Hudson Technologies, Inc.
Hudson Technologies, Inc. Fundamental Analysis
Hudson Technologies, Inc. (HDSN) shows moderate financial fundamentals with a PE ratio of 14.67, profit margin of 5.66%, and ROE of 5.69%. The company generates $0.2B in annual revenue with moderate year-over-year growth of 4.00%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 42.6/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze HDSN's fundamental strength across five key dimensions:
Efficiency Score
WeakHDSN struggles to generate sufficient returns from assets.
Valuation Score
ExcellentHDSN trades at attractive valuation levels.
Growth Score
WeakHDSN faces weak or negative growth trends.
Financial Health Score
ExcellentHDSN maintains a strong and stable balance sheet.
Profitability Score
WeakHDSN struggles to sustain strong margins.
Key Financial Metrics
Is HDSN Expensive or Cheap?
P/E Ratio
HDSN trades at 14.67 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, HDSN's PEG of -0.93 indicates potential undervaluation.
Price to Book
The market values Hudson Technologies, Inc. at 0.88 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 10.02 times EBITDA. This signals the market has high growth expectations.
How Well Does HDSN Make Money?
Net Profit Margin
For every $100 in sales, Hudson Technologies, Inc. keeps $5.66 as profit after all expenses.
Operating Margin
Core operations generate 6.74 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $5.69 in profit for every $100 of shareholder equity.
ROA
Hudson Technologies, Inc. generates $4.61 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Hudson Technologies, Inc. generates limited operating cash flow of $-29.94M, signaling weaker underlying cash strength.
Free Cash Flow
Hudson Technologies, Inc. generates weak or negative free cash flow of $-34.63M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.82 in free cash annually.
FCF Yield
HDSN converts -16.87% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
14.67
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.93
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.88
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.83
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.01
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.38
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How HDSN Stacks Against Its Sector Peers
| Metric | HDSN Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 14.67 | 25.16 | Better (Cheaper) |
| ROE | 5.69% | 981.00% | Weak |
| Net Margin | 5.66% | -105445.00% (disorted) | Weak |
| Debt/Equity | 0.01 | 0.52 | Strong (Low Leverage) |
| Current Ratio | 3.38 | 6.31 | Strong Liquidity |
| ROA | 4.61% | -3362.00% (disorted) | Weak |
HDSN outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Hudson Technologies, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
65.91%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
417.79%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
-126.87%
Industry Style: Cyclical, Commodity, Value
Declining