# The Honest Company Inc. (HNST) fundamentals

Data as of 2026-09-08. NASDAQ, United States. Sector: Basic Materials / Paper & Forest Products. Price $5.95, market value $638 million.

## Valuation
- **P/E (trailing): n/a** (negative earnings). The Honest Company Inc. reported negative earnings over the last twelve months, so the P/E is not meaningful; use price-to-sales, EV/EBITDA and free-cash-flow yield instead.
- **Price / sales: 1.9×**. Each dollar of revenue is priced at 1.9×.
- **Price / book: 3.9×**. The shares trade at 3.9× book value; book value is a meaningful part of the valuation.
- **Free-cash-flow yield: 8.3%** (5-yr avg -4.8%). Free cash flow equals 8.3% of the market value, above its five-year average of -4.8%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.

## Profitability
- **Gross margin: 35.7%**. The Honest Company Inc. keeps 35.7% of revenue after the direct cost of what it sells.
- **Operating margin: -4.4%**. Operating margin is negative: the business loses money before interest and tax.
- **Net margin: -4.2%**. The company reported a net loss over the last twelve months.
- **Return on equity: -9.2%**. Return on equity is negative because earnings are negative.
- **Return on assets: -5.4%**. Each dollar of assets produces -5.4% of profit.

## Growth
- **Revenue growth (1 yr): -1.9%** (3-yr 5.8%/yr, 5-yr 4.3%/yr). Revenue fell 1.9% over the last year, against 4.3% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -133.3%**. Earnings per share fell 133.3%, slower than revenue, so margins compressed.

## Financial health
- **Current ratio: 3.98** (quick 3.98). Current assets cover the next year's liabilities 3.98 times.
- **Altman Z-score: 10.11**. A Z-score of 10.11 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 4/9**. 4 of 9 checks pass: mixed.

## Dividends
- **Dividend: none**. The Honest Company Inc. does not currently pay a dividend.

## Price and momentum
- **Total return (1 yr): 49.9%** (YTD 130.6%, 3-mo 83.1%). The shares are up 49.9% over twelve months including dividends.
- **From 52-week high: -1.0%** (187.4% above the low). Trading within 5% of 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): 74**. An RSI of 74 is in overbought territory; short-term pullbacks are common from here.
- **Beta (1 yr): 1.26** (volatility 73%). Beta of 1.26 against the S&P 500: the shares move roughly with the market.

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

Not investment advice.