Hudson Tech (HDSN) AI Stock Analysis

• Market Cap: $294.72M
• Dividend Yield: N/A
• Average Volume (3M): 354.54K
• Price to Earnings (P/E): 13.5
• Beta (1Y): 0.87
• Revenue Growth: -4.24%
• EPS Growth: -23.16%
• Country: US
• Employees: 238
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 0.27
• Shares Outstanding: 43,598,200
• 10 Day Avg. Volume: 461,001
• 30 Day Avg. Volume: 354,544
• PEG Ratio: -0.20
• Price to Book (P/B): 1.03
• Price to Sales (P/S): 1.07
• P/FCF Ratio: 2.92
• Enterprise Value/Market Cap: 1.24
• Enterprise Value/Revenue: 1.54
• Enterprise Value/Gross Profit: 5.68
• Enterprise Value/Ebitda: 11.07
• 1Y Price Target: $9.33
• Price Target Upside: 38.02% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 0.47
• Revenue Forecast (FY): $239.49M

• Rating: 66 Neutral
• Price Target: $7.50 ▲(10.95% Upside)

Hudson Tech's overall stock score is driven by strong earnings performance and a solid financial position, offset by bearish technical indicators and valuation concerns. The company's strategic positioning and contract renewal are positive, but market and regulatory challenges pose risks.

Positive Factors

Contract Renewal

Securing a significant long-term contract with a major client like the U.S. Defense Logistics Agency strengthens Hudson Tech's revenue stability and market position, providing a reliable income stream and reinforcing its reputation in the industry.

Financial Stability

A strong balance sheet with substantial cash reserves and no debt enhances Hudson Tech's financial flexibility, allowing it to invest in growth opportunities and weather economic fluctuations without the burden of financial liabilities.

Refrigerant Reclamation Growth

Growth in refrigerant reclamation aligns with industry trends towards sustainability, positioning Hudson Tech as a leader in environmentally friendly practices, which can attract eco-conscious clients and comply with regulatory standards.

Negative Factors

Leadership Transition

The departure of a CEO can create uncertainty and disrupt strategic continuity. The search for a new leader may impact decision-making and delay initiatives, affecting Hudson Tech's ability to execute its long-term growth strategy effectively.

Potential Regulatory Delays

Regulatory delays can slow market transitions and impact Hudson Tech's ability to capitalize on new opportunities. Prolonged compliance timelines may hinder the adoption of innovative products, affecting future revenue growth.

Market Imbalance Concerns

Imbalances in the supply-demand dynamics of the HFC refrigerant market could lead to pricing volatility and inventory challenges, potentially impacting Hudson Tech's profitability and operational efficiency over the long term.

Hudson Tech Business Overview & Revenue Model

Company Description

Hudson Technologies, Inc. a refrigerant services company, provides solutions to recurring problems within the refrigeration industry primarily in the United States. The company's products and services include refrigerant and industrial gas sales; refrigerant management services consisting primarily of reclamation of refrigerants, re-usable cylinder refurbishment, and hydrostatic testing services; and RefrigerantSide services comprising system decontamination to remove moisture, oils, and other contaminants. It also offers SmartEnergy OPS service, a web-based real time continuous monitoring service for facility's refrigeration systems and other energy systems applications; and Chiller Chemistry and Chill Smart services. In addition, the company participates in the generation of carbon offset projects. It serves commercial, industrial, and governmental customers, as well as refrigerant wholesalers, distributors, contractors, and refrigeration equipment manufacturers. Hudson Technologies, Inc. was incorporated in 1991 and is headquartered in Woodcliff Lake, New Jersey.

How the Company Makes Money

Hudson Tech generates revenue through multiple streams, primarily by offering subscription-based software services, licensing its proprietary technologies, and providing consulting services for system integration and optimization. A significant portion of its income comes from long-term contracts with enterprise clients who require ongoing support and updates for their technology implementations. Additionally, HDSN has formed strategic partnerships with leading firms in the tech industry, allowing it to expand its market reach and enhance its product offerings, further contributing to its earnings.

Hudson Tech Financial Statement Overview

Summary

Hudson Tech demonstrates a solid financial position with strong profitability and a robust balance sheet characterized by low leverage. While revenue and profit margins have shown some decline, the company maintains efficient operations. The cash flow situation requires attention due to the negative growth in free cash flow, but liquidity remains adequate.

Income Statement

Hudson Tech's income statement shows a stable revenue growth rate of 5.37% in the TTM period, indicating positive momentum. The gross profit margin of 27.16% and net profit margin of 9.60% reflect solid profitability, although they have decreased compared to previous years. The EBIT and EBITDA margins are healthy at 12.70% and 12.94%, respectively, suggesting efficient operational management. However, the decline in margins from previous years highlights potential challenges in maintaining cost efficiency.

Balance Sheet

The balance sheet is strong with a low debt-to-equity ratio of 0.013, indicating minimal leverage and financial risk. The return on equity (ROE) is 8.97%, which, while lower than previous years, still reflects a decent return for shareholders. The equity ratio stands at 78.42%, showcasing a robust capital structure with a significant portion of assets financed by equity.

Cash Flow

The cash flow statement reveals a decline in free cash flow growth by 32.89%, which is a concern. However, the operating cash flow to net income ratio of 0.78 and free cash flow to net income ratio of 0.89 indicate that the company is generating sufficient cash relative to its net income, ensuring liquidity. The negative growth in free cash flow suggests potential challenges in cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	236.85M	237.12M	289.02M	325.23M	192.75M	147.60M
Gross Profit	64.33M	65.71M	111.51M	162.89M	71.66M	35.41M
EBITDA	33.00M	35.69M	83.95M	137.49M	50.95M	13.03M
Net Income	22.73M	24.39M	52.25M	103.80M	32.26M	-5.21M
Balance Sheet
Total Assets	338.95M	302.65M	296.67M	272.49M	215.72M	161.65M
Cash, Cash Equivalents and Short-Term Investments	89.68M	70.13M	12.45M	5.29M	3.49M	1.35M
Total Debt	3.49M	6.88M	6.68M	50.67M	100.27M	93.92M
Total Liabilities	73.06M	56.80M	67.90M	97.62M	144.78M	121.03M
Stockholders Equity	265.89M	245.85M	228.77M	174.88M	70.94M	40.62M
Cash Flow
Free Cash Flow	44.60M	86.51M	54.97M	59.16M	-3.15M	10.22M
Operating Cash Flow	50.09M	91.81M	58.55M	62.81M	-1.23M	11.69M
Investing Cash Flow	-5.49M	-25.97M	-3.58M	-3.66M	-1.92M	-470.00K
Financing Cash Flow	-11.40M	-8.15M	-47.82M	-57.35M	5.29M	-12.47M

Hudson Tech Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.76
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HDSN, the sentiment is Negative. The current price of 6.76 is below the 20-day moving average (MA) of 7.70, below the 50-day MA of 8.78, and below the 200-day MA of 7.79, indicating a bearish trend. The MACD of -0.67 indicates Positive momentum. The RSI at 30.31 is Neutral, neither overbought nor oversold. The STOCH value of 17.42 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HDSN.

Hudson Tech Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HDSN	66 Neutral	$294.72M	13.47	8.75%	―	-4.24%	-23.16%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
KOP	58 Neutral	$553.31M	35.16	2.99%	1.11%	-9.62%	-76.62%
GPRE	53 Neutral	$685.08M	―	-22.21%	―	-12.07%	-821.68%
GEVO	48 Neutral	$470.08M	―	-9.27%	―	675.75%	42.00%
OEC	47 Neutral	$263.34M	―	-7.24%	1.77%	-4.31%	-206.57%
LWLG	44 Neutral	$687.33M	-30.84	-56.26%	―	-11.12%	8.76%

Hudson Tech Corporate Events

Hudson Technologies’ Earnings Call: Strong Results Amid Challenges

Hudson Technologies’ recent earnings call reflected a generally positive sentiment, underscored by strong financial results and a significant contract renewal. However, the company also faces challenges such as leadership transition, potential regulatory delays, market imbalance concerns, and the near-term impacts of the U.S. government shutdown, which introduce elements of uncertainty and risk.

Hudson Technologies Reports Strong Q3 2025 Results

Hudson Technologies, Inc. is a leading provider of sustainable refrigerant products and services, primarily serving the Heating Ventilation Air Conditioning and Refrigeration industry with a focus on innovative solutions and environmental commitment.

Hudson Tech CEO Resignation Amid Strong Q3 Results

On November 3, 2025, Hudson Technologies announced the immediate resignation of Brian F. Coleman from his roles as Chairman, President, and CEO. The company is in the final stages of selecting a new CEO and has appointed CFO Brian Bertaux as interim CEO. The announcement coincided with the release of strong preliminary third-quarter financial results, showing a 20% revenue increase and a 59% net income growth compared to the previous year. This transition marks a significant moment for Hudson Technologies, as it positions itself for future growth with a strong financial standing and strategic industry positioning.

The most recent analyst rating on (HDSN) stock is a Hold with a $10.00 price target. To see the full list of analyst forecasts on Hudson Tech stock, see the HDSN Stock Forecast page.

Hudson Tech Secures $210M Contract with DLA

On October 22, 2025, Hudson Technologies announced it has been awarded a new contract as the prime contractor with the United States Defense Logistics Agency (DLA), valued at approximately $210 million for the first five-year base period. This contract, which Hudson has held since 2016, involves the management and supply of refrigerants and related items to U.S. Military Commands and Federal civilian agencies, reinforcing the company’s strong partnership with the DLA and its role in providing critical materials to military installations.

The most recent analyst rating on (HDSN) stock is a Hold with a $10.00 price target. To see the full list of analyst forecasts on Hudson Tech stock, see the HDSN Stock Forecast page.