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Houston Wire & Cable

Nasdaq:HWCC
Snowflake Description

Fair value with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
HWCC
Nasdaq
$78M
Market Cap
  1. Home
  2. US
  3. Capital Goods
Company description

Houston Wire & Cable Company, through its subsidiaries, sells electrical and mechanical wire and cable, industrial fasteners, hardware, and related services in the United States. The last earnings update was 73 days ago. More info.


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  • Houston Wire & Cable has significant price volatility in the past 3 months.
HWCC Share Price and Events
7 Day Returns
-6.7%
NasdaqGS:HWCC
-3.1%
US Trade Distributors
-1.2%
US Market
1 Year Returns
-41.7%
NasdaqGS:HWCC
-13.9%
US Trade Distributors
3.3%
US Market
HWCC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Houston Wire & Cable (HWCC) -6.7% -14.8% -21.7% -41.7% -20% -61.8%
US Trade Distributors -3.1% -3% -7.9% -13.9% 25.3% 7.6%
US Market -1.2% 0.8% 0.9% 3.3% 35.9% 41.7%
1 Year Return vs Industry and Market
  • HWCC underperformed the Trade Distributors industry which returned -13.9% over the past year.
  • HWCC underperformed the Market in United States of America which returned 3.3% over the past year.
Price Volatility
HWCC
Industry
5yr Volatility vs Market
Related Companies

HWCC Value

 Is Houston Wire & Cable undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Houston Wire & Cable to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Houston Wire & Cable.

NasdaqGS:HWCC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 11.6%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:HWCC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Trade Distributors Unlevered Beta Simply Wall St/ S&P Global 0.9
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.903 (1 + (1- 21%) (116.73%))
1.493
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.49
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.493 * 5.96%)
11.63%

Discounted Cash Flow Calculation for NasdaqGS:HWCC using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Houston Wire & Cable is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NasdaqGS:HWCC DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 11.63%)
2020 1.65 Est @ 30.78% 1.47
2021 2.01 Est @ 22.36% 1.62
2022 2.35 Est @ 16.47% 1.69
2023 2.64 Est @ 12.35% 1.70
2024 2.89 Est @ 9.46% 1.66
2025 3.10 Est @ 7.44% 1.60
2026 3.29 Est @ 6.03% 1.52
2027 3.45 Est @ 5.04% 1.43
2028 3.60 Est @ 4.35% 1.34
2029 3.74 Est @ 3.86% 1.25
Present value of next 10 years cash flows $15.28
NasdaqGS:HWCC DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $3.74 × (1 + 2.73%) ÷ (11.63% – 2.73%)
$43.21
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $43.21 ÷ (1 + 11.63%)10
$14.38
NasdaqGS:HWCC Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $15.28 + $14.38
$29.66
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $29.66 / 16.61
$1.79
NasdaqGS:HWCC Discount to Share Price
Calculation Result
Value per share (USD) From above. $1.79
Current discount Discount to share price of $4.72
= -1 x ($4.72 - $1.79) / $1.79
-164.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Houston Wire & Cable is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Houston Wire & Cable's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Houston Wire & Cable's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:HWCC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $0.55
NasdaqGS:HWCC Share Price ** NasdaqGS (2019-07-22) in USD $4.72
United States of America Trade Distributors Industry PE Ratio Median Figure of 42 Publicly-Listed Trade Distributors Companies 16.3x
United States of America Market PE Ratio Median Figure of 3,082 Publicly-Listed Companies 17.86x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Houston Wire & Cable.

NasdaqGS:HWCC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:HWCC Share Price ÷ EPS (both in USD)

= 4.72 ÷ 0.55

8.64x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Houston Wire & Cable is good value based on earnings compared to the US Trade Distributors industry average.
  • Houston Wire & Cable is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Houston Wire & Cable's expected growth come at a high price?
Raw Data
NasdaqGS:HWCC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 8.64x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
Not available
United States of America Trade Distributors Industry PEG Ratio Median Figure of 33 Publicly-Listed Trade Distributors Companies 0.96x
United States of America Market PEG Ratio Median Figure of 2,119 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Houston Wire & Cable, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Houston Wire & Cable's assets?
Raw Data
NasdaqGS:HWCC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $6.23
NasdaqGS:HWCC Share Price * NasdaqGS (2019-07-22) in USD $4.72
United States of America Trade Distributors Industry PB Ratio Median Figure of 53 Publicly-Listed Trade Distributors Companies 1.59x
United States of America Market PB Ratio Median Figure of 5,248 Publicly-Listed Companies 1.79x
NasdaqGS:HWCC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:HWCC Share Price ÷ Book Value per Share (both in USD)

= 4.72 ÷ 6.23

0.76x

* Primary Listing of Houston Wire & Cable.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Houston Wire & Cable is good value based on assets compared to the US Trade Distributors industry average.
X
Value checks
We assess Houston Wire & Cable's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Trade Distributors industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Trade Distributors industry average (and greater than 0)? (1 check)
  5. Houston Wire & Cable has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

HWCC Future Performance

 How is Houston Wire & Cable expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Houston Wire & Cable has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.

Show me the analysis anyway

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
15.1%
Expected Trade Distributors industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Houston Wire & Cable expected to grow at an attractive rate?
  • Unable to compare Houston Wire & Cable's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Houston Wire & Cable's earnings growth to the United States of America market average as no estimate data is available.
  • Unable to compare Houston Wire & Cable's revenue growth to the United States of America market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:HWCC Future Growth Rates Data Sources
Data Point Source Value (per year)
United States of America Trade Distributors Industry Earnings Growth Rate Market Cap Weighted Average 15.1%
United States of America Trade Distributors Industry Revenue Growth Rate Market Cap Weighted Average 5%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:HWCC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:HWCC Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
NasdaqGS:HWCC Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 357 3 9
2018-12-31 357 5 9
2018-09-30 351 1 9
2018-06-30 342 -9 5
2018-03-31 324 -7 2
2017-12-31 318 -11 0
2017-09-30 305 -10 -4
2017-06-30 289 -4 -4
2017-03-31 276 -1 -6
2016-12-31 262 17 -6
2016-09-30 263 19 -4
2016-06-30 276 22 -2

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Houston Wire & Cable is high growth as no earnings estimate data is available.
  • Unable to determine if Houston Wire & Cable is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:HWCC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Houston Wire & Cable Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:HWCC Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
NasdaqGS:HWCC Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 0.55
2018-12-31 0.53
2018-09-30 0.55
2018-06-30 0.30
2018-03-31 0.13
2017-12-31 -0.01
2017-09-30 -0.25
2017-06-30 -0.23
2017-03-31 -0.39
2016-12-31 -0.37
2016-09-30 -0.27
2016-06-30 -0.14

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Houston Wire & Cable will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Next steps:

  1. Examine whether Houston Wire & Cable is trading at Houston Wire & Cable'san attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  2. Houston Wire & Cable's future outlook can be gauged by looking at industry trends and market size, and determining how well-positioned the company is compared to its competitors. Take a look at other high-growth Capital Goods companies here
  3. Houston Wire & Cable's competitive advantages and company strategy can generally be found in its financial reports archived here.
  4. Use fundamentals to screen for another stock to analyse from our database of over 75,000 companies worldwide
X
Future performance checks
We assess Houston Wire & Cable's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Houston Wire & Cable has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

HWCC Past Performance

  How has Houston Wire & Cable performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Houston Wire & Cable's growth in the last year to its industry (Trade Distributors).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Houston Wire & Cable's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • Houston Wire & Cable's 1-year earnings growth exceeds its 5-year average (312% vs -22.5%)
  • Houston Wire & Cable's earnings growth has exceeded the US Trade Distributors industry average in the past year (312% vs -8.2%).
Earnings and Revenue History
Houston Wire & Cable's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Houston Wire & Cable Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:HWCC Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 357.10 8.97 41.80
2018-12-31 356.86 8.64 41.81
2018-09-30 351.10 9.00 42.30
2018-06-30 342.22 4.84 41.50
2018-03-31 324.01 2.18 40.42
2017-12-31 317.70 -0.22 40.07
2017-09-30 304.81 -4.04 37.72
2017-06-30 288.83 -3.77 35.89
2017-03-31 275.64 -6.28 33.90
2016-12-31 261.64 -6.01 31.97
2016-09-30 262.70 -4.38 30.22
2016-06-30 275.74 -2.26 30.38
2016-03-31 291.24 -0.33 30.71
2015-12-31 308.13 2.04 31.04
2015-09-30 327.35 5.91 32.22
2015-06-30 345.81 8.76 32.57
2015-03-31 371.31 13.41 33.46
2014-12-31 390.01 14.97 34.10
2014-09-30 394.92 14.45 34.43
2014-06-30 393.42 7.76 34.41
2014-03-31 389.29 7.79 34.13
2013-12-31 383.29 7.90 33.98
2013-09-30 393.23 9.12 33.67
2013-06-30 394.13 16.52 33.51
2013-03-31 392.88 16.89 33.42
2012-12-31 393.04 17.04 33.00
2012-09-30 376.14 15.72 32.72

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Houston Wire & Cable has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Houston Wire & Cable used its assets less efficiently than the US Trade Distributors industry average last year based on Return on Assets.
  • Houston Wire & Cable has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Houston Wire & Cable's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Trade Distributors industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Houston Wire & Cable has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

HWCC Health

 How is Houston Wire & Cable's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Houston Wire & Cable's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Houston Wire & Cable is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Houston Wire & Cable's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Houston Wire & Cable's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Houston Wire & Cable Company Filings, last reported 3 months ago.

NasdaqGS:HWCC Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 103.41 78.94 0.26
2018-12-31 100.68 71.32 1.39
2018-09-30 98.87 75.13
2018-06-30 96.03 81.46
2018-03-31 92.79 83.36
2017-12-31 90.74 76.58
2017-09-30 88.62 74.42
2017-06-30 90.12 70.45
2017-03-31 89.93 72.67
2016-12-31 90.13 63.57
2016-09-30 92.01 29.72
2016-06-30 94.28 30.58
2016-03-31 98.31 35.23
2015-12-31 100.00 42.89
2015-09-30 103.11 41.13
2015-06-30 105.94 41.57
2015-03-31 109.87 49.20
2014-12-31 111.31 56.96
2014-09-30 111.12 54.24
2014-06-30 110.96 55.58
2014-03-31 111.85 61.12
2013-12-31 110.69 52.55
2013-09-30 109.33 48.56
2013-06-30 114.26 53.18
2013-03-31 111.70 51.87
2012-12-31 109.08 58.59 0.27
2012-09-30 106.14 68.49
  • Houston Wire & Cable's level of debt (76.6%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (54.6% vs 76.6% today).
  • Debt is not well covered by operating cash flow (3.7%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 4.8x coverage).
X
Financial health checks
We assess Houston Wire & Cable's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Houston Wire & Cable has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

HWCC Dividends

 What is Houston Wire & Cable's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Houston Wire & Cable dividends.
If you bought $2,000 of Houston Wire & Cable shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Houston Wire & Cable's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Houston Wire & Cable's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:HWCC Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
United States of America Trade Distributors Industry Average Dividend Yield Market Cap Weighted Average of 15 Stocks 3%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2017 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:HWCC Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
NasdaqGS:HWCC Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2018-08-09 0.000 0.000
2018-05-10 0.000 0.000
2018-03-16 0.000 0.000
2017-11-09 0.000 0.000
2017-08-09 0.000 0.000
2017-05-10 0.000 0.000
2017-03-24 0.000 0.000
2017-03-16 0.000 0.000
2016-11-08 0.000 0.000
2016-08-09 0.120 2.082
2016-05-05 0.240 4.307
2016-03-10 0.420 5.998
2015-11-05 0.240 4.341
2015-08-06 0.480 6.911
2015-02-10 0.480 4.976
2014-08-07 0.480 3.906
2014-05-08 0.480 3.966
2014-02-10 0.440 3.376
2013-08-02 0.440 3.303
2013-05-07 0.440 3.057
2013-02-11 0.360 2.845
2012-11-07 0.360 3.160
2012-08-07 0.360 3.218
2012-05-09 0.360 3.184
2012-02-13 0.360 2.680
2011-11-07 0.360 2.769
2011-08-08 0.360 2.939
2011-05-05 0.360 2.351
2011-02-03 0.340 2.375
2010-11-09 0.340 2.729
2010-08-09 0.340 3.337
2010-05-10 0.340 2.900
2010-02-10 0.340 2.683
2009-11-09 0.340 2.828
2009-08-11 0.340 2.954
2009-05-11 0.340 3.029
2009-02-06 0.340 4.628
2008-11-07 0.340 4.196
2008-08-11 0.340 2.268

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Houston Wire & Cable has not reported any payouts.
  • Unable to verify if Houston Wire & Cable's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Houston Wire & Cable's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Houston Wire & Cable has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Houston Wire & Cable's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Houston Wire & Cable afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Houston Wire & Cable has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

HWCC Management

 What is the CEO of Houston Wire & Cable's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Jim Pokluda
COMPENSATION $1,391,936
AGE 55
TENURE AS CEO 7.5 years
CEO Bio

Mr. James L. Pokluda III, also known as Jim, has been the Chief Executive Officer of Houston Wire & Cable Company since January 1, 2012 and has been its President since May 2011. Previously, Mr. Pokluda served as a Vice President of Sales and Marketing of Houston Wire & Cable Company from April 2007 to May 2011. He served as Vice President of Marketing and Merchandising of Houston Wire & Cable Company since 2003. He served with Houston Wire & Cable Company in 1987 as an Account Manager and had been its leading salesperson for the three consecutive years and also served as its General Manager of the Southern Region in 1995. In 2000, he served as Regional Vice President and between 1995 and 2001 his profit and loss responsibility was expanded to include its Western and South-Central regions. He has been a Director of Houston Wire & Cable Company since January 1, 2012. Mr. Pokluda is a Graduate of the College of Engineering at Texas A&M University and regularly participates in executive education at the Graduate Schools of Business at the University of Chicago, Rice University and MIT.

CEO Compensation
  • Jim's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Jim's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Houston Wire & Cable management team in years:

15.5
Average Tenure
56
Average Age
  • The average tenure for the Houston Wire & Cable management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Jim Pokluda

TITLE
President
COMPENSATION
$1M
AGE
55
TENURE
7.5 yrs

Chris Micklas

TITLE
VP, CFO
COMPENSATION
$586K
AGE
52
TENURE
1.3 yrs

Eric Blankenship

TITLE
Vice President of National Business Development
AGE
67
TENURE
20.5 yrs

Carol Sims

TITLE
Director of Human Resources
AGE
59
TENURE
25.5 yrs

Eric Davis

TITLE
VP & Controller
AGE
57
TENURE
17.5 yrs

Terry Smith-Stallard

TITLE
Assistant Controller
AGE
55
TENURE
13.5 yrs

Kayla Draper

TITLE
Investor Relations Coordinator & Assistant to the CEO
Board of Directors Tenure

Average tenure and age of the Houston Wire & Cable board of directors in years:

1.9
Average Tenure
63
Average Age
  • The average tenure for the Houston Wire & Cable board of directors is less than 3 years, this suggests a new board.
Board of Directors

Bill Sheffield

TITLE
Chairman
COMPENSATION
$170K
AGE
70
TENURE
7.5 yrs

Jim Pokluda

TITLE
President
COMPENSATION
$1M
AGE
55
TENURE
7.5 yrs

G. Yetman

TITLE
Independent Director
COMPENSATION
$129K
AGE
64
TENURE
4.7 yrs

Sandy Rothe

TITLE
Independent Director
COMPENSATION
$45K
AGE
63
TENURE
0.7 yrs

Roy Haley

TITLE
Independent Director
COMPENSATION
$129K
AGE
72
TENURE
1.9 yrs

Bob Reymond

TITLE
Independent Director
COMPENSATION
$90K
AGE
53
TENURE
1.1 yrs

Margaret Laird

TITLE
Independent Director
AGE
42
TENURE
0.2 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Houston Wire & Cable individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
03. Jun 19 Buy Christopher Micklas Individual 03. Jun 19 03. Jun 19 970 $5.17 $5,015
29. May 19 Buy G. Yetman Individual 28. May 19 28. May 19 2,803 $5.25 $14,716
24. May 19 Buy G. Yetman Individual 23. May 19 24. May 19 7,015 $5.50 $38,310
28. Mar 19 Buy Robert Reymond Individual 26. Mar 19 26. Mar 19 2,000 $6.09 $12,180
19. Dec 18 Buy Nierenberg Investment Management Company, Inc. Company 11. Oct 18 19. Oct 18 101,888 $7.92 $784,881
25. Mar 19 Buy G. Yetman Individual 10. Dec 18 10. Dec 18 6,000 $6.00 $36,000
11. Dec 18 Buy Roy Haley Individual 10. Dec 18 10. Dec 18 20,595 $6.05 $124,600
07. Dec 18 Buy Roy Haley Individual 06. Dec 18 06. Dec 18 1,866 $6.10 $11,383
04. Dec 18 Buy Roy Haley Individual 03. Dec 18 04. Dec 18 2,981 $6.10 $18,179
30. Nov 18 Buy Roy Haley Individual 29. Nov 18 30. Nov 18 8,524 $6.09 $51,911
28. Nov 18 Buy Roy Haley Individual 27. Nov 18 28. Nov 18 5,015 $6.09 $30,510
27. Nov 18 Buy Christopher Micklas Individual 27. Nov 18 27. Nov 18 900 $6.15 $5,535
21. Nov 18 Buy Christopher Micklas Individual 21. Nov 18 21. Nov 18 100 $6.20 $620
21. Nov 18 Buy Roy Haley Individual 20. Nov 18 20. Nov 18 490 $6.10 $2,989
20. Nov 18 Buy Roy Haley Individual 19. Nov 18 19. Nov 18 100 $6.10 $610
15. Nov 18 Buy Roy Haley Individual 13. Nov 18 15. Nov 18 41,024 $6.04 $243,185
13. Nov 18 Buy Sandford Rothe Individual 12. Nov 18 12. Nov 18 10,200 $5.91 $60,282
17. Sep 18 Buy Roy Haley Individual 14. Sep 18 14. Sep 18 4,948 $8.15 $40,326
14. Sep 18 Buy Roy Haley Individual 13. Sep 18 13. Sep 18 5,052 $8.10 $40,921
17. Aug 18 Buy Roy Haley Individual 15. Aug 18 15. Aug 18 9,869 $8.13 $80,235
14. Aug 18 Buy Roy Haley Individual 13. Aug 18 14. Aug 18 15,000 $8.15 $121,950
13. Aug 18 Buy Christopher Micklas Individual 13. Aug 18 13. Aug 18 1,200 $8.15 $9,780
X
Management checks
We assess Houston Wire & Cable's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Houston Wire & Cable has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

HWCC News

Simply Wall St News

The Houston Wire & Cable (NASDAQ:HWCC) Share Price Is Down 59% So Some Shareholders Are Wishing They Sold

To wit, the Houston Wire & Cable Company (NASDAQ:HWCC) share price managed to fall 59% over five long years. … Over the last 5 years, Houston Wire & Cable generated a TSR of -55%, which is, of course, better than the share price return. … Houston Wire & Cable is not the only stock insiders are buying.

Simply Wall St -

Is Houston Wire & Cable Company (NASDAQ:HWCC) Investing Effectively In Its Business?

The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Houston Wire & Cable: 0.076 = US$15m ÷ (US$216m - US$24m) (Based on the trailing twelve months to March 2019.) Therefore, Houston Wire & Cable has an ROCE of 7.6%. … Do Houston Wire & Cable's Current Liabilities Skew Its ROCE? … The ROCE equation subtracts current liabilities from capital employed, so a company with a lot of current liabilities appears to have less capital employed, and a higher ROCE than otherwise.

Simply Wall St -

Does Houston Wire & Cable Company's (NASDAQ:HWCC) CEO Salary Compare Well With Others?

According to our data, Houston Wire & Cable Company has a market capitalization of US$87m, and pays its CEO total annual compensation worth US$1.4m. … Thus we can conclude that Jim Pokluda receives more in total compensation than the median of a group of companies in the same market, and of similar size to Houston Wire & Cable Company. … We examined the amount Houston Wire & Cable Company pays its CEO, and compared it to the amount paid by similar sized companies.

Simply Wall St -

Are Houston Wire & Cable Company's (NASDAQ:HWCC) Interest Costs Too High?

HWCC’s Debt (And Cash Flows) HWCC has built up its total debt levels in the last twelve months, from US$83m to US$92m – this includes long-term debt. … On top of this, HWCC has generated US$2.9m in operating cash flow over the same time period, leading to an operating cash to total debt ratio of 3.2%, signalling that HWCC’s operating cash is less than its debt. … We can check to see whether HWCC is able to meet its debt obligations by looking at the net interest coverage ratio.

Simply Wall St -

Did Houston Wire & Cable Company (NASDAQ:HWCC) Insiders Buy Up More Shares?

So we'll take a look at whether insiders have been buying or selling shares in Houston Wire & Cable Company (NASDAQ:HWCC). … Check out our latest analysis for Houston Wire & Cable Houston Wire & Cable Insider Transactions Over The Last Year Over the last year, we can see that the biggest insider purchase was by Independent Director Roy Haley for US$243k worth of shares, at about US$6.04 per share. … Insiders at Houston Wire & Cable Have Bought Stock Recently Over the last three months, we've seen a bit of insider buying at Houston Wire & Cable.

Simply Wall St -

Houston Wire & Cable Company (NASDAQ:HWCC) Delivered A Weaker ROE Than Its Industry

The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Houston Wire & Cable: 8.6% = US$8.6m ÷ US$101m (Based on the trailing twelve months to December 2018.) It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. … Does Houston Wire & Cable Have A Good Return On Equity? … Houston Wire & Cable's Debt And Its 8.6% ROE While Houston Wire & Cable does have some debt, with debt to equity of just 0.71, we wouldn't say debt is excessive.

Simply Wall St -

How Does Houston Wire & Cable Company (NASDAQ:HWCC) Affect Your Portfolio Volatility?

Volatility is considered to be a measure of risk in modern finance theory. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.

Simply Wall St -

Are Houston Wire & Cable Company’s (NASDAQ:HWCC) Returns On Investment Worth Your While?

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … Understanding Return On Capital Employed (ROCE). … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

Should You Be Concerned About Houston Wire & Cable Company's (NASDAQ:HWCC) ROE?

Our data shows Houston Wire & Cable has a return on equity of 9.1% for the last year. … View our latest analysis for Houston Wire & Cable? … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Before You Buy Houston Wire & Cable Company (NASDAQ:HWCC), Consider Its Volatility

Volatility is considered to be a measure of risk in modern finance theory. … Beta is a widely used metric to measure a stock's exposure to market risk (volatility). … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.

Simply Wall St -

HWCC Company Info

Description

Houston Wire & Cable Company, through its subsidiaries, sells electrical and mechanical wire and cable, industrial fasteners, hardware, and related services in the United States. It offers wire and cable products, including continuous and interlocked armor cables; control and power cables; electronic wires and cables; flexible and portable cords; instrumentation and thermocouple cables; lead and high temperature cables; medium voltage cables; and premise and category wires and cables, primary and secondary aluminum distribution cables, and steel wire ropes and wire rope slings, as well as synthetic fiber rope slings, chains, shackles, and other related hardware and corrosion resistant products. The company also provides private branded products comprising its proprietary brand LifeGuard, a low-smoke zero-halogen cable. Its products are used in maintenance, repair, and operations activities, and related projects; larger-scale projects in the utility, industrial, and infrastructure markets; and a range of industrial applications, such as communications, energy, engineering and construction, general manufacturing, marine construction and marine transportation, mining, infrastructure, oilfield services, petrochemical, transportation, utility, wastewater treatment, and food and beverage. Houston Wire & Cable Company was founded in 1975 and is headquartered in Houston, Texas.

Details
Name: Houston Wire & Cable Company
HWCC
Exchange: NasdaqGS
Founded: 1975
$78,410,509
16,612,396
Website: http://www.houwire.com
Address: Houston Wire & Cable Company
10201 North Loop East,
Houston,
Texas, 77029,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS HWCC Common Stock Nasdaq Global Select US USD 15. Jun 2006
DB H6J Common Stock Deutsche Boerse AG DE EUR 15. Jun 2006
Number of employees
Current staff
Staff numbers
427
Houston Wire & Cable employees.
Industry
Trading Companies and Distributors
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/22 23:59
End of day share price update: 2019/07/22 00:00
Last estimates confirmation: 2018/03/16
Last earnings filing: 2019/05/10
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.