Why is HireQuest, Inc. ?
1
High Management Efficiency with a high ROCE of 18.00%
2
Company has a low Debt to Equity ratio (avg) at times
3
Poor long term growth as Net Sales has grown by an annual rate of 14.25% over the last 5 years
4
Positive results in Sep 25
- OPERATING CASH FLOW(Y) Highest at USD 14.1 MM
- INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
- RAW MATERIAL COST(Y) Fallen by 1.58% (YoY)
5
With ROCE of 12.24%, it has a fair valuation with a 2.23 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -24.63%, its profits have fallen by -22.6%
6
Majority shareholders : Mutual Funds
7
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -24.63% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods
How much should you hold?
- Overall Portfolio exposure to HireQuest, Inc. should be less than 10%
- Overall Portfolio exposure to Diversified Commercial Services should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Diversified Commercial Services)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is HireQuest, Inc. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
HireQuest, Inc.
-23.81%
-0.37
52.13%
S&P 500
13.68%
0.71
19.28%
Quality key factors
Factor
Value
Sales Growth (5y)
14.25%
EBIT Growth (5y)
0.02%
EBIT to Interest (avg)
11.19
Debt to EBITDA (avg)
0.51
Net Debt to Equity (avg)
0.05
Sales to Capital Employed (avg)
0.47
Tax Ratio
1.35%
Dividend Payout Ratio
90.98%
Pledged Shares
0
Institutional Holding
13.07%
ROCE (avg)
18.00%
ROE (avg)
19.62%
Valuation Key Factors 
Factor
Value
P/E Ratio
18
Industry P/E
Price to Book Value
2.25
EV to EBIT
18.20
EV to EBITDA
13.53
EV to Capital Employed
2.23
EV to Sales
4.85
PEG Ratio
NA
Dividend Yield
2.19%
ROCE (Latest)
12.24%
ROE (Latest)
12.36%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bearish
Dow Theory
No Trend
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Movement
8What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 14.1 MM
INTEREST COVERAGE RATIO(Q)
The company hardly has any interest cost
RAW MATERIAL COST(Y)
Fallen by 1.58% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at 1.62 %
EPS(Q)
Highest at USD 0.16
-1What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 0.63 times
Here's what is working for HireQuest, Inc.
Operating Cash Flow
Highest at USD 14.1 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
EPS
Highest at USD 0.16
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Debt-Equity Ratio
Lowest at 1.62 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by 1.58% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for HireQuest, Inc.
Debtors Turnover Ratio
Lowest at 0.63 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






