NasdaqCM:HSKA

Stock Analysis Report

Executive Summary

Heska Corporation manufactures, sells, and markets veterinary diagnostic and specialty products for canine and feline healthcare markets in the United States, Canada, Europe, and internationally.

Snowflake

Fundamentals

Excellent balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

4.1%

HSKA

1.9%

US Medical Equipment

0.4%

US Market


1 Year Return

-24.3%

HSKA

15.6%

US Medical Equipment

6.9%

US Market

Return vs Industry: HSKA underperformed the US Medical Equipment industry which returned 15.6% over the past year.

Return vs Market: HSKA underperformed the US Market which returned 6.9% over the past year.


Shareholder returns

HSKAIndustryMarket
7 Day4.1%1.9%0.4%
30 Day8.4%-1.6%-1.2%
90 Day-5.3%0.01%-0.4%
1 Year-24.3%-24.3%16.5%15.6%9.3%6.9%
3 Year42.6%42.6%72.1%66.9%45.8%36.4%
5 Year492.7%492.7%125.8%100.8%62.9%45.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

236.29x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: HSKA ($75.93) is trading above our estimate of fair value ($57.61)

Significantly Undervalued: HSKA is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HSKA is poor value based on its PE Ratio (236.3x) compared to the Medical Equipment industry average (42.2x).

PE vs Market: HSKA is poor value based on its PE Ratio (236.3x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

Low PEG Ratio: HSKA is poor value based on its PEG Ratio (4x)


Price to Book Ratio

PB vs Industry: HSKA is overvalued based on its PB Ratio (4.8x) compared to the US Medical Equipment industry average (3.8x).


Next Steps

Future Growth

How is Heska forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

59.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HSKA's forecast earnings growth (59.8% per year) is above the savings rate (2.7%).

Earnings vs Market: HSKA's earnings (59.8% per year) are forecast to grow faster than the US market (14.5% per year).

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

Revenue vs Market: HSKA's revenue (11.5% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: HSKA's revenue (11.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: HSKA's Return on Equity is forecast to be low in 3 years time (6.5%).


Next Steps

Past Performance

How has Heska performed over the past 5 years?

10.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: HSKA's earnings have grown by 10% per year over the past 5 years.

Accelerating Growth: HSKA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: HSKA had negative earnings growth (-60.9%) over the past year, making it difficult to compare to the Medical Equipment industry average (28.2%).


Return on Equity

High ROE: HSKA's Return on Equity (1.8%) is considered low.


Return on Assets

ROA vs Industry: HSKA's Return on Assets is below or equal to the Medical Equipment industry average last year.


Return on Capital Employed

ROCE Improving: HSKA's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Heska's financial position?


Financial Position Analysis

Short Term Liabilities: HSKA's short term assets ($60.5M) exceeds its short term liabilities ($15.4M)

Long Term Liabilities: HSKA's short term assets (60.5M) exceeds its long term liabilities (24.2M)


Debt to Equity History and Analysis

Debt Level: HSKA's debt to equity ratio (10.3%) is considered satisfactory

Reducing Debt: HSKA's debt to equity ratio has increased from 4.6% to 10.3% over the past 5 years.

Debt Coverage: HSKA's debt is well covered by operating cash flow (26.9%).

Interest Coverage: HSKA's interest payments on its debt are well covered by EBIT (245.1x coverage).


Balance Sheet

Inventory Level: HSKA has a high level of physical assets or inventory.

Debt Coverage by Assets: HSKA's debt is covered by short term assets (assets are 4.744230x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

company0%marketbottom25%1.4%markettop25%3.7%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate HSKA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate HSKA's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if HSKA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if HSKA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: HSKA is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of HSKA's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

2.3yrs

Average management tenure


CEO

Kevin Wilson (47yo)

5.6yrs

Tenure

US$4,754,252

Compensation

Mr. Kevin S. Wilson has been President of Heska Corporation since February 24, 2013. Mr. Wilson has been Chief Executive Officer of Heska Corporation since March 31, 2014. He served as Chief Operating Offi ...


CEO Compensation Analysis

Compensation vs. Market: Kevin's total compensation ($USD4.75M) is about average for companies of similar size in the US market ($USD1.79M).

Compensation vs Earnings: Kevin's compensation has been consistent with company performance over the past year.


Management Age and Tenure

2.3yrs

Average Tenure

49yo

Average Age

Experienced Management: HSKA's management team is considered experienced (2.3 years average tenure).


Board Age and Tenure

5.1yrs

Average Tenure

60yo

Average Age

Experienced Board: HSKA's board of directors are considered experienced (5.1 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.


Recent Insider Transactions

BuyUS$73,79004 Jun 19
Scott Humphrey
EntityIndividual
Role
Chairman of the Board
Independent Chairman of the Board
Shares1,000
Max PriceUS$73.79
SellUS$169,62604 Dec 18
Kevin Wilson
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares1,631
Max PriceUS$105.00
SellUS$312,49504 Dec 18
Jason Napolitano
EntityIndividual
Role
Senior Key Executive
Chief Strategy Officer
Shares3,000
Max PriceUS$104.41
SellUS$408,00003 Dec 18
G. Gordon
EntityIndividual
Shares4,000
Max PriceUS$102.00
SellUS$18,82430 Nov 18
Kevin Wilson
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares181
Max PriceUS$104.00
SellUS$656,88326 Nov 18
G. Gordon
EntityIndividual
Shares6,700
Max PriceUS$98.69
SellUS$331,99213 Nov 18
Kevin Wilson
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares3,190
Max PriceUS$104.07

Ownership Breakdown


Management Team

  • Jason Napolitano (51yo)

    Chief Strategy Officer

    • Tenure: 0.2yrs
    • Compensation: US$2.51m
  • Nancy Wisnewski (56yo)

    Executive VP & COO

    • Tenure: 0.2yrs
    • Compensation: US$2.46m
  • Kevin Wilson (47yo)

    CEO, President & Director

    • Tenure: 5.6yrs
    • Compensation: US$4.75m
  • Rod Lippincott (45yo)

    Executive Vice President of Companion Animal Health Sales

    • Tenure: 6.7yrs
    • Compensation: US$448.50k
  • Steve Asakowicz (53yo)

    Executive Vice President of Companion Animal Health Sales

    • Tenure: 6.7yrs
    • Compensation: US$448.24k
  • Steven Eyl (53yo)

    Executive Vice President of Global Sales & Marketing

    • Tenure: 3.1yrs
    • Compensation: US$309.49k
  • Catherine Grassman (43yo)

    Executive VP & CFO

    • Tenure: 0.4yrs
    • Compensation: US$1.16m
  • Jason Aroesty (44yo)

    Executive Vice President of International Diagnostics

    • Tenure: 1.5yrs
    • Compensation: US$3.56m
  • Jon Aagaard

    Director of Investor Relations

    • Tenure: 0yrs
  • Christopher Sveen

    VP & General Counsel

    • Tenure: 0yrs

Board Members

  • Mike Furlong (62yo)

    Independent Director

    • Tenure: 0.6yrs
  • Scott Humphrey (48yo)

    Independent Chairman of the Board

    • Tenure: 1yrs
    • Compensation: US$120.49k
  • Sharon Riley (58yo)

    Director

    • Tenure: 8.3yrs
    • Compensation: US$137.49k
  • Kevin Wilson (47yo)

    CEO, President & Director

    • Tenure: 5.6yrs
    • Compensation: US$4.75m
  • David Sveen (62yo)

    Independent Director

    • Tenure: 5.9yrs
    • Compensation: US$108.99k
  • Bonnie Trowbridge (72yo)

    Independent Director

    • Tenure: 4.8yrs
    • Compensation: US$122.99k

Company Information

Heska Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Heska Corporation
  • Ticker: HSKA
  • Exchange: NasdaqCM
  • Founded: 1988
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: US$591.994m
  • Shares outstanding: 7.80m
  • Website: https://www.heska.com

Number of Employees


Location

  • Heska Corporation
  • 3760 Rocky Mountain Avenue
  • Loveland
  • Colorado
  • 80538
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HSKANasdaqCM (Nasdaq Capital Market)YesPublic Common StockUSUSDJul 1997
HSKNDB (Deutsche Boerse AG)YesPublic Common StockDEEURJul 1997

Biography

Heska Corporation manufactures, sells, and markets veterinary diagnostic and specialty products for canine and feline healthcare markets in the United States, Canada, Europe, and internationally. The compa ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 23:35
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.