One-glance verdict
Overvalued
$45.33 our estimate vs market $80.03
Wall Street consensus: $87.83 (93.8% higher than our fair-value estimate)
77% above our estimate, beyond the bull case
Fundamentals snapshot
Helios Technologies, Inc.
HLIO · NYQ · Industrials · Specialty Industrial Machinery
Current price
$80.03
52-week range
$33.85 - $95.05
Market cap
$2.64B
Balance sheet
Watch
4.20x Stretched
Net debt $304.10M. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
3 Risks
3 rewards · 3 risks
- Reward Revenue grew 3.9% last year.
- Reward Free cash flow was positive in 10/10 years.
- Risk Stock trades 32.4% above its 5-year average P/E.
- Risk Insider ownership is only 1.4% (peer median: 4.4%).
What this company does
Helios Technologies, Inc.
Helios Technologies makes highly specialized parts that control motion and power for equipment like tractors, boats, and construction cranes. The company primarily earns money by selling hydraulics products (which use fluid pressure to create powerful movement) and electronics (the custom digital controls and displays for the machinery) to customers across many different industries.
How the company got here
Founded in 1970 as Sun Hydraulics, the company originally specialized in hydraulic cartridge valves, which are components that control the flow and pressure of fluid in machinery. It became a publicly traded company in 1997. A key turning point was a series of acquisitions (buying other companies) starting around 2017, which expanded its product lines and the markets it serves. This strategic shift led to the company changing its name to Helios Technologies in 2019 to reflect its broader focus on both hydraulics and electronics.
What it actually does
Helios Technologies makes highly engineered components that control motion and power in a wide variety of machines and equipment. Think of them as the brains and muscles inside other companies' products. Their technology is used in things like construction vehicles, farm equipment, boats, and even hot tubs. They sell these critical parts directly to original equipment manufacturers (OEMs), the companies that build the final products, and also through distributors (companies that buy in bulk to resell).
Hydraulics
This is the company's original and larger business, making up a majority of its sales. This segment creates the parts that use fluid pressure to generate, control, and transmit power. Its main products include cartridge valves (which act like sophisticated gates for fluid), quick-release couplings (allowing for fast and easy connection of fluid lines), and manifolds (which act as the central hub for directing fluid). Customers are typically manufacturers of heavy machinery for agriculture, construction, and material handling.
Electronics
This part of the business designs and makes the electronic 'brains' for various types of equipment. This includes customized electronic control systems, digital displays, and the software that makes them work. For example, they create the control panels and systems you might see on a modern tractor, a boat, or in the health and wellness industry with control systems for spas and hot tubs. This segment sells its products to equipment makers in off-highway, marine, and recreational vehicle markets.
What management is betting on now
The company's strategy focuses on being a top provider in specialized, or 'niche,' markets. They aim to achieve this through developing new products and by acquiring other companies that offer complementary technologies or access to new markets. A key goal is to sell more of their combined hydraulics and electronics products into the same machines, increasing the value they provide to each customer. Management is also focused on improving profitability (the amount of profit made from sales) through operational efficiencies and expanding its global manufacturing footprint.
Price history
How the share price has moved
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Loading price history…
Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2025 Q2
$25.80M
FY2025 Q3
$28.80M
FY2025 Q4
$28.20M
FY2026 Q1
$12.90M
FY2026 Q2
$31.60M
FY2026 Q3
$18.60M
FY2026 Q4
$40.50M
FY2027 Q1
$17.20M
Revenue
$228.40M
Net income
$19.70M
Diluted EPS
0.59
Operating cash flow
$23.90M
Free cash flow
$17.20M
Fetching…
Sources
Revenue
$210.70M
Net income
$19.40M
Diluted EPS
0.58
Operating cash flow
$46.00M
Free cash flow
$40.50M
Fetching…
Sources
Revenue
$220.30M
Net income
$10.30M
Diluted EPS
0.31
Operating cash flow
$25.30M
Free cash flow
$18.60M
Fetching…
Sources
Revenue
$212.50M
Net income
$11.40M
Diluted EPS
0.34
Operating cash flow
$37.00M
Free cash flow
$31.60M
Fetching…
Sources
Revenue
$195.50M
Net income
$7.30M
Diluted EPS
0.22
Operating cash flow
$19.00M
Free cash flow
$12.90M
Fetching…
Sources
Revenue
$179.50M
Net income
$4.80M
Diluted EPS
0.14
Operating cash flow
$35.70M
Free cash flow
$28.20M
Fetching…
Sources
Revenue
$194.50M
Net income
$11.40M
Diluted EPS
0.34
Operating cash flow
$34.80M
Free cash flow
$28.80M
Fetching…
Sources
Revenue
$219.90M
Net income
$13.60M
Diluted EPS
0.41
Operating cash flow
$33.80M
Free cash flow
$25.80M
Fetching…
Sources
Is it cheap or expensive?
Fair value $45.33 vs current price $80.03
Wall Street consensus is the average analyst price target: $87.83 (93.8% higher than our fair-value estimate).
Our most-likely fair value is $45.33 a share — about 43.4% below today's price of $80.03, so the stock currently looks expensive (overvalued).
Is it drowning in debt?
Watch
Net debt $304.1M. Interest coverage 4.2x.
Net debt
$304.10M
Interest coverage
4.20x
Helios Technologies, Inc.'s profit covers its interest bill about 4.2 times over.
Watch
Worse cushion
Baseline
Better cushion
HLIO
BASELINE
Helios Technologies, Inc.
Total debt $368.30M Interest coverage 4.20x This is the baseline the peer rows are being compared against.
Total debt $184.79M Interest coverage 14.06x +235% vs HLIO Carries about 3.4x more debt cushion than HLIO.
Total debt $293.36M Interest coverage 4.08x -3% vs HLIO Has roughly the same debt cushion as HLIO.
Total debt $363.36M Interest coverage 10.19x +143% vs HLIO Carries about 2.4x more debt cushion than HLIO.
Total debt $290.52M Interest coverage 25.34x +504% vs HLIO Carries about 6.0x more debt cushion than HLIO.
What you should know
The case for and against HLIO
3 Rewards
3 Risks
Rewards
-
Revenue grew 3.9% last year.
-
Free cash flow was positive in 10/10 years.
-
Dividend yield is 0.6% with 30-year payout history.
Risks
-
Stock trades 32.4% above its 5-year average P/E.
-
Insider ownership is only 1.4% (peer median: 4.4%).
-
Operating margin compressed from 15.5% to 13.1% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
43.97x
Forward P/E
23.82x
P/B
2.83x
P/S
3.03x
EV/EBITDA
17.80x
PEG ratio
1.03x
Profitability
How much profit each dollar creates
Gross margin
32.9%
Operating margin
13.1%
Net margin
7.0%
ROE
6.7%
ROA
4.4%
Health
Liquidity and balance-sheet strength
Debt / equity
0.39x
Current ratio
2.86x
Quick ratio
1.41x
Total debt
$368.30M
Total cash
$64.20M
Growth
How the business has been compounding
Revenue TTM
$871.90M
Revenue 5Y CAGR
-0.9%
EPS TTM
1.82
EPS 5Y CAGR
-21.7%
Cash flow
How much cash the business throws off
Operating CF TTM
$132.20M
Free CF TTM
$103.60M
FCF margin
11.9%
Dividend
Shareholder payout
Yield
0.6%
Payout ratio
14.8%
Last ex-div date
2026-07-10