Hanmi Financial Corporation
Hanmi Financial Corporation Fundamental Analysis
Hanmi Financial Corporation (HAFC) shows moderate financial fundamentals with a PE ratio of 10.10, profit margin of 18.42%, and ROE of 10.31%. The company generates $0.4B in annual revenue with moderate year-over-year growth of 3.55%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 58.0/100 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 HAFC's fundamental strength across five key dimensions:
Efficiency Score
WeakHAFC struggles to generate sufficient returns from assets.
Valuation Score
ExcellentHAFC trades at attractive valuation levels.
Growth Score
ModerateHAFC shows steady but slowing expansion.
Financial Health Score
ModerateHAFC shows balanced financial health with some risks.
Profitability Score
ModerateHAFC maintains healthy but balanced margins.
Key Financial Metrics
Is HAFC Expensive or Cheap?
P/E Ratio
HAFC trades at 10.10 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, HAFC's PEG of 1.51 indicates fair valuation.
Price to Book
The market values Hanmi Financial Corporation at 1.02 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 12.55 times EBITDA. This signals the market has high growth expectations.
How Well Does HAFC Make Money?
Net Profit Margin
For every $100 in sales, Hanmi Financial Corporation keeps $18.42 as profit after all expenses.
Operating Margin
Core operations generate 19.37 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.31 in profit for every $100 of shareholder equity.
ROA
Hanmi Financial Corporation generates $1.03 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Hanmi Financial Corporation generates strong operating cash flow of $207.84M, reflecting robust business health.
Free Cash Flow
Hanmi Financial Corporation generates strong free cash flow of $205.33M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $6.87 in free cash annually.
FCF Yield
HAFC converts 24.67% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
10.10
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.51
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.02
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.88
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 HAFC Stacks Against Its Sector Peers
| Metric | HAFC Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 10.10 | 19.05 | Better (Cheaper) |
| ROE | 10.31% | 820.00% | Weak |
| Net Margin | 18.42% | 1618.00% | Weak |
| Debt/Equity | 0.00 | 1.00 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 657.68 | Weak Liquidity |
| ROA | 1.03% | -24974.00% (disorted) | Weak |
HAFC outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Hanmi Financial Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
69.87%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
82.91%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
247.09%
Industry Style: Value, Dividend, Cyclical
High Growth