Heritage Stock Story

HCCI -  USA Stock  

USD 33.32  0.19  0.57%

While many traders are getting carried away by overanalyzing industrials space, it is reasonable to concentrate on Heritage-Crystal. We will evaluate why we are still confident in anticipation of a recovery. Is Heritage-Crystal current valuation justified for 2021? Here i will cover my perspective on valuation to give Heritage stockholders a better outlook on taking a position in the stock.
Published over a month ago
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Is Heritage Crystal growth trend slowing down?
This firm currently holds 78.67 M in liabilities with Debt to Equity (D/E) ratio of 0.26, which may suggest the firm is not taking enough advantage from borrowing. Heritage Crystal is UNDERVALUED at 32.32 per share with modest projections ahead.
We determine the current worth of Heritage-Crystal using both absolute as well as relative valuation methodologies to arrive at its intrinsic value. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Heritage-Crystal based exclusively on its fundamental and basic technical indicators. By analyzing Heritage Crystal's financials, quarterly and monthly indicators, and related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Heritage Crystal's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Heritage Crystal. We calculate exposure to Heritage Crystal's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Heritage Crystal's related companies.

Heritage-Crystal Investment Alerts

Heritage investment alerts and warnings help investors to get more proficient at understanding not only critical technical and fundamental signals but also the significant portfolio-centered indicators. These indicators include beta, alpha, and other risk-related measures that will help you in monitoring Heritage-Crystal performance across your portfolios.Please check all investment alerts for Heritage

Heritage Crystal Valuation Ratios as Compared to Competition

Our valuation model uses many indicators to compare Heritage value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Heritage Crystal competition to find correlations between indicators driving the intrinsic value of Heritage.

How Heritage utilizes its cash?

To perform a cash flow analysis of Heritage Crystal, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Heritage Crystal is receiving and how much cash it distributes out in a given period. The Heritage Crystal cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.
Heritage Crystal Net Cash Flow from Operations is most likely to increase significantly in the upcoming years. The last year's value of Net Cash Flow from Operations was reported at 44.77 Million

Sale by Carmine Falcone of 4000 shares of Heritage Crystal

Legal trades by Heritage Crystal insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Heritage insider trading alert for sale of common stock by Carmine Falcone, the corporate stakeholder, on 19th of August 2021. This event was filed by Heritagecrystal Clean Inc with SEC on 2021-08-19. Statement of changes in beneficial ownership - SEC Form 4 [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Is Heritage Crystal valued objectively by the market?

The company reported the previous year's revenue of 441.83 M. Net Income was 33.62 M with profit before overhead, payroll, taxes, and interest of 84.3 M.
 2012 2016 2021 (projected)
Consolidated Income1.41 M6.01 M9.45 M
Direct Expenses280.71 M267.5 M268.14 M

Margins Breakdown

Heritage profit margins show the degree to which it makes money. Margin indicators are used not only by investors but also by creditors or Heritage Crystal itself as indicators of financial health and management effectiveness. Please look more closely at the different varieties of Heritage Crystal profit margins.
Operating Margin3.98
EBITDA Margin0.0989
Gross Margin0.23
Profit Margin0.0242

Heritage Crystal Revenue Per Employee is increasing over the last 6 years. The previous year's value of Heritage Crystal Revenue Per Employee was 318,392. Also, Heritage Crystal Earnings Before Interest Taxes and Depreciation Amortization EBITDA is nearly stable at the moment.

Heritage Crystal has 84 percent chance to finish below $30 next week

Current Information Ratio is up to 0.07. Price may drop again. Heritage-Crystal has relatively low volatility with skewness of 0.04 and kurtosis of -0.42. However, we advise all investors to independently investigate Heritage-Crystal to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Heritage Crystal's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Heritage Crystal's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Our Final Take On Heritage Crystal

While some other firms in the waste management industry are either recovering or due for a correction, Heritage may not be as strong as the others in terms of longer-term growth potentials. While some stockholders may not share our view, we believe it may be a good time to increase your existing holdings in Heritage. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Heritage Crystal.

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 Gabriel Shpitalnik do not own shares of Heritage-Crystal. Please refer to our Terms of Use for any information regarding our disclosure principles.

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