Is Hydrofarm Holdings Stock a Good Investment?
Hydrofarm Holdings Investment Advice | HYFM |
- Examine Hydrofarm Holdings' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Hydrofarm Holdings' leadership team and their track record. Good management can help Hydrofarm Holdings navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Industrial Machinery & Supplies & Components space and any emerging trends that could impact Hydrofarm Holdings' business and its evolving consumer preferences.
- Compare Hydrofarm Holdings' performance and market position to its competitors. Analyze how Hydrofarm Holdings is positioned in terms of product offerings, innovation, and market share.
- Check if Hydrofarm Holdings pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Hydrofarm Holdings' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Hydrofarm Holdings Group stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Hydrofarm Holdings Group is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Dangerous | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very High | Details | |
Economic Sensitivity | Barely shadows the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Not Available | Details | |
Financial Strenth (F Score) | Frail | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Hydrofarm Holdings Stock
Researching Hydrofarm Holdings' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 21.0% of the company shares are held by company insiders. The company has price-to-book (P/B) ratio of 0.05. Some equities with similar Price to Book (P/B) outperform the market in the long run. Hydrofarm Holdings recorded a loss per share of 14.51. The entity had not issued any dividends in recent years. The firm had 1:10 split on the 13th of February 2025.
To determine if Hydrofarm Holdings is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Hydrofarm Holdings' research are outlined below:
| Hydrofarm Holdings generated a negative expected return over the last 90 days | |
| Hydrofarm Holdings has high historical volatility and very poor performance | |
| Hydrofarm Holdings has a very high chance of going through financial distress in the upcoming years | |
| The company reported the previous year's revenue of 190.29 M. Net Loss for the year was (66.72 M) with profit before overhead, payroll, taxes, and interest of 34.08 M. | |
| Hydrofarm Holdings Group currently holds about 16.49 M in cash with (324 K) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.37. | |
| Hydrofarm Holdings has a frail financial position based on the latest SEC disclosures | |
| Roughly 21.0% of the company shares are held by company insiders |
Hydrofarm Holdings uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Hydrofarm Holdings Group. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Hydrofarm Holdings' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 14th of March 2024 Upcoming Quarterly Report | View | |
| 8th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 14th of March 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Hydrofarm Holdings' market capitalization trends
The company currently falls under 'Micro-Cap' category with a current market capitalization of 11.03 M.Hydrofarm Holdings' profitablity analysis
The company has Profit Margin (PM) of (0.35) %, which may suggest that it does not properly executes on its current pricing strategies or is unable to control all of the operational costs. This is way below average. Similarly, it shows Operating Margin (OM) of (0.39) %, which suggests for every $100 dollars of sales, it generated a net operating loss of $0.39.Determining Hydrofarm Holdings' profitability involves analyzing its financial statements and using various financial metrics to determine if Hydrofarm Holdings is a good buy. For example, gross profit margin measures Hydrofarm Holdings' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Hydrofarm Holdings' profitability and make more informed investment decisions.
Basic technical analysis of Hydrofarm Stock
As of the 26th of March, Hydrofarm Holdings retains the Risk Adjusted Performance of (0.21), standard deviation of 5.43, and Market Risk Adjusted Performance of (45.96). Hydrofarm Holdings 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. Please check out Hydrofarm Holdings mean deviation, treynor ratio, as well as the relationship between the Treynor Ratio and kurtosis to decide if Hydrofarm Holdings is priced fairly, providing market reflects its last-minute price of 2.33 per share. Please also validate Hydrofarm Holdings jensen alpha, which is currently at (1.44) to confirm the company can sustain itself at a future point.Hydrofarm Holdings' insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Hydrofarm Holdings insiders, such as employees or executives, is commonly permitted as long as it does not rely on Hydrofarm Holdings' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Hydrofarm Holdings insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Hydrofarm Holdings' Outstanding Corporate Bonds
Hydrofarm Holdings issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Hydrofarm Holdings uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Hydrofarm bonds can be classified according to their maturity, which is the date when Hydrofarm Holdings Group has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
Understand Hydrofarm Holdings' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Hydrofarm Holdings' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.21) | |||
| Market Risk Adjusted Performance | (45.96) | |||
| Mean Deviation | 3.67 | |||
| Coefficient Of Variation | (380.01) | |||
| Standard Deviation | 5.43 | |||
| Variance | 29.48 | |||
| Information Ratio | (0.26) | |||
| Jensen Alpha | (1.44) | |||
| Total Risk Alpha | (1.42) | |||
| Treynor Ratio | (45.97) | |||
| Maximum Drawdown | 39.43 | |||
| Value At Risk | (8.31) | |||
| Potential Upside | 6.9 | |||
| Skewness | 0.2563 | |||
| Kurtosis | 4.3 |
| Risk Adjusted Performance | (0.21) | |||
| Market Risk Adjusted Performance | (45.96) | |||
| Mean Deviation | 3.67 | |||
| Coefficient Of Variation | (380.01) | |||
| Standard Deviation | 5.43 | |||
| Variance | 29.48 | |||
| Information Ratio | (0.26) | |||
| Jensen Alpha | (1.44) | |||
| Total Risk Alpha | (1.42) | |||
| Treynor Ratio | (45.97) | |||
| Maximum Drawdown | 39.43 | |||
| Value At Risk | (8.31) | |||
| Potential Upside | 6.9 | |||
| Skewness | 0.2563 | |||
| Kurtosis | 4.3 |
Consider Hydrofarm Holdings' intraday indicators
Hydrofarm Holdings intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Hydrofarm Holdings stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Hydrofarm Holdings time-series forecasting models is one of many Hydrofarm Holdings' stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Hydrofarm Holdings' historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.
Hydrofarm Stock media impact
Far too much social signal, news, headlines, and media speculation about Hydrofarm Holdings that are available to investors today. That information is available publicly through Hydrofarm media outlets and privately through word of mouth or via Hydrofarm internal channels. However, regardless of the origin, that massive amount of Hydrofarm data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Hydrofarm Holdings news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Hydrofarm Holdings relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Hydrofarm Holdings' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Hydrofarm Holdings alpha.
Hydrofarm Holdings Corporate Management
| Gerard Cantwell | Senior Chain | Profile | |
| Chris Mayer | Senior Sales | Profile | |
| Kevin OBrien | Chief Officer | Profile | |
| John Lindeman | Chief Officer | Profile | |
| Eric Ceresnie | Senior Development | Profile | |
| Mark Parker | Executive Development | Profile |
Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Hydrofarm Holdings Group. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in census. You can also try the Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.
Is Industrial Machinery & Supplies & Components space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Hydrofarm Holdings. If investors know Hydrofarm will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Hydrofarm Holdings listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Hydrofarm Holdings is measured differently than its book value, which is the value of Hydrofarm that is recorded on the company's balance sheet. Investors also form their own opinion of Hydrofarm Holdings' value that differs from its market value or its book value, called intrinsic value, which is Hydrofarm Holdings' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Hydrofarm Holdings' market value can be influenced by many factors that don't directly affect Hydrofarm Holdings' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Hydrofarm Holdings' value and its price, as these two are different measures arrived at by various means. Investors typically determine if Hydrofarm Holdings is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Hydrofarm Holdings' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.