Hydrofarm Holdings Group, Inc. () Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Commercial Vehicle Group, Inc.

Hydrofarm Holdings Group, Inc.

Why is Hydrofarm Holdings Group, Inc. ?

With a Operating Losses, the company has a Weak Long Term Fundamental Strength

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -2.45
The company has been able to generate a Return on Equity (avg) of 0.68% signifying low profitability per unit of shareholders funds

The company has declared Negative results for the last 4 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at USD -11.85 MM
ROCE(HY) Lowest at -27.51%
DEBT-EQUITY RATIO (HY) Highest at 78.48 %

Risky - Negative EBITDA

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -77.74%, its profits have fallen by -31.2%

Below par performance in long term as well as near term

Along with generating -77.74% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Automobiles)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Hydrofarm Holdings Group, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Hydrofarm Holdings Group, Inc.

-73.81%

-0.07

1094.20%

S&P 500

13.09%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-9.97%

EBIT Growth (5y)

-234.36%

EBIT to Interest (avg)

-2.45

Debt to EBITDA (avg)

2.12

Net Debt to Equity (avg)

0.53

Sales to Capital Employed (avg)

0.55

Tax Ratio

1.11%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

26.96%

ROCE (avg)

1.60%

ROE (avg)

0.68%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.08

EV to EBIT

-3.18

EV to EBITDA

-12.66

EV to Capital Employed

0.40

EV to Sales

0.72

PEG Ratio

Dividend Yield

ROCE (Latest)

-12.56%

ROE (Latest)

-31.33%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

5What is working for the Company

NET PROFIT(HY)

Higher at USD -27.56 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 3.11 times

-16What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD -11.85 MM

ROCE(HY)

Lowest at -27.51%

DEBT-EQUITY RATIO (HY)

Highest at 78.48 %

RAW MATERIAL COST(Y)

Grown by 105.63% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 9.8 times

NET SALES(Q)

At USD 39.24 MM has Fallen at -11.14%

Here's what is working for Hydrofarm Holdings Group, Inc.

Net Profit

Higher at USD -27.56 MM

than preceding 12 month period ended Jun 2025

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (USD MM)

Inventory Turnover Ratio

Highest at 3.11 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Hydrofarm Holdings Group, Inc.

Operating Cash Flow

Lowest at USD -11.85 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Debt-Equity Ratio

Highest at 78.48 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Net Sales

At USD 39.24 MM has Fallen at -11.14%

over average net sales of the previous four periods of USD 44.16 MM

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Debtors Turnover Ratio

Lowest at 9.8 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 105.63% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales