Hudson Technologies Inc. Common Stock (HDSN)

FairStock Score: 51/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach Hudson as a cyclical specialty-chemicals business. It provides refrigerant reclamation, testing, storage, and industrial gas services—necessary, recurring work, but not a franchise with wide pricing power. The numbers show a business whose sales are more resilient than its profits. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $78.3 million versus $72.8 million in fiscal Q2 2025, the quarter ended 2025-06-30, yet net income fell to $4.9 million from $10.2 million and diluted EPS dropped to $0.12 from $0.23. The longer record is similar: fiscal year 2023 delivered revenue of $289.0 million, net income of $52.2 million, and EPS of $1.10; fiscal year 2024 revenue was $237.1 million with net income of $24.4 million and EPS of $0.52; fiscal year 2025 revenue recovered to $246.6 million but net income slid to $16.7 million and EPS to $0.37. So revenue is not the issue—profitability is. The balance sheet is conservative, with debt-to-equity of 0.02 and an Altman Z-Score of 3.21, and the Piotroski F-Score is 7/9. But trailing free cash flow is -$34.5 million, a -15.9% FCF yield, while ROE is only 3.62% and ROCE 3.05%. At the 2026-10-13 close of $5.16, P/B is 0.89, the Graham Number is $5.23, and the margin of safety is just 1.34%. The P/E of 24.57 and EV/EBITDA of 10.94 do not scream bargain. FairStock’s 51/100 score and cyclical label fit my view: this is a fair-to-slightly-cheap asset with weak current returns and negative cash flow. I would want evidence that profits and cash generation are recovering before calling it a compelling value.

In plain English: Hudson Technologies helps the refrigeration industry by reclaiming and managing refrigerants and related gases. The business looks mixed: sales have grown a bit, but profits and cash flow have weakened, and the company has very little debt. At $5.16 a share, the price looks roughly fair or slightly cheap compared with its book value and a calculated fair-value estimate, though earnings are low compared with the price.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer