Hill-Rom stock: buy or sell?

HRC stock price: $104.26 -1.36% At close on August 23rd, 2019

Updated on:
August 23rd, 2019

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Shares of Hill-Rom decreased a fatal -1.36% and closed at $104.26.

Hill-Rom Holdings, Inc. operates as a medical technology company worldwide. It provides medical surgical beds, intensive care unit beds, bariatric patient beds, lifts and other devices, non-invasive therapeutic products and surfaces, and communications technologies and software solutions; and medical equipment management services, as well as sells equipment service contracts for its capital equipment.

Should I buy Hill-Rom stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. That's why is so important to define your own trading plan that matches with your character as inversor. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

None of our preferred buy setups matches with Hill-Rom stock situation right now, hence this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is Hill-Rom stock a buy?

Banks and financial institutions publish stock ratings everyday. At Stocks2.com, we collected 6 ratings published for HRC stock in the last month.

The general sentiment of these ratings is bullish for HRC stock, with 3 positive ratings.
Is HRC a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-6Needham & Company LLCn/aBuy
2019-8-6Barclaysn/aEqual Weight
2019-8-5KeyCorpn/aOverweight
2019-4-15BarclaysEqual WeightEqual Weight
2019-3-11Needham & Company LLCn/aBuy
2019-1-2Morgan StanleyEqual WeightEqual Weight

Hill-Rom stock analysis

Daily outlook

Hill-Rom decreased a fatal -1.36% and closed at $104.26.

Shares of Hill-Rom closed today at $104.26 and decreased a fatal -1.36%. On August 1st, HRC hit new all time highs, pushing higher previous ATH of $108.47 recorded on March. New ATHs are usual entry points for many trading setups as there aren't higher resistences. Since last June when HRC stock price broke up the SMA200d line, it gained $8.30 (8.65%). Since SMA50d and SMA100d crossed up on July 24th, HRC price slid a -1.92%.

HRC stock chart (daily)

Weekly outlook

Hill-Rom shares decreased -0.94% this week, ending at $104.26.

Observing the weekly chart, price is in a simple uptrend, tested $99.20 level and now climbing back aiming its last top at $109.18. Not so far away is the last price record Hill-Rom marked late July. Early June HRC price bounced up over the SMA of 40 weeks that acted as support stopping new slides. Since late July when SMA10w and SMA20w crossed up, HRC price slipped $-0.84 per share (-0.80%).

HRC stock chart (weekly)

Hill-Rom stock price history

Hill-Rom stock historical price chart

HRC stock reached all-time highs on Aug 1st with a price of $109.18.

Hill-Rom stock price target is $114.70

Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. The accuracy of these stock price predictions is not very high, and you should not blindly believe and make decisions only based on what this ratings or price target predictions say. For the last month we found 6 price forecasts for HRC stock:
HRC stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-8-6Needham & Company LLCReiteratesn/a$125.00-
2019-8-6BarclaysRaises Target$108.00$116.007.4%
2019-8-5KeyCorpRaises Target$114.00$125.009.6%
2019-4-15BarclaysRaises Target$103.00$108.004.9%
2019-3-11Needham & Company LLCReiteratesn/a$116.00-
2019-1-2Morgan StanleyLowers Target$100.00$98.00-2%
(in average)$106.30$114.708.0%
Moving in a range from $125.00 and $98.00, the price target for HRC stock is $114.70. In average, analysts' outlook on HRC price target is positive, improving the forecast by a 8.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

Since April, when Hill-Rom presented its last earnings report, it soared a shining 8.53%. As soon as we get its actual EPS from the earnings report, we will extend this review.
HRC earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a0.74n/a
2017-Q32017-11-031.281.323.1%
2017-Q42018-01-260.810.9213.6%
2018-Q12018-04-271.021.052.9%
2018-Q22018-07-271.131.151.8%
2018-Q32018-11-021.511.637.9%
2018-Q42019-01-250.981.024.1%
2019-Q12019-04-251.11n/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, Hill-Rom annual sales raised a decent 3.80% to $2,848.00 million USD from $2,743.70 marked in 2017. When comparing 2018 vs 2017, aligned with this, profit margin (that is, the net income divided by revenues) stepped up a 3.99% to 8.86%.

To have an up to date picture of the financial situation of Hill-Rom, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual Hill-Rom TTM sales up to March 2019 were $2,865.50 and income was $227.30 M dollars. When comparing this TTM figures with the last reported annuality, we can esteem Hill-Rom business evolution since September 2018: Annual turnover up to March, compared to lastest yearly report, stayed stable a slightly fine 0.61%. Regarding profit margin, Hill-Rom remained stable -0.93% to 8.86%

HRC annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$1,720 M-$105 M6.1%-
2014$1,686 M-1.97%$61 M3.6%-42.29%
2015$1,988 M17.92%$48 M2.4%-21.29%
2016$2,655 M33.55%$124 M4.7%160.17%
2017$2,744 M3.33%$134 M4.9%7.66%
2018$2,848 M3.80%$252 M8.9%88.92%
TTM $2,866 M0.61%$227 M7.9%-9.94%

Quarterly financial results

Hill-Rom reported $714.20 M in revenues for 2019-Q1, a 4.49% improvement compared to previous quarter. Reported quarter income marked $49.50 million with a profit margin of 6.93%. Profit margin stayed constant a 0.76% compared to previous quarter when profit margin was 6.17%. When comparing sales to same quarter last year, Hill-Rom sales marked a neutral movement and remained steady a 0.52%.
HRC quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$689 M-$6 M0.9%-
2017-Q3$738 M7.14%$69 M9.4%1,056.67%
2017-Q4$670 M-9.29%$88 M13.2%27.23%
2018-Q1$711 M6.09%$29 M4.0%-67.72%
2018-Q2$709 M-0.27%$45 M6.4%58.60%
2018-Q3$759 M7.14%$90 M11.9%100.00%
2018-Q4$684 M-9.97%$42 M6.2%-53.32%
2019-Q1$714 M4.49%$50 M6.9%17.30%

Hill-Rom ownership

When you are planning to buy a stock, it's always worth to have a look its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Hill-Rom, 0.15% of all outstanding shares are owned by its staff.

Bearish positions for HRC stock account 0.00%, no big difference from last month.

For a better context understanding, the following table shows ownership data compared to other related companies:

HRCCAHELMDGEIVC
Market cap$6.9 B$13.0 B$44.8 M$71.5 B$174.2 M
Total shares66.7 M298.1 M8.4 M8,730.0 M33.8 M
Float shares66.6 M296.8 M6.8 M8,720.0 M32.8 M
  - Institutional holdings (%)86.3%92.4%25.9%58.6%124.2%
  - Insider holdings (%)0.1%0.3%18.5%0.2%3.5%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

Hill-Rom summary

Friday, August 23rd, 2019
Open$105.64
Close$104.26
Day range$104.01 - $107.65
Previous close$105.70
Session gain-1.36%
Average true range$2.17
50d mov avg$105.31
100d mov avg$102.64
200d mov avg$100.02
Daily patternlb11a
Weekly pattern lb01a

Hill-Rom performance

To better understand Hill-Rom performance you must compare its gains with other related stocks in same sector or industry. We picked Cardinal Health, Electromed, General Electric, Invacare, Stryker and Zimmer Biomet as the bechmarking frame for Hill-Rom stock.
Stock3m6m12m
HRCHill-Rom7.35%0.13%7.13%
CAHCardinal Health-3.78%-18.65%-12.13%
ELMDElectromed-1.66%-5.66%4.51%
GEGeneral Electric-13.24%-16.09%-31.00%
IVCInvacare-22.41%-47.61%-65.78%
SYKStryker18.43%16.29%29.87%
ZBHZimmer Biomet19.98%10.63%10.23%

Hill-Rom competitors

We picked a few stocks to conform a list of Hill-Rom competitors to watch if you are interested in investing in HRC: