📊 HBB Key Takeaways
Is Hamilton Beach Brands Holding Co (HBB) a Good Investment?
Hamilton Beach faces deteriorating fundamentals with revenue declining 7.3% YoY and net income declining 14% YoY, indicating margin compression in an already thin-margin business (4.4% net margin). While the balance sheet remains solid and liquidity strong, the combination of shrinking sales, margin erosion, and anemic free cash flow conversion (1.8% FCF margin) suggests limited fundamental support for value creation.
Hamilton Beach shows decent profitability and strong balance sheet discipline, with solid liquidity, low leverage, and high interest coverage. However, revenue and earnings declined year over year and cash conversion is weak, yielding thin free cash flow. Wait for stabilization in sales and improved operating cash flow before a more constructive stance.
Why Buy Hamilton Beach Brands Holding Co Stock? HBB Key Strengths
- Conservative balance sheet with 0.27x debt-to-equity ratio and minimal refinancing risk
- Strong liquidity position with 2.47x current ratio and $47.3M cash on hand
- Positive free cash flow generation of $11.0M despite operational headwinds
- Strong liquidity and low leverage (current 2.47x, D/E 0.27x; interest coverage 234.5x)
- Solid ROE and operating profitability (ROE 14.5%, operating margin 6.0%)
- Positive free cash flow with modest capex requirements
HBB Stock Risks: Hamilton Beach Brands Holding Co Investment Risks
- Revenue contraction of 7.3% YoY indicates market share loss or demand weakness in mature appliance sector
- Profit margin compression with net income declining 14.0% faster than revenue decline signals deteriorating operational efficiency
- Extremely thin operating margin (6.0%) and net margin (4.4%) provide minimal buffer for competitive pressures or cost inflation
- Weak free cash flow conversion (1.8% FCF margin) severely limits capital allocation flexibility and reinvestment capacity
- Operating cash flow of $13.8M is insufficient relative to $606.9M revenue base, indicating working capital or operational challenges
- Top-line contraction (-7.3% YoY) indicating demand or competitive pressure
- Weak cash conversion (OCF below net income) and thin FCF margin (1.8%)
- Earnings pressure with net income down 14% YoY and net margin at 4.4%
Key Metrics to Watch
- Quarterly revenue growth rate - stabilization required to refute secular decline thesis
- Gross and operating margin trends - need reversal of compression for profitability recovery
- Free cash flow margin improvement - should exceed 3% for sustainable capital generation
- Inventory and receivables levels relative to sales - assess for quality of earnings issues
- Revenue growth (YoY)
- Operating cash flow to net income ratio
Hamilton Beach Brands Holding Co (HBB) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 1.8% FCF margin may limit capital allocation flexibility. Strong liquidity with a 2.47x current ratio provides a solid financial cushion.
HBB Profit Margin, ROE & Profitability Analysis
HBB vs Utilities Sector: How Hamilton Beach Brands Holding Co Compares
How Hamilton Beach Brands Holding Co compares to Utilities sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Hamilton Beach Brands Holding Co Stock Overvalued? HBB Valuation Analysis 2026
Based on fundamental analysis, Hamilton Beach Brands Holding Co has mixed fundamental signals relative to the Utilities sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Hamilton Beach Brands Holding Co Balance Sheet: HBB Debt, Cash & Liquidity
HBB Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Hamilton Beach Brands Holding Co's revenue has shown modest growth of 5% over the 5-year period. The most recent EPS of $1.80 reflects profitable operations.
HBB Revenue Growth, EPS Growth & YoY Performance
HBB Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $132.8M | -$1.2M | $0.12 |
| Q2 2025 | $127.8M | -$1.2M | $0.33 |
| Q3 2024 | $153.6M | $110.0K | $0.14 |
| Q2 2024 | $137.1M | $110.0K | $0.01 |
| Q1 2024 | $128.3M | -$1.2M | $-0.08 |
| Q3 2023 | $150.8M | $110.0K | $0.40 |
| Q2 2023 | $137.1M | $110.0K | $0.01 |
| Q1 2023 | $128.3M | -$4.8M | $-0.34 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Hamilton Beach Brands Holding Co Dividends, Buybacks & Capital Allocation
HBB SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Hamilton Beach Brands Holding Co (CIK: 0001709164)
📋 Recent SEC Filings
❓ Frequently Asked Questions about HBB
What is the AI rating for HBB?
Hamilton Beach Brands Holding Co (HBB) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (HOLD) with 68% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are HBB's key strengths?
Claude: Conservative balance sheet with 0.27x debt-to-equity ratio and minimal refinancing risk. Strong liquidity position with 2.47x current ratio and $47.3M cash on hand. ChatGPT: Strong liquidity and low leverage (current 2.47x, D/E 0.27x; interest coverage 234.5x). Solid ROE and operating profitability (ROE 14.5%, operating margin 6.0%).
What are the risks of investing in HBB?
Claude: Revenue contraction of 7.3% YoY indicates market share loss or demand weakness in mature appliance sector. Profit margin compression with net income declining 14.0% faster than revenue decline signals deteriorating operational efficiency. ChatGPT: Top-line contraction (-7.3% YoY) indicating demand or competitive pressure. Weak cash conversion (OCF below net income) and thin FCF margin (1.8%).
What is HBB's revenue and growth?
Hamilton Beach Brands Holding Co reported revenue of $606.9M.
Does HBB pay dividends?
Hamilton Beach Brands Holding Co pays dividends, with $6.4M distributed to shareholders in the trailing twelve months.
Where can I find HBB SEC filings?
Official SEC filings for Hamilton Beach Brands Holding Co (CIK: 0001709164) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is HBB's EPS?
Hamilton Beach Brands Holding Co has a diluted EPS of $1.95.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is HBB a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Hamilton Beach Brands Holding Co has a SELL rating with 68% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is HBB stock overvalued or undervalued?
Valuation metrics for HBB: ROE of 14.5% (sector avg: 10%), net margin of 4.4% (sector avg: 12%). Higher ROE suggests strong returns relative to peers.
Should I buy HBB stock in 2026?
Our dual AI analysis gives Hamilton Beach Brands Holding Co a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is HBB's free cash flow?
Hamilton Beach Brands Holding Co's operating cash flow is $13.8M, with capital expenditures of $2.8M. FCF margin is 1.8%.
How does HBB compare to other Utilities stocks?
Vs Utilities sector averages: Net margin 4.4% (avg: 12%), ROE 14.5% (avg: 10%), current ratio 2.47 (avg: 0.8).