Shares of HD Supply Holdings, Inc. (NASDAQ:HDS) recorded -0.66% loss during trading session on March 14th, 2019. The script traded as low as $43.1 and last traded at $43.40. 2.29 million shares changed exchanged hands during trading, a drop of -34.93% from the 30-day average session volume of 1.70M shares. The firm had previously closed at $43.69. The company has $179.24M outstanding shares, a price-to-earnings ratio of 22.52, price-to-earnings-growth ratio of 1.34and a beta of 1.25. The company has a RSI of 60.04, ATR of 0.66 and a volatility of 1.42% this week. HDS has a 52 week low price of $35.35 and a 52 week high price of $46.29.
Investors have identified the tech company HD Supply Holdings, Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around 7.78B, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
HD Supply Holdings, Inc. (HDS) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For HDS, the company has in raw cash 52 million on their books with 105 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 0 total, with 1.66 billion as their total liabilities. This figure have given the company a good sense of viability under numerous contexts.
HDS were able to record 300 million as free cash flow during the recently reported quarter of the year, this saw their quarterly net cash flow reduce by 506 million. In cash movements, the company had a total of 379 million as operating cash flow.
Potential earnings growth for HD Supply Holdings, Inc. (HDS)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, HD Supply Holdings, Inc. recorded a total of 1.61 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 0.15% coming in sequential stages and their sales for the third quarter increasing by 0.01%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 1.4 billion trying to sell their products during the last quarter, with the result yielding a gross income of 213 million. This allows shareholders to hold on to 179.24M with the revenue now reading 0 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (0.84 cents a share).
Is the stock of HDS attractive?
Having a look at the company’s valuation, the company is expected to record 3.58 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on HDS sounds very interesting.
In related news, Director JANA PARTNERS LLC sold 510,247 shares of the company’s stock in a transaction that recorded on January 11th, 2019. The sale was performed at an average price of 37.80, for a total value of 19,287,337. As the sale deal closes, the Director JANA PARTNERS LLC now sold 585,736 shares of the company’s stock, valued at 22,269,683. Also, Director JANA PARTNERS LLC sold 747,027 shares of the company’s stock in a deal that was recorded on January 8th, 2019. The shares were sold at an average price of 38.00 per share, with a total market value of 3,831,913. Following this completion of acquisition, the Director now holds 231,935 shares of the company’s stock, valued at 8,750,908. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.20%.
8 out of 18 analysts covering the stock have rated it a Buy, while 4 have maintained a Hold recommendation on HD Supply Holdings, Inc. stock. 0 analysts has assigned a Sell rating on the HDS stock. The 12-month mean consensus price target for the company’s shares has been set at $47.50.