In the ever-evolving industrial machinery sector, Hillenbrand, Inc. (HI) and Symbotic Inc. (SYM) stand out as two compelling companies worth analyzing. While both operate within the same industry, their focus diverges significantly. Hillenbrand provides a broad range of industrial solutions, while Symbotic specializes in cutting-edge warehouse automation technologies. This article will explore their unique innovation strategies and market positions, ultimately guiding you to determine which company might be the more intriguing investment opportunity.
Table of contents
Company Overview
Hillenbrand, Inc. Overview
Hillenbrand, Inc. (Ticker: HI) is a diversified industrial company headquartered in Batesville, Indiana. Established in 1906, the company operates across three main segments: Advanced Process Solutions, Molding Technology Solutions, and Batesville. Hillenbrand designs and manufactures a variety of process and material handling equipment, catering to industries such as food, pharmaceuticals, and automotive. Notably, the Batesville segment provides essential funeral service products, including burial caskets and cremation solutions. With a market capitalization of approximately $2.24B, Hillenbrand emphasizes innovation and customer service in its operations, positioning itself as a leader in industrial machinery.
Symbotic Inc. Overview
Symbotic Inc. (Ticker: SYM), founded in 2021 and based in Wilmington, Massachusetts, specializes in warehouse automation technology. Its flagship product, The Symbotic System, integrates robotics to enhance operational efficiency for retailers and wholesalers. The company strives to reduce costs and optimize inventory management through cutting-edge automation solutions. With a market cap of around $50.59B, Symbotic is rapidly gaining traction in the industrial machinery sector, reflecting the growing demand for automation in supply chain management.
Key similarities and differences
Both Hillenbrand and Symbotic operate within the industrial machinery sector, focusing on enhancing operational efficiencies. However, Hillenbrand offers a broader array of products across multiple industries, while Symbotic specializes in automation technologies specifically for warehousing and inventory management. This distinction highlights their differing approaches to market needs and technological advancement.
Income Statement Comparison
In this section, I present a comparison of the most recent income statements for Hillenbrand, Inc. and Symbotic Inc., highlighting key financial metrics for each company.
| Metric | Hillenbrand, Inc. (HI) | Symbotic Inc. (SYM) |
|---|---|---|
| Market Cap | 2.24B | 50.59B |
| Revenue | 2.67B | 2.25B |
| EBITDA | 230M | -75M |
| EBIT | 92M | -115M |
| Net Income | 43M | -81M |
| EPS | 0.74 | -0.16 |
| Fiscal Year | 2025 | 2025 |
Interpretation of Income Statement
In the latest fiscal year, Hillenbrand, Inc. reported a revenue of 2.67B, although this reflects a decrease from the previous year’s 3.18B, indicating a concerning trend. Despite this, Hillenbrand managed to maintain a positive net income of 43M, showcasing improved margins relative to prior periods. Conversely, Symbotic Inc. experienced significant challenges, with a net loss of 81M and an EBITDA of -75M. This highlights their struggle to achieve profitability amidst rising operational costs. Overall, Hillenbrand appears more stable, while Symbotic’s financials suggest the need for strategic adjustments.
Financial Ratios Comparison
In the following table, I present a comparison of key financial metrics between Hillenbrand, Inc. (HI) and Symbotic Inc. (SYM) for the most recent fiscal year.
| Metric | Hillenbrand (HI) | Symbotic (SYM) |
|---|---|---|
| ROE | 3.66% | -16.67% |
| ROIC | -32.60% | -17.12% |
| P/E | 36.69 | -70.32 |
| P/B | 1.34 | 11.73 |
| Current Ratio | 1.22 | 1.09 |
| Quick Ratio | 0.88 | 0.99 |
| D/E | 1.12 | 0.00 |
| Debt-to-Assets | 0.36 | 0.00 |
| Interest Coverage | 0.55 | N/A |
| Asset Turnover | 0.60 | 0.94 |
| Fixed Asset Turnover | 7.80 | 19.10 |
| Payout ratio | 121.69% | N/A |
| Dividend yield | 3.32% | 0.00% |
Interpretation of Financial Ratios
The financial ratios indicate that Hillenbrand has a positive return on equity (ROE) despite a high debt-to-equity ratio, which suggests financial strain. In contrast, Symbotic shows significantly negative returns with high volatility in metrics like P/E and ROIC, indicating potential instability. The current and quick ratios suggest both companies maintain adequate liquidity, but Hillenbrand’s higher dividend payout ratio may raise concerns about sustainability. Overall, I recommend caution when considering investments in either company due to their financial health challenges.
Dividend and Shareholder Returns
Hillenbrand, Inc. (HI) offers a dividend yield of 3.3% with a payout ratio of 121.7%, signaling potential risk due to unsustainable distributions. The company also engages in share buybacks, which can enhance shareholder value if managed wisely. In contrast, Symbotic Inc. (SYM) does not pay dividends, reflecting its reinvestment strategy during a high growth phase, prioritizing R&D. Both strategies have implications for long-term shareholder value creation, with HI’s approach needing careful monitoring.
Strategic Positioning
Hillenbrand, Inc. (HI) holds a market cap of $2.24B, primarily operating in industrial machinery across diversified segments. Its robust product offerings face competitive pressure from larger players like Symbotic Inc. (SYM), valued at $50.59B, which specializes in warehouse automation technology. As technological advancements continue to disrupt traditional manufacturing, both companies are focusing on innovation to maintain market relevance and enhance efficiency in their respective markets.
Stock Comparison
In the past year, we have witnessed significant price movements and trading dynamics for both Hillenbrand, Inc. (HI) and Symbotic Inc. (SYM), reflecting their respective market performances and investor sentiments.
Trend Analysis
For Hillenbrand, Inc. (HI), the overall percentage change over the past year is -29.48%, indicating a bearish trend. The stock has experienced notable acceleration in its decline, with a standard deviation of 9.44, which suggests increased price volatility. The highest price during this period was 50.29, while the lowest reached 18.75.
In the recent trend analysis, HI shows a percentage change of 29.59% from September 14, 2025, to November 30, 2025. This indicates a short-term recovery, but the long-term outlook remains negative.
Conversely, Symbotic Inc. (SYM) has demonstrated a strong bullish trend with an overall percentage change of +93.06% over the past year. The stock also shows acceleration, supported by a standard deviation of 14.0, indicating a healthy level of volatility. The highest recorded price was 83.77, with a low of 17.5.
In the recent analysis for SYM, the stock has surged by 75.43% from September 14, 2025, to November 30, 2025. This trend is bolstered by a trend slope of 1.71, reflecting strong upward momentum in price movement.
In summary, while HI is facing a challenging market environment, SYM is experiencing robust growth, making it a more favorable candidate for investment in the current landscape.
Analyst Opinions
Recent recommendations indicate a mixed outlook for investors. Hillenbrand, Inc. (HI) has garnered a “B+” rating from analysts, with strong scores in discounted cash flow and return on assets, making it a favorable “buy” option. Conversely, Symbotic Inc. (SYM) received a “C” rating, with weaknesses across nearly all financial metrics, suggesting a cautious approach or “hold” stance. Overall, the consensus for HI leans towards buy, while SYM appears less favorable, reflecting a sell sentiment.
Stock Grades
In the current market environment, it’s essential to consider the most recent stock grades from reliable sources to make informed investment decisions. Below are the grades for Hillenbrand, Inc. and Symbotic Inc., provided by reputable grading companies.
Hillenbrand, Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| DA Davidson | maintain | Neutral | 2025-11-20 |
| DA Davidson | maintain | Neutral | 2025-10-16 |
| CJS Securities | downgrade | Market Perform | 2025-10-16 |
| Keybanc | downgrade | Sector Weight | 2025-05-08 |
| DA Davidson | maintain | Neutral | 2025-05-01 |
| DA Davidson | maintain | Neutral | 2024-11-15 |
| Keybanc | maintain | Overweight | 2024-11-14 |
| DA Davidson | downgrade | Neutral | 2024-08-12 |
| DA Davidson | maintain | Buy | 2021-02-08 |
| DA Davidson | maintain | Buy | 2021-02-07 |
Symbotic Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Barclays | maintain | Underweight | 2025-11-26 |
| Baird | maintain | Neutral | 2025-11-26 |
| Citigroup | maintain | Buy | 2025-11-25 |
| Northland Capital Markets | maintain | Outperform | 2025-11-25 |
| Cantor Fitzgerald | maintain | Overweight | 2025-11-25 |
| DA Davidson | maintain | Neutral | 2025-11-25 |
| Craig-Hallum | upgrade | Buy | 2025-11-25 |
| UBS | downgrade | Sell | 2025-09-23 |
| DA Davidson | downgrade | Neutral | 2025-08-25 |
| Needham | maintain | Buy | 2025-08-07 |
Overall, the grades for Hillenbrand indicate a cautious sentiment, with several downgrades leading to a neutral outlook. In contrast, Symbotic shows a more stable performance with multiple maintain ratings, although there is a recent downgrade from UBS which investors should consider. Careful attention to these trends will be essential in managing investment risks effectively.
Target Prices
The current target price consensus indicates optimistic expectations for both companies.
| Company | Target High | Target Low | Consensus |
|---|---|---|---|
| Hillenbrand, Inc. | 32 | 32 | 32 |
| Symbotic Inc. | 83 | 41 | 67.38 |
Analysts expect Hillenbrand, Inc. to reach a target price of 32, aligning closely with its current price of 31.84. Symbotic Inc. shows a broader range with a consensus of 67.38, indicating a potential for significant upside from its current price of 83.77.
Strengths and Weaknesses
The following table outlines the strengths and weaknesses of Hillenbrand, Inc. (HI) and Symbotic Inc. (SYM) based on the most recent financial data.
| Criterion | Hillenbrand, Inc. (HI) | Symbotic Inc. (SYM) |
|---|---|---|
| Diversification | Strong in multiple sectors including industrial machinery and funeral services | Focused on warehouse automation technology with limited diversification |
| Profitability | Net profit margin of 2% | Negative profit margin of -3.6% |
| Innovation | Moderate innovation in industrial solutions | High innovation in automation technology |
| Global presence | Operates internationally | Primarily US-based operations |
| Market Share | Established position in machinery | Emerging player in automation |
| Debt level | Debt-to-equity ratio of 1.12 | No existing debt reported |
Hillenbrand demonstrates a diversified portfolio and moderate profitability, while Symbotic is innovative but currently faces challenges in profitability and debt management. Investors should weigh these factors when considering their positions in these companies.
Risk Analysis
In the table below, I outline key risks associated with Hillenbrand, Inc. (HI) and Symbotic Inc. (SYM) as of the most recent fiscal year.
| Metric | Hillenbrand, Inc. (HI) | Symbotic Inc. (SYM) |
|---|---|---|
| Market Risk | Moderate | High |
| Regulatory Risk | Moderate | High |
| Operational Risk | High | High |
| Environmental Risk | Moderate | Low |
| Geopolitical Risk | Low | Moderate |
Both companies face significant operational risks, particularly Symbotic, which is heavily invested in automation technology that is subject to rapid technological changes. Recent financial challenges, including negative profit margins for both, highlight the need for cautious investment.
Which one to choose?
When comparing Hillenbrand, Inc. (HI) and Symbotic Inc. (SYM), the fundamentals indicate a significant divergence in performance and outlook. HI shows a market cap of 1.91B with a solid B+ rating, reflecting better profitability metrics, including a net income of 43.1M for 2025 and a gross profit margin of 33.7%. In contrast, SYM, valued at approximately 31.49B, faces challenges with a C rating and continuous net losses, reporting a net income of -80.6M.
Analyst sentiment suggests caution with SYM, which has a bearish trend and high valuation ratios, while HI’s recent trend demonstrates a recovery albeit still in a bearish phase. For growth-focused investors, HI appears favorable, while those prioritizing high potential returns might consider SYM despite its risks.
Investors should be aware of risks such as competition and valuation pressures, especially in the evolving tech landscape.
Disclaimer: This article is not financial advice. Each investor is responsible for their own investment decisions.
Go further
I encourage you to read the complete analyses of Hillenbrand, Inc. and Symbotic Inc. to enhance your investment decisions:
