154.72 USD
-1.7 (-1.09%)
154.72 USD
0 (0%)
Overall HWKN gets a fundamental rating of 6 out of 10. We evaluated HWKN against 82 industry peers in the Chemicals industry. Both the health and profitability get an excellent rating, making HWKN a very profitable company, without any liquidiy or solvency issues. HWKN is quite expensive at the moment. It does show a decent growth rate. This makes HWKN very considerable for quality investing!
1. Profitability
1.1 Basic Checks
- In the past year HWKN was profitable.
- In the past year HWKN had a positive cash flow from operations.
- In the past 5 years HWKN has always been profitable.
- Each year in the past 5 years HWKN had a positive operating cash flow.
1.2 Ratios
- HWKN has a better Return On Assets (8.45%) than 90.24% of its industry peers.
- HWKN has a Return On Equity of 16.40%. This is amongst the best in the industry. HWKN outperforms 85.37% of its industry peers.
- With an excellent Return On Invested Capital value of 10.12%, HWKN belongs to the best of the industry, outperforming 84.15% of the companies in the same industry.
- HWKN had an Average Return On Invested Capital over the past 3 years of 13.29%. This is significantly above the industry average of 6.11%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.45% | ||
| ROE | 16.4% | ||
| ROIC | 10.12% |
ROA(3y)10.86%
ROA(5y)10.06%
ROE(3y)18.01%
ROE(5y)17.3%
ROIC(3y)13.29%
ROIC(5y)12.3%
1.3 Margins
- HWKN has a better Profit Margin (7.95%) than 76.83% of its industry peers.
- HWKN's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 11.57%, HWKN is in the better half of the industry, outperforming 62.20% of the companies in the same industry.
- HWKN's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 23.03%, HWKN is in line with its industry, outperforming 40.24% of the companies in the same industry.
- HWKN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.57% | ||
| PM (TTM) | 7.95% | ||
| GM | 23.03% |
OM growth 3Y9.98%
OM growth 5Y9.64%
PM growth 3Y9.19%
PM growth 5Y10.49%
GM growth 3Y6.96%
GM growth 5Y4.38%
2. Health
2.1 Basic Checks
- HWKN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- HWKN has less shares outstanding than it did 1 year ago.
- HWKN has less shares outstanding than it did 5 years ago.
- HWKN has a worse debt/assets ratio than last year.
2.2 Solvency
- HWKN has an Altman-Z score of 6.43. This indicates that HWKN is financially healthy and has little risk of bankruptcy at the moment.
- HWKN has a Altman-Z score of 6.43. This is amongst the best in the industry. HWKN outperforms 97.56% of its industry peers.
- HWKN has a debt to FCF ratio of 3.53. This is a good value and a sign of high solvency as HWKN would need 3.53 years to pay back of all of its debts.
- HWKN has a Debt to FCF ratio of 3.53. This is amongst the best in the industry. HWKN outperforms 87.80% of its industry peers.
- HWKN has a Debt/Equity ratio of 0.53. This is a neutral value indicating HWKN is somewhat dependend on debt financing.
- With a decent Debt to Equity ratio value of 0.53, HWKN is doing good in the industry, outperforming 63.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 3.53 | ||
| Altman-Z | 6.43 |
ROIC/WACC0.66
WACC15.41%
2.3 Liquidity
- HWKN has a Current Ratio of 2.43. This indicates that HWKN is financially healthy and has no problem in meeting its short term obligations.
- With a decent Current ratio value of 2.43, HWKN is doing good in the industry, outperforming 68.29% of the companies in the same industry.
- HWKN has a Quick Ratio of 1.49. This is a normal value and indicates that HWKN is financially healthy and should not expect problems in meeting its short term obligations.
- HWKN has a Quick ratio of 1.49. This is in the better half of the industry: HWKN outperforms 60.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.43 | ||
| Quick Ratio | 1.49 |
3. Growth
3.1 Past
- HWKN shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.53%.
- Measured over the past years, HWKN shows a very strong growth in Earnings Per Share. The EPS has been growing by 24.81% on average per year.
- The Revenue has grown by 11.86% in the past year. This is quite good.
- Measured over the past years, HWKN shows a quite strong growth in Revenue. The Revenue has been growing by 12.52% on average per year.
EPS 1Y (TTM)1.53%
EPS 3Y18.4%
EPS 5Y24.81%
EPS Q2Q%-6.9%
Revenue 1Y (TTM)11.86%
Revenue growth 3Y7.96%
Revenue growth 5Y12.52%
Sales Q2Q%13.52%
3.2 Future
- HWKN is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.21% yearly.
- HWKN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.76% yearly.
EPS Next Y-0.45%
EPS Next 2Y7.37%
EPS Next 3Y2.21%
EPS Next 5YN/A
Revenue Next Year13.69%
Revenue Next 2Y10.53%
Revenue Next 3Y7.76%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- 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
- The Price/Earnings ratio is 38.87, which means the current valuation is very expensive for HWKN.
- Based on the Price/Earnings ratio, HWKN is valued a bit more expensive than the industry average as 62.20% of the companies are valued more cheaply.
- Compared to an average S&P500 Price/Earnings ratio of 27.30, HWKN is valued a bit more expensive.
- HWKN is valuated quite expensively with a Price/Forward Earnings ratio of 33.14.
- Based on the Price/Forward Earnings ratio, HWKN is valued a bit more expensive than the industry average as 64.63% of the companies are valued more cheaply.
- HWKN's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 24.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.87 | ||
| Fwd PE | 33.14 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, HWKN is valued a bit more expensive than the industry average as 76.83% of the companies are valued more cheaply.
- HWKN's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.04 | ||
| EV/EBITDA | 21.15 |
4.3 Compensation for Growth
- HWKN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.57
EPS Next 2Y7.37%
EPS Next 3Y2.21%
5. Dividend
5.1 Amount
- HWKN has a yearly dividend return of 0.50%, which is pretty low.
- HWKN's Dividend Yield is slightly below the industry average, which is at 2.28.
- Compared to an average S&P500 Dividend Yield of 1.82, HWKN's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.5% |
5.2 History
- On average, the dividend of HWKN grows each year by 8.66%, which is quite nice.
- HWKN has paid a dividend for at least 10 years, which is a reliable track record.
- HWKN has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.66%
Div Incr Years20
Div Non Decr Years28
5.3 Sustainability
- 18.33% of the earnings are spent on dividend by HWKN. This is a low number and sustainable payout ratio.
- HWKN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP18.33%
EPS Next 2Y7.37%
EPS Next 3Y2.21%
HAWKINS INC / HWKN FAQ
What is the ChartMill fundamental rating of HAWKINS INC (HWKN) stock?
ChartMill assigns a fundamental rating of 6 / 10 to HWKN.
Can you provide the valuation status for HAWKINS INC?
ChartMill assigns a valuation rating of 1 / 10 to HAWKINS INC (HWKN). This can be considered as Overvalued.
What is the profitability of HWKN stock?
HAWKINS INC (HWKN) has a profitability rating of 8 / 10.
What are the PE and PB ratios of HAWKINS INC (HWKN) stock?
The Price/Earnings (PE) ratio for HAWKINS INC (HWKN) is 38.87 and the Price/Book (PB) ratio is 6.38.
How sustainable is the dividend of HAWKINS INC (HWKN) stock?
The dividend rating of HAWKINS INC (HWKN) is 5 / 10 and the dividend payout ratio is 18.33%.