HPS-A Stock Analysis: Hammond Power Solutions | TO
Electrical Equipment & Parts | TO, Canada | Market Cap: 2.237m CAD | 12M Return: 16.3% | CA4085491039 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 20.7M
EPS Trend: 88.3%
Qual. Beats: 0
Rev. Trend: 92.2%
Qual. Beats: 4
Warnings
Tailwinds
Seasonality 11.8 years of data, until 10/2026
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, ≥40 worth a closer look and ≥60 is strong.
Hammond Power Solutions designs, manufactures and sells transformers, power supplies, filters and related electrical equipment in Canada, the United States, Mexico and India. Its products support power conversion and distribution across industries including renewable energy, mining, infrastructure, manufacturing and EV charging.
Founded in 1917 and headquartered in Guelph, Canada, the company operates in the industrial electrical-components sector. Its business serves a broad range of end markets that depend on equipment to manage and distribute electrical power.
- U.S. grid and data-center investment sustains transformer demand
- Factory expansion and higher utilization support operating margins
- Copper costs and trade tariffs pressure margins and delivery economics
| Net Income: 71.9m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA 9.24 > 1.0 |
| NWC/Revenue: 25.04% < 20% (prev 21.55%; Δ 3.49% < -1%) |
| CFO/TA 0.08 > 3% & CFO 109.1m > Net Income 71.9m |
| Net Debt (470.5m) to EBITDA (159.6m): 2.95 < 3 |
| Current Ratio: 1.72 > 1.5 & < 3 |
| Outstanding Shares: last quarter (11.9m) vs 12m ago -0.15% < -2% |
| Gross Margin: 31.76% > 18% (prev 31.21%; Δ 0.55% > 0.5%) |
| Asset Turnover: 134.2% > 50% (prev 146.1%; Δ -11.92% > 0%) |
| Interest Coverage Ratio: 11.13 > 6 (EBIT TTM 124.0m / Interest Expense TTM 11.1m) |
| A: 0.24 (Total Current Assets 769.7m - Total Current Liabilities 446.6m) / Total Assets 1.34b |
| B: 0.28 (Retained Earnings 369.4m / Total Assets 1.34b) |
| C: 0.13 (EBIT TTM 124.0m / Avg Total Assets 961.6m) |
| D: 0.44 (Book Value of Equity 409.3m / Total Liabilities 930.2m) |
| Altman-Z'' = 3.81 = AA |
| DSRI: 1.33 (Receivables 359.2m/178.6m, Revenue 1.29b/852.6m) |
| GMI: 0.98 (GM 31.21% / 31.76%) |
| AQI: 3.49 (AQ_t 0.28 / AQ_t-1 0.08) |
| SGI: 1.51 (Revenue 1.29b / 852.6m) |
| TATA: -0.03 (NI 71.9m - CFO 109.1m) / TA 1.34b) |
| Beneish M = -0.93 (Cap -4..+1) = D |
As of November 13, 2026, the stock is trading at CAD 207.27 with a total of 59,850 shares traded. Over the past week, the price has changed by +6.52%, over one month by -26.91%, over three months by -21.00% and over the past year by +16.25%.
Current recommended Stop Loss: 183.80 (which is 11.3% or 1.4 ATR below the current price).
Hammond Power Solutions has no consensus analysts rating.
P/E Trailing = 31.1126
P/E Forward = 13.624
P/S = 1.7342
P/B = 5.6602
Revenue TTM = 1.29b CAD
EBIT TTM = 124.0m CAD
EBITDA TTM = 159.6m CAD
Long Term Debt = 384.3m CAD (from longTermDebt, last quarter)
Short Term Debt = 121.6m CAD (from shortTermDebt, last quarter)
Debt = 604.5m CAD (from shortLongTermDebtTotal, last quarter) + Leases 58.8m
Net Debt = 470.5m CAD (calculated: Debt 604.5m - CCE 134.0m)
Enterprise Value = 2.71b CAD (2.24b + Debt 604.5m - CCE 134.0m)
Interest Coverage Ratio = 11.13 (Ebit TTM 124.0m / Interest Expense TTM 11.1m)
EV/FCF = 35.09x (Enterprise Value 2.71b / FCF TTM 77.2m)
FCF Yield = 2.85% (FCF TTM 77.2m / Enterprise Value 2.71b)
FCF Margin = 5.98% (FCF TTM 77.2m / Revenue TTM 1.29b)
Net Margin = 5.57% (Net Income TTM 71.9m / Revenue TTM 1.29b)
Gross Margin = 31.76% ((Revenue TTM 1.29b - Cost of Revenue TTM 880.3m) / Revenue TTM)
Gross Margin QoQ = 34.37% (prev 31.48%)
Tobins Q-Ratio = 2.02 (Enterprise Value 2.71b / Total Assets 1.34b)
Interest Expense / Debt = 1.84% (Interest Expense 11.1m / Debt 604.5m)
Taxrate = 31.52% (33.1m / 104.9m)
NOPAT = 84.9m (EBIT 124.0m * (1 - 31.52%))
Current Ratio = 1.72 (Total Current Assets 769.7m / Total Current Liabilities 446.6m)
Debt / Equity = 1.48 (Debt 604.5m / totalStockholderEquity, last quarter 409.3m)
Debt / EBITDA = 2.95 (Net Debt 470.5m / EBITDA 159.6m)
Debt / FCF = 6.10 (Net Debt 470.5m / FCF TTM 77.2m)
Total Stockholder Equity = 379.4m (last 4 quarters mean from totalStockholderEquity)
RoA = 7.47% (Net Income 71.9m / Total Assets 1.34b)
RoE = 18.94% (Net Income TTM 71.9m / Total Stockholder Equity 379.4m)
RoCE = 16.24% (EBIT 124.0m / Capital Employed (Equity 379.4m + L.T.Debt 384.3m))
RoIC = 8.94% (NOPAT 84.9m / Invested Capital 950.0m)
WACC = 11.53% (E(2.24b)/V(2.84b) * Re(14.31%) + D(604.5m)/V(2.84b) * Rd(1.84%) * (1-Tc(0.32)))
Discount Rate = 14.31% (= CAPM, Blume Beta Adj.) -> capped to 12.54%
Shares (quarterly) Correlation: -25.01 | Cagr: -0.10%
[DCF] Terminal Value 65.13% ; FCFF base≈77.2m ; Y1≈77.5m ; Y5≈82.1m
[DCF] Fair Price = 39.20 (EV 828.3m - Net Debt 470.5m = Equity 357.8m / Shares 9.13m; r=11.53% [WACC]; 5y FCF grow 0.0% → 2.50% )
EPS Correlation: 88.29 | EPS CAGR: 22.24% | SUE: 0.52 | # QB: 0
Revenue Correlation: 92.22 | Revenue CAGR: 19.45% | SUE: 3.20 | # QB: 4
EPS current Quarter (2027-03-31): EPS=3.06 | Chg30d=+9.11% | Revisions=+25% | Analysts=2
EPS current Year (2026-12-31): EPS=11.57 | Chg30d=+7.80% | Revisions=+40% | GrowthEPS=+69.9% | GrowthRev=+65.4%
EPS next Year (2027-12-31): EPS=14.01 | Chg30d=+19.16% | Revisions=+29% | GrowthEPS=+21.1% | GrowthRev=+20.2%
[Analyst] Revisions Ratio: +50% (up=6, down=1)