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Hammond Power Solutions Inc (HPS-A) Fair Value & Analysis

Industrials · CA · Market cap C$3.7B

HP Hammond Power Solutions Inc HPS-A · TO
PriceC$282.07
Fair ValueC$71.91
Upside-74.5%
Quality57/100
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Evidence: High Range C$50.34 – C$159.29 📤 Share as image

Fair value as of: Jul 14, 2026

From 17 valuation models · updated 7 days ago

Share price −19.5% over the past month.

Price vs Fair Value (12 months)

C$359.85 C$111.97 Fair Value C$71.91 Jul 2025 Jul 2026

12‑month range C$111.97 – C$359.85 · fair‑value band C$50.34 – C$159.29 · the C$282.07 price screens above the C$71.91 fair value. As of Jul 14, 2026.

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Analysis

Hammond Power Solutions Inc (HPS-A) currently trades at C$282.07, while our model-based Fair Value estimate is C$71.91, implying the stock looks roughly 74.5% overvalued today. We read business quality at 57/100 (solid quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Hammond Power Solutions Inc generated revenue of C$962M at a net margin of 6.8%. Revenue grew 31.5% year over year. It earns a return on equity of 18.8%. Net debt stands at C$40.5M. Fundamentals as of Jul 14, 2026

Our scenario range runs from C$50.34 (bear case) to C$159.29 (bull case); at C$282.07, the current price sits above that range. The share trades about 21% below its 52-week high and 165% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -45% fair-value upside, at -75%, HPS-A screens richer than that median.

Key figures & financial health

Revenue (TTM) C$962M
Revenue growth (YoY) +31.5%
Net margin 6.8%
Return on equity 18.8%
Free cash flow −C$12.5M FY2025
P/E ratio 56.8
More key figures
Operating margin 11.0%
EPS (TTM) C$5.51
Dividend yield 0.4%
EPS growth (YoY) -25.5%
Net debt C$40.5M FY2025

Figures from reported company fundamentals (EODHD) · as of Jul 14, 2026. TTM = trailing twelve months.

About the company

Hammond Power Solutions Inc., together with its subsidiaries, engages in the design, manufacture, and sale of various transformers in Canada, the United States, Mexico, and India. It offers buck-boost, control, distribution, drive isolation, encapsulated, furnace, multi-pulse, pad mounted, and regulating transformers; and active harmonic filters, autotransformers, dV/dT filters, and reactors, as well as medium voltage distribution and unitized substations products. The company also offers DC power supplies. It serves renewable energy, commercial infrastructure, industrial, off-shore drilling, mining and construction, petro-chemical, power grid infrastructure, and EV charging industries. Hammond Power Solutions Inc. was founded in 1917 and is headquartered in Guelph, Canada.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Hammond Power Solutions Inc reported revenue of C$898M in FY2025 versus C$380M in FY2021, a compound +24.0%/yr. Reported net income was C$72.2M in FY2025, compounding +47.7%/yr from FY2021.

Revenue +24.0%/yr
FY21 C$380M
FY22 C$558M
FY23 C$710M
FY24 C$788M
FY25 C$898M
Net income +47.7%/yr
FY21 C$15.2M
FY22 C$44.8M
FY23 C$63.4M
FY24 C$71.5M
FY25 C$72.2M

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Cite: Fair Value Calculator (2026). "Hammond Power Solutions Inc Fair Value". https://www.fairvalue-calculator.com/stock/HPS-A

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10 more Electrical Equipment & Parts stocks, each showing price versus our Fair Value estimate (as of Jul 14, 2026).

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Frequently asked questions

Is Hammond Power Solutions Inc (HPS-A) undervalued?
As of Jul 14, 2026, our model estimates a fair value of C$71.91 versus a price of C$282.07, about −75% (overvalued). Model-based estimate, not financial advice.
What is the fair value of HPS-A?
Our model-based fair value for Hammond Power Solutions Inc is C$71.91 (as of Jul 14, 2026), built from audited fundamentals. The current price is C$282.07.
What is the quality score of HPS-A?
Hammond Power Solutions Inc has a Quality Score of 57/100, measuring profitability, growth and balance-sheet strength from non-valuation factors.
What is the revenue of Hammond Power Solutions Inc (HPS-A)?
Hammond Power Solutions Inc reported trailing-twelve-month revenue of about C$962M (latest available figure, as of Jul 14, 2026).
What is the net profit margin of HPS-A?
The net profit margin of Hammond Power Solutions Inc is about 6.8%, meaning it keeps roughly 6.8% of revenue as net income. Based on the latest reported figures.
Does Hammond Power Solutions Inc pay a dividend?
Hammond Power Solutions Inc currently shows a dividend yield of about 0.33% relative to its recent price (as of Jul 14, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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Not financial advice · no buy/sell recommendation. Model-based estimates are not certainties; their reliability depends on data quality and assumptions.