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.
The last earnings update was 40 days ago.
Discounted Cash Flow Calculation for NYSE:HNGR using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
is arrived at by discounting future cash flows to their present value using the 2 stage method.
We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
NYSE:HNGR DCF 1st Stage: Next 10 year cash flow forecast
The current share price of
is above its future cash flow value.
Often investors are willing to pay a
for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
is considered below, and whether this is a fair price.
Price based on past earnings
Hanger's earnings available for a low price, and how does
this compare to other companies in the same industry?
Hanger's earnings are expected to grow significantly at over 20% yearly.
Hanger's revenue is expected to grow by 3.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Hanger's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
TENURE AS CEO
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 President of Hanger Orthopedic Group from September 12, 2011 to May 21, 2012. He also served as Chief Growth Officer of Hanger Orthopedic Group since December 2008. He served as an Executive Vice President of Hanger Orthopedic Group Inc. from December 2008 to September 12, 2011. He has nearly 20 years of extensive global experience developing new health product and service businesses and growing existing organizations, both organically and through acquisitions. Additionally, he has held positions in finance, global product management, sales and marketing and product development at J&J. He serves as a Director of Hanger, Inc. Mr. Asar holds a BS in Business Administration from Aquinas College in Grand Rapids, MI and an MBA from Lehigh University in Bethlehem, PA.
Vinit's compensation has increased whilst company is loss making.
Vinit's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the
management team in years:
The tenure for the Hanger management team is about average.
CEO, President & Director
CFO & Executive VP
Executive Vice President
VP & Chief Accounting Officer
VP of Corporate Finance & Treasurer
Executive VP of Corporate Services & Chief Information Officer
Vice President of Treasury & Investor Relations
Senior VP & Chief Compliance Officer
Director of Public Relations & Communications
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The tenure for the Hanger board of directors is about average.
The Hanger Share Price Has Soared 314%, Delighting Many Shareholders
Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. … Hanger actually saw its revenue drop by 0.6% per year over three years. … So it's pretty amazing to see the stock price has zoomed up 61% per year in that time.
What Kind Of Shareholders Own Hanger, Inc. (NYSE:HNGR)?
Generally speaking, as a company grows, institutions will increase their ownership. … Conversely, insiders often decrease their ownership over time. … We also tend to see lower insider ownership in companies that were previously publicly owned.
A Look At The Fair Value Of Hanger, Inc. (NYSE:HNGR)
by projecting its future cash flows and then discounting them to today's value. … discounted cash flows (DCF). … If you want to learn more about discounted cash flow, the basis for my calcs can be read in detail in the Simply Wall St analysis model
Should You Be Worried About Insider Transactions At Hanger Inc (NYSE:HNGR)?
So before you buy or sell Hanger Inc (NYSE:HNGR), you may well want to know whether insiders have been buying or selling. … We don't think shareholders should simply follow insider transactions. … Hanger Insider Transactions Over The Last Year.
and want a simplistic look at the return on Hanger Inc (NYSE:HNGR) stock. … You need to pay attention to this because your return on investment is linked to dividends and internal investments to improve the business, which can only occur if the company is expected to produce adequate earnings with the capital that has been provided. … Thus, to understand how your money can grow by investing in Hanger, you need to look at what the company returns to owners for the use of their capital, which can be done in many ways but today we will use return on capital employed (ROCE)
Could Hanger Inc's (NYSE:HNGR) Investor Composition Influence The Stock Price?
Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. … Hanger is not a large company by global standards. … institutions own shares in the company.
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. It operates through two segments, Patient Care and Products & Services. The Patient Care segment owns and operates Hanger clinic, which specializes in the design, fabrication, and delivery of custom O&P devices through patient care clinics and satellite locations; and provides payor network contracting services to other O&P providers. The Products & Services segment procures and distributes O&P parts, componentry, and devices to independent O&P providers; and develops specialized rehabilitation technologies and provides evidence-based clinical programs for post-acute rehabilitation to patients at approximately 3,900 skilled nursing and post-acute providers. This segment also manufactures and sells therapeutic footwear for diabetic patients in the podiatric market. As of March 14, 2019, the company owned and operated approximately 800 patient care clinics in the United States. The company was formerly known as Hanger Orthopedic Group, Inc. and changed its name to Hanger, Inc. in June 2012. Hanger, Inc. was founded in 1861 and is headquartered in Austin, Texas.
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