NYSE:HI

Stock Analysis Report

Executive Summary

Hillenbrand, Inc. operates as a diversified industrial company in the United States and internationally.

Snowflake

Fundamentals

Excellent balance sheet with proven track record and pays a dividend.


Similar Companies

Share Price & News

How has Hillenbrand's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.4%

HI

2.5%

US Machinery

0.5%

US Market


1 Year Return

-40.2%

HI

8.6%

US Machinery

6.8%

US Market

Return vs Industry: HI underperformed the US Machinery industry which returned 8.6% over the past year.

Return vs Market: HI underperformed the US Market which returned 6.8% over the past year.


Shareholder returns

HIIndustryMarket
7 Day0.4%2.5%0.5%
30 Day-2.8%1.6%-0.8%
90 Day-13.6%-0.6%-0.9%
1 Year-38.9%-40.2%10.9%8.6%9.2%6.8%
3 Year3.3%-3.0%49.9%40.2%45.6%36.2%
5 Year3.5%-7.9%57.8%38.6%63.2%45.4%

Price Volatility Vs. Market

How volatile is Hillenbrand's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

13.31x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HI ($29.89) is trading above our estimate of fair value ($17.42)

Significantly Below Fair Value: HI is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HI is good value based on its PE Ratio (13.3x) compared to the Machinery industry average (20.1x).

PE vs Market: HI is good value based on its PE Ratio (13.3x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate HI's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: HI is overvalued based on its PB Ratio (2.4x) compared to the US Machinery industry average (2.2x).


Next Steps

Future Growth

How is Hillenbrand forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

2.3%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if HI's forecast earnings growth is above the savings rate (2.7%).

Earnings vs Market: Insufficient data to determine if HI's earnings are forecast to grow faster than the US market

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

Revenue vs Market: HI's revenue (2.3% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: HI's revenue (2.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if HI's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Hillenbrand performed over the past 5 years?

-0.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: HI's earnings have declined by -0.7% per year over the past 5 years.

Accelerating Growth: HI's earnings growth over the past year (100.9%) exceeds its 5-year average (-0.7% per year).

Earnings vs Industry: HI earnings growth over the past year (100.9%) exceeded the Machinery industry 17.5%.


Return on Equity

High ROE: HI's Return on Equity (18.5%) is considered low.


Return on Assets

ROA vs Industry: HI has a higher Return on Assets than the Machinery industry average last year.


Return on Capital Employed

ROCE Improving: HI has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Hillenbrand's financial position?


Financial Position Analysis

Short Term Liabilities: HI's short term assets ($658.2M) exceeds its short term liabilities ($526.3M)

Long Term Liabilities: HI's short term assets (658.2M) exceeds its long term liabilities (568.5M)


Debt to Equity History and Analysis

Debt Level: HI's debt to equity ratio (40.8%) is considered high

Reducing Debt: HI's debt to equity ratio has reduced from 93.1% to 40.8% over the past 5 years.

Debt Coverage: HI's debt is well covered by operating cash flow (62.1%).

Interest Coverage: HI's interest payments on its debt are well covered by EBIT (10.7x coverage).


Balance Sheet

Inventory Level: HI has a low level of unsold assets or inventory.

Debt Coverage by Assets: HI's debt is covered by short term assets (assets are 2.028970x debt).


Next Steps

Dividend

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

2.81%

Current Dividend Yield


Dividend Yield vs Market

company2.8%marketbottom25%1.4%markettop25%3.7%industryaverage2.1%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: HI's dividend (2.81%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: HI's dividend (2.81%) is low compared to the top 25% of dividend payers in the US market (3.73%).

Stable Dividend: HI's dividends per share have been stable in the past 10 years.

Growing Dividend: HI's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (37.3%), HI's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of Hillenbrand's salary, the management and board of directors tenure and is there insider trading?

4.0yrs

Average management tenure


CEO

Joe Raver (53yo)

6.1yrs

Tenure

US$5,330,496

Compensation

Mr. Joe A. Raver has been the Chief Executive Officer and President of Hillenbrand, Inc., since September 6, 2013. Mr. Raver has broad management experience. In addition, his career includes extensive lead ...


CEO Compensation Analysis

Compensation vs. Market: Joe's total compensation ($USD5.33M) is about average for companies of similar size in the US market ($USD4.00M).

Compensation vs Earnings: Joe's compensation has increased by more than 20% in the past year.


Management Age and Tenure

4.0yrs

Average Tenure

52yo

Average Age

Experienced Management: HI's management team is considered experienced (4 years average tenure).


Board Age and Tenure

7.4yrs

Average Tenure

61yo

Average Age

Experienced Board: HI's board of directors are considered experienced (7.4 years average tenure).


Insider Trading

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


Ownership Breakdown


Management Team

  • Kim Ryan (52yo)

    Senior Vice President

    • Tenure: 8.5yrs
    • Compensation: US$3.44m
  • Joe Raver (53yo)

    President

    • Tenure: 6.1yrs
    • Compensation: US$5.33m
  • Kristina Cerniglia (53yo)

    Senior VP & CFO

    • Tenure: 5.2yrs
    • Compensation: US$1.98m
  • Nick Farrell (40yo)

    VP, General Counsel

    • Tenure: 4yrs
  • Chris Trainor (49yo)

    Senior Vice President

    • Tenure: 3.8yrs
    • Compensation: US$1.34m
  • Tory Flynn

    Director of Corporate Communications

    • Tenure: 4.3yrs
  • Bhavik Soni

    Chief Information Officer & VP

    • Tenure: 2.4yrs
  • J. Whitted

    Senior Vice President of Strategy & Corporate Development

    • Tenure: 1.3yrs
    • Compensation: US$2.28m
  • Rich Dudley

    Director of Investor Relations

    • Tenure: 0yrs
  • Timothy Ryan

    VP, Chief Accounting Officer & Controller

    • Tenure: 1.1yrs

Board Members

  • Joe Loughrey (70yo)

    Independent Chairman

    • Tenure: 6.7yrs
    • Compensation: US$277.80k
  • Neil Novich (64yo)

    Independent Director

    • Tenure: 9.7yrs
    • Compensation: US$191.72k
  • Ed Cloues (71yo)

    Independent Director

    • Tenure: 9.5yrs
    • Compensation: US$179.99k
  • Helen Cornell (60yo)

    Independent Director

    • Tenure: 8.2yrs
    • Compensation: US$181.49k
  • Stuart Taylor (58yo)

    Independent Director

    • Tenure: 11.1yrs
    • Compensation: US$192.83k
  • Gary Collar (62yo)

    Independent Director

    • Tenure: 4.4yrs
    • Compensation: US$180.33k
  • Joy Greenway (58yo)

    Independent Director

    • Tenure: 6.7yrs
    • Compensation: US$180.33k
  • Joe Raver (53yo)

    President

    • Tenure: 6.1yrs
    • Compensation: US$5.33m
  • Thomas Johnson (68yo)

    Independent Director

    • Tenure: 11.6yrs
    • Compensation: US$180.33k
  • Dan Hillenbrand (52yo)

    Independent Director

    • Tenure: 1.4yrs
    • Compensation: US$71.50k

Company Information

Hillenbrand, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hillenbrand, Inc.
  • Ticker: HI
  • Exchange: NYSE
  • Founded: 2007
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: US$1.873b
  • Shares outstanding: 62.67m
  • Website: https://www.hillenbrand.com

Number of Employees


Location

  • Hillenbrand, Inc.
  • One Batesville Boulevard
  • Batesville
  • Indiana
  • 47006
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HINYSE (New York Stock Exchange)YesCommon StockUSUSDMar 2008
9HIDB (Deutsche Boerse AG)YesCommon StockDEEURMar 2008

Biography

Hillenbrand, Inc. operates as a diversified industrial company in the United States and internationally. The company operates in two segments, Process Equipment Group and Batesville. The Process Equipment  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 00:11
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/09/30


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.