Hipages Group Holdings Limited
Hipages Group Holdings Limited Fundamental Analysis
Hipages Group Holdings Limited (HPG.AX) shows moderate financial fundamentals with a PE ratio of 18.61, profit margin of 5.79%, and ROE of 11.24%. The company generates $0.1B in annual revenue with strong year-over-year growth of 10.44%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 53.2/100 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 HPG.AX's fundamental strength across five key dimensions:
Efficiency Score
WeakHPG.AX struggles to generate sufficient returns from assets.
Valuation Score
ExcellentHPG.AX trades at attractive valuation levels.
Growth Score
ModerateHPG.AX shows steady but slowing expansion.
Financial Health Score
ExcellentHPG.AX maintains a strong and stable balance sheet.
Profitability Score
WeakHPG.AX struggles to sustain strong margins.
Key Financial Metrics
Is HPG.AX Expensive or Cheap?
P/E Ratio
HPG.AX trades at 18.61 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, HPG.AX's PEG of 0.18 indicates potential undervaluation.
Price to Book
The market values Hipages Group Holdings Limited at 2.01 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 8.21 times EBITDA. This is generally considered low.
How Well Does HPG.AX Make Money?
Net Profit Margin
For every $100 in sales, Hipages Group Holdings Limited keeps $5.79 as profit after all expenses.
Operating Margin
Core operations generate -1.96 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.24 in profit for every $100 of shareholder equity.
ROA
Hipages Group Holdings Limited generates $7.21 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Hipages Group Holdings Limited generates strong operating cash flow of $26.43M, reflecting robust business health.
Free Cash Flow
Hipages Group Holdings Limited generates strong free cash flow of $25.86M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.19 in free cash annually.
FCF Yield
HPG.AX converts 26.53% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
18.61
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.18
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.008
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.10
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.31
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.16
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
-0.03
vs 25 benchmark
How HPG.AX Stacks Against Its Sector Peers
| Metric | HPG.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 18.61 | 33.61 | Better (Cheaper) |
| ROE | 11.24% | 1020.00% | Weak |
| Net Margin | 5.79% | -56528.00% (disorted) | Weak |
| Debt/Equity | 0.31 | 0.45 | Strong (Low Leverage) |
| Current Ratio | 2.16 | 5.65 | Strong Liquidity |
| ROA | 7.21% | -291484.00% (disorted) | Weak |
HPG.AX outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Hipages Group Holdings Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
69.63%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
135.41%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
113.93%
Industry Style: Growth, Innovation, High Beta
High Growth