Huhtamäki Oyj
Huhtamäki Oyj Fundamental Analysis
Huhtamäki Oyj (HOYFF) shows weak financial fundamentals with a PE ratio of 16.07, profit margin of 4.84%, and ROE of 10.32%. The company generates $4.0B in annual revenue with weak year-over-year growth of -1.02%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 36.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze HOYFF's fundamental strength across five key dimensions:
Efficiency Score
WeakHOYFF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentHOYFF trades at attractive valuation levels.
Growth Score
WeakHOYFF faces weak or negative growth trends.
Financial Health Score
ExcellentHOYFF maintains a strong and stable balance sheet.
Profitability Score
WeakHOYFF struggles to sustain strong margins.
Key Financial Metrics
Is HOYFF Expensive or Cheap?
P/E Ratio
HOYFF trades at 16.07 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, HOYFF's PEG of -4.50 indicates potential undervaluation.
Price to Book
The market values Huhtamäki Oyj at 1.67 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.04 times EBITDA. This is generally considered low.
How Well Does HOYFF Make Money?
Net Profit Margin
For every $100 in sales, Huhtamäki Oyj keeps $4.84 as profit after all expenses.
Operating Margin
Core operations generate 7.71 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.32 in profit for every $100 of shareholder equity.
ROA
Huhtamäki Oyj generates $4.20 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Huhtamäki Oyj produces operating cash flow of $477.42M, showing steady but balanced cash generation.
Free Cash Flow
Huhtamäki Oyj produces free cash flow of $305.40M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $2.91 in free cash annually.
FCF Yield
HOYFF converts 9.90% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
16.07
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-4.50
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.67
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.78
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.86
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.59
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.09
vs 25 benchmark
How HOYFF Stacks Against Its Sector Peers
| Metric | HOYFF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 16.07 | 24.38 | Better (Cheaper) |
| ROE | 10.32% | 1159.00% | Weak |
| Net Margin | 4.84% | -390.00% (disorted) | Weak |
| Debt/Equity | 0.86 | 0.78 | Neutral |
| Current Ratio | 1.59 | 2.60 | Neutral |
| ROA | 4.20% | -30346.00% (disorted) | Weak |
HOYFF outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Huhtamäki Oyj's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
20.97%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
17.47%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
1.12%
Industry Style: Cyclical, Growth, Discretionary
Growing