Stock Analysis: The Hackett Group

The Hackett Group Inc has the ticker symbol HCKT and is a member of the Technology sector as an information technology services company. This is my third report on Hackett for my Vista Portfolio. I last discussed The Hackett Group on December 30, 2020.

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.

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 dividend equities or funds like The Hackett Group Inc:

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether a company has made, is making, and will make money. 

HCKT Price

The Hackett Group Inc price per share closed at $16.20 yesterday. One year ago its price was $12.54. Price per share has increased over 29% from the midst of the Covid market slump. 

Should Hackett stock trade in the range of $10 to $20 this year, its recent $16.20 price might rise by $2.80 to reach $19.00 by March 30, 2022. My estimate is $1 below that of three analysts tracking HCKT.

HCKT Dividends

The Hackett Group Inc's most recently declared quarterly dividend was $0.10, payable April 8th. Dividends are estimated to total $0.40 per share annually and yield 2.47% at yesterday's $16.20 closing price. HCKT has paid annually increasing dividends for eight years.

HCKT Returns

Adding the 0.40 annual HCKT anticipated dividend to my $2.80 price upside estimate shows a $3.20 potential gross gain, per share, to be reduced by any costs to trade the shares.  

Put little over $1,000.00 today in The Hackett Group Inc at $16.20 per share and we'd buy 62 shares of HCKT stock.

A $10 broker fee (if charged) would be paid half at purchase and half at a sale and might cost us about $0.16 per share.

Subtract that maybe $0.16 brokerage cost from my estimated $3.20 gross gain per share results in a net gain of $3.04 X 62 shares = $188.48 for an 18.84% net gain on a $1,004.40 investment.

The Hackett Group Inc shows a possible 18.84% net gain including a 2.47% dividend yield. 

Over the next year at this time, a $1000 investment in HCKT could generate $24.70 in cash dividends. And a single share bought at yesterday's closing price was a little over $16! So, if HCKT is your kind of technology investment, their price is almost 50% below the annual dividend income from $1,000 invested. This suggests that now could be the time to add these shares to your portfolio.

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 worth.

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 ...

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