Hamilton Beach Brands Holding Company (HBB)
Valuation Overview•Is Hamilton Beach Brands Holding Company Overvalued or Undervalued?
Trading at a relative discount to industry peers, suggesting a specific risk premium is applied.
Moderate quality score of 58/100, reflecting stable operating margins and manageable leverage.
Wall Street forecasts a balanced outlook with consensus price targets near the current price.
Verdict: Average quality business weighed down by significant growth concerns.
Wall Street sentiment is generally neutral. This outlook is strongly supported by highly attractive capital returns, driven by a balanced mix of reliable dividends and share buybacks.
HBB demonstrates adequate business quality with stable profitability. This is backed by a fortress balance sheet, holding significant net cash ($5M) and minimal debt risk.
The company is facing top-line contraction (-1.8% 3Y CAGR) paired with stable bottom-line earnings. Operating efficiency remains adequate with margins around 6.6%.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $122.0M | -7.3% | -1.8% | +0.1% | -2.3% | |
| EBITDA | $5.0M | — | -0.9% | — | — | |
| Net Income | $3.5M | -14.0% | +1.5% | — | +3.0% | |
| EPS (Diluted) | $0.26 | -11.4% | +2.5% | -10.4% | +3.1% | |
| Free Cash Flow | $3.0M | -82.3% | — | — | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 26.8% | 24.9% | 23.1% | 23.7% |
| Operating Margin | 6.6% | 6.1% | 5.8% | 5.5% |
| Net Margin | 4.7% | 4.4% | 4.1% | 3.5% |
| FCF Margin | 1.3% | 8.3% | 5.0% | 3.0% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $0.16 | $0.26 | +62.5% | ||
| Q1'26 | — | $0.13 | — | ||
| Q4'25 | — | $0.12 | — | ||
| Q3'25 | — | $0.33 | — | ||
| Q2'25 | — | $0.13 | — | ||
| Q1'25 | — | $1.75 | — | ||
| Q4'24 | — | $0.14 | — | ||
| Q3'24 | — | $0.42 | — |
Total return is +24.6% (1Y), lagging the benchmark by -0.3%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | +29.2% | +19.9% | — |
| 1Y | +24.6% | -0.3% | +2.9% |
| 3YCAGR | +30.5% | +10.0% | +14.2% |
| 5YCAGR | -0.3% | -13.7% | +9.7% |
| 10YCAGR | -2.5% | -16.4% | — |
The S&P 500 is at 31.3x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about Hamilton Beach Brands Holding Company (HBB) valuation, health, and returns.
Based on peer relative multiples, Hamilton Beach Brands Holding Company appears Slightly cheap versus peers compared to industry peers.
Hamilton Beach Brands Holding Company has multiple valuation anchors: Peer Relative Fair Value: $22.31. A convergence of these signals offers higher conviction.
Hamilton Beach Brands Holding Company displays fair financial health with a composite quality score of 58/100, supported by a Altman Z-Score of 3.3 (safe zone), Piotroski F-Score of 5/9, Return on Invested Capital (ROIC) of 14.0%.
Hamilton Beach Brands Holding Company pays a 2.3% dividend yield, covered by a 24% payout ratio with 9 years of growth, supplemented by a 3.3% buyback yield.
Hamilton Beach Brands Holding Company's current growth trajectory is Decelerating. The company achieved -7.3% 1Y revenue growth and -11.4% 1Y EPS growth, compared to its 3Y revenue CAGR of -1.8%.
Wall Street consensus is Hold based on 1 analysts, beating EPS expectations in 58% of recent quarters with a 3-quarter streak. The consensus price target represents a N/A change from current levels.
Investment risks for Hamilton Beach Brands Holding Company include: -34.7% 1-year max drawdown, high beta (1.47x market volatility). Volatility risk is characterized by a beta of 1.47x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.