Here Group Limited American Depositary Shares (HERE)

FairStock Score: 55/100 — STEADY

Key Financials

Strengths

• Solid return on equity of 11.2% above cost of capital
• Conservative balance sheet with debt-to-equity of just 0.03, providing financial flexibility
• Healthy net profit margin of 19.5% showing consistent profitability

Concerns

• Revenue declining at 75.6% year-over-year signals potential demand weakness or market share loss
• Weak Piotroski F-Score of 2/9 suggests deteriorating financial quality across multiple dimensions
• Altman Z-Score of 1.1 places it in the financial distress zone—elevated bankruptcy risk

AI Analysis

Here Group Limited American Depositary Shares is a micro-cap consumer cyclical company valued at $189 million. The business generates $1.5 billion in annual revenue with a 19.5% net margin. From a quality standpoint, Here shows weak Piotroski F-Score of 2/9 signaling deteriorating fundamentals and distressed Altman Z-Score of 1.1 warrants caution. On valuation, the stock is deeply undervalued on a P/E basis at 5.3x, with offers a 61% margin of safety vs Graham Number of $9. Growth dynamics show revenue growing at -75.6% and profit growth of -120.0%. Our composite FairStock Score of 55/100 reflects mixed fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.

Bull Case

Improving fundamentals and sector tailwinds could drive meaningful earnings growth, compressing the effective multiple for patient investors. Operational leverage in the business model means incremental revenue growth could disproportionately boost bottom-line profitability.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the consumer cyclical space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer