MeritValue

HACKETT GROUP, INC.

HCKTdata completeness 100%17 fiscal years on file
The thesis, from the filings

HACKETT GROUP, INC. earns about 33% on invested capital, far above its ~9% cost of capital, and has bought back 15% of its shares over 5 years — the marks of a durable business run for its owners. The estimate methods put fair value between $12.68 and $14.98 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$278.8M1$293.7M2$296.6M3$313.9M3$305.6M3
Net income$41.5M4$40.8M5$34.2M6$29.6M6$12.9M6
Operating cash flow$46.4M7$58.9M8$37.4M9$47.7M9$40.3M9
Capital expenditure$3.24M10$4.66M11$4.1M12$4.08M12$7.87M12
Free cash flow (derived)$43.1M7$54.2M8$33.3M9$43.7M9$32.4M9
Total debt—$59.7M13$32.7M14$12.7M15$75.8M15
Cash & equivalents$45.8M16$30.3M17$21M18$16.4M19$18.2M19
Diluted shares32.9M32.0M27.6M28.1M27.9M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$24.4
your share of equity
Profit it earned you last year
$4.64
Free cash flow it threw off
$11.62
Debt you’d be carrying
$27.17

10 shares is a claim on $24.4 of net worth that earned you $4.64 and generated $11.62 of cash last year, against $27.17 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
33% avg · 5y
FY21 42%FY22 47%FY23 36%FY24 27%FY25 11%

It earned about 33% on invested capital, year after year, against a ~9% cost of capital — the footprint of real pricing power. Competition usually drags returns like this back down; here it hasn't.

seeing a moat in the numbers →
Management signal · capital allocation
−15% shares · 5y

Share count is down 15% over 5 years — management has been buying back stock, quietly handing owners a bigger slice. Total debt has risen 27% over the same window.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0

The 3 estimate methods that apply put fair value between $12.68 and $14.98 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$13.7
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth0.0%
  • fcfBase$33.3M
DCF · Growth Exit 5Y
$14.98
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth0.0%
  • fcfBase$33.3M
Earnings Power Value
$12.68
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$34.2M
  • growthAssumed0.0%
Graham Number
$5.03
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years0.0%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $14.98
The three cases
Bear0.0%$14.98
Base0.0%$14.98
Bull5.0%$19.11

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 0.0%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0000950170-24-023702 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-30 · accession 0000950170-25-030037 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-12-29 · accession 0001193125-26-082863 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0000950170-24-023702 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-30 · accession 0000950170-25-030037 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-29 · accession 0001193125-26-082863 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0000950170-24-023702 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-30 · accession 0000950170-25-030037 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-29 · accession 0001193125-26-082863 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0000950170-24-023702 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2022-12-30 · accession 0000950170-25-030037 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2023-12-29 · accession 0001193125-26-082863 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2022-12-30 · accession 0000950170-24-023702 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2023-12-29 · accession 0000950170-25-030037 (LongTermDebtNoncurrent)
  15. 10-K · period ending 2024-12-27 · accession 0001193125-26-082863 (LongTermDebtNoncurrent)
  16. 10-K · period ending 2021-12-31 · accession 0000950170-23-005957 (CashAndCashEquivalentsAtCarryingValue)
  17. 10-K · period ending 2022-12-30 · accession 0000950170-24-023702 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2023-12-29 · accession 0000950170-25-030037 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2024-12-27 · accession 0001193125-26-082863 (CashAndCashEquivalentsAtCarryingValue)