The Honest (HNST) Fundamental Analysis: Revenue, Earnings & Valuation

9.29 / 10

Outperform

HNST's fundamental score of 9.29/10 highlights exceptional business quality, with key bullish drivers including Profit-MV (0.6198), Net income-Revenue (-0.0427), and Cash-MV (0.5192). The stock ranks in favorable performance groups for most metrics, such as group 1 for Profit-MV and Cash-MV, and group 3 for Net profit margin. However, challenges arise from negative Return on Total Assets (-4.8221) and EBIT/Revenue (-394.5493), which pull down overall returns. Net cash flow growth YoY is an impressive 849.50%, providing liquidity support. These factors collectively signal a company with solid profitability and cash generation but room for improvement in asset efficiency.

Analysis Checks(5/10)

Net cash flow from operating activities per share (YoY growth rate %)

Value849.50

Score2/3

Weight10.66%

1M Return0.75%

Profit-MV

Value0.62

Score2/3

Weight75.57%

1M Return4.62%

Net income-Revenue

Value-0.04

Score2/3

Weight41.36%

1M Return2.75%

Rate of return on total assets (%)

Value-4.82

Score0/3

Weight-39.55%

1M Return-3.55%

Net profit margin (%)

Value-4.22

Score2/3

Weight36.30%

1M Return2.40%

Total profit / EBIT (%)

Value100.00

Score1/3

Weight-2.61%

1M Return-0.20%

Annualized return on total assets (%)

Value-4.82

Score0/3

Weight-39.55%

1M Return-3.55%

EBIT / Total operating revenue (%)

Value-394.55

Score0/3

Weight-41.06%

1M Return-3.71%

Net profit / Total operating revenue (%)

Value-4.22

Score2/3

Weight36.98%

1M Return2.44%

Cash-MV

Value0.52

Score1/3

Weight21.89%

1M Return1.56%

Is HNST undervalued or overvalued?

HNST scores 9.29/10 on fundamentals and holds a Discounted valuation at present. Backed by its -9.12% ROE, -4.22% net margin, -20.79 P/E ratio, 1.92 P/B ratio, and -133.33% earnings growth, these metrics solidify its Outperform investment rating.