First Hawaiian, Inc.
First Hawaiian, Inc. Fundamental Analysis
First Hawaiian, Inc. (FHB) shows strong financial fundamentals with a PE ratio of 12.00, profit margin of 24.16%, and ROE of 10.19%. The company generates $1.1B in annual revenue with moderate year-over-year growth of 3.21%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 52.1/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze FHB's fundamental strength across five key dimensions:
Efficiency Score
WeakFHB struggles to generate sufficient returns from assets.
Valuation Score
ExcellentFHB trades at attractive valuation levels.
Growth Score
ModerateFHB shows steady but slowing expansion.
Financial Health Score
ModerateFHB shows balanced financial health with some risks.
Profitability Score
ModerateFHB maintains healthy but balanced margins.
Key Financial Metrics
Is FHB Expensive or Cheap?
P/E Ratio
FHB trades at 12.00 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, FHB's PEG of 1.54 indicates fair valuation.
Price to Book
The market values First Hawaiian, Inc. at 1.20 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 9.29 times EBITDA. This is generally considered low.
How Well Does FHB Make Money?
Net Profit Margin
For every $100 in sales, First Hawaiian, Inc. keeps $24.16 as profit after all expenses.
Operating Margin
Core operations generate 30.98 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.19 in profit for every $100 of shareholder equity.
ROA
First Hawaiian, Inc. generates $1.15 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
First Hawaiian, Inc. generates strong operating cash flow of $333.80M, reflecting robust business health.
Free Cash Flow
First Hawaiian, Inc. generates strong free cash flow of $302.14M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.46 in free cash annually.
FCF Yield
FHB converts 9.19% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
12.00
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.54
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.20
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.89
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.01
vs 25 benchmark
How FHB Stacks Against Its Sector Peers
| Metric | FHB Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 12.00 | 19.05 | Better (Cheaper) |
| ROE | 10.19% | 820.00% | Weak |
| Net Margin | 24.16% | 1618.00% | Weak |
| Debt/Equity | 0.00 | 1.00 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 657.68 | Weak Liquidity |
| ROA | 1.15% | -24974.00% (disorted) | Weak |
FHB outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews First Hawaiian, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
60.42%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
54.80%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
66.46%
Industry Style: Value, Dividend, Cyclical
High Growth