HEES Stock Fair Value – Stifel Nicolaus Boosts Price Target for H&E Equipment Services to $59.00
December 22, 2023
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H&E ($NASDAQ:HEES) Equipment Services is a leading distributor of heavy construction and industrial equipment in the United States. The company rents and sells a wide range of equipment for various industries, such as construction, manufacturing, and government. Recently, Stifel Nicolaus has increased their price target for H&E Equipment Services to $59.00. Stifel Nicolaus believes that H&E Equipment Services will continue to be a strong player in the industry and that their stock price will rise significantly in the near future. The increase in the price target is largely due to the strong performance of the company in recent months. H&E Equipment Services has seen their revenue and profits steadily increase over the past few quarters, with the company’s stock price following suit. This trend is expected to continue as the company continues to expand its operations and acquire new customers.
Additionally, the increasing demand for their products and services has led to a greater demand for their stock, resulting in the increase in the price target. Investors who are interested in investing in this company should take advantage of this opportunity, as it could be a great source of long-term returns in the future.
Share Price
This followed the stock’s opening at $52.4 and closing at $51.8, which was up by 0.7% from its previous closing price of 51.4. The increased target was driven by the company’s strong business fundamentals and growth prospects, indicating that investors are bullish on the stock’s future performance. This is further evidence of the positive sentiment behind H&E EQUIPMENT SERVICES, and suggests that now may be an opportune time to invest in the company. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for HEES. More…
| Total Revenues | Net Income | Net Margin |
| 1.44k | 166.92 | 11.1% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for HEES. More…
| Operations | Investing | Financing |
| 378.54 | -682.09 | 89.99 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for HEES. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 2.59k | 2.1k | 13.39 |
Key Ratios Snapshot
Some of the financial key ratios for HEES are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 6.1% | 26.5% | 19.8% |
| FCF Margin | ROE | ROA |
| -23.8% | 37.9% | 6.9% |
Analysis – HEES Stock Fair Value
At GoodWhale, we conducted a comprehensive analysis of H&E EQUIPMENT SERVICES’s fundamentals and determined its intrinsic value to be around $45.7. This value was calculated using our proprietary Valuation Line. At the moment, the stock of H&E EQUIPMENT SERVICES is trading at $51.8, which is a fair price but still overvalued by 13.4%. More…
Peers
H&E Equipment Services Inc is a publicly traded company on the NASDAQ that provides heavy equipment rental and sales services. The company operates in North America and has around 700 locations. The company’s competitors are Hing Ming Holdings Ltd, Ritchie Bros Auctioneers Inc, and Toa Corp.
– Hing Ming Holdings Ltd ($SEHK:08425)
Hing Ming Holdings Ltd is a company that focuses on the production of quality electrical products. The company has a market capitalization of $94 million as of 2022 and a return on equity of 1.61%. Hing Ming Holdings Ltd has been in business for over 40 years and is a publicly traded company. The company’s products are used in a variety of industries, including the automotive, construction, and industrial sectors.
– Ritchie Bros Auctioneers Inc ($TSX:RBA)
Ritchie Bros. Auctioneers Inc. is a Canadian industrial auctioneer and multinational corporation. The company sells industrial equipment and trucks through its live and online auctions. It also sells other types of equipment through its online marketplace, IronPlanet. Ritchie Bros. has offices in over 20 countries, including the United States, Canada, the United Kingdom, Australia, and Dubai. The company was founded in 1958 and is headquartered in Vancouver, Canada.
Ritchie Bros. Auctioneers Inc. has a market cap of 9.68B as of 2022. The company’s return on equity is 22.0%. Ritchie Bros. is a Canadian industrial auctioneer and multinational corporation. The company sells industrial equipment and trucks through its live and online auctions. It also sells other types of equipment through its online marketplace, IronPlanet. Ritchie Bros. has offices in over 20 countries, including the United States, Canada, the United Kingdom, Australia, and Dubai.
– Toa Corp ($TSE:6809)
Toa Corp is a Japanese engineering and construction company. It is the largest construction company in Japan and one of the largest in the world. The company was founded in 1892 and has its headquarters in Tokyo. Toa Corp has a market cap of 25.35B as of 2022 and a Return on Equity of 4.1%. The company is involved in the construction of buildings, roads, bridges, and other infrastructure. It also has a real estate division that develops and manages properties.
Summary
Stifel Nicolaus has recently issued a report raising the price target for H&E Equipment Services to $59.00. The company specializes in the rental and sale of construction and industrial equipment, serving customers in the construction, mining, energy, and other industries. This is due in part to the increased demand for construction and mining equipment, which has seen a rise in the last several years.
The firm also noted that H&E’s strategic expansion into new markets has helped to fuel this growth. Overall, the report suggests that investors may want to look into investing in H&E as it is expected to experience further growth this year.
