Brief Commentary On Hillenbrand, Inc.'s (NYSE:HI) Fundamentals

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Attractive stocks have exceptional fundamentals. In the case of Hillenbrand, Inc. (NYSE:HI), there's is a financially-robust , dividend-paying company with an impressive track record of performance. Below is a brief commentary on these key aspects. If you're interested in understanding beyond my broad commentary, take a look at the report on Hillenbrand here.

Excellent balance sheet with proven track record and pays a dividend

In the past couple of years, HI has ramped up its bottom line by over 100%, with its latest earnings level surpassing its average level over the last five years. Not only did HI outperformed its past performance, its growth also surpassed the Machinery industry expansion, which generated a 28% earnings growth. This is an notable feat for the company. HI is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This suggests prudent control over cash and cost by management, which is a crucial insight into the health of the company. HI's has produced operating cash levels of 0.64x total debt over the past year, which implies that HI's management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings.

NYSE:HI Income Statement, July 1st 2019
NYSE:HI Income Statement, July 1st 2019

HI is also a dividend company, with ample net income to cover its dividend payout, which has been consistently growing over the past decade, keeping income investors happy.

NYSE:HI Historical Dividend Yield, July 1st 2019
NYSE:HI Historical Dividend Yield, July 1st 2019

Next Steps:

For Hillenbrand, I've put together three important aspects you should look at:

  1. Future Outlook: What are well-informed industry analysts predicting for HI’s future growth? Take a look at our free research report of analyst consensus for HI’s outlook.

  2. Valuation: What is HI worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether HI is currently mispriced by the market.

  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of HI? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.

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