H&E Equipment Services, Inc.

NasdaqGS:HEES Stock Report

Market Cap: US$3.4b

H&E Equipment Services Valuation

Is HEES undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of HEES when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
US$299.13
Fair Value
68.1% undervalued intrinsic discount
2
Number of Analysts

Below Fair Value: HEES ($95.46) is trading below our estimate of fair value ($299.13)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for HEES?

Key metric: As HEES is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for HEES. This is calculated by dividing HEES's market cap by their current earnings.
What is HEES's PE Ratio?
PE Ratio38.1x
EarningsUS$90.89m
Market CapUS$3.43b

Price to Earnings Ratio vs Peers

How does HEES's PE Ratio compare to its peers?

The above table shows the PE ratio for HEES vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average18.7x
HRI Herc Holdings
29.2x50.90%US$3.6b
RUSH.A Rush Enterprises
13.3x8.82%US$3.9b
GMS GMS
20.2x15.72%US$2.8b
MGRC McGrath RentCorp
12x-21.66%US$2.8b
HEES H&E Equipment Services
38.1x20.53%US$3.4b

Price-To-Earnings vs Peers: HEES is expensive based on its Price-To-Earnings Ratio (38.1x) compared to the peer average (18.7x).

Price to Earnings Ratio vs Industry

How does HEES's PE Ratio compare vs other companies in the US Trade Distributors Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
BYU BAIYU Holdings
0.8xn/aUS$8.94m
No more companies available in this PE range
HEES 38.1xIndustry Avg. 20.8xNo. of Companies7PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: HEES is expensive based on its Price-To-Earnings Ratio (38.1x) compared to the US Trade Distributors industry average (20x).

Price to Earnings Ratio vs Fair Ratio

What is HEES's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HEES PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio38.1x
Fair PE Ratio32x

Price-To-Earnings vs Fair Ratio: HEES is expensive based on its Price-To-Earnings Ratio (38.1x) compared to the estimated Fair Price-To-Earnings Ratio (32x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst HEES forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$95.46
US$85.00
-10.96%
8.24%US$92.00US$78.00n/a2
May ’26US$90.09
US$85.00
-5.65%
8.24%US$92.00US$78.00n/a2
Apr ’26US$95.24
US$85.00
-10.75%
8.24%US$92.00US$78.00n/a2
Mar ’26US$95.90
US$85.00
-11.37%
8.24%US$92.00US$78.00n/a2
Feb ’26US$88.69
US$85.00
-4.16%
8.24%US$92.00US$78.00n/a2
Jan ’26US$48.96
US$64.50
+31.74%
12.08%US$78.00US$60.00n/a4
Dec ’25US$59.74
US$64.50
+7.97%
12.08%US$78.00US$60.00n/a4
Nov ’25US$51.90
US$62.00
+19.46%
5.59%US$68.00US$60.00n/a4
Oct ’25US$49.30
US$63.00
+27.79%
6.54%US$70.00US$60.00n/a4
Sep ’25US$48.15
US$63.00
+30.84%
6.54%US$70.00US$60.00n/a4
Aug ’25US$48.78
US$63.40
+29.97%
5.43%US$70.00US$60.00n/a5
Jul ’25US$42.75
US$65.80
+53.92%
6.33%US$71.00US$60.00n/a5
Jun ’25US$47.37
US$65.80
+38.91%
6.33%US$71.00US$60.00n/a5
May ’25US$44.79
US$67.80
+51.37%
8.52%US$77.00US$60.00US$90.095
Apr ’25US$62.97
US$69.40
+10.21%
8.86%US$77.00US$60.00US$95.245
Mar ’25US$57.46
US$68.33
+18.92%
8.93%US$77.00US$60.00US$95.906
Feb ’25US$54.75
US$62.50
+14.16%
5.45%US$68.00US$59.00US$88.696
Jan ’25US$52.32
US$61.17
+16.91%
5.46%US$68.00US$58.00US$48.966
Dec ’24US$46.79
US$60.67
+29.66%
6.29%US$68.00US$56.00US$59.746
Nov ’24US$40.81
US$60.67
+48.66%
6.29%US$68.00US$56.00US$51.906
Oct ’24US$43.19
US$62.70
+45.16%
11.63%US$78.00US$55.00US$49.306
Sep ’24US$46.71
US$62.70
+34.22%
11.63%US$78.00US$55.00US$48.156
Aug ’24US$49.78
US$62.70
+25.94%
11.63%US$78.00US$55.00US$48.786
Jul ’24US$45.75
US$59.50
+30.05%
19.71%US$83.00US$47.00US$42.756
Jun ’24US$36.48
US$59.50
+63.10%
19.71%US$83.00US$47.00US$47.376
May ’24US$36.98
US$59.50
+60.90%
19.71%US$83.00US$47.00US$44.796
AnalystConsensusTarget
Consensus Narrative from 2 Analysts
US$85.00
Fair Value
12.3% overvalued intrinsic discount
2
Number of Analysts

Analyst Forecast: Target price is lower than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/05/27 12:43
End of Day Share Price 2025/05/27 00:00
Earnings2025/03/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

H&E Equipment Services, Inc. is covered by 15 analysts. 2 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Sherif El-SabbahyBofA Global Research
Neil FrohnappleBuckingham Research Group Inc.
null nullBurkenroad Reports