OTCPK:HHER

Stock Analysis Report

Executive Summary

Her Imports operates as a retailer of human hair extensions and related haircare and beauty products in the United States.

Rewards

Trading at 58.8% below its fair value

Risk Analysis

Revenue has declined by -24.4% over the past year

Shareholders have been substantially diluted in the past year

Does not have a meaningful market cap ($1M)

Currently unprofitable and not forecast to become profitable over the next 3 years

+ 1 more risk


Snowflake Analysis

Adequate balance sheet and fair value.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: HHER has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

HHER

0.2%

US Specialty Retail

1.7%

US Market


1 Year Return

-83.7%

HHER

20.7%

US Specialty Retail

23.2%

US Market

Return vs Industry: HHER underperformed the US Specialty Retail industry which returned 23.7% over the past year.

Return vs Market: HHER underperformed the US Market which returned 24.7% over the past year.


Shareholder returns

HHERIndustryMarket
7 Day0%0.2%1.7%
30 Dayn/a0.6%4.2%
90 Dayn/a7.1%11.9%
1 Year-83.7%-83.7%22.7%20.7%25.8%23.2%
3 Year-97.7%-97.7%45.9%38.5%52.8%42.9%
5 Year-97.9%-97.9%48.5%36.0%75.2%55.8%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HHER ($0.16) is trading below our estimate of fair value ($0.4)

Significantly Below Fair Value: HHER is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: HHER is unprofitable, so we can't compare its PE Ratio to the Specialty Retail industry average.

PE vs Market: HHER is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate HHER's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: HHER is good value based on its PB Ratio (0.2x) compared to the US Specialty Retail industry average (1.5x).


Next Steps

Future Growth

How is Her Imports forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

12.5%

Forecasted Retail industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Her Imports has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

  • Examine whether Her Imports is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website. If you are looking for more of a qualitative research into the company, you can access Her Imports's filings and announcements here.
  • Explore growth companies in the Retail industry.

Past Performance

How has Her Imports performed over the past 5 years?

-4103.1%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: HHER is currently unprofitable.

Growing Profit Margin: HHER is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if HHER's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Unable to compare HHER's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: HHER is unprofitable, making it difficult to compare its past year earnings growth to the Specialty Retail industry (4.5%).


Return on Equity

High ROE: HHER has a negative Return on Equity (-125.68%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Her Imports's financial position?


Financial Position Analysis

Short Term Liabilities: HHER's short term assets ($2.2M) exceed its short term liabilities ($1.0M).

Long Term Liabilities: HHER has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: HHER's debt to equity ratio (6.8%) is considered satisfactory.

Reducing Debt: HHER had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


Balance Sheet

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

Debt Coverage by Assets: HHER's debt is covered by short term assets (assets are 5.6x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Insufficient data to determine if HHER has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if HHER has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.6%industryaverage1.8%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if HHER'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 HHER'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 Her Imports's salary, the management and board of directors tenure and is there insider trading?

US$180k

CEO Compensation


CEO

Barry Hall (71yo)

4.7yrs

Tenure

US$180,000

Compensation

Mr. Barry W. Hall has been Chief Financial Officer of JA Energy, Inc. since April 10, 2014 and serves as its Chief Executive Officer, Chairman and President. Mr. Hall has been Chief Executive Officer of EZ ...


CEO Compensation Analysis

Compensation vs Market: Barry's total compensation ($USD180.00K) is below average for companies of similar size in the US market ($USD519.76K).

Compensation vs Earnings: Barry's compensation has increased whilst the company is unprofitable.


Insider Trading

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 been substantially diluted in the past year, with total shares outstanding growing by 57.4%.


Management Team

  • Barry Hall (71yo)

    Executive Chairman

    • Tenure: 4.7yrs
    • Compensation: US$180.00k
  • Matthew Wise (51yo)

    Controller

    • Tenure: 2.4yrs

Board Members

  • Barry Hall (71yo)

    Executive Chairman

    • Tenure: 4.7yrs
    • Compensation: US$180.00k

Company Information

Her Imports's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Her Imports
  • Ticker: HHER
  • Exchange: OTCPK
  • Founded: 2011
  • Industry: Specialty Stores
  • Sector: Retail
  • Market Cap: US$1.397m
  • Shares outstanding: 8.58m
  • Website: https://www.herimports.com

Number of Employees


Location

  • Her Imports
  • 8861 West Sahara Avenue
  • Suite 210
  • Las Vegas
  • Nevada
  • 89117
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HHEROTCPK (Pink Sheets LLC)YesNew Common StockUSUSDMar 2012

Biography

Her Imports operates as a retailer of human hair extensions and related haircare and beauty products in the United States. It sells human hair products, including clip-ins and wigs under the Her Imports brand; haircare products, such as various shampoos and conditioners, and adhesives under the OSIworks brand; and beauty products and related accessories comprising silk bonnets, as well as styling tools under the Her Imports brand and makeup products under the Skin & Yang brand. The company also sells its products to consultation studios, as well as through its Website, herimports.com. As of December 31, 2018, it operated 16 retail locations. The company was formerly known as EZJR, Inc. and changed its name to Her Imports in January 2017. Her Imports was founded in 2011 and is headquartered in Las Vegas, Nevada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/01/17 02:13
End of Day Share Price2019/12/31 00:00
Earnings2018/12/31
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.