Hawaiian Electric Industries Inc. Common Stock (HE)

FairStock Score: 57/100 — STEADY

Key Financials

AI Analysis

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

I look for durable franchises and balance-sheet safety, and Hawaiian Electric is a mixed picture. It operates regulated electric utilities on Oahu, Hawaii, Maui, Lanai, and Molokai, which gives it a local monopoly-like service territory. Regulation cuts both ways: returns depend on regulators, fuel costs, and capital needs. The filed numbers show volatility. In fiscal 2024, the year ended 2024-12-31, revenue was $3.2B and net income was a loss of $1.4B, or diluted EPS of -$11.23. In fiscal 2025, the year ended 2025-12-31, revenue was $3.1B, net income was $126.3M, and diluted EPS was $0.71—a real turnaround. In fiscal Q1 2026, the quarter ended 2026-03-31, revenue was $722.5M, net income was $30.4M, and diluted EPS was $0.18. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $925.5M and diluted EPS was $0.71. That is progress, but FairStock's trailing free cash flow is -$565.5M, a -38.4% FCF yield, and debt-to-equity is 1.59. The Altman Z-score of 0.24 suggests financial stress. At the 2026-10-13 close of $8.53, FairStock calculates a P/E of 6.61, P/B of 0.84, Graham Number of $17.21, and margin of safety of 50.44%. The market is pricing in substantial risk. ROE is 13.45%, but ROCE is only 1.63%, showing weak returns on total capital. The Lynch category is TURNAROUND—returned to profit after a loss within the last three years. I see a cheap-looking utility with a narrow margin of error: the earnings recovery is real, but cash flow and leverage must improve before I would call the moat reliable.

In plain English: Hawaiian Electric Industries makes and sells electricity to people on several Hawaiian islands. The company made money in fiscal 2025 after a huge loss in fiscal 2024, but it used more cash than it generated and has a lot of debt. At $8.53, the stock price looks low compared with its profits and net assets, but the financial risk is real.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

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