Hamilton Beach Brands Holding Company (HBB) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+20.8%

$39.40

vs $32.61 price

Levered DCF

$40.18

After debt service

Piotroski score

8 / 9

Strong

Altman Z-score

4.71

Safe zone

Rating

A+

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	8.44×	7.65×	9.72×	6.85×	9.32×	5.17×	-19.29×	14.75×
P/B	1.21×	1.42×	1.67×	1.39×	1.95×	2.99×	7.21×	4.91×
P/S	0.36×	0.36×	0.39×	0.27×	0.3×	0.4×	0.43×	0.51×
EV / EBITDA	5.12×	7.3×	8.4×	8.01×	8.03×	8.45×	10.2×	8.57×
Gross margin	25.7%	26.0%	23.0%	20.1%	20.7%	23.0%	21.0%	22.1%
Operating margin	6.0%	6.6%	5.6%	6.1%	4.8%	6.2%	4.4%	5.3%
Net margin	4.4%	4.7%	4.0%	3.9%	3.2%	7.7%	-2.2%	2.8%
Current ratio	2.47×	1.97×	2.05×	2.8×	1.94×	1.69×	1.18×	1.31×
Debt / equity	0.23×	0.57×	0.67×	1.31×	0.95×	1.23×	1.61×	0.71×
Interest coverage	65.44×	70.48×	11.69×	8.45×	11.05×	18.73×	9.01×	11.51×
Dividend yield	2.9%	2.7%	2.5%	3.3%	2.7%	2.1%	1.9%	1.4%
Payout ratio	24.3%	20.5%	24.1%	22.9%	25.7%	10.9%	-35.9%	26.3%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	14.5%	18.5%	17.1%	20.3%	20.8%	57.7%	-37.2%	27.0%
Return on invested capital	9.7%	15.0%	11.1%	10.3%	10.6%	13.9%	15.1%	19.9%
Return on assets	6.7%	7.4%	6.6%	6.5%	5.6%	11.8%	-4.7%	5.5%
Free cash flow yield	5.0%	26.5%	34.7%	-3.3%	3.0%	-15.7%	0.0%	1.2%
Earnings yield	12.0%	13.1%	10.3%	14.6%	10.7%	19.3%	-5.2%	5.5%
Enterprise value	$215.6M	$283.3M	$328.2M	$335.7M	$295M	$335.1M	$317.8M	$363.6M
Net debt / EBITDA	-0.13×	1.25×	2.12×	3.88×	2.61×	2.42×	1.81×	0.99×
Cash conversion cycle (days)	105	81	99	133	102	104	63	58