Hurco Companies (HURC) AI Stock Analysis

• Market Cap: $95.27M
• Dividend Yield: N/A
• Average Volume (3M): 37.93K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.14
• Revenue Growth: -6.13%
• EPS Growth: -6.61%
• Country: US
• Employees: 688
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): -0.57
• Shares Outstanding: 6,402,396
• 10 Day Avg. Volume: 19,216
• 30 Day Avg. Volume: 37,927
• PEG Ratio: 0.02
• Price to Book (P/B): 0.66
• Price to Sales (P/S): 0.73
• P/FCF Ratio: -36.26
• Enterprise Value/Market Cap: 0.97
• Enterprise Value/Revenue: 0.49
• Enterprise Value/Gross Profit: 2.48
• Enterprise Value/Ebitda: -13.15
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: $15.00 ▼(-1.64% Downside)

Hurco Companies' stock score is primarily impacted by its financial performance challenges, including declining revenue and profitability. Technical analysis indicates bearish momentum, and valuation metrics reflect operational risks. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Cash Flow Improvement

Improved cash flow management indicates better operational efficiency and financial health, providing more resources for investment and growth.

Low Leverage

Low leverage enhances financial stability and reduces risk, allowing the company to navigate economic fluctuations more effectively.

Leadership Continuity

Leadership continuity ensures strategic consistency and stability, supporting long-term business objectives and shareholder value.

Negative Factors

Declining Revenue

Declining revenue suggests challenges in maintaining market share and demand, potentially impacting future growth and profitability.

Negative Profitability

Sustained negative profitability indicates cost pressures and inefficiencies, threatening long-term financial health and competitive positioning.

Declining Equity

A declining equity base can limit the company's ability to fund growth and absorb financial shocks, posing risks to future stability.

Hurco Companies Business Overview & Revenue Model

Company Description

Hurco Companies, Inc. is a publicly traded corporation that specializes in the design and manufacture of computer-controlled machine tools and software for the metalworking industry. Established in 1968, the company operates primarily in the sectors of industrial machinery and equipment, providing advanced CNC (computer numerical control) solutions. Hurco's core products include vertical machining centers, horizontal machining centers, and CNC lathes, complemented by its proprietary software that enhances manufacturing efficiency and precision.

How the Company Makes Money

Hurco generates revenue primarily through the sale of its CNC machine tools, which are sold to manufacturers across various industries, including aerospace, automotive, and medical device production. The company also earns income through the sale of parts and accessories, as well as service contracts for ongoing maintenance and support for its equipment. A key revenue stream comes from its software solutions, which are bundled with its machinery or sold separately to enhance the operational capabilities of its products. Additionally, Hurco has established partnerships with distributors and resellers around the globe, expanding its market reach and contributing to its earnings. Factors such as innovation in product development, customer service, and a growing demand for automation in manufacturing processes further support Hurco's financial performance.

Hurco Companies Financial Statement Overview

Summary

Hurco Companies faces significant operational challenges with declining revenue and profitability. The balance sheet remains stable with low leverage, but declining equity raises concerns. Cash flow improvements are positive, yet negative net income continues to exert pressure.

Income Statement

Hurco Companies shows a negative trend with declining revenues and profitability. The TTM data indicates significant challenges with a negative net profit margin and EBIT margin, reflecting operational inefficiencies and cost pressures. Revenue has also decreased over the past year, indicating shrinking market position or demand.

Balance Sheet

The balance sheet reflects a stable capital structure with a low debt-to-equity ratio, suggesting financial stability and low leverage. However, a declining equity position over time indicates potential risks. The company retains strong equity ratio, but diminishing stockholders' equity is a concern for future growth support.

Cash Flow

Positive free cash flow in the TTM period marks an improvement in cash management, with a turnaround from negative to positive operating cash flow. However, the free cash flow to net income ratio remains challenging due to negative net income, indicating cash flow sustainability concerns amid operational losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	186.79M	186.58M	227.81M	250.81M	235.19M	170.63M
Gross Profit	37.18M	37.74M	56.17M	64.48M	56.25M	36.46M
EBITDA	-7.00M	-5.74M	11.13M	15.82M	14.34M	-6.16M
Net Income	-13.52M	-16.61M	4.39M	8.23M	6.76M	-6.25M
Balance Sheet
Total Assets	269.09M	268.64M	290.59M	306.24M	332.94M	295.65M
Cash, Cash Equivalents and Short-Term Investments	44.49M	33.33M	41.78M	63.92M	84.06M	57.86M
Total Debt	12.31M	11.68M	11.32M	8.79M	11.02M	12.12M
Total Liabilities	65.42M	61.47M	68.36M	83.59M	94.52M	64.51M
Stockholders Equity	203.67M	207.17M	222.23M	222.64M	238.42M	231.15M
Cash Flow
Free Cash Flow	10.96M	-3.76M	-15.40M	-6.16M	29.81M	9.28M
Operating Cash Flow	12.66M	-2.52M	-12.82M	-3.97M	32.17M	10.93M
Investing Cash Flow	-2.76M	-2.74M	-1.90M	-2.09M	-3.35M	-1.18M
Financing Cash Flow	-3.35M	-3.91M	-8.82M	-6.90M	-3.52M	-10.85M

Hurco Companies Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 15.25
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HURC, the sentiment is Negative. The current price of 15.25 is below the 20-day moving average (MA) of 15.41, below the 50-day MA of 16.50, and below the 200-day MA of 16.70, indicating a bearish trend. The MACD of -0.44 indicates Negative momentum. The RSI at 43.98 is Neutral, neither overbought nor oversold. The STOCH value of 46.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HURC.

Hurco Companies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TAYD	70 Neutral	$179.44M	21.88	15.12%	―	-3.64%	-4.12%
TWIN	66 Neutral	$223.30M	638.68	0.22%	0.99%	14.24%	-96.24%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
CVV	47 Neutral	$20.67M	-111.07	-0.73%	―	19.84%	95.71%
HURC	46 Neutral	$95.27M	-7.30	-6.59%	―	-6.13%	-6.61%
BURU	35 Underperform	$94.25M	―	―	―	-98.20%	93.77%

Hurco Companies Corporate Events

Hurco Reports Improved Q3 Results Amid Sales Growth

Hurco Companies, Inc., an industrial technology firm based in Indianapolis, specializes in selling computer numeric control (CNC) machine tools to the global metal cutting and forming industry, with operations spanning the Americas, Europe, and Asia. The company recently reported its financial results for the third quarter of fiscal year 2025, revealing a net loss of $3.7 million, an improvement from the $9.6 million loss in the same quarter of the previous year. Despite the loss, Hurco experienced a 7% increase in sales and service fees, reaching $45.8 million, driven by strong performance in the Americas and Asia Pacific regions.