Back to top

Image: Bigstock

Here's What Makes Hawkins Stock a Solid Choice for Now

Read MoreHide Full Article

Hawkins, Inc. (HWKN - Free Report) has seen a remarkable 76.2% increase in its stock value over the past six months, driven by strong earnings and strategic expansion within the company’s Water Treatment division.

The stock presents an attractive investment opportunity, highlighted by its Zacks Rank #1 (Strong Buy) and promising growth prospects.

Hawkins' Positive Earnings Performance

HWKN has exceeded the Zacks Consensus Estimate in three of the last four quarters, with an average earnings surprise of 15%.

Hawkins’ Strong Growth Outlook

The Zacks Consensus Estimate for 2024 earnings stands at $4.14, indicating a 15.3% increase from the previous year. Earnings are expected to grow 4.2% in 2025.

Earnings Estimates Northbound for HWKN

The Zacks Consensus Estimate for 2024 has been raised by approximately 12.8% in the past two months, along with the 2.4% upward revision of the estimated figure for 2025.

HWKN Outperforms Industry

In the past year, HWKN’s shares have surged 98%, significantly outpacing the industry’s 10.4% decline.

Zacks Investment Research
Image Source: Zacks Investment Research

Key Drivers Behind Hawkins’ Momentum

HWKN’s stock rally can be attributed to strong first-quarter fiscal 2025 results and a favorable outlook for its Water Treatment division. The company reported a robust 25% year-over-year sales growth in this segment, reaching $117.2 million, driven by revenues from recent acquisitions.

Hawkins continues to strengthen its Water Treatment business through strategic acquisitions. It acquired Industrial Research Corporation, a water treatment chemicals and equipment provider, serving central and northern Louisiana, eastern Texas and southern Arkansas. This acquisition aligns with Hawkins’ growth strategy in these regions, complementing its existing operations and enhancing the company’s market presence. Additionally, HWKN acquired Wofford Water Service, extending its reach in Mississippi and supporting the company’s expansion in the southern United States, where its Water Treatment business had been limited previously.

Other Key Picks From Basic Materials 

Some other top-ranked stocks in the Basic Materials space are Newmont Corporation (NEM - Free Report) , Carpenter Technology Corporation (CRS - Free Report) and Eldorado Gold Corporation (EGO - Free Report) , each sporting a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Newmont’s current-year earnings is pegged at $2.82 per share, indicating a rise of 75% from the year-ago level. The consensus mark for NEM’s earnings has increased 14% in the past 60 days.The stock has gained nearly 30.4% in the past year.

The Zacks Consensus Estimate for CRS’s current-year earnings is pegged at $6.06 per share, indicating a rise of 27.9% from the year-ago level. CRS’s earnings beat the consensus estimate in each of the last four quarters, with the average earnings surprise being 15.9%. The stock has rallied nearly 124.9% in the past year.

The Zacks Consensus Estimate for Eldorado Gold’s current year earnings is pegged at $1.35 per share, indicating a year-over-year rise of 136.8%. EGO beat the consensus estimate in each of the last four quarters, with the average earnings surprise being 430.3%. The company's shares have risen nearly 79.9% in the past year.


Zacks' 7 Best Strong Buy Stocks (New Research Report)


Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.


Click Here, It's Really Free

Published in