Hansen Technologies Limited
Hansen Technologies Limited Fundamental Analysis
Hansen Technologies Limited (HSN.AX) shows moderate financial fundamentals with a PE ratio of 15.50, profit margin of 16.10%, and ROE of 17.13%. The company generates $0.4B in annual revenue with strong year-over-year growth of 11.15%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 65.2/100 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 HSN.AX's fundamental strength across five key dimensions:
Efficiency Score
WeakHSN.AX struggles to generate sufficient returns from assets.
Valuation Score
ExcellentHSN.AX trades at attractive valuation levels.
Growth Score
ModerateHSN.AX shows steady but slowing expansion.
Financial Health Score
ExcellentHSN.AX maintains a strong and stable balance sheet.
Profitability Score
ExcellentHSN.AX achieves industry-leading margins.
Key Financial Metrics
Is HSN.AX Expensive or Cheap?
P/E Ratio
HSN.AX trades at 15.50 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, HSN.AX's PEG of 0.30 indicates potential undervaluation.
Price to Book
The market values Hansen Technologies Limited at 2.64 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 6.96 times EBITDA. This is generally considered low.
How Well Does HSN.AX Make Money?
Net Profit Margin
For every $100 in sales, Hansen Technologies Limited keeps $16.10 as profit after all expenses.
Operating Margin
Core operations generate 17.91 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $17.13 in profit for every $100 of shareholder equity.
ROA
Hansen Technologies Limited generates $9.92 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Hansen Technologies Limited generates strong operating cash flow of $115.89M, reflecting robust business health.
Free Cash Flow
Hansen Technologies Limited generates strong free cash flow of $111.51M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.55 in free cash annually.
FCF Yield
HSN.AX converts 11.02% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
15.50
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.30
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.64
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.49
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.36
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.54
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.17
vs 25 benchmark
ROA
Return on assets percentage
0.10
vs 25 benchmark
ROCE
Return on capital employed
0.14
vs 25 benchmark
How HSN.AX Stacks Against Its Sector Peers
| Metric | HSN.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 15.50 | 33.98 | Better (Cheaper) |
| ROE | 17.13% | 1007.00% | Weak |
| Net Margin | 16.10% | -47798.00% (disorted) | Strong |
| Debt/Equity | 0.36 | 0.44 | Neutral |
| Current Ratio | 1.54 | 5.66 | Neutral |
| ROA | 9.92% | -287356.00% (disorted) | Weak |
HSN.AX outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Hansen Technologies Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
26.57%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
63.47%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
2.03%
Industry Style: Growth, Innovation, High Beta
Growing