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Hennessy Advisors

Nasdaq:HNNA
Snowflake Description

Flawless balance sheet, undervalued and pays a dividend.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
HNNA
Nasdaq
$91M
Market Cap
  1. Home
  2. US
  3. Diversified Financials
Company description

Hennessy Advisors, Inc. is publicly owned investment manager. The last earnings update was 98 days ago. More info.


Add to Portfolio Compare Print
  • Hennessy Advisors is a fund or ETF! Currently our data availability for these is poor, we only recommend using them as part of a portfolio.
HNNA Share Price and Events
7 Day Returns
-1.5%
NasdaqCM:HNNA
1.1%
US Capital Markets
0.5%
US Market
1 Year Returns
1.5%
NasdaqCM:HNNA
8.3%
US Capital Markets
12.8%
US Market
HNNA Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Hennessy Advisors (HNNA) -1.5% 8.8% 29.4% 1.5% -43.2% -0.1%
US Capital Markets 1.1% 6.4% 9.2% 8.3% 33.8% 58.5%
US Market 0.5% 4.3% 8% 12.8% 38.7% 44.5%
1 Year Return vs Industry and Market
  • HNNA underperformed the Capital Markets industry which returned 8.3% over the past year.
  • HNNA underperformed the Market in United States of America which returned 12.8% over the past year.
Price Volatility
HNNA
Industry
5yr Volatility vs Market

Value

 Is Hennessy Advisors undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Hennessy Advisors to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Hennessy Advisors.

NasdaqCM:HNNA Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Median Return on Equity from the past 5 years.
= Stable Book Value * Return on Equity
= $7.64 * 25.3%
$1.93
Book Value of Equity per Share Median Book Value from the past 5 years. $7.64
Discount Rate (Cost of Equity) See below 8.2%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqCM:HNNA
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Capital Markets Unlevered Beta Simply Wall St/ S&P Global 0.75
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.753 (1 + (1- 21%) (20.21%))
0.915
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.92
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.915 * 5.96%)
8.19%

Discounted Cash Flow Calculation for NasdaqCM:HNNA using Excess Returns Model Model

The calculations below outline how an intrinsic value for Hennessy Advisors is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

NasdaqCM:HNNA Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (25.3% – 8.19%) * $7.64)
$1.30
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $1.30 / (8.19% - 2.73%)
$23.90
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $7.64 + $23.90
$31.54
NasdaqCM:HNNA Discount to Share Price
Calculation Result
Value per share (USD) From above. $31.54
Current discount Discount to share price of $12.18
= -1 x ($12.18 - $31.54) / $31.54
61.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Hennessy Advisors is available for.
Intrinsic value
>50%
Share price is $12.18 vs Future cash flow value of $31.54
Current Discount Checks
For Hennessy Advisors to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Hennessy Advisors's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Hennessy Advisors's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Hennessy Advisors's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Hennessy Advisors's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqCM:HNNA PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-30) in USD $1.57
NasdaqCM:HNNA Share Price ** NasdaqCM (2019-11-13) in USD $12.18
United States of America Capital Markets Industry PE Ratio Median Figure of 81 Publicly-Listed Capital Markets Companies 39.51x
United States of America Market PE Ratio Median Figure of 2,922 Publicly-Listed Companies 18.24x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Hennessy Advisors.

NasdaqCM:HNNA PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqCM:HNNA Share Price ÷ EPS (both in USD)

= 12.18 ÷ 1.57

7.78x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Hennessy Advisors is good value based on earnings compared to the US Capital Markets industry average.
  • Hennessy Advisors is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Hennessy Advisors's expected growth come at a high price?
Raw Data
NasdaqCM:HNNA PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 7.78x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
Not available
United States of America Capital Markets Industry PEG Ratio Median Figure of 37 Publicly-Listed Capital Markets Companies 1.94x
United States of America Market PEG Ratio Median Figure of 2,023 Publicly-Listed Companies 1.46x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Hennessy Advisors, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Hennessy Advisors's assets?
Raw Data
NasdaqCM:HNNA PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-30) in USD $9.96
NasdaqCM:HNNA Share Price * NasdaqCM (2019-11-13) in USD $12.18
United States of America Capital Markets Industry PB Ratio Median Figure of 153 Publicly-Listed Capital Markets Companies 6.6x
United States of America Market PB Ratio Median Figure of 5,070 Publicly-Listed Companies 1.73x
NasdaqCM:HNNA PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqCM:HNNA Share Price ÷ Book Value per Share (both in USD)

= 12.18 ÷ 9.96

1.22x

* Primary Listing of Hennessy Advisors.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Hennessy Advisors is good value based on assets compared to the US Capital Markets industry average.
X
Value checks
We assess Hennessy Advisors's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Capital Markets industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Capital Markets industry average (and greater than 0)? (1 check)
  5. Hennessy Advisors has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Hennessy Advisors expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Hennessy Advisors has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.

Show me the analysis anyway

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
5.1%
Expected Capital Markets industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Hennessy Advisors expected to grow at an attractive rate?
  • Unable to compare Hennessy Advisors's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Hennessy Advisors's earnings growth to the United States of America market average as no estimate data is available.
  • Unable to compare Hennessy Advisors's revenue growth to the United States of America market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
NasdaqCM:HNNA Future Growth Rates Data Sources
Data Point Source Value (per year)
United States of America Capital Markets Industry Earnings Growth Rate Market Cap Weighted Average 5.1%
United States of America Capital Markets Industry Revenue Growth Rate Market Cap Weighted Average 3.7%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.3%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqCM:HNNA Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqCM:HNNA Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-06-30 46 17 12
2019-03-31 49 19 14
2018-12-31 52 21 15
2018-09-30 55 22 21
2018-06-30 55 20 20
2018-03-31 54 20 20
2017-12-31 53 20 19
2017-09-30 53 20 15
2017-06-30 53 19 15
2017-03-31 53 19 15
2016-12-31 52 18 15
2016-09-30 51 18 14

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Hennessy Advisors is high growth as no earnings estimate data is available.
  • Unable to determine if Hennessy Advisors is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqCM:HNNA Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Hennessy Advisors Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqCM:HNNA Past Financials Data
Date (Data in USD Millions) EPS *
2019-06-30 1.57
2019-03-31 1.76
2018-12-31 1.98
2018-09-30 2.64
2018-06-30 2.61
2018-03-31 2.59
2017-12-31 2.48
2017-09-30 1.94
2017-06-30 1.97
2017-03-31 1.97
2016-12-31 1.93
2016-09-30 1.89

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Hennessy Advisors will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Next steps:

  1. Examine whether Hennessy Advisors is trading at Hennessy Advisors'san attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  2. Hennessy Advisors's future outlook can be gauged by looking at industry trends and market size, and determining how well-positioned the company is compared to its competitors. Take a look at other high-growth Diversified Financials companies here
  3. Hennessy Advisors's competitive advantages and company strategy can generally be found in its financial reports archived here.
  4. Use fundamentals to screen for another stock to analyse from our database of over 75,000 companies worldwide
X
Future performance checks
We assess Hennessy Advisors's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Hennessy Advisors has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Hennessy Advisors performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Hennessy Advisors's growth in the last year to its industry (Capital Markets).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Hennessy Advisors's year on year earnings growth rate has been positive over the past 5 years.
  • Hennessy Advisors's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Hennessy Advisors's 1-year earnings growth is negative, it can't be compared to the US Capital Markets industry average.
Earnings and Revenue History
Hennessy Advisors's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Hennessy Advisors Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqCM:HNNA Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-30 45.75 12.28 5.77
2019-03-31 48.87 13.84 5.77
2018-12-31 52.42 15.50 5.87
2018-09-30 54.59 20.62 5.86
2018-06-30 54.63 20.32 6.06
2018-03-31 54.24 20.06 6.04
2017-12-31 53.47 19.13 6.00
2017-09-30 52.96 14.94 5.88
2017-06-30 52.78 15.12 5.68
2017-03-31 52.60 15.06 5.65
2016-12-31 51.55 14.71 5.66
2016-09-30 51.41 14.37 5.81
2016-06-30 50.82 14.25 5.63
2016-03-31 49.79 13.66 5.52
2015-12-31 48.16 12.97 5.38
2015-09-30 44.74 11.39 5.22
2015-06-30 41.77 10.37 4.86
2015-03-31 38.59 9.11 4.76
2014-12-31 36.34 8.28 4.70
2014-09-30 34.53 7.67 4.37
2014-06-30 32.17 6.83 4.30
2014-03-31 29.89 6.15 4.00
2013-12-31 27.53 5.51 3.49
2013-09-30 24.31 4.82 3.12
2013-06-30 19.07 3.53 2.52
2013-03-31 14.28 2.46 2.08
2012-12-31 10.06 1.59 1.77

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Hennessy Advisors has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Hennessy Advisors used its assets more efficiently than the US Capital Markets industry average last year based on Return on Assets.
  • Hennessy Advisors's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Hennessy Advisors's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Capital Markets industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Hennessy Advisors has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Hennessy Advisors's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Hennessy Advisors's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Hennessy Advisors is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Hennessy Advisors's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Hennessy Advisors's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Hennessy Advisors Company Filings, last reported 4 months ago.

NasdaqCM:HNNA Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-30 74.68 18.46 23.76
2019-03-31 76.32 19.61 25.08
2018-12-31 73.73 20.67 23.46
2018-09-30 70.98 21.73 25.40
2018-06-30 68.02 22.79 21.15
2018-03-31 64.03 23.84 16.65
2017-12-31 59.62 24.90 15.21
2017-09-30 51.53 25.96 15.71
2017-06-30 48.69 27.01 12.34
2017-03-31 44.77 28.07 8.11
2016-12-31 41.18 29.53 4.11
2016-09-30 37.33 30.18 3.54
2016-06-30 33.88 31.72 11.43
2016-03-31 30.03 32.81 7.50
2015-12-31 26.70 33.91 4.15
2015-09-30 23.10 35.00 3.09
2015-06-30 44.88 23.91 13.87
2015-03-31 41.77 24.85 9.20
2014-12-31 39.31 25.78 8.12
2014-09-30 37.41 26.72 7.65
2014-06-30 35.13 27.66 6.51
2014-03-31 32.78 28.60 4.11
2013-12-31 31.11 29.53 3.03
2013-09-30 29.79 16.87 8.41
2013-06-30 28.35 17.33 6.77
2013-03-31 27.15 17.79 6.15
2012-12-31 25.92 18.25 4.93
  • Hennessy Advisors's level of debt (24.7%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (78.7% vs 24.7% today).
  • Debt is well covered by operating cash flow (92.6%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 15.5x coverage).
X
Financial health checks
We assess Hennessy Advisors's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Hennessy Advisors has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Hennessy Advisors's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
4.52%
Current annual income from Hennessy Advisors dividends.
If you bought $2,000 of Hennessy Advisors shares you are expected to receive $90 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Hennessy Advisors's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.43%).
  • Hennessy Advisors's dividend is above the markets top 25% of dividend payers in United States of America (3.67%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqCM:HNNA Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
United States of America Capital Markets Industry Average Dividend Yield Market Cap Weighted Average of 42 Stocks 2%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1948 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqCM:HNNA Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-10-30 0.550 4.609
2019-08-07 0.550 5.313
2019-05-07 0.440 4.570
2018-10-30 0.440 4.179
2018-05-02 0.400 2.525
2017-10-31 0.300 1.703
2017-08-02 0.300 1.910
2017-01-27 0.300 1.822
2016-10-31 0.267 1.292
2016-05-04 0.213 0.928
2015-10-30 0.160 0.857
2015-08-04 0.160 0.969
2015-05-05 0.160 1.230
2014-10-30 0.133 0.979
2014-08-06 0.107 0.872
2014-05-05 0.107 1.099
2014-01-30 0.107 1.344
2013-11-01 0.083 1.094
2013-08-07 0.083 1.335
2013-05-08 0.083 1.655
2013-01-17 0.083 1.755
2012-10-31 0.083 3.266
2012-08-10 0.083 4.316
2012-05-08 0.083 4.667
2012-01-24 0.083 4.539
2011-10-31 0.067 3.395
2011-08-04 0.067 3.335
2011-05-06 0.067 3.288
2011-01-19 0.067 3.149
2010-10-14 0.060 3.362
2010-08-05 0.060 3.580
2010-02-01 0.060 3.246
2009-12-09 0.060 3.435
2009-08-05 0.060 2.909
2009-01-30 0.060 3.395
2008-12-05 0.060 3.879

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Hennessy Advisors's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.6x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Hennessy Advisors's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Hennessy Advisors afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Hennessy Advisors has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Hennessy Advisors's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Neil Hennessy
COMPENSATION $3,080,654
AGE 63
TENURE AS CEO 30.8 years
CEO Bio

Mr. Neil Joseph Hennessy is the Chief Executive Officer and Chairman of the Board of Directors of Hennessy Advisors, Inc. since 1989. Previously, Mr. Hennessy served as its President from 1989 to January 2018. In 1996, he founded his own asset management firm and previously in 1989, opened his own broker/dealer firm. Mr. Hennessy started his financial career in 1981 as a broker at Paine Webber. He subsequently moved to Hambrecht & Quist and later returned to Paine Webber. Mr. Hennessy has amassed considerable business acumen in his career. Since founding the firm in 1989, he has successfully navigated the firm through many economic cycles. Mr. Hennessy significant experience in managing the company enables him to provide the board with invaluable knowledge and guidance. He served as the Co-Chairman of the National Association of Securities Dealer Business Conduct Committee District 1 from 1987 to 1989 and Chairman in 1994. Mr. Hennessy received a Bachelor's Degree in Business Administration from the University of San Diego and the Wharton School of Upper Management through the SIA.

CEO Compensation
  • Neil's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Neil's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Hennessy Advisors management team in years:

1.8
Average Tenure
53
Average Age
  • The average tenure for the Hennessy Advisors management team is less than 2 years, this suggests a new team.
Management Team

Neil Hennessy

TITLE
Chairman & CEO
COMPENSATION
$3M
AGE
63
TENURE
30.8 yrs

Terry Nilsen

TITLE
President
COMPENSATION
$2M
AGE
53
TENURE
1.8 yrs

Daniel Steadman

TITLE
Executive VP & Director
COMPENSATION
$662K
AGE
63
TENURE
19.8 yrs

Kathryn Fahy

TITLE
CFO & Senior VP
AGE
39
TENURE
1.8 yrs

Jennifer Cheskiewicz

TITLE
General Counsel
AGE
41

Brian Carlson

TITLE
Chief Compliance Officer
AGE
46
TENURE
1.8 yrs

Tania Kelley

TITLE
Vice President of Marketing
AGE
53

Lesha Harding

TITLE
Assistant Controller

Jill Carley

TITLE
Marketing Associate

Daniel Hennessy

TITLE
Portfolio Manager
Board of Directors Tenure

Average tenure and age of the Hennessy Advisors board of directors in years:

18.8
Average Tenure
66
Average Age
  • The average tenure for the Hennessy Advisors board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Terry Nilsen

TITLE
President
COMPENSATION
$2M
AGE
53
TENURE
30.8 yrs

Daniel Steadman

TITLE
Executive VP & Director
COMPENSATION
$662K
AGE
63
TENURE
19.8 yrs

Thomas Seavey

TITLE
Independent Director
COMPENSATION
$150K
AGE
73
TENURE
18.8 yrs

Neil Hennessy

TITLE
Chairman & CEO
COMPENSATION
$3M
AGE
63
TENURE
30.8 yrs

Dan Libarle

TITLE
Independent Director
COMPENSATION
$150K
AGE
78
TENURE
18.8 yrs

Susan Pomilia

TITLE
Independent Director
COMPENSATION
$143K
AGE
53
TENURE
5.6 yrs

Brian Hennessy

TITLE
Director
COMPENSATION
$136K
AGE
66
TENURE
30.8 yrs

Henry Hansel

TITLE
Independent Director
COMPENSATION
$144K
AGE
71
TENURE
18.8 yrs

Rodger Offenbach

TITLE
Independent Director
COMPENSATION
$142K
AGE
68
TENURE
18.8 yrs
Who owns this company?
Recent Insider Trading
  • Hennessy Advisors individual insiders have only sold shares in the past 3 months, but not in substantial volumes.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
19. Sep 19 Sell Teresa Nilsen Individual 18. Sep 19 19. Sep 19 -4,000 $10.20 $-40,604
X
Management checks
We assess Hennessy Advisors's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Hennessy Advisors has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Is Hennessy Advisors Inc (NASDAQ:HNNA) An Attractive Dividend Stock?

A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. … Over the past 10 years, Hennessy Advisors Inc (NASDAQ:HNNA) has returned an average of 2.00% per year to shareholders in terms of dividend yield. … Does Hennessy Advisors tick all the boxes of a great dividend stock?

Simply Wall St -

Hennessy Advisors Inc (NASDAQ:HNNA): Has Recent Earnings Growth Beaten Long-Term Trend?

For long-term investors, assessing earnings trend over time and against industry benchmarks is more beneficial than examining a single earnings announcement at a point in time. … Investors may find my commentary, albeit very high-level and brief, on Hennessy Advisors Inc (NASDAQ:HNNA) useful as an attempt to give more color around how Hennessy Advisors is currently performing. … Did HNNA's recent earnings growth beat the long-term trend and the industry.

Simply Wall St -

What Makes Hennessy Advisors Inc (NASDAQ:HNNA) An Attractive Investment?

I've been keeping an eye on Hennessy Advisors Inc (NASDAQ:HNNA) because I'm attracted to its fundamentals. … Looking at the company as a whole, as a potential stock investment, I believe HNNA has a lot to offer. … company with a

Simply Wall St -

Best-In-Class Undervalued Financial Stocks

What’s even more appeal is that HNNA’s PE ratio stands at 7.16x relative to its Capital Markets peer level of, 16.34x implying that relative to its comparable set of companies, HNNA’s stock can be bought at a cheaper price. … Moreover, MN’s PE ratio is trading at around 15.02x relative to its Capital Markets peer level of, 16.34x indicating that relative to other stocks in the industry, we can buy MN’s stock at a cheaper price today. … In addition to this, CHMI’s PE ratio is trading at around 4.06x against its its Mortgage REITs peer level of, 9.9x indicating that relative to its comparable set of companies, CHMI’s stock can be bought at a cheaper price.

Simply Wall St -

Interested In Hennessy Advisors Inc (NASDAQ:HNNA)’s Upcoming $0.1 Dividend? You Have 3 Days Left

View our latest analysis for Hennessy Advisors 5 checks you should do on a dividend stock When researching a dividend stock, I always follow the following screening criteria: Is its annual yield among the top 25% of dividend-paying companies? … NasdaqCM:HNNA Historical Dividend Yield May 12th 18 Does Hennessy Advisors pass our checks? … Next Steps: With this in mind, I definitely rank Hennessy Advisors as a strong dividend stock, and makes it worth further research for anyone who likes steady income generation from their portfolio.

Simply Wall St -

Only 4 Days Left To Hennessy Advisors Inc (NASDAQ:HNNA)’s Ex-Dividend Date, Should You Buy?

Important news for shareholders and potential investors in Hennessy Advisors Inc (NASDAQ:HNNA): The dividend payment of $0.1 per share will be distributed into shareholder on 11 June 2018, and the stock will begin trading ex-dividend at an earlier date, 16 May 2018. … Check out our latest analysis for Hennessy Advisors Here's how I find good dividend stocks When researching a dividend stock, I always follow the following screening criteria: Is it paying an annual yield above 75% of dividend payers? … Next Steps: With these dividend metrics in mind, I definitely rank Hennessy Advisors as a strong income stock, and is worth further research for anyone who considers dividends an important part of their portfolio strategy.

Simply Wall St -

Flavor Of The Month: Hennessy Advisors And More

Currently, Hennessy Advisors and Cherry Hill Mortgage Investment are financial companies I've identified as potentially undervalued, meaning their share price is below what these companies are actually worth. … NasdaqCM:HNNA PE PEG Gauge May 10th 18 Cherry Hill Mortgage Investment Corporation (NYSE:CHMI) Cherry Hill Mortgage Investment Corporation, a residential real estate finance company, acquires, invests in, and manages residential mortgage assets in the United States. … Cherry Hill Mortgage Investment was started in 2012 and with the market cap of USD $230.92M, it falls under the small-cap stocks category.

Simply Wall St -

Who Owns Most Of Hennessy Advisors Inc (NASDAQ:HNNA)?

Check out our latest analysis for Hennessy Advisors NasdaqCM:HNNA Ownership_summary Apr 9th 18 Institutional Ownership With an institutional ownership of 16.92%, HNNA can face volatile stock price movements if institutions execute block trades on the open market, more so, when there are relatively small amounts of shares available on the market to trade These moves, at least in the short-term, are generally observed in an institutional ownership mix comprising of active stock pickers, in particular levered hedge funds, which can cause large price swings. … Although this doesn't necessarily lead to high short-term volatility, we should dig deeper into HNNA's ownership structure to find how the remaining owner types can affect its investment profile. … Next Steps: HNNA's considerably high level of institutional ownership calls for further analysis into its margin of safety.

Simply Wall St -

Does Hennessy Advisors Inc's (NASDAQ:HNNA) Past Performance Indicate A Stronger Future?

View our latest analysis for Hennessy Advisors How Did HNNA's Recent Performance Stack Up Against Its Past? … Since these figures may be fairly short-term, I have computed an annualized five-year value for Hennessy Advisors's net income, which stands at US$7.84M This shows that, generally, Hennessy Advisors has been able to consistently improve its net income over the past couple of years as well. … Well, let’s take a look at if it is only a result of an industry uplift, or if Hennessy Advisors has seen some company-specific growth.

Simply Wall St -

Should You Buy Hennessy Advisors Inc (NASDAQ:HNNA) For Its Dividend?

Over the past 10 years, Hennessy Advisors Inc (NASDAQ:HNNA) has returned an average of 2.00% per year to shareholders in terms of dividend yield. … Check out our latest analysis for Hennessy Advisors 5 questions I ask before picking a dividend stock If you are a dividend investor, you should always assess these five key metrics: Is it paying an annual yield above 75% of dividend payers? … Hennessy Advisors has a trailing twelve-month payout ratio of 12.12%, meaning the dividend is sufficiently covered by earnings.

Simply Wall St -

Company Info

Description

Hennessy Advisors, Inc. is publicly owned investment manager. It provides its services to Hennessy Funds and investment companies. The firm launches and manages equity, fixed income, and balanced mutual funds. It invests in the public equity and fixed income markets across the globe. The firm primarily invests in growth stocks of companies. It conducts in-house research to make its investments. Hennessy Advisors, Inc. was founded in 1989 and is based in Novato, California with additional offices in Boston, Massachusetts and Chapel Hill, North Carolina.

Details
Name: Hennessy Advisors, Inc.
HNNA
Exchange: NasdaqCM
Founded: 1989
$91,338,221
7,499,033
Website: http://www.hennessyadvisors.com
Address: Hennessy Advisors, Inc.
7250 Redwood Boulevard,
Suite 200,
Novato,
California, 94945,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqCM HNNA Common Stock Nasdaq Capital Market US USD 08. Aug 2002
Number of employees
Current staff
Staff numbers
22
Hennessy Advisors employees.
Industry
Asset Management and Custody Banks
Diversified Financials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/13 23:41
End of day share price update: 2019/11/13 00:00
Last earnings filing: 2019/08/07
Last earnings reported: 2019/06/30
Last annual earnings reported: 2018/09/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.