What is September outlook for Haemonetics (NYSE:HAE)?

HAE
 Stock
  

USD 73.31  0.43  0.58%   

Haemonetics Corp is scheduled to announce its earnings today. While some millenniums are indifferent towards healthcare space, it makes sense to digest Haemonetics Corp as a unique investment alternative. Let's try to discuss if Haemonetics Corp shares are reasonably priced going into September. Here we also measure the ability of Haemonetics Corp to meet its long-term debt obligations, such as interest payments on debt, the final principal payment on the debt, and any other fixed obligations like lease payments.
Published over a month ago
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The company has 838.3 M in debt with debt to equity (D/E) ratio of 1.12, which is OK given its current industry classification. Haemonetics Corp has a current ratio of 1.68, which is typical for the industry and considered as normal. Debt can assist Haemonetics Corp until it has trouble settling it off, either with new capital or with free cash flow. So, Haemonetics Corp's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Haemonetics Corp sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Haemonetics to invest in growth at high rates of return. When we think about Haemonetics Corp's use of debt, we should always consider it together with cash and equity.
Haemonetics Corp financial leverage ratio helps determine the effect of debt on the overall profitability of the company. It measures the total debt position of Haemonetics Corp, including all of Haemonetics Corp's outstanding debt obligations, and compares it with the equity. In simple terms, the high financial leverage means the cost of production, together with running the business day-to-day, is high, whereas, lower financial leverage implies lower fixed cost investment in the business and generally considered by investors to be a good sign. So if creditors own a majority of Haemonetics Corp assets, the company is considered highly leveraged. Understanding the composition and structure of overall Haemonetics Corp debt and outstanding corporate bonds gives a good idea of how risky the capital structure of a business is and if it is worth investing in it.
Please read more on our technical analysis page.

How important is Haemonetics Corp's Liquidity

Haemonetics Corp financial leverage refers to using borrowed capital as a funding source to finance Haemonetics Corp ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Haemonetics Corp financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Haemonetics Corp's total debt and its cash.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.
It is good to see analyst projects for Haemonetics Corp, but it might be worth checking our own buy vs. sell analysis

Breaking down Haemonetics Corp Indicators

The latest price surge of Haemonetics Corp may raise some interest from shareholders. The stock closed today at a share price of 67.59 on 558,800 in trading volume. The company executives may have good odds in positioning the firm resources to exploit market volatility in September. The stock standard deviation of daily returns for 90 days investing horizon is currently 2.03. The current volatility is consistent with the ongoing market swings in July 2022 as well as with Haemonetics Corp unsystematic, company-specific events.

Liabilities Breakdown

435.2 M
Current Liabilities
404.3 M
Long-Term Liabilities
Total Liabilities839.59 Million
Current Liabilities435.25 Million
Long-Term Liabilities404.34 Million
Tax Liabilities27.65 Million

Analysis of Haemonetics Corp

The mean deviation is down to 1.87 as of today.
As of the 10th of August, Haemonetics Corp retains the Downside Deviation of 1.91, market risk adjusted performance of 0.4301, and Risk Adjusted Performance of 0.2305. Haemonetics Corp technical analysis makes it possible for you to employ historical prices and volume momentum with the intention to determine a pattern that calculates the direction of the firm's future prices. Simply put, you can use this information to find out if the firm will indeed mirror its model of historical price patterns, or the prices will eventually revert. We were able to analyze nineteen technical drivers for Haemonetics Corp, which can be compared to its competitors. Please check out Haemonetics Corp information ratio, value at risk, and the relationship between the standard deviation and treynor ratio to decide if Haemonetics Corp is priced fairly, providing market reflects its last-minute price of 67.59 per share. Given that Haemonetics Corp has jensen alpha of 0.4597, we strongly advise you to confirm Haemonetics Corp's regular market performance to make sure the company can sustain itself at a future point.

Our Final Perspective on Haemonetics Corp

Although some firms under the medical instruments & supplies industry are still a bit expensive, Haemonetics Corp may offer a potential longer-term growth to shareholders. On the whole, as of the 10th of August 2022, we believe that at this point, Haemonetics Corp is very steady with below average odds of financial turmoil within the next 2 years. From a slightly different point of view, the entity appears to be undervalued. Our concluding 90 days advice on the firm is Strong Buy.

Editorial Staff

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of Haemonetics Corp. Please refer to our Terms of Use for any information regarding our disclosure principles.

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