# Heritage Financial Corporation (HFWA) fundamentals

Data as of 2026-09-08. NASDAQ, United States. Sector: Financial Services / Banks. Price $29.29, market value $1.2 billion.

## Valuation
- **P/E (trailing): 13.9×** (5-yr avg 12.1×, 3-yr avg 13.8×). Heritage Financial Corporation trades at 13.9× trailing earnings, close to its own five-year average of 12.1×. The Financial Services median in the September 2026 study was 13.1×. Forward P/E is 11.1×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.19**. A PEG of 0.19 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / book: 1.1×**. The shares trade at 1.1× book value; book value is a meaningful part of the valuation.
- **Free-cash-flow yield: 6.7%** (5-yr avg 10.3%). Free cash flow equals 6.7% of the market value, below its five-year average of 10.3%, so the shares are pricier on cash than usual. Above 5% is generally attractive.
- **Earnings yield: 7.2%**. The inverse of the P/E: 7.2% of the price is earned each year.

## Profitability
- **Return on equity: 7.3%**. 7.3% on shareholders' equity is weak; the business earns little on the capital its owners have in it.

## Growth
- **EPS growth (1 yr): 58.1%** (3-yr -5.3%/yr, 5-yr 8.7%/yr). Earnings per share rose 58.1%.
- **Free-cash-flow growth (3 yr): -1.8%/yr**. Free cash flow has compounded at -1.8% a year over three years, keeping pace with earnings: the growth is real cash.

## Dividends
- **Dividend yield: 3.42%** ($0.96 per share, trailing). Heritage Financial Corporation yields 3.42%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 48%** (43% of free cash flow). 48% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 5**. 5 straight years of increases.
- **Dividend growth (5 yr): 3.7%/yr** (1-yr 4.3%). The dividend has grown 3.7% a year over five years.

## Price and momentum
- **Total return (1 yr): 20.4%** (YTD 26.1%, 3-mo 5.4%). The shares are up 20.4% over twelve months including dividends.
- **From 52-week high: -6.3%** (37.4% above the low). Trading 6% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 52**. An RSI of 52 is neutral.
- **Beta (1 yr): 0.66** (volatility 27%). Beta of 0.66 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=HFWA · Page: https://foliofundamentals.com/stocks/hfwa

Not investment advice.