High Liner Foods (HLF) AI Stock Analysis

• Market Cap: C$489.18M
• Dividend Yield: 4.73%
• Average Volume (3M): 31.42K
• Price to Earnings (P/E): 7.6
• Beta (1Y): 0.45
• Revenue Growth: 1.05%
• EPS Growth: 13.40%
• Country: CA
• Employees: 1,215
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 0.53
• Shares Outstanding: 28,980,114
• 10 Day Avg. Volume: 24,630
• 30 Day Avg. Volume: 31,424
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$20.17
• Price Target Upside: 18.65% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 68 Neutral
• Price Target: C$18.00 ▲(5.88% Upside)

High Liner Foods' overall stock score reflects a combination of stable financial performance, attractive valuation, and moderate technical indicators. The company's strategic acquisitions and sales growth are positive, but challenges such as margin compression and increased debt weigh on the score. The attractive dividend yield and low P/E ratio provide a cushion, making it a potentially appealing investment for value-oriented investors.

Positive Factors

Sales and Volume Growth

The significant increase in sales and volume indicates strong demand and effective market penetration, supporting long-term revenue growth and market position.

Strategic Acquisitions

The acquisition enhances market share and operational synergies, positioning High Liner Foods as a leading player in the U.S. frozen seafood market.

U.S. Retail Market Share

Gaining market share in the U.S. retail sector strengthens competitive positioning and supports sustained growth in a key market.

Negative Factors

Gross Margin Compression

Margin compression due to tariffs and raw material costs could pressure profitability, affecting long-term financial performance.

Net Income Decline

A significant decline in net income highlights challenges in cost management and profitability, potentially impacting future earnings.

Increased Net Debt

Rising debt levels may constrain financial flexibility and increase risk, affecting the company's ability to invest in growth opportunities.

High Liner Foods Business Overview & Revenue Model

Company Description

High Liner Foods Incorporated processes and markets prepared and packaged frozen seafood products in North America. The company provides a range of frozen seafood products, including raw fillets and shellfish, cooked shellfish; and value added products, which include sauced, glazed, breaded and battered seafood, seafood entrees, and breaded cheese sticks, including High Liner, Fisher Boy, Sea Cuisine, Catch of the Day, C.Wirthy & Co., High Liner Foodservice, Mirabel, Icelandic Seafood, and FPI brands. It sells its products directly, as well as through distributors to retail and club stores; and through foodservice distributors to hotels, restaurants, and healthcare and educational organizations. The company was founded in 1899 and is headquartered in Lunenburg, Canada.

How the Company Makes Money

High Liner Foods generates revenue primarily through the sale of its frozen seafood products across North America. The company operates a business-to-business model by supplying its products to foodservice distributors, which then distribute them to restaurants, hotels, and other foodservice establishments. Additionally, High Liner Foods sells directly to retail grocery stores, where consumers can purchase their products. The company's revenue streams are bolstered by its strong brand portfolio and its ability to innovate and introduce new products that cater to consumer preferences and trends. Strategic partnerships with seafood suppliers and retailers also play a significant role in ensuring a stable supply chain and broad market presence, contributing to the company's earnings.

High Liner Foods Financial Statement Overview

Summary

High Liner Foods shows stable margins and operational efficiency, but faces challenges with declining revenues and fluctuating cash flows, which could impact growth.

Income Statement

High Liner Foods has maintained relatively stable margins, with a consistent Gross Profit Margin around 22-23% and a Net Profit Margin around 6-7% in recent periods. However, there is a notable decline in revenue from 2023 to 2024, indicating potential challenges in sales growth. The company has managed to improve EBIT and EBITDA margins over time, signaling operational efficiency despite revenue fluctuations.

Balance Sheet

The company's Debt-to-Equity ratio has improved, showing reduced leverage from previous years. The Return on Equity is relatively strong, indicating efficient use of equity capital. However, the Equity Ratio remains moderate, suggesting a balanced but cautious capital structure. The company appears to be managing its liabilities effectively while maintaining a stable equity base.

Cash Flow

High Liner Foods demonstrates consistent positive Free Cash Flow in the recent periods, although there is a decline in Operating Cash Flow from 2023 to TTM 2025. The Free Cash Flow to Net Income Ratio is healthy, indicating effective conversion of earnings to cash. However, fluctuations in cash flow from operating activities may pose risks to financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	971.97M	959.22M	1.08B	1.07B	875.40M	827.45M
Gross Profit	216.14M	217.27M	218.69M	229.93M	198.54M	177.92M
EBITDA	103.43M	115.09M	85.17M	106.41M	86.27M	78.09M
Net Income	48.04M	60.16M	31.68M	54.73M	42.25M	28.80M
Balance Sheet
Total Assets	873.86M	849.31M	834.40M	1.00B	826.47M	776.56M
Cash, Cash Equivalents and Short-Term Investments	2.34M	19.95M	10.50M	5.82M	983.00K	33.15M
Total Debt	257.87M	228.98M	253.56M	380.69M	266.19M	303.82M
Total Liabilities	455.28M	443.58M	448.54M	630.07M	493.94M	485.56M
Stockholders Equity	418.58M	405.73M	385.86M	373.42M	332.52M	291.00M
Cash Flow
Free Cash Flow	17.38M	66.78M	160.26M	-96.83M	8.37M	94.05M
Operating Cash Flow	38.99M	90.59M	179.31M	-76.16M	28.68M	103.00M
Investing Cash Flow	-47.67M	-40.24M	-18.80M	-20.67M	-20.32M	-8.95M
Financing Cash Flow	-7.47M	-40.66M	-153.85M	100.14M	-41.42M	-63.86M

High Liner Foods Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:HLF, the sentiment is Positive. The current price of 17 is above the 20-day moving average (MA) of 16.67, above the 50-day MA of 16.33, and above the 200-day MA of 16.55, indicating a bullish trend. The MACD of 0.10 indicates Negative momentum. The RSI at 59.57 is Neutral, neither overbought nor oversold. The STOCH value of 77.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:HLF.

High Liner Foods Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MFI	71 Outperform	C$3.61B	19.64	11.29%	2.60%	5.44%	1391.43%
HLF	68 Neutral	C$489.18M	7.61	12.01%	4.73%	1.05%	13.40%
PBH	65 Neutral	C$4.41B	46.83	5.36%	3.49%	8.42%	-17.99%
SAP	63 Neutral	C$13.96B	42.30	-2.20%	2.19%	7.58%	-155.93%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%

High Liner Foods Corporate Events

High Liner Foods Appoints New CFO to Drive Growth

High Liner Foods has appointed Kimberly Stephens as Chief Financial Officer, succeeding Darryl Bergman, who will remain in an advisory role until October 3, 2025, to ensure a smooth transition. Stephens, who has over 25 years of financial experience and has been with High Liner Foods for three years, is expected to play a key role in advancing the company’s growth agenda in the dynamic global seafood industry.

The most recent analyst rating on (TSE:HLF) stock is a Hold with a C$17.50 price target. To see the full list of analyst forecasts on High Liner Foods stock, see the TSE:HLF Stock Forecast page.

High Liner Foods’ Earnings Call: Mixed Results and Future Prospects

The recent earnings call for High Liner Foods presented a mixed sentiment, reflecting both achievements and challenges. On the positive side, the company reported significant sales and volume growth, driven by successful promotional activities and a strategic acquisition. However, these gains were counterbalanced by challenges such as tariff impacts, gross margin compression, and increased net debt. The company remains optimistic about managing these challenges, but the current financial picture is somewhat balanced, with notable achievements offset by significant hurdles.

High Liner Foods Sees Growth in Q2 2025 Amid Strategic Expansion

High Liner Foods reported an increase in volume, net sales, and adjusted EBITDA for the second quarter of 2025 compared to the previous year, despite a decrease in net income and gross profit margins. The company attributes its growth to improved retail sales and foodservice volumes, aided by a later Lent, and plans to continue expanding its U.S. market footprint by integrating new brands and optimizing operational efficiencies.

The most recent analyst rating on (TSE:HLF) stock is a Hold with a C$14.50 price target. To see the full list of analyst forecasts on High Liner Foods stock, see the TSE:HLF Stock Forecast page.

High Liner Foods Sees Growth in Q2 2025 Despite Profit Margin Challenges

High Liner Foods reported an increase in volume, net sales, and adjusted EBITDA for the second quarter of 2025, with retail sales and foodservice volumes showing significant improvement. Despite a decrease in net income and gross profit margins, the company remains optimistic about future growth opportunities, driven by its strategic integration of new brands and operational efficiencies.

The most recent analyst rating on (TSE:HLF) stock is a Hold with a C$14.50 price target. To see the full list of analyst forecasts on High Liner Foods stock, see the TSE:HLF Stock Forecast page.

High Liner Foods to Engage Investors at Canaccord Genuity Conference

High Liner Foods announced its participation in Canaccord Genuity’s 45th Annual Growth Conference, where President and CEO Paul Jewer will discuss the company’s growth strategy and recent acquisitions. The event presents an opportunity for High Liner Foods to engage with institutional investors and highlight its strategic positioning in the evolving North American seafood market.

The most recent analyst rating on (TSE:HLF) stock is a Hold with a C$16.40 price target. To see the full list of analyst forecasts on High Liner Foods stock, see the TSE:HLF Stock Forecast page.

High Liner Foods to Announce Q2 2025 Earnings

High Liner Foods announced that it will release its second quarter earnings for 2025 on August 7, with a conference call scheduled for August 8 to discuss the financial results. This announcement is significant for stakeholders as it provides insights into the company’s financial performance and strategic positioning in the competitive frozen seafood industry.

The most recent analyst rating on (TSE:HLF) stock is a Hold with a C$14.50 price target. To see the full list of analyst forecasts on High Liner Foods stock, see the TSE:HLF Stock Forecast page.