Hawkins, Inc. blends, manufactures, and distributes various chemical products. The company operates in two segments, Industrial and Water Treatment. The company was founded in 1938 and is based in Roseville, Minnesota.
HWKN Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for HWKN, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Hawkins Inc ranked in the 67th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 110% on a DCF basis. As for the metrics that stood out in our discounted cash flow analysis of Hawkins Inc, consider:
The company's debt burden, as measured by earnings divided by interest payments, is 26.38 -- which is good for besting 90.15% of its peer stocks (US stocks in the Basic Materials sector with positive cash flow).
HWKN's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than 27.69% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
LIN, SYNL, CC, KALU, and NGVT can be thought of as valuation peers to HWKN, in the sense that they are in the Basic Materials sector and have a similar price forecast based on DCF valuation.
Minneapolis, MN, Jan. 14, 2021 (GLOBE NEWSWIRE) -- Hawkins, Inc. (Nasdaq: HWKN) announced today that it expects to release its financial results for its third quarter ended December 27, 2020 after the market closes on January 28, 2021 at approximately 4:00 p.m. Eastern Time. About Hawkins, Inc.Hawkins, Inc. was founded in 1938 and is a leading specialty chemical company that distributes, blends and manufactures chemicals and other specialty ingredients for its Industrial, Water Treatment, and Health & Nutrition customers. Headquartered in Roseville, Minnesota, and with 46 facilities in 21 states, the Company creates value for its customers through superb customer service and support, quality products and personalized applications. Hawkins, Inc. generated $540 million of revenue in fis...
MINNEAPOLIS, Jan. 04, 2021 (GLOBE NEWSWIRE) -- Hawkins, Inc. (Nasdaq: HWKN) today announced that it has extended the footprint of its Water Treatment Group into Louisiana. Hawkins has acquired substantially all of the assets of C & L Aqua Professionals, Inc. and LC Blending, Inc. (together, “C&L Aqua”), two related companies that worked together to service customers throughout the State of Louisiana. “We are very pleased to announce these strategic acquisitions for our Water Treatment Group and welcome C&L Aqua and LC Blending into the Hawkins organization,” said Hawkins Chief Executive Officer, Patrick H. Hawkins. “These companies share our core values, and, like us, are particularly focused on offering the highest level of service and value to their customers. These acquisitions si...