Daily Stock Analysis: HCKT's Share Price Grew About 44.5% In The Past Year
The Hackett Group Inc., known by the ticker symbol HCKT, is a small cap information technology services firm in the technology business sector. This is my second report on HCKT for my Viital stock portfolio. I last reviewed HCKT one month ago, October 26th for this Viital (my seventh) stock portfolio over the past seven years.
The Hackett Group Inc is an advisory firm. The company's offerings include executive advisory programs, benchmarking, business transportation, and technology advisory services.
The company's executive and practices advisory programs offer performance metrics, peer-learning opportunities, and practice implementation practices.
Benchmarking services help organizations measure and assess internal efficiency and effectiveness.
The business transformation programs help customers develop strategies to improve performance.
The company's technology advisory services help clients improve decision-making capabilities and deploy software applications.
The Hackett Group generates the majority of its revenue in the United States.
Image Source: Unsplash
The company was formerly known as Answerthink, Inc. and changed its name to The Hackett Group, Inc. in 2008.
The Hackett Group, Inc. was founded in 1991 and is headquartered in Miami, Florida.
Three key data points gauge any dividend equity or fund such as The Hackett Group Inc. (HCKT):
(1) Price
(2) Dividends
(3) Returns
Those three basic keys best tell whether any company has made, is making, and will make money.
HCKT Price
Hackett's price per share was $20.50 as of yesterday's market close. One year ago its price was $14.19. Thus, HCKT's share price grew about 44.5% in the past year.
If HCKT's stock trades in the range of $15.00 to $30.00 this next year, its recent $20.50 share price could rise by $4.50 to reach $25.00 by December 2, 2022. My estimate is $1.00 below the median of the estimates from three analysts who cover The Hackett Group Inc (HCKT) for their brokerage firms.
HCKT Dividends
Hackett's most recently announced a quarterly dividend of $0.10 will pay out December 30th, 2021 to shareholders of record on December 16th. The compounded annual payout of $0.40 yields 1.95% per yesterday's $20.50 closing price.
The Hackett Group Inc. has paid annual dividends increasing generally annually from December 2012 to 2014; then paid semi-annually to 2020, when it began quarterly payouts. The dividend payouts have generally increased annually for the past nine years.
CKTH Returns
Adding the $0.40 annual estimated HCKT forward-looking dividend to my 4.50 price upside estimate shows a $4.90 potential gross gain, per share, to be reduced by any costs to trade HCKT shares.
At yesterday's $20.50 price per share, a little over $1000 would buy 49 shares.
A $10 broker fee (if charged) would be paid half at purchase and half at sale and might cost us $0.20 per share.
Subtract that maybe $0.20 brokerage cost from my estimated $4.90 gross gain per share results in a net gain of $4.70 X 49 shares = $230.39 for a 23.03% net gain on a $1,004.50 investment.
So it is that The Hackett Group Inc. shows a possible 23.03% net gain including a 1.95% forward estimated dividend yield.
Over the next year at this time, a $1000 investment in The Hackett Group Inc. could generate $19.50 in cash dividends alone. Note that a single share of HCKT stock bought at yesterday's closing price was $20.50! Thus, The Hackett Group Inc.'s share price is nearly $1.00 or 19.5% over the dividend income from $1000.00 invested. Thus, according to my dogcatcher ideal, now is not a prime time to pick up The Hackett Group Inc. shares. The estimated next-year dividend from $1k invested is nearly 19.5% less than the single share price. Consider yourself alerted. It's a sign! Wait for HCKT Price to fall below $20 before you buy The Hackett Group Inc. shares.
All of the estimates above are speculation based on the past history of The Hackett Group Inc. Only time and money invested in this stock will determine its market value.
Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a solicitation, ...
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