Hinge Health, Inc. Fundamental Analysis (NYSE: HNGE)
Hinge Health, Inc. Fundamental Analysis (NYSE: HNGE)
Hinge Health, Inc. (NYSE: HNGE) shows moderate financial fundamentals with a PE ratio of 65.19, profit margin of 15.15%, and ROE of 30.25%. The company generates $0.7B in annual revenue with strong year-over-year growth of 50.58%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 83.3/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze HNGE's fundamental strength across five key dimensions:
Efficiency Score
ExcellentHNGE demonstrates superior asset utilization.
Valuation Score
ModerateHNGE shows balanced valuation metrics.
Growth Score
ModerateHNGE shows steady but slowing expansion.
Financial Health Score
ExcellentHNGE maintains a strong and stable balance sheet.
Profitability Score
ExcellentHNGE achieves industry-leading margins.
Key Financial Metrics
Is HNGE Expensive or Cheap?
P/E Ratio
HNGE trades at 65.19 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, HNGE's PEG of 0.86 indicates potential undervaluation.
Price to Book
The market values Hinge Health, Inc. at 20.09 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 68.74 times EBITDA. This signals the market has high growth expectations.
How Well Does HNGE Make Money?
Net Profit Margin
For every $100 in sales, Hinge Health, Inc. keeps $15.15 as profit after all expenses.
Operating Margin
Core operations generate 13.01 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $30.25 in profit for every $100 of shareholder equity.
ROA
Hinge Health, Inc. generates $13.18 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Hinge Health, Inc. generates strong operating cash flow of $285.57M, reflecting robust business health.
Free Cash Flow
Hinge Health, Inc. generates strong free cash flow of $282.17M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $3.65 in free cash annually.
FCF Yield
HNGE converts 4.25% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
65.19
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.86
vs 25 benchmark
P/B Ratio
Price to book value ratio
20.09
vs 25 benchmark
P/S Ratio
Price to sales ratio
9.43
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.34
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.30
vs 25 benchmark
ROA
Return on assets percentage
0.13
vs 25 benchmark
ROCE
Return on capital employed
0.27
vs 25 benchmark
How HNGE Stacks Against Its Sector Peers
| Metric | HNGE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 65.19 | 31.50 | Worse (Expensive) |
| ROE | 30.25% | 422.00% | Weak |
| Net Margin | 15.15% | 19867.00% | Weak |
| Debt/Equity | 0.02 | 0.53 | Strong (Low Leverage) |
| Current Ratio | 1.34 | 5.56 | Neutral |
| ROA | 13.18% | 1571.00% | Weak |
HNGE outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Hinge Health, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
97.84%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
-381.25%
Industry Style: Defensive, Growth, Innovation
DecliningFCF CAGR
364.28%
Industry Style: Defensive, Growth, Innovation
High Growth