Helios Technologies (HLIO) Valuation Spotlighted Following Key CFO and Executive VP Appointment

Helios Technologies (HLIO) has just announced that Jeremy Evans will step in as both Chief Financial Officer and Executive Vice President, following the departure of Michael Connaway. Leadership changes in these roles often have investors watching for shifts in strategy or financial direction.

See our latest analysis for Helios Technologies.

After a year that saw several executive-level changes, Helios Technologies’ share price has gained solid ground, returning 21.7% so far in 2025. While some volatility remains as a result of these transitions, one-year total shareholder return stands at 4.2%, suggesting momentum is holding up as investors weigh both new opportunities and challenges ahead.

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With shares still trading roughly 21% below analyst targets and solid gains year-to-date, is Helios Technologies presenting a true value opportunity, or is the market already pricing in its next stage of growth?

Most Popular Narrative: 17.2% Undervalued

Helios Technologies’ most widely followed valuation narrative places fair value at $65.20, a notable premium to the recent closing price of $53.99. This highlights room for upside if market expectations hold. This difference reflects bullishness on future execution and recent strategic changes, setting the tone for an in-depth look at the underlying drivers.

The shift in the industry towards electrification of mobile and industrial equipment is driving OEM demand for sophisticated electro-hydraulic and electronic control solutions. Helios is actively innovating in these areas (e.g., Enovation Controls, Cygnus Reach), supporting both top-line growth and margin expansion over the medium to long term.

Read the complete narrative.

Curious which future profit levers and growth assumptions justify this optimism? Dig into the narrative and uncover the specific numbers, strategic pivots, and analyst forecasts that drive the bold price target. The next big idea and its risks are waiting for your review.

Result: Fair Value of $65.20 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent end-market volatility and slow adoption of advanced technologies could still threaten Helios Technologies' long-term growth and profitability.

Find out about the key risks to this Helios Technologies narrative.

Another View: Market Multiples Raise Flags

While optimistic growth forecasts and strategic shifts set a bullish tone, market multiples tell a different story. Helios Technologies trades at a price-to-earnings ratio of 53.1x, making it more expensive than both its peer group average (35.5x) and the US Machinery industry (24.9x). The fair ratio suggests 32.4x as a level the market could revert to. This sizable premium hints at increased valuation risk if earnings do not accelerate. Are expectations running too far ahead of reality?

See what the numbers say about this price — find out in our valuation breakdown.

Build Your Own Helios Technologies Narrative

If your perspective differs or you want a fresh take on Helios Technologies, creating your own data-driven narrative is quick and straightforward. Do it your way

A great starting point for your Helios Technologies research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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