Want to see HHS full AI Analyst Report?
Harte-Hanks (HHS) Risk Analysis
Risk Overview Q2, 2026
Source: the company's latest filing for the period ended Jun 30, 2026, filed Aug 14, 2026
Risk Change Over Time
- Corporate Activity and Growth - Risk 1We will be subject to business uncertainties while the merger is pending, which could adversely affect our business.
It is possible that certain persons with whom we have a business relationship may delay certain business decisions relating to us in connection with the pendency of the merger or they might decide to seek to terminate, change or renegotiate their relationships with us as a result of the merger, which could negatively affect our revenues, earnings and cash flows, as well as the market price of our common stock, regardless of whether the merger is completed. Also, our ability to attract, retain and motivate employees may be impaired while the merger is pending as current and prospective employees may experience uncertainty about their roles within the combined company following the merger. In addition, under the terms of the merger agreement, we are subject to certain restrictions on the conduct of our business prior to the completion of the merger, which may adversely affect our ability to execute certain of our business strategies, including the ability in certain cases to modify or enter into certain contracts, acquire or dispose of assets, hire or terminate certain employees or take other specified actions regarding employees and compensation, or incur certain indebtedness, incur encumbrances, make capital expenditures, issue shares or settle claims. Such limitations could negatively affect our business and operations prior to the completion of the merger.
- Corporate Activity and Growth - Risk 2Even if the merger is completed, the integration of Harte Hanks by Star Equity may not be as successful as anticipated.
The success of the merger will depend, in part, on Star Equity's ability to realize the anticipated benefits and cost savings from combining our and Star Equity's businesses, and there can be no assurance that the combined company will be able to successfully realize the expected benefits of the merger, which in turn could impact the value of preferred stock of Star Equity that is issued as merger consideration.
- Corporate Activity and Growth - Risk 3We expect to incur significant transaction fees and costs in connection with the merger.
We have incurred and expect to continue to incur a number of non-recurring costs associated with negotiating and completing the merger. These fees and costs have been, and will continue to be substantial and, in many cases, will be borne by us whether or not the transaction is completed. A substantial majority of our non-recurring expenses will consist of transaction costs related to the merger and include, among others, fees paid to financial, legal, accounting and other advisors.
Risk Highlights Q2, 2026
Risk Word Cloud
Risk Factors Full Breakdown - Total Risks 30
- Share Price & Shareholder Rights - Risk 1Our certificate of incorporation and bylaws contain anti-takeover protections that may discourage or prevent strategic transactions, including a takeover of our company, even if such a transaction would be beneficial to our stockholders.
Provisions contained in our certificate of incorporation and bylaws, in conjunction with the provisions of the Delaware General Corporation Law, could delay or prevent a third party from entering a strategic transaction with us, even if such a transaction would benefit our stockholders. For example, our certificate of incorporation and bylaws do not allow written consents by stockholders and have strict advance notice and disclosure requirements for nominees and stockholder proposals.
- Share Price & Shareholder Rights - Risk 2We are a "smaller reporting company," and the reduced disclosure requirements applicable to smaller reporting companies may make our common stock less attractive to investors.
We are a "smaller reporting company" as defined in the Exchange Act. We may continue to be a smaller reporting company if either (i) the market value of our stock held by non-affiliates is less than $250.0 million or (ii) our annual revenue is less than $100.0 million during the most recently completed fiscal year and the market value of our stock held by non-affiliates is less than $700.0 million. We have elected to take advantage of certain of the scaled disclosures available to smaller reporting companies and may continue to rely on such exemptions. Specifically, as a smaller reporting company we may choose to present only the two most recent fiscal years of audited financial statements in our Annual Reports on Form 10-K.
See a full breakdown of risk according to category and subcategory. The list starts with the category with the most risk. Click on subcategories to read relevant extracts from the most recent report.