Hawkins: Management Redeploying Capital At An Advantage, Initiate Buy

Investment Thesis 6.00 5.00 More Value 4.27 4.00 3.00 Less Value 2.06 2.00 2.00 1.33 1.11 1.08 1.00 0.00 Why HWKN is a high-quality business · HWKN is earning more on the growth + legacy capital that's been put into the business + invested since FY'21 - ROICs are +350bps to 15.5% in FY'24 as 1) NOPAT margins have expanded ~120bps, and 2) capital turns remained at ~1.7x. Specifically, its FY 23-24 acquisitions - EcoTech, Water Solutions Unlimited, Miami Products & Chemical + Industrial Research Corp - have a ...