company background image
HRL

HRL HoldingsASX:HRL Stock Report

Market Cap

AU$59.3m

7D

6.7%

1Y

0%

Updated

24 Oct, 2021

Data

Company Financials +
HRL fundamental analysis
Snowflake Score
Valuation3/6
Future Growth4/6
Past Performance3/6
Financial Health6/6
Dividends0/6

HRL Overview

HRL Holdings Limited provides various environmental and laboratory services in Australia and New Zealand.

Price History & Performance

Summary of all time highs, changes and price drops for HRL Holdings
Historical stock prices
Current Share PriceAU$0.12
52 Week HighAU$0.10
52 Week LowAU$0.14
Beta0.86
1 Month Change4.35%
3 Month Change9.09%
1 Year Change0%
3 Year Change-28.36%
5 Year Change-7.69%
Change since IPO53.85%

Recent News & Updates

Oct 13
We Think Shareholders Are Less Likely To Approve A Large Pay Rise For HRL Holdings Limited's (ASX:HRL) CEO For Now

We Think Shareholders Are Less Likely To Approve A Large Pay Rise For HRL Holdings Limited's (ASX:HRL) CEO For Now

Shareholders of HRL Holdings Limited ( ASX:HRL ) will have been dismayed by the negative share price return over the...

Aug 12
Is There Now An Opportunity In HRL Holdings Limited (ASX:HRL)?

Is There Now An Opportunity In HRL Holdings Limited (ASX:HRL)?

HRL Holdings Limited ( ASX:HRL ), is not the largest company out there, but it saw a decent share price growth in the...

May 08
An Intrinsic Calculation For HRL Holdings Limited (ASX:HRL) Suggests It's 34% Undervalued

An Intrinsic Calculation For HRL Holdings Limited (ASX:HRL) Suggests It's 34% Undervalued

How far off is HRL Holdings Limited ( ASX:HRL ) from its intrinsic value? Using the most recent financial data, we'll...

Apr 11
Is HRL Holdings Limited (ASX:HRL) Potentially Undervalued?

Is HRL Holdings Limited (ASX:HRL) Potentially Undervalued?

HRL Holdings Limited ( ASX:HRL ), might not be a large cap stock, but it received a lot of attention from a substantial...

Shareholder Returns

HRLAU Commercial ServicesAU Market
7D6.7%2.1%0.6%
1Y0%12.1%21.3%

Return vs Industry: HRL underperformed the Australian Commercial Services industry which returned 12.1% over the past year.

Return vs Market: HRL underperformed the Australian Market which returned 21.3% over the past year.

Price Volatility

Is HRL's price volatile compared to industry and market?
HRL volatility
HRL Beta0.86
Industry Beta0.91
Market Beta1

Stable Share Price: HRL is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: HRL's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2006n/aSteven Dabelsteinhttps://www.hrlholdings.com

HRL Holdings Limited provides various environmental and laboratory services in Australia and New Zealand. It offers asbestos and hazardous materials management; property contamination testing and work place drug testing; environmental testing; and on-site testing and monitoring services, as well as environmental and property management software solutions. The company also provides food and environmental laboratory services, which include honey, milk, and dairy laboratory testing; food origin testing; drugs of abuse laboratory testing; asbestos laboratory analysis; environmental laboratory testing; and other laboratory research and development services.

HRL Holdings Fundamentals Summary

How do HRL Holdings's earnings and revenue compare to its market cap?
HRL fundamental statistics
Market CapAU$59.33m
Earnings (TTM)AU$1.31m
Revenue (TTM)AU$34.61m

45.3x

P/E Ratio

1.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
HRL income statement (TTM)
RevenueAU$34.61m
Cost of RevenueAU$23.51m
Gross ProfitAU$11.10m
ExpensesAU$9.79m
EarningsAU$1.31m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.0027
Gross Margin32.07%
Net Profit Margin3.79%
Debt/Equity Ratio5.1%

How did HRL perform over the long term?

See historical performance and comparison

Valuation

Is HRL Holdings undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HRL (A$0.12) is trading below our estimate of fair value (A$0.28)

Significantly Below Fair Value: HRL is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: HRL is poor value based on its PE Ratio (45.3x) compared to the Australian Commercial Services industry average (21x).

PE vs Market: HRL is poor value based on its PE Ratio (45.3x) compared to the Australian market (19.9x).


Price to Earnings Growth Ratio

PEG Ratio: HRL is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: HRL is good value based on its PB Ratio (2.2x) compared to the AU Commercial Services industry average (2.6x).


Future Growth

How is HRL Holdings forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

35.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HRL's forecast earnings growth (35.7% per year) is above the savings rate (1.9%).

Earnings vs Market: HRL's earnings (35.7% per year) are forecast to grow faster than the Australian market (11.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: HRL's revenue (9.4% per year) is forecast to grow faster than the Australian market (5.5% per year).

High Growth Revenue: HRL's revenue (9.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HRL's Return on Equity is forecast to be low in 3 years time (12.1%).


Past Performance

How has HRL Holdings performed over the past 5 years?

-15.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HRL has high quality earnings.

Growing Profit Margin: HRL became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: HRL has become profitable over the past 5 years, growing earnings by -15.2% per year.

Accelerating Growth: HRL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: HRL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Commercial Services industry (7.9%).


Return on Equity

High ROE: HRL's Return on Equity (4.8%) is considered low.


Financial Health

How is HRL Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: HRL's short term assets (A$7.0M) exceed its short term liabilities (A$6.2M).

Long Term Liabilities: HRL's short term assets (A$7.0M) exceed its long term liabilities (A$2.5M).


Debt to Equity History and Analysis

Debt Level: HRL's debt to equity ratio (5.1%) is considered satisfactory.

Reducing Debt: HRL's debt to equity ratio has reduced from 19.2% to 5.1% over the past 5 years.

Debt Coverage: HRL's debt is well covered by operating cash flow (397%).

Interest Coverage: HRL's interest payments on its debt are well covered by EBIT (12.9x coverage).


Balance Sheet


Dividend

What is HRL Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate HRL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate HRL's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if HRL's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if HRL's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of HRL's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

7.1yrs

Average management tenure


CEO

Steven Dabelstein

6.75yrs

Tenure

AU$496,442

Compensation

Mr. Steven Dabelstein has been Chief Executive Officer of HRL Holdings Limited since January 5, 2015. Mr. Dabelstein served as General Manager of Group Commercial & Mining and Maintenance Services QLD at D...


CEO Compensation Analysis

Compensation vs Market: Steven's total compensation ($USD370.92K) is about average for companies of similar size in the Australian market ($USD302.87K).

Compensation vs Earnings: Steven's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: HRL's management team is seasoned and experienced (7.1 years average tenure).


Board Members

Experienced Board: HRL's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

HRL Holdings Limited's employee growth, exchange listings and data sources


Key Information

  • Name: HRL Holdings Limited
  • Ticker: HRL
  • Exchange: ASX
  • Founded: 2006
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: AU$59.326m
  • Shares outstanding: 494.38m
  • Website: https://www.hrlholdings.com

Location

  • HRL Holdings Limited
  • 145 Eagle Street
  • Level 12
  • Brisbane
  • Queensland
  • 4000
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/24 07:04
End of Day Share Price2021/10/22 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.