCFYN/A
SpS1.38
BVpS0.21
TBVpS0.21
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -10.61% | ||
| ROE | -31.83% | ||
| ROCE | 110.33% | ||
| ROIC | 83.78% | ||
| ROICexc | 2993.83% | ||
| ROICexgc | 2993.83% | ||
| OM | 23.74% | ||
| PM (TTM) | N/A | ||
| GM | 58.63% | ||
| FCFM | N/A |
ROA(3y)-28.99%
ROA(5y)-17.85%
ROE(3y)-83.94%
ROE(5y)N/A
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
ROICexcg growth 3Y866.63%
ROICexcg growth 5YN/A
ROICexc growth 3Y866.63%
ROICexc growth 5YN/A
OM growth 3Y249.84%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.92%
GM growth 5Y9.71%
F-Score5
Asset Turnover2.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.19 | ||
| Cap/Depr | 1% | ||
| Cap/Sales | 0.02% | ||
| Interest Coverage | 50.45 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.27 | ||
| Altman-Z | 3.33 |
F-Score5
WACC8.17%
ROIC/WACC10.25
Cap/Depr(3y)51.02%
Cap/Depr(5y)43.34%
Cap/Sales(3y)1.04%
Cap/Sales(5y)0.76%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)53.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-214.29%
EPS Next Y260.29%
EPS Next 2Y60.71%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)39.18%
Revenue growth 3Y41.12%
Revenue growth 5Y33.35%
Sales Q2Q%3.47%
Revenue Next Year-36.89%
Revenue Next 2Y-20.8%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y275.05%
EBIT growth 3Y393.68%
EBIT growth 5YN/A
EBIT Next Year-28.39%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y1.55%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-10.25%
OCF growth 3YN/A
OCF growth 5YN/A