Added to YB: 2025-09-09
Pitch date: 2025-07-24
HPS-A.TO [bearish]
Hammond Power Solutions Inc.
-37.59%
current return
Author Info
No bio for this author
Company Info
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.
Market Cap
CAD 1.4B
Pitch Price
CAD 127.74
Price Target
39.00 (-78%)
Dividend
0.91%
EV/EBITDA
11.93
P/E
18.17
EV/Sales
1.79
Sector
Electrical Equipment
Category
N/A
Hammond Power Solutions Inc. - $HPS-A.TO (short)
HPS-A.TO short: Low-voltage transformer maker at peak 18x P/E vs historical 10x on temporary shortage-driven 41% price increases & margin expansion to 33% from mid-20s. Shortage ending as MGM, ABB, Schneider expand capacity; lead times improving. Normalized 28% GM & 10% EBIT margin = CAD 5 EPS (-31% vs consensus). Price target CAD 39 (-72% downside).
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