NYSE:HNGR

Stock Analysis Report

Executive Summary

Hanger, Inc. provides orthotic and prosthetic (O&P) services; and distributes O&P devices and components, manages O&P networks, and provides therapeutic solutions to patients and businesses in acute, post-acute, and clinic settings in the United States.

Snowflake

Fundamentals

Acceptable track record with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

4.3%

HNGR

5.8%

US Healthcare

1.8%

US Market


1 Year Return

3.7%

HNGR

-6.5%

US Healthcare

7.3%

US Market

Return vs Industry: HNGR exceeded the US Healthcare industry which returned -6.5% over the past year.

Return vs Market: HNGR underperformed the US Market which returned 7.3% over the past year.


Shareholder returns

HNGRIndustryMarket
7 Day4.3%5.8%1.8%
30 Day-8.7%2.5%-0.7%
90 Day19.4%-1.8%0.06%
1 Year3.7%3.7%-5.0%-6.5%9.7%7.3%
3 Year151.2%151.2%33.9%28.6%46.3%36.9%
5 Year-11.5%-11.5%65.6%55.8%64.5%46.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

13.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: HNGR ($19.97) is trading below our estimate of fair value ($23.1)

Significantly Undervalued: HNGR is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: HNGR is poor value based on its PE Ratio (62x) compared to the Healthcare industry average (20.4x).

PE vs Market: HNGR is poor value based on its PE Ratio (62x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

Low PEG Ratio: HNGR is poor value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: HNGR has negative assets, so we can't compare its PB Ratio to the US Healthcare industry average.


Next Steps

Future Growth

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

59.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HNGR's forecast earnings growth (59.9% per year) is above the savings rate (2.7%).

Earnings vs Market: HNGR's earnings (59.9% per year) are forecast to grow faster than the US market (14.6% per year).

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

Revenue vs Market: HNGR's revenue (3.3% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: HNGR's revenue (3.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Hanger performed over the past 5 years?

6.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: HNGR's earnings have grown by 6% per year over the past 5 years.

Accelerating Growth: HNGR has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: HNGR has become profitable in the last year, making it difficult to compare its past year earnings growth to the Healthcare industry (5.3%).


Return on Equity

High ROE: HNGR's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Hanger's financial position?


Financial Position Analysis

Short Term Liabilities: HNGR has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: HNGR has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: HNGR has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: HNGR's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: HNGR's debt is not well covered by operating cash flow (11.7%).

Interest Coverage: HNGR's interest payments on its debt are not well covered by EBIT (1.7x coverage).


Balance Sheet

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

Debt Coverage by Assets: HNGR has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.7%industryaverage1.6%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

High Dividend: Unable to evaluate HNGR'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 HNGR's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of HNGR'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 Hanger's salary, the management and board of directors tenure and is there insider trading?

4.3yrs

Average management tenure


CEO

Vinit Asar (53yo)

7.4yrs

Tenure

US$4,209,895

Compensation

Mr. Vinit K. Asar has been the Chief Executive Officer and President of Hanger Orthopedic Group Inc. (known as Hanger, Inc.) since May 21, 2012 and September 12, 2011 respectively. Mr. Asar served as the P ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Vinit's total compensation is reasonable compared to companies of similar size in the US market.

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


Management Age and Tenure

4.3yrs

Average Tenure

54yo

Average Age

Experienced Management: HNGR's management team is considered experienced (4.3 years average tenure).


Board Age and Tenure

4.6yrs

Average Tenure

65yo

Average Age

Experienced Board: HNGR's board of directors are considered experienced (4.6 years average tenure).


Insider Trading

Insider Buying: HNGR insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$42,889,91206 Sep 19
Welsh, Carson, Anderson & Stowe
EntityCompany
Shares2,399,385
Max PriceUS$18.03
SellUS$55,58012 Aug 19
Jay Wendt
EntityIndividual
Shares2,860
Max PriceUS$19.43
BuyUS$51,24313 May 19
Vinit Asar
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares2,700
Max PriceUS$18.98
SellUS$119,33714 Nov 18
Thomas Hartman
EntityIndividual
Role
Chief Legal Officer
Senior VP
Shares6,000
Max PriceUS$20.26

Ownership Breakdown


Management Team

  • Tom Kiraly (59yo)

    CFO & Executive VP

    • Tenure: 4.8yrs
    • Compensation: US$1.62m
  • Seth Frank

    Vice President of Treasury & Investor Relations

    • Tenure: 1.8yrs
  • Vinit Asar (53yo)

    CEO, President & Director

    • Tenure: 7.4yrs
    • Compensation: US$4.21m
  • Sam Liang (56yo)

    Executive Vice President

    • Tenure: 3.4yrs
    • Compensation: US$1.55m
  • Tom Hartman (56yo)

    Senior VP

    • Tenure: 10.3yrs
    • Compensation: US$942.67k
  • Paul Severt

    VP of Corporate Finance & Treasurer

    • Tenure: 4.4yrs
  • C. Ranson (54yo)

    Executive VP of Corporate Services & Chief Information Officer

    • Tenure: 4.3yrs
    • Compensation: US$779.15k
  • Gabrielle Adams (50yo)

    VP & Chief Accounting Officer

    • Tenure: 2.5yrs
  • Krisita Burket

    Director of Public Relations & Communications

    • Tenure: 0yrs
  • Mitchell Dobson (47yo)

    Senior VP & Chief Compliance Officer

    • Tenure: 1yrs

Board Members

  • Steve Hare (65yo)

    Independent Director

    • Tenure: 9.4yrs
    • Compensation: US$242.26k
  • Chris Begley (67yo)

    Non-Executive Chairman

    • Tenure: 1.8yrs
    • Compensation: US$343.73k
  • Tom Freyman (65yo)

    Independent Director

    • Tenure: 1.9yrs
    • Compensation: US$233.76k
  • Thomas Cooper (75yo)

    Director Emeritus

    • Tenure: 1.8yrs
  • Richard Pettingill (70yo)

    Independent Director

    • Tenure: 5.7yrs
    • Compensation: US$228.26k
  • Kathryn Sullivan (62yo)

    Independent Director

    • Tenure: 4.8yrs
    • Compensation: US$220.76k
  • Cindy Lucchese (59yo)

    Independent Director

    • Tenure: 4.4yrs
    • Compensation: US$223.76k
  • John Fox (67yo)

    Independent Director

    • Tenure: 1.9yrs
    • Compensation: US$224.76k
  • Vinit Asar (53yo)

    CEO, President & Director

    • Tenure: 7.4yrs
    • Compensation: US$4.21m
  • Asif Ahmad (52yo)

    Independent Director

    • Tenure: 5.2yrs
    • Compensation: US$225.76k

Company Information

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


Key Information

  • Name: Hanger, Inc.
  • Ticker: HNGR
  • Exchange: NYSE
  • Founded: 1861
  • Industry: Health Care Facilities
  • Sector: Healthcare
  • Market Cap: US$744.935m
  • Shares outstanding: 37.30m
  • Website: https://www.hanger.com

Number of Employees


Location

  • Hanger, Inc.
  • 10910 Domain Drive
  • Suite 300
  • Austin
  • Texas
  • 78758
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HNGRNYSE (New York Stock Exchange)YesCommon SharesUSUSDFeb 1986

Biography

Hanger, Inc. provides orthotic and prosthetic (O&P) services; and distributes O&P devices and components, manages O&P networks, and provides therapeutic solutions to patients and businesses in acute, post- ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/17 23:37
End of Day Share Price2019/10/17 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.