Hargreaves Services Plc
Hargreaves Services Plc Fundamental Analysis
Hargreaves Services Plc (HGRVF) shows moderate financial fundamentals with a PE ratio of 8.40, profit margin of 6.77%, and ROE of 11.00%. The company generates $0.3B in annual revenue with strong year-over-year growth of 25.24%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 64.7/100 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 HGRVF's fundamental strength across five key dimensions:
Efficiency Score
WeakHGRVF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentHGRVF trades at attractive valuation levels.
Growth Score
ExcellentHGRVF delivers strong and consistent growth momentum.
Financial Health Score
ExcellentHGRVF maintains a strong and stable balance sheet.
Profitability Score
WeakHGRVF struggles to sustain strong margins.
Key Financial Metrics
Is HGRVF Expensive or Cheap?
P/E Ratio
HGRVF trades at 8.40 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, HGRVF's PEG of 0.24 indicates potential undervaluation.
Price to Book
The market values Hargreaves Services Plc at 0.91 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.33 times EBITDA. This is generally considered low.
How Well Does HGRVF Make Money?
Net Profit Margin
For every $100 in sales, Hargreaves Services Plc keeps $6.77 as profit after all expenses.
Operating Margin
Core operations generate 5.13 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.00 in profit for every $100 of shareholder equity.
ROA
Hargreaves Services Plc generates $6.44 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Hargreaves Services Plc produces operating cash flow of $47.06M, showing steady but balanced cash generation.
Free Cash Flow
Hargreaves Services Plc generates strong free cash flow of $44.14M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.34 in free cash annually.
FCF Yield
HGRVF converts 24.08% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
8.40
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.24
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.91
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.57
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.34
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.24
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.06
vs 25 benchmark
How HGRVF Stacks Against Its Sector Peers
| Metric | HGRVF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 8.40 | 25.84 | Better (Cheaper) |
| ROE | 11.00% | 1279.00% | Weak |
| Net Margin | 6.77% | -43714.00% (disorted) | Weak |
| Debt/Equity | 0.34 | 0.80 | Strong (Low Leverage) |
| Current Ratio | 2.24 | 10.62 | Strong Liquidity |
| ROA | 6.44% | -1537441.00% (disorted) | Weak |
HGRVF outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Hargreaves Services Plc's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
15.97%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
234.66%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
506.35%
Industry Style: Cyclical, Value, Infrastructure
High Growth