Hillenbrand (HI) AI Stock Analysis

• Market Cap: $1.39B
• Dividend Yield: 4.53%
• Average Volume (3M): 624.80K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.51
• Revenue Growth: 0.31%
• EPS Growth: -423.59%
• Country: US
• Employees: 10,450
• Sector: Industrials
• Sector Strength: 77
• Industry: Industrial - Machinery
• EPS (TTM): 0.60
• Shares Outstanding: 70,453,926
• 10 Day Avg. Volume: 828,898
• 30 Day Avg. Volume: 624,798
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 2.36
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 3.11
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $24.00
• Price Target Upside: 22.57% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

Hillenbrand faces key challenges with negative earnings and high leverage as primary concerns. Strategic restructuring and a strong dividend yield provide some positives, but technical indicators are bearish, and valuation metrics are weak, resulting in a moderate overall outlook.

Hillenbrand Business Overview & Revenue Model

Company Description

Hillenbrand, Inc. (HI) is a diversified industrial company primarily focused on manufacturing and engineering solutions. The company operates through multiple business segments, including Advanced Process Solutions and Molding Technology Solutions, serving industries such as plastics, food, and pharmaceuticals. Hillenbrand's core products and services include industrial equipment, processing systems, and related aftermarket parts and services.

How the Company Makes Money

Hillenbrand makes money through the sale of industrial equipment and systems, as well as the provision of aftermarket parts and services. The company's revenue streams are diversified across its business segments, with the Advanced Process Solutions segment contributing significantly through the sale of processing equipment and systems used in industries like plastics and food processing. The Molding Technology Solutions segment generates revenue by providing machinery and equipment for various molding applications. Hillenbrand also benefits from ongoing service contracts and the sale of replacement parts, which provide a steady stream of recurring revenue. Key partnerships with industry leaders and a focus on expanding its global footprint contribute to Hillenbrand's earnings by enhancing its market reach and customer base.

Hillenbrand Financial Statement Overview

Summary

Hillenbrand is facing profitability challenges, as evidenced by declining revenues and negative net income in TTM. Despite these hurdles, the company maintains a stable balance sheet with moderate leverage and positive cash flow generation, offering some financial stability.

Income Statement

Hillenbrand's revenue has shown fluctuations with a recent decline in TTM. The gross profit margin remains robust at approximately 33.7% in TTM, but the net profit margin has deteriorated significantly, leading to a negative net income. The EBIT margin is low at 1.8% in TTM, and EBITDA is currently negative, indicating operational challenges.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio of 1.46, indicating some leverage. Return on equity is negative due to recent net losses. However, the equity ratio stands at approximately 28.3%, suggesting a reasonable level of equity relative to total assets.

Cash Flow

Operating cash flow has remained positive, showing resilience despite net losses. The free cash flow growth rate is strong, with a notable increase in TTM. However, the cash flow from financing activities has been negative, indicating a reduction in external funding.

Breakdown
Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
3.18B	2.83B	2.94B	2.86B	2.52B
	Gross Profit
1.06B	948.20M	954.60M	957.30M	813.30M
	EBIT
246.30M	411.80M	386.90M	375.50M	203.70M
	EBITDA
140.10M	420.20M	401.50M	546.50M	330.40M
	Net Income Common Stockholders
-211.00M	569.70M	208.90M	249.90M	-53.40M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
199.30M	242.90M	234.10M	446.10M	302.20M
	Total Assets
5.24B	5.55B	3.87B	4.01B	3.99B
	Total Debt
2.03B	2.10B	1.31B	1.32B	1.67B
	Net Debt
1.83B	1.86B	1.08B	872.40M	1.37B
	Total Liabilities
3.78B	3.88B	2.76B	2.78B	2.91B
	Stockholders Equity
1.42B	1.63B	1.08B	1.21B	1.06B
Cash Flow		Free Cash Flow
137.10M	137.70M	140.80M	488.40M	318.90M
	Operating Cash Flow
191.30M	207.00M	191.10M	528.40M	354.80M
	Investing Cash Flow
26.80M	-729.90M	-143.40M	126.00M	-1.30B
	Financing Cash Flow
-227.10M	693.40M	-244.20M	-523.30M	854.90M

Hillenbrand Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 19.58
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HI, the sentiment is Negative. The current price of 19.58 is below the 20-day moving average (MA) of 21.17, below the 50-day MA of 23.77, and below the 200-day MA of 29.54, indicating a bearish trend. The MACD of -0.99 indicates Negative momentum. The RSI at 37.51 is Neutral, neither overbought nor oversold. The STOCH value of 9.75 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HI.

Hillenbrand Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GRC	78 Outperform	$963.16M	21.57	12.06%	2.00%	0.92%	21.96%
SXI	68 Neutral	$1.90B	31.27	9.29%	0.79%	2.67%	-18.41%
TNC	65 Neutral	$1.32B	20.01	11.04%	1.60%	1.35%	-40.63%
Sector *	64 Neutral	$4.25B	11.69	5.23%	249.83%	4.04%	-9.46%
XMTR	63 Neutral	$1.55B	―	-15.50%	―	19.35%	27.83%
ENOV	50 Neutral	$1.95B	―	-27.69%	―	23.46%	-1552.75%
HI	48 Neutral	$1.39B	―	-18.22%	4.53%	0.31%	-423.59%

Hillenbrand Corporate Events

Hillenbrand Reports 9% Revenue Decline in Q2 2025

On April 29, 2025, Hillenbrand reported a 9% decrease in revenue for the fiscal second quarter ending March 31, 2025, primarily due to lower volume in the Advanced Process Solutions segment. The company completed the sale of its majority stake in the Milacron injection molding and extrusion business, using the proceeds to reduce debt and focus on more profitable sectors. Despite a challenging macroeconomic environment with increased tariffs and uncertainty, Hillenbrand remains optimistic about its long-term growth prospects and competitive positioning.

Spark’s Take on HI Stock

According to Spark, TipRanks’ AI Analyst, HI is a Neutral.

Hillenbrand’s overall stock score reflects a challenging environment with negative earnings and high leverage as primary concerns. Despite strategic restructuring and strong performance in certain segments, technical indicators are bearish, and valuation metrics are mixed, providing a moderate outlook.

To see Spark’s full report on HI stock, click here.

Hillenbrand Sells Majority Stake in Milacron to Bain

On March 31, 2025, Hillenbrand, Inc. completed the sale of its majority interest in the Milacron injection molding and extrusion business to Bain Capital for $287 million. This transaction, part of Hillenbrand’s strategic portfolio transformation, allows the company to focus on its core process and automation equipment for the food, pharmaceutical, and polymer markets. Hillenbrand retains a 49% stake in Milacron, while Bain Capital takes operational control, aiming to drive future growth and success for Milacron. The net proceeds of approximately $250 million after tax will be used to reduce Hillenbrand’s debt.