NasdaqGS:HHR

Stock Analysis Report

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Market Cap

US$2.3b

Last Updated

2021/07/25 23:32 UTC

Data Sources

Company Financials +

Executive Summary

HeadHunter Group PLC, together with its subsidiaries, operates an online recruitment platform in Russia, Kazakhstan, Belarus, and internationally. More Details


Snowflake Analysis

Exceptional growth potential with proven track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: HHR is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: HHR's weekly volatility (7%) has been stable over the past year.


Market Performance


7 Day Return

2.2%

HHR

1.4%

US Professional Services

2.0%

US Market


1 Year Return

126.1%

HHR

33.1%

US Professional Services

39.1%

US Market

Return vs Industry: HHR exceeded the US Professional Services industry which returned 33.1% over the past year.

Return vs Market: HHR exceeded the US Market which returned 39.1% over the past year.


Shareholder returns

HHRIndustryMarket
7 Day2.2%1.4%2.0%
30 Day16.4%1.4%1.6%
90 Day15.7%1.8%3.5%
1 Year129.0%126.1%33.9%33.1%41.3%39.1%
3 Yearn/a67.5%63.1%64.0%53.8%
5 Yearn/a141.7%125.1%123.9%99.0%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

17.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HHR ($45.02) is trading below our estimate of fair value ($54.84)

Significantly Below Fair Value: HHR is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: HHR is poor value based on its PE Ratio (73x) compared to the US Professional Services industry average (26.2x).

PE vs Market: HHR is poor value based on its PE Ratio (73x) compared to the US market (18.4x).


Price to Earnings Growth Ratio

PEG Ratio: HHR is poor value based on its PEG Ratio (2.4x)


Price to Book Ratio

PB vs Industry: HHR is overvalued based on its PB Ratio (38.2x) compared to the US Professional Services industry average (3.1x).


Future Growth

How is HeadHunter Group forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

31.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HHR's forecast earnings growth (31% per year) is above the savings rate (2%).

Earnings vs Market: HHR's earnings (31% per year) are forecast to grow faster than the US market (15.1% per year).

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

Revenue vs Market: HHR's revenue (21.8% per year) is forecast to grow faster than the US market (9.3% per year).

High Growth Revenue: HHR's revenue (21.8% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HHR's Return on Equity is forecast to be very high in 3 years time (96.9%).


Past Performance

How has HeadHunter Group performed over the past 5 years?

49.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HHR has high quality earnings.

Growing Profit Margin: HHR's current net profit margins (25%) are higher than last year (19.8%).


Past Earnings Growth Analysis

Earnings Trend: HHR's earnings have grown significantly by 49.3% per year over the past 5 years.

Accelerating Growth: HHR's earnings growth over the past year (42.6%) is below its 5-year average (49.3% per year).

Earnings vs Industry: HHR earnings growth over the past year (42.6%) exceeded the Professional Services industry 17.4%.


Return on Equity

High ROE: Whilst HHR's Return on Equity (53.06%) is outstanding, this metric is skewed due to their high level of debt.


Financial Health

How is HeadHunter Group's financial position?


Financial Position Analysis

Short Term Liabilities: HHR's short term assets (RUB5.3B) do not cover its short term liabilities (RUB7.2B).

Long Term Liabilities: HHR's short term assets (RUB5.3B) do not cover its long term liabilities (RUB8.9B).


Debt to Equity History and Analysis

Debt Level: HHR's debt to equity ratio (180.8%) is considered high.

Reducing Debt: HHR's debt to equity ratio has increased from 125.5% to 180.8% over the past 5 years.

Debt Coverage: HHR's debt is well covered by operating cash flow (51.1%).

Interest Coverage: HHR's interest payments on its debt are well covered by EBIT (8.7x coverage).


Balance Sheet


Dividend

What is HeadHunter Group current dividend yield, its reliability and sustainability?

1.19%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: HHR's dividend (1.19%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.32%).

High Dividend: HHR's dividend (1.19%) is low compared to the top 25% of dividend payers in the US market (3.56%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether HHR's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if HHR's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (89.5%), HHR's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: HHR's dividends in 3 years are forecast to be covered by earnings (65.3% payout ratio).


Next Steps

Management

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

6.5yrs

Average management tenure


CEO

Mikhail Zhukov (53 yo)

13.42yrs

Tenure

Mr. Mikhail Zhukov serves as Chief Executive Officer of HeadHunter Group PLC and has been its Executive Director since May 2019. He is with HeadHunter since February 2008 and was previously Chief Executiv...


Leadership Team

Experienced Management: HHR's management team is seasoned and experienced (6.5 years average tenure).


Board Members

Experienced Board: HHR's board of directors are not considered experienced ( 2.2 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.


Ownership Breakdown

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


Top Shareholders

Company Information

HeadHunter Group PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: HeadHunter Group PLC
  • Ticker: HHR
  • Exchange: NasdaqGS
  • Founded: 2000
  • Industry: Human Resource and Employment Services
  • Sector: Commercial Services
  • Market Cap: US$2.280b
  • Shares outstanding: 50.64m
  • Website: https://hh.ru

Number of Employees


Location

  • HeadHunter Group PLC
  • 9/10 Godovikova Street
  • Moscow
  • 129085
  • Russia

Listings


Biography

HeadHunter Group PLC, together with its subsidiaries, operates an online recruitment platform in Russia, Kazakhstan, Belarus, and internationally. The company offers employers and recruiters paid access to...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/07/25 23:32
End of Day Share Price2021/07/23 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.