Helios Technologies (HLIO) AI Stock Analysis

• Market Cap: $1.06B
• Dividend Yield: 1.13%
• Average Volume (3M): 397.71K
• Price to Earnings (P/E): 28.6
• Beta (1Y): 1.01
• Revenue Growth: -5.39%
• EPS Growth: 12.14%
• Country: US
• Employees: 2,500
• Sector: Industrials
• Sector Strength: 83
• Industry: Industrial - Machinery
• EPS (TTM): 0.44
• Shares Outstanding: 33,331,814
• 10 Day Avg. Volume: 381,667
• 30 Day Avg. Volume: 397,709
• PEG Ratio: 0.92
• Price to Book (P/B): 2.52
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 22.25
• Enterprise Value/Market Cap: 2.04
• Enterprise Value/Revenue: 0.67
• Enterprise Value/Gross Profit: 9.15
• Enterprise Value/Ebitda: 3.58
• 1Y Price Target: $44.00
• Price Target Upside: 38.19% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 66 Neutral
• Price Target: $34.00 ▲(6.78%Upside)

Helios Technologies' overall stock score reflects a mix of stable financial health with noted challenges, a neutral technical outlook, and a high valuation that suggests potential overvaluation. The company's strategic initiatives and mitigation efforts against macroeconomic challenges provide a cautiously optimistic future outlook, despite current pressures on revenue and profitability.

Positive Factors

Leadership and Management

The Board has unanimously determined that Sean Bagan is the right choice to lead Helios Technologies into the future.

Revenue Performance

Helios Technologies reported $179.5 million in revenue, surpassing expectations from both Stifel and the Street.

Share Repurchase Plan

The initiation of a $100 million share repurchase plan signals confidence in cash flow.

Negative Factors

Market Demand

Helios added a significant amount of capacity to satisfy volume it doesn't have, through weak markets and a lack of large system orders.

Strategic Acquisitions

The last two CEOs have pursued acquisitions aimed at growth and diversification, but this strategy has destroyed rather than created shareholder value.

Helios Technologies Business Overview & Revenue Model

Company Description

Helios Technologies, Inc., together with its subsidiaries, develops, manufactures, and sells solutions for the hydraulics and electronics markets in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company operates in two segments, Hydraulics and Electronics. The Hydraulics segment offers cartridge valve technology products to control rates and direction of fluid flow, and to regulate and control pressures for industrial and mobile applications; quick release coupling solutions for the agriculture, construction equipment, and industrial markets; and hydraulic system design that provides engineered solutions for machine users, manufacturers, or designers. This segment sells its products under the Sun Hydraulics, Faster, and Custom Fluidpower brands. The Electronics segment offers displays, controls, and instrumentation products for off-highway, recreational and commercial marine, power sports and specialty vehicles, agriculture and water pumping, power generation, health and wellness, and engine-driven industrial equipment markets. This segment sells its products under the Enovation Controls, Murphy, and Balboa Water Group brands. It sells its hydraulic products primarily through value-add distributors, as well as directly to original equipment manufacturers; and electronic products to original equipment manufacturer customers. The company was formerly known as Sun Hydraulics Corporation and changed its name to Helios Technologies, Inc. in June 2019. Helios Technologies, Inc. was founded in 1970 and is headquartered in Sarasota, Florida.

How the Company Makes Money

Helios Technologies generates revenue through the sale of its innovative motion control and electronic control technologies. Its key revenue streams include the sales of hydraulic cartridge valves and quick release couplings, which are integral to fluid power systems, and electronic controls that support automation and precision in various industrial applications. The company leverages its extensive manufacturing capabilities and global distribution network to reach a broad customer base. Strategic partnerships with OEMs (original equipment manufacturers) and distributors further enhance its market presence and revenue potential. Additionally, Helios Technologies invests in research and development to continuously innovate and expand its product offerings, ensuring its solutions remain at the forefront of technological advancements.

Helios Technologies Financial Statement Overview

Summary

Helios Technologies demonstrates modest financial health with stable but declining revenues, satisfactory cash flow management, and a strong balance sheet. The company faces challenges in improving profitability and revenue growth. However, its cash position and equity strength provide a solid foundation to address these issues.

Income Statement

Helios Technologies has experienced a decline in revenue over the past year, with TTM (Trailing-Twelve-Months) revenue at $789.4M compared to $805.9M in the previous year. The gross profit margin stands at 30.0% in TTM, showing a decrease from the previous year. Net profit margin has also decreased to 4.7% TTM from 4.8%. EBIT and EBITDA margins are stable but indicate a need for operational improvements to enhance profitability.

Balance Sheet

The company maintains a healthy equity ratio of 57.7% TTM, indicating a strong equity position. However, the debt-to-equity ratio is 0.48, reflecting a moderate level of leverage. The return on equity (ROE) is relatively low at 4.2% TTM, suggesting limited returns on shareholders' investments.

Cash Flow

Helios Technologies shows a solid operating cash flow to net income ratio of 3.32 TTM, indicating strong cash generation relative to net income. Free cash flow has declined in TTM, but it remains positive, suggesting reasonable cash management. The free cash flow to net income ratio is 2.49 TTM, highlighting efficient cash utilization.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Mar 2022	Mar 2021
Income Statement		Total Revenue
789.40M	805.90M	835.60M	885.40M	869.18M	523.04M
	Gross Profit
237.10M	252.30M	261.70M	298.50M	312.81M	196.23M
	EBIT
78.50M	81.80M	79.90M	137.30M	149.31M	97.60M
	EBITDA
147.00M	81.80M	144.20M	189.30M	198.00M	73.31M
	Net Income Common Stockholders
37.10M	39.00M	37.50M	98.40M	104.60M	14.20M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
45.90M	44.10M	32.40M	43.70M	28.54M	25.22M
	Total Assets
1.53B	1.51B	1.59B	1.46B	1.42B	1.30B
	Total Debt
426.70M	430.50M	548.50M	444.50M	444.33M	462.07M
	Net Debt
380.80M	386.40M	516.10M	400.80M	415.79M	436.85M
	Total Liabilities
645.10M	641.00M	735.80M	668.80M	706.38M	689.19M
	Stockholders Equity
881.20M	864.40M	854.60M	794.90M	708.96M	607.79M
Cash Flow		Free Cash Flow
92.40M	95.10M	43.50M	74.90M	83.91M	93.11M
	Operating Cash Flow
123.30M	122.10M	83.90M	109.90M	113.20M	108.56M
	Investing Cash Flow
-30.80M	-30.30M	-153.90M	-90.80M	-90.27M	-235.90M
	Financing Cash Flow
-84.30M	-78.40M	57.90M	-6.90M	-22.60M	137.74M

Helios Technologies Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 31.84
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HLIO, the sentiment is Negative. The current price of 31.84 is above the 20-day moving average (MA) of 31.67, above the 50-day MA of 29.99, and below the 200-day MA of 40.50, indicating a neutral trend. The MACD of 0.61 indicates Positive momentum. The RSI at 50.41 is Neutral, neither overbought nor oversold. The STOCH value of 44.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HLIO.

Helios Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
THR	75 Outperform	$898.69M	17.36	11.03%	―	0.48%	-5.52%
GRC	73 Outperform	$926.35M	20.83	12.06%	2.10%	0.92%	21.96%
RRX	72 Outperform	$9.27B	39.79	3.69%	1.00%	-10.19%	―
SXI	69 Neutral	$1.90B	31.07	9.29%	0.81%	2.67%	-18.41%
HLIO	66 Neutral	$1.06B	28.58	4.27%	1.13%	-5.39%	12.14%
Sector *	66 Neutral	$4.46B	12.11	5.38%	5.02%	4.17%	-11.82%
HI	50 Neutral	$1.36B	―	-18.22%	4.66%	0.31%	-423.59%

Helios Technologies Corporate Events

Helios Technologies Appoints Ian Walsh to Board

On June 11, 2025, Helios Technologies announced the appointment of Ian Walsh to its Board of Directors, effective June 5, 2025. Walsh, who brings extensive leadership experience from the aerospace and defense industry, will serve on the Audit and Governance Committees. This appointment is expected to strengthen the Board as Helios aims to return to growth and improve profitability.

The most recent analyst rating on (HLIO) stock is a Buy with a $68.00 price target. To see the full list of analyst forecasts on Helios Technologies stock, see the HLIO Stock Forecast page.

Helios Technologies Approves Key Proposals at Annual Meeting

On June 4, 2025, Helios Technologies held its Annual Meeting of Shareholders where three key proposals were approved. Doug Britt, Diana Sacchi, and Sean Bagan were elected as directors with terms expiring in 2028 and 2027, respectively. Additionally, Grant Thornton LLP was ratified as the independent registered public accounting firm for the upcoming fiscal year, and the executive compensation package was approved on an advisory basis.

The most recent analyst rating on (HLIO) stock is a Buy with a $68.00 price target. To see the full list of analyst forecasts on Helios Technologies stock, see the HLIO Stock Forecast page.

Helios Technologies Declares 114th Consecutive Quarterly Dividend

On June 5, 2025, Helios Technologies announced a quarterly cash dividend of $0.09 per share, marking its 114th consecutive quarterly dividend since 1997. This consistent dividend policy underscores Helios’ commitment to returning value to shareholders and highlights its stable financial performance and strategic market positioning.

The most recent analyst rating on (HLIO) stock is a Buy with a $58.00 price target. To see the full list of analyst forecasts on Helios Technologies stock, see the HLIO Stock Forecast page.

Helios Technologies Announces Leadership Change in Electronics Segment

On March 31, 2025, Helios Technologies announced a leadership change in its Electronics Segment, with Billy Aldridge appointed as Senior Vice President, Managing Director, replacing Lee Wichlacz. This realignment is expected to enhance customer engagement and streamline operations, positioning the Electronics Segment to better achieve its strategic initiatives and 2025 objectives.