📊 HDSN Key Takeaways
Is HDSN a Good Investment? Thesis Analysis
Hudson Technologies has a fortress balance sheet with exceptional liquidity and minimal leverage, but is hindered by negative operating cash flow despite positive net income, indicating potential earnings quality concerns. Revenue growth of 4% is not translating to earnings growth, and 28.8% EPS decline signals share dilution; the company requires demonstrable improvement in cash generation and operational efficiency to justify a more constructive view.
Why Buy HDSN? Key Strengths
- Exceptional balance sheet strength with 0.10x debt/equity ratio and minimal financial risk
- Outstanding liquidity position with 3.26x current ratio and 86.7x interest coverage ratio
- Solid gross margins of 25.2% and net margins of 6.8% within sector norms
HDSN Investment Risks to Consider
- Negative operating cash flow of -$3.2M despite positive net income indicates quality of earnings concerns and working capital management issues
- Flat net income growth (0.0% YoY) despite 4.0% revenue growth demonstrates lack of operational leverage and margin compression
- Significant EPS dilution with 28.8% decline YoY despite flat earnings, suggesting unfavorable shareholder capital allocation
Key Metrics to Watch
- Operating cash flow and free cash flow trends - critical to verify if negative FCF is cyclical or structural
- Inventory and accounts receivable levels relative to sales growth to assess working capital efficiency
- Share count and dilution rate to determine if EPS decline will persist
HDSN Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 3.26x current ratio provides a solid financial cushion.
HDSN Profitability Ratios
HDSN vs Industrial Sector
How HUDSON TECHNOLOGIES INC /NY compares to Industrial sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is HDSN Overvalued or Undervalued?
Based on fundamental analysis, HUDSON TECHNOLOGIES INC /NY has mixed fundamental signals relative to the Industrial sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
HDSN Balance Sheet & Liquidity
HDSN 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: HUDSON TECHNOLOGIES INC /NY's revenue has grown significantly by 50% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.10 reflects profitable operations.
HDSN Growth Metrics (YoY)
HDSN Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $61.9M | $7.8M | $0.17 |
| Q2 2025 | $72.8M | $9.6M | $0.20 |
| Q1 2025 | $55.3M | $2.8M | $0.06 |
| Q3 2024 | $61.9M | $7.8M | $0.17 |
| Q2 2024 | $140.5M | $9.6M | $0.20 |
| Q1 2024 | $65.3M | $9.6M | $0.20 |
| Q3 2019 | $40.5M | $2.7M | N/A |
| Q2 2019 | $56.0M | -$13.8M | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
HDSN Capital Allocation
HDSN SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for HUDSON TECHNOLOGIES INC /NY (CIK: 0000925528)
📋 Recent SEC Filings
❓ Frequently Asked Questions about HDSN
What is the AI rating for HDSN?
HUDSON TECHNOLOGIES INC /NY (HDSN) has an AI rating of HOLD with 42% confidence, based on fundamental analysis of SEC EDGAR filings.
What are HDSN's key strengths?
Claude: Exceptional balance sheet strength with 0.10x debt/equity ratio and minimal financial risk. Outstanding liquidity position with 3.26x current ratio and 86.7x interest coverage ratio.
What are the risks of investing in HDSN?
Claude: Negative operating cash flow of -$3.2M despite positive net income indicates quality of earnings concerns and working capital management issues. Flat net income growth (0.0% YoY) despite 4.0% revenue growth demonstrates lack of operational leverage and margin compression.
What is HDSN's revenue and growth?
HUDSON TECHNOLOGIES INC /NY reported revenue of $246.6M.
Does HDSN pay dividends?
HUDSON TECHNOLOGIES INC /NY does not currently pay dividends.
Where can I find HDSN SEC filings?
Official SEC filings for HUDSON TECHNOLOGIES INC /NY (CIK: 0000925528) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is HDSN's EPS?
HUDSON TECHNOLOGIES INC /NY has a diluted EPS of $0.37.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is HDSN a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, HUDSON TECHNOLOGIES INC /NY has a HOLD rating with 42% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is HDSN stock overvalued or undervalued?
Valuation metrics for HDSN: ROE of 6.8% (sector avg: 15%), net margin of 6.8% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
Should I buy HDSN stock in 2026?
Our dual AI analysis gives HUDSON TECHNOLOGIES INC /NY a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is HDSN's free cash flow?
HUDSON TECHNOLOGIES INC /NY's operating cash flow is $-3.2M, with capital expenditures of $5.1M. FCF margin is -3.3%.
How does HDSN compare to other Industrial stocks?
Vs Industrial sector averages: Net margin 6.8% (avg: 10%), ROE 6.8% (avg: 15%), current ratio 3.26 (avg: 1.8).