HL HL

Name: HL Crucible Score
Creator: Kaladin Capital Intelligence

UnknownUnknownN/A📅 Scored April 5, 2026

Price at analysis: $19.18

Crucible Score

53.1

Quality × Value Composite

KQI — Quality

65.4

B-

Fundamental Quality Index

KVI — Value

38.0

D-

Valuation Attractiveness Index

Crucible Verdict — HL

HL demonstrates solid operational fundamentals with strong Financial Quality (82) and Growth Profile (77) scores, but Management Effectiveness lags at just 43 amid insider selling activity. The stock trades at fair value with limited upside potential, creating a quality-value mismatch where decent business metrics don't translate to compelling returns. Improved management execution remains the key catalyst for meaningful outperformance.

— Kal, Kaladin Capital Intelligence

◆ KQI Quality Dimensions

Financial Quality

82.5

Growth Profile

77.3

Moat Durability⚠

63.7

Management Effectiveness⚠

43.2

Diversification & Resilience

53.0

Market Position

72.0

Weakest dimension: Management Effectiveness (43.2)

◆ KVI Value Dimensions

DCF Margin of Safety

41.7

FCF Yield & Cash Returns

19.4

Relative Valuation

21.1

Growth-Adjusted Value

58.6

Historical Valuation

63.5

Macro Context

41.3

◆ DCF Valuation Scenarios

Bear Case

$10.42

Base Case

$18.75

Bull Case

$30.88

Price at Analysis

$19.18

Scenario	Fair Value	Rev CAGR (5yr)	Terminal Margin	WACC
🔴 Bear	$10.42	5.0%	18.0%	12.2%
🟢 Base	$18.75	9.0%	25.0%	11.5%
🟢 Bull	$30.88	14.0%	33.0%	10.8%

Key Assumptions: HL is a precious metals miner with highly cyclical revenue driven by gold/silver prices; the most recent year showed strong recovery to $1.4B revenue and 37.5% operating margins, but the 3-5 year history shows significant volatility with margins ranging from -6% to 37.5%. WACC is calculated using CAPM with 4.31% risk-free rate, 1.39 beta, and 5.5% ERP yielding ~11.95% cost of equity, blended with after-tax cost of debt for WACC range of 10.75%-12.15%. Tax rate normalized to 22% given the erratic historical effective rates, and capex intensity assumed at 18% of revenue reflecting the capital-intensive mining operations.

◆ Financial Snapshot

Profitability

Gross Margin42.8%

Operating Margin36.2%

Net Margin22.6%

ROIC8.5%

ROE50.0%

Balance Sheet

Balance SheetCR: 2.72

Cash ConversionFCF/EPS: 1.15x

Capital IntensityCapex/Rev: 17.7%

Altman Z-Score7.40 (Safe)

Piotroski F-Score8/9 (Strong)

Growth

Revenue CAGR15.2% CAGR

Earnings CAGR66.6% CAGR

Growth ConsistencyCV: 1.82

Segment Breadth4/4 growing (100%)

Quarterly TrendRev↑, Margin↑, WC↓

Earnings CredibilityTends to Beat

◆ Analyst Consensus & Leadership

Leadership & Governance

CEO Ownership< 1%

Insider ActivitySelling

Capital AllocationROIC 8.5% vs WACC 11.0%

Earnings Beat Rate68% (17/22)

◆ Related Companies in Our Universe

Other Unknown companies scored by the Crucible:

ADBE81.8A-NICE80.7A-DECK79.9A-INTU79.9A-EXEL78.3A-MTCH78.2A-TTD78.0B+

Methodology All Scores Crucible Briefs Performance @KaladinCI

Analysis conducted April 5, 2026 based on most recent SEC filings. Updated quarterly, after new SEC filings.

Point-in-time fundamental analysis. Not investment advice. Scores reflect company quality and valuation at time of analysis and may not reflect current market conditions.