Huron Consulting Group Inc. Common Stock (HURN)

FairStock Score: 52/100 — MIXED

Key Financials

Strengths

• Generates $149 million in annual free cash flow (7.5% yield on market cap)
• Strong Piotroski F-Score of 8/9 indicating robust financial health across profitability, leverage, and efficiency metrics
• Solid return on equity of 19.3% above cost of capital

Concerns

• Trades significantly above Graham Number ($64) with negative 89% margin of safety—limited downside protection

AI Analysis

Huron Consulting Group Inc. Common Stock is a micro-cap industrials company valued at $2.0 billion. The business generates $1.7 billion in annual revenue with a 1.8% net margin and $149 million in free cash flow. From a quality standpoint, Huron shows near-perfect Piotroski F-Score of 8/9 indicating exceptional financial health and Altman Z-Score of 2.2 in the grey zone. On valuation, the stock is reasonably priced at 20.9x earnings, with trades above its Graham Number with a negative 89% margin. Growth dynamics show revenue growing at 10.7% and profit growth of -9.8%. Our composite FairStock Score of 52/100 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. With $149 million in annual free cash flow (7.5% yield), management has ample capital for buybacks, dividends, or accretive acquisitions.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the industrials 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