Hot Stock under Review: Hudson Technologies Inc. (NASDAQ: HDSN)

Frankie Walters

I am Frankie Walters and I’m passionate about business and finance news with over 4 years in the industry starting as a writer working my way up into senior positions.

I am the driving force behind News Tech Markets with a vision to broaden the company’s readership throughout 2016. I am an editor and reporter of “Basic Materials” category.

Address: 2464 Winifred Way, Alexandria, IN 46001, USA
Phone: (+1) 765-724-9639
Email: frankiewalters@newstechmarkets.com
Frankie Walters

PEARL RIVER, N.Y., November 30, 2019 – Shares of Hudson Technologies Inc. (NASDAQ: HDSN) showed the bullish trend with a higher momentum of 0.54% to $0.65. The company traded total volume of 275.723K shares as contrast to its average volume of 633.33K shares. The company has a market value of $26.76M and about 41.33M shares outstanding.

For the quarter ended June 30, 2019, Hudson Technologies, Inc. (HDSN) reported revenues of $56.00M compared to $57.80M in the comparable 2018 period. Refrigerant average selling prices declined by approximately 19%, partially offset by a 12% increase in volume.  Revenue from the Defense Logistics Agency (“DLA”) increased by approximately $2.30M in the quarter. The Company recorded lower of cost or net realizable value (“NRV”) adjustments to its inventory of $9.20M and $34.70M during the second quarter of 2019 and 2018, respectively. The 2019 NRV adjustment was primarily attributed to the remaining R-22 inventory purchased in connection with the acquisition of Aspen Refrigerants, Inc. (“ARI”).  Selling, general and administrative (“SG&A”) expenses for the three-month period ended June 30, 2019 were $6.80M, a decrease of $3.80M from the $10.60M reported during the comparable 2018 period. The reduction in SG&A was primarily attributable to professional fees pertaining to integration and services relating to the acquisition of ARI, which declined by approximately $2.50M from the second quarter of 2018, as well as a reduction in payroll-related expenses, advertising and other professional fees in the second quarter of 2019 compared to the 2018 period. The Company’s net loss for the second quarter of 2019, which includes the above mentioned $9.20M inventory adjustment, was $13.80M, or $(0.32) per basic and diluted share. This compares to a net loss for the second quarter of 2018, which includes the above mentioned $34.70M inventory adjustment, of $30.60M or $(0.72) per basic and diluted share.

For the six months ended June 30, 2019, Hudson reported revenues of $90.70M compared to $100.30M in the comparable 2018 period. Refrigerant average selling prices declined by approximately 19%, partially offset by a 3% increase in refrigerant volume. Revenue from the DLA also increased approximately $4.10M. Net loss for the first half of 2019, which includes the above mentioned $9.20M inventory adjustment, was $17.80M, or ($0.42) per basic and diluted share. This compares to a net loss in the first half of 2018, which includes the above mentioned $34.70M inventory adjustment, of $33.70M, or $(0.79) per basic and diluted share.

The Company offered net profit margin of -14.40% while its gross profit margin was 9.60%. ROE was recorded as -38.50% while beta factor was 1.03. The stock, as of recent close, has shown the weekly upbeat performance of 23.05% which was maintained at -27.25% in this year.

Frankie Walters

Frankie Walters

I am Frankie Walters and I’m passionate about business and finance news with over 4 years in the industry starting as a writer working my way up into senior positions. I am the driving force behind News Tech Markets with a vision to broaden the company’s readership throughout 2016. I am an editor and reporter of “Basic Materials” category. Address: 2464 Winifred Way, Alexandria, IN 46001, USA Phone: (+1) 765-724-9639 Email: frankiewalters@newstechmarkets.com

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