HLS Therapeutics

HLS.TO

Drug Manufacturers - Specialty & Generic · Healthcare

Price

C$3.75

-0.19 (-4.82%)

Market Cap

C$117.3M

Exchange

Toronto Stock Exchange

Winston Score

Winston is worried

Below-average fundamentals — multiple weak pillars.

Data as of Aug 23, 2026 · filings through Jun 30, 2026

How the score breaks down

Quality

Weak

Growth

Good

Cash Flow

Mixed

Stability

Mixed

Valuation

Data not available

Dividends

Good

Track this stock — start free trial

Share count falling — buybacks

−2.0% over 4y

The company has reduced its share count over this period, returning value to shareholders through buybacks.

Diluted shares outstanding: 32.2M (2021) → 31.5M (2025)

Winston Score History

The full picture

HLS Therapeutics is a Canadian specialty pharmaceutical company that buys the rights to sell existing drugs in Canada. Its main products include Clonidine Hydrochloride (for high blood pressure) and Trinomia (a combination pill for cardiovascular disease prevention). The company sells these medicines to patients through doctors and pharmacies across Canada.

HLS makes money by acquiring commercial rights to approved drugs and earning revenue from prescription sales. It operates almost entirely within Canada, making it a small, focused player in the Canadian specialty pharma market. The company's gross margins are solid at around 62%, but it is currently losing money at the operating level, which is a real concern for a business this size. The key risk is its dependence on a small number of products — if prescriptions for its core drugs decline or a generic competitor enters the market, revenue could fall sharply.

Growth Profile

For growth stock investors

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+0.9% YoY

YoY Growth Rate

Slow revenue growth

EPS Growth

+63.4% YoY

YoY Growth Rate

EPS growth accelerating

R&D Spend

$0/ year

0.0% of revenue

Below sector average (18%)

Research and development spending

Insider Activity

0.7%ownership

→ Flat

Insider ownership roughly steady over the past year

Cash Position

Cash flow positive

$14M cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Company generates more cash than it spends — no dilution risk from fundraising

Growth context

HLS Therapeutics is growing revenue at 1% year-over-year. The Winston Score measures business quality today — these growth metrics show what could matter tomorrow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

Each metric is explained in plain language so you know exactly what you're looking at. Start your free trial now.

Quality

Profit per sale

Gross Margin

42.9%

Healthy — 42.9% gross margin

Profit after running costs

Operating Margin

-7.9%

Losing money on operations — -7.9%

Return on the money invested

ROCE

-4.6%

Weak — -4.6% return on capital

Negative ROIC means the business is losing money on every dollar invested in it.

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Growth

Sales growth

Sales YoY

-0.9%

Shrinking sales (-0.9% YoY)

Profit growth

EPS YoY

N/A

—

Data not available

How steady the profit is

EPS Consistency

8/8 quarters

Every recent quarter grew earnings vs last year

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Cash Flow

Profit that turns into cash

Cash Conversion

N/A

—

Data not available

Spare cash per sale

FCF Margin

31.2%

Converts sales into free cash efficiently (31.2%)

Free cash flow margin above 20%. Out of every $100 in sales, more than $20 is real cash they keep.

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Stability

What it owes vs what it owns

Debt / Equity

0.75

Moderate — manageable debt (0.75)

Covers its interest

Interest Cover

N/A

Data not available

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Valuation

Price vs profit

P/E Ratio (TTM)

N/M

—

Negative earnings — P/E not meaningful

Cheaper or dearer next year

P/E vs Forward

N/A

not available

Data not available

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Dividends

Dividend

Dividend Yield

5.33%

Healthy income — 5.33% yield

Generous yield. Worth checking whether the payout is sustainable.

Dividend record

Dividend Growth

+0.0%

Dividend flat

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

🔒 See full fundamentals and if they are improving or declining — click here for your free trial now.

Start free trial