HCSG
Healthcare Services Group Inc
Price:  
15.14 
USD
Volume:  
293,162
United States | Commercial Services & Supplies

HCSG Fair Value

-81.3 %
Upside

What is the fair value of HCSG?

As of 2025-07-07, the Fair Value of Healthcare Services Group Inc (HCSG) is 2.84 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 15.14 USD, the upside of Healthcare Services Group Inc is -81.3%.

Is HCSG a good investment?

With the market price of 15.14 USD and our fair value calculation, Healthcare Services Group Inc (HCSG) is not a good investment. Investing in HCSG stocks now will result in a potential loss of 81.3%.

15.14 USD
Stock Price
2.84 USD
Fair Price
FAIR VALUE CALCULATION

HCSG Fair Value

Peter Lynch's formula is:

HCSG Fair Value
= Earnings Growth Rate x TTM EPS
HCSG Fair Value
= 5 x 0.57
HCSG Fair Value
= 2.84

The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.

Historical Earnings
12-202012-202112-202212-202312-20245Y Avg
Net income98.745.934.638.3939.4751
YoY growth52.8%-53.5%-24.6%10.9%2.8%-2.3%

HCSG Fair Value - Peers Benchmarking

Market Cap (mil)EPS Fair Value Upside
a
Ritchie Bros. Auctioneers Inc26,6472.376.97-46.5%
Boyd Group Services Inc4,5790.67.25-96.6%
UniFirst Corp3,2488.140.48-76.9%
McGrath RentCorp2,9719.6204.3369.2%
Driven Brands Holdings Inc2,969-1.8-8.86-149.1%
KAR Auction Services Inc2,7701.229.8715.8%
DO & CO AG2,0208.4210.4714.4%
Matthews International Corp789-2.5-12.7-149.9%
GDI Integrated Facility Services Inc7551.640.3225.8%
Black Diamond Group Ltd6260.512.0719.9%

HCSG Fair Value - Key Data

Market Cap (mil)1,104
P/E26.7x
Forward P/E26.1x
EPS0.57
Avg earnings growth rate-2.3%
TTM earnings41

HCSG Fair Value - Formula's Origin

Peter Lynch is one of the most legendary investors/fund managers of all time. His philosophy for stock investing is very simple and straightforward: he invests in stocks that are undervalued, meaning its P/E is less than or equal to its earnings growth rate. He believes that if a stock is trading at its fair value, the PEG ratio, which was also invented by him, should be 1.

Therefore, his formula to determine a company's fair value is:

Peter Lynch Fair Value = Earnings Growth Rate * EPS * PEG

PEG is set to 1 so we can ignore it in the calculation. Based on the formula, if the earnings growth rate of a company is 15%, Peter Lynch is willing to buy its share up to P/E = 15.