Heritage Global (HGBL)
Market Price (9/22/2026): $1.32 | Market Cap: $45.7 MilSector: Financials | Industry: Diversified Capital Markets
Heritage Global (HGBL)
Market Price (9/22/2026): $1.32Market Cap: $45.7 MilSector: FinancialsIndustry: Diversified Capital Markets
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -17% Low stock price volatilityVol 12M is 44% Megatrend and thematic driversMegatrends include Circular Economy & Industrial Asset Lifecycle, and Specialized Financial Services. Themes include Industrial Asset Redeployment & Resale, Industrial Auctions & Liquidation Services, Show more. | Weak multi-year price returns2Y Excs Rtn is -56%, 3Y Excs Rtn is -128% | Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -0.2 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -0.3% Expensive valuation multiplesP/CFOPrice/(Cash Flow from Operations). CFO is cash before capital expenditures. is 81x Weak revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is -1.5%, Rev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -4.9%, Rev Chg QQuarterly Revenue Change % is -14% Not cash flow generativeFCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -2.3% Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -35% Key risksHGBL key risks include [1] significant default risk from a high borrower concentration in its specialty lending portfolio and [2] the potential for losses on purchased assets due to miscalculating their resale value. |
| Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -17% |
| Low stock price volatilityVol 12M is 44% |
| Megatrend and thematic driversMegatrends include Circular Economy & Industrial Asset Lifecycle, and Specialized Financial Services. Themes include Industrial Asset Redeployment & Resale, Industrial Auctions & Liquidation Services, Show more. |
| Weak multi-year price returns2Y Excs Rtn is -56%, 3Y Excs Rtn is -128% |
| Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -0.2 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -0.3% |
| Expensive valuation multiplesP/CFOPrice/(Cash Flow from Operations). CFO is cash before capital expenditures. is 81x |
| Weak revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is -1.5%, Rev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -4.9%, Rev Chg QQuarterly Revenue Change % is -14% |
| Not cash flow generativeFCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -2.3% |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -35% |
| Key risksHGBL key risks include [1] significant default risk from a high borrower concentration in its specialty lending portfolio and [2] the potential for losses on purchased assets due to miscalculating their resale value. |
Qualitative Assessment
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Updated on 9/2/2026
Heritage Global (HGBL) stock has gained about 10% since 5/31/2026 because of the following key factors:
1. Strategic wind-down of the Specialty Lending segment signaled a shift towards capital-light operations.
Heritage Global announced on July 31, 2026, its strategic decision to substantially wind down Heritage Global Capital (HGC), its specialty lending business. This move led to approximately $21.7 million in noncash charges in fiscal Q2 2026 (ended June 30, 2026) related to the write-down of non-performing loans, and an additional $18.2 million non-cash impairment of equity-method investments. Despite these charges contributing to a net loss of $15.9 million for the quarter, the market appears to have reacted positively to the company exiting a problematic, capital-intensive segment in favor of a more stable business model.
2. Expansion of the Financial Assets platform through the acquisition of Boston Note & Mortgage III.
Subsequent to fiscal Q2 2026, on July 31, 2026, Heritage Global completed the acquisition of substantially all the assets of Boston Note & Mortgage III, LLC. This acquisition is expected to expand Heritage Global's Financial Assets platform with a complementary origination channel, positioning it to contribute to segment revenue in the second half of 2026.
Show more
Heritage Global (HGBL) stock has gained about 10% since 5/31/2026 because of the following key factors:
1. Strategic wind-down of the Specialty Lending segment signaled a shift towards capital-light operations.
Heritage Global announced on July 31, 2026, its strategic decision to substantially wind down Heritage Global Capital (HGC), its specialty lending business. This move led to approximately $21.7 million in noncash charges in fiscal Q2 2026 (ended June 30, 2026) related to the write-down of non-performing loans, and an additional $18.2 million non-cash impairment of equity-method investments. Despite these charges contributing to a net loss of $15.9 million for the quarter, the market appears to have reacted positively to the company exiting a problematic, capital-intensive segment in favor of a more stable business model.
2. Expansion of the Financial Assets platform through the acquisition of Boston Note & Mortgage III.
Subsequent to fiscal Q2 2026, on July 31, 2026, Heritage Global completed the acquisition of substantially all the assets of Boston Note & Mortgage III, LLC. This acquisition is expected to expand Heritage Global's Financial Assets platform with a complementary origination channel, positioning it to contribute to segment revenue in the second half of 2026.
Show more
Updated on 9/2/2026
Heritage Global (HGBL) stock has gained about 10% since 5/31/2026 because of the following key factors:
1. Strategic wind-down of the Specialty Lending segment signaled a shift towards capital-light operations.
Heritage Global announced on July 31, 2026, its strategic decision to substantially wind down Heritage Global Capital (HGC), its specialty lending business. This move led to approximately $21.7 million in noncash charges in fiscal Q2 2026 (ended June 30, 2026) related to the write-down of non-performing loans, and an additional $18.2 million non-cash impairment of equity-method investments. Despite these charges contributing to a net loss of $15.9 million for the quarter, the market appears to have reacted positively to the company exiting a problematic, capital-intensive segment in favor of a more stable business model.
2. Expansion of the Financial Assets platform through the acquisition of Boston Note & Mortgage III.
Subsequent to fiscal Q2 2026, on July 31, 2026, Heritage Global completed the acquisition of substantially all the assets of Boston Note & Mortgage III, LLC. This acquisition is expected to expand Heritage Global's Financial Assets platform with a complementary origination channel, positioning it to contribute to segment revenue in the second half of 2026.
3. Investor focus on future profitability following Q2 2026 results despite significant non-cash losses.
Although Heritage Global reported a diluted EPS loss of $0.46 and a net loss of $15.9 million for fiscal Q2 2026 (ended June 30, 2026) due to the HGC wind-down, the market response suggests that investors are looking past these one-time non-cash charges. The narrative following the August 13, 2026, earnings release indicated a focus on a "Profitable Mix Reset" and potential loan synergies, implying an optimistic outlook for the company's future operational efficiency and earnings potential post-restructuring.
Show less
Heritage Global (HGBL) stock has gained about 10% since 5/31/2026 because of the following key factors:
1. Strategic wind-down of the Specialty Lending segment signaled a shift towards capital-light operations.
Heritage Global announced on July 31, 2026, its strategic decision to substantially wind down Heritage Global Capital (HGC), its specialty lending business. This move led to approximately $21.7 million in noncash charges in fiscal Q2 2026 (ended June 30, 2026) related to the write-down of non-performing loans, and an additional $18.2 million non-cash impairment of equity-method investments. Despite these charges contributing to a net loss of $15.9 million for the quarter, the market appears to have reacted positively to the company exiting a problematic, capital-intensive segment in favor of a more stable business model.
2. Expansion of the Financial Assets platform through the acquisition of Boston Note & Mortgage III.
Subsequent to fiscal Q2 2026, on July 31, 2026, Heritage Global completed the acquisition of substantially all the assets of Boston Note & Mortgage III, LLC. This acquisition is expected to expand Heritage Global's Financial Assets platform with a complementary origination channel, positioning it to contribute to segment revenue in the second half of 2026.
3. Investor focus on future profitability following Q2 2026 results despite significant non-cash losses.
Although Heritage Global reported a diluted EPS loss of $0.46 and a net loss of $15.9 million for fiscal Q2 2026 (ended June 30, 2026) due to the HGC wind-down, the market response suggests that investors are looking past these one-time non-cash charges. The narrative following the August 13, 2026, earnings release indicated a focus on a "Profitable Mix Reset" and potential loan synergies, implying an optimistic outlook for the company's future operational efficiency and earnings potential post-restructuring.
Show less
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Stock Movement Drivers
Fundamental Drivers
The 10.7% change in HGBL stock from 5/31/2026 to 9/21/2026 was primarily driven by a 15.4% change in the company's P/S Multiple.| (LTM values as of) | 5312026 | 9212026 | Change |
|---|---|---|---|
| Stock Price ($) | 1.22 | 1.35 | 10.7% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 50 | 48 | -4.1% |
| P/S Multiple | 0.8 | 1.0 | 15.4% |
| Shares Outstanding (Mil) | 35 | 35 | -0.1% |
| Cumulative Contribution | 10.7% |
Market Drivers
5/31/2026 to 9/21/2026| Return | Correlation | |
|---|---|---|
| HGBL | 10.7% | |
| Market (SPY) | 2.5% | -14.5% |
| Sector (XLF) | 8.8% | 0.6% |
Fundamental Drivers
The 3.8% change in HGBL stock from 2/28/2026 to 9/21/2026 was primarily driven by a 7.7% change in the company's P/S Multiple.| (LTM values as of) | 2282026 | 9212026 | Change |
|---|---|---|---|
| Stock Price ($) | 1.30 | 1.35 | 3.8% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 50 | 48 | -3.4% |
| P/S Multiple | 0.9 | 1.0 | 7.7% |
| Shares Outstanding (Mil) | 35 | 35 | -0.2% |
| Cumulative Contribution | 3.8% |
Market Drivers
2/28/2026 to 9/21/2026| Return | Correlation | |
|---|---|---|
| HGBL | 3.8% | |
| Market (SPY) | 13.4% | 3.3% |
| Sector (XLF) | 9.6% | 9.0% |
Fundamental Drivers
The -29.3% change in HGBL stock from 8/31/2025 to 9/21/2026 was primarily driven by a -28.7% change in the company's P/S Multiple.| (LTM values as of) | 8312025 | 9212026 | Change |
|---|---|---|---|
| Stock Price ($) | 1.91 | 1.35 | -29.3% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 49 | 48 | -1.5% |
| P/S Multiple | 1.4 | 1.0 | -28.7% |
| Shares Outstanding (Mil) | 35 | 35 | 0.7% |
| Cumulative Contribution | -29.3% |
Market Drivers
8/31/2025 to 9/21/2026| Return | Correlation | |
|---|---|---|
| HGBL | -29.3% | |
| Market (SPY) | 21.2% | 7.8% |
| Sector (XLF) | 5.1% | 7.1% |
Fundamental Drivers
The -59.5% change in HGBL stock from 8/31/2023 to 9/21/2026 was primarily driven by a -55.4% change in the company's P/S Multiple.| (LTM values as of) | 8312023 | 9212026 | Change |
|---|---|---|---|
| Stock Price ($) | 3.33 | 1.35 | -59.5% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 56 | 48 | -14.2% |
| P/S Multiple | 2.2 | 1.0 | -55.4% |
| Shares Outstanding (Mil) | 37 | 35 | 6.0% |
| Cumulative Contribution | -59.5% |
Market Drivers
8/31/2023 to 9/21/2026| Return | Correlation | |
|---|---|---|
| HGBL | -59.5% | |
| Market (SPY) | 78.3% | 14.2% |
| Sector (XLF) | 70.5% | 14.6% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| HGBL Return | -30% | 26% | 18% | -33% | -33% | 8% | -50% |
| Peers Return | 27% | -23% | 17% | 23% | -5% | 20% | 61% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 12% | 104% |
Monthly Win Rates [3] | |||||||
| HGBL Win Rate | 42% | 50% | 50% | 33% | 33% | 44% | |
| Peers Win Rate | 60% | 37% | 62% | 48% | 55% | 60% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 44% | |
Max Drawdowns [4] | |||||||
| HGBL Max Drawdown | -58% | -47% | -41% | -48% | -49% | -30% | |
| Peers Max Drawdown | -23% | -38% | -31% | -20% | -39% | -27% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: RBA, CPRT, LQDT, PRAA, ECPG.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 9/21/2026 (YTD)
How Low Can It Go
| Event | HGBL | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -10.6% | -18.8% |
| % Gain to Breakeven | 11.9% | 23.1% |
| Time to Breakeven | 6 days | 79 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -42.1% | -24.5% |
| % Gain to Breakeven | 72.8% | 32.4% |
| Time to Breakeven | 89 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -34.4% | -33.7% |
| % Gain to Breakeven | 52.3% | 50.9% |
| Time to Breakeven | 160 days | 140 days |
| 2013 Taper Tantrum | ||
| % Loss | -42.7% | -0.2% |
| % Gain to Breakeven | 74.4% | 0.2% |
| Time to Breakeven | 1987 days | 1 days |
| 2011 US Debt Ceiling Crisis & European Contagion | ||
| % Loss | -30.0% | -17.9% |
| % Gain to Breakeven | 42.9% | 21.8% |
| Time to Breakeven | 32 days | 123 days |
| 2010 Eurozone Sovereign Debt Crisis / Flash Crash | ||
| % Loss | -25.0% | -15.4% |
| % Gain to Breakeven | 33.3% | 18.2% |
| Time to Breakeven | 5 days | 125 days |
In The Past
Heritage Global's stock fell -10.6% during the 2025 US Tariff Shock. Such a loss loss requires a 11.9% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
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| Event | HGBL | S&P 500 |
|---|---|---|
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -42.1% | -24.5% |
| % Gain to Breakeven | 72.8% | 32.4% |
| Time to Breakeven | 89 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -34.4% | -33.7% |
| % Gain to Breakeven | 52.3% | 50.9% |
| Time to Breakeven | 160 days | 140 days |
| 2013 Taper Tantrum | ||
| % Loss | -42.7% | -0.2% |
| % Gain to Breakeven | 74.4% | 0.2% |
| Time to Breakeven | 1987 days | 1 days |
| 2011 US Debt Ceiling Crisis & European Contagion | ||
| % Loss | -30.0% | -17.9% |
| % Gain to Breakeven | 42.9% | 21.8% |
| Time to Breakeven | 32 days | 123 days |
| 2010 Eurozone Sovereign Debt Crisis / Flash Crash | ||
| % Loss | -25.0% | -15.4% |
| % Gain to Breakeven | 33.3% | 18.2% |
| Time to Breakeven | 5 days | 125 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -87.4% | -53.4% |
| % Gain to Breakeven | 691.7% | 114.4% |
| Time to Breakeven | 545 days | 1085 days |
In The Past
Heritage Global's stock fell -10.6% during the 2025 US Tariff Shock. Such a loss loss requires a 11.9% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Heritage Global (HGBL)
Heritage Global, Inc. (HGBL) operates as an asset services company primarily focused on transactions involving financial and industrial assets. The company specializes in identifying, valuing, acquiring, and monetizing a diverse range of tangible and intangible assets. HGBL acts as both an adviser and a principal, helping businesses realize value from their non-core, surplus, or distressed assets through various specialized services.
The core services offered by Heritage Global include market making, direct acquisitions, asset dispositions (selling assets), valuations, and secured lending. Their expertise spans a broad spectrum of asset classes, such as entire manufacturing facilities, surplus industrial machinery and equipment, industrial inventories, accounts receivable portfolios, intellectual property, and even entire business enterprises.
Heritage Global primarily serves clients within the industrial and financial sectors. Its customer base typically comprises corporations, financial institutions, and other entities that need to divest surplus assets, monetize intellectual property, manage distressed asset portfolios, or strategically acquire industrial and financial assets. The company's services are particularly beneficial for businesses undergoing restructuring, downsizing, or strategic asset re-alignment.
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Here are 1-3 brief analogies for Heritage Global:
- Like eBay for industrial and financial assets.
- Like a specialized Sotheby's for business assets, including machinery, intellectual property, and accounts receivable.
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- Market Making: Facilitating the buying and selling of financial and industrial assets.
- Acquisitions: Services for identifying and purchasing various tangible and intangible assets.
- Dispositions: Services for selling, liquidating, or monetizing assets.
- Valuations: Expert assessment services to determine the worth of assets and business enterprises.
- Secured Lending Services: Providing loans backed by collateralized assets.
AI Analysis | Feedback
Heritage Global (HGBL) primarily serves other companies (business-to-business). Specific major customer names are generally not publicly disclosed by the company in its filings due to the nature of its services (asset advisory, auctions, and dispositions).
However, based on its business operations as an asset services company, its major customers fall into the following categories:
- Corporations: This includes a wide range of companies, from small and middle-market businesses to large multi-national and Fortune 500 corporations. These customers utilize Heritage Global's services for the disposition of surplus industrial machinery, equipment, inventory, manufacturing facilities, or entire business enterprises, as well as for acquiring such assets or intellectual property.
- Financial Institutions: Banks, secured lenders, and other financial entities are customers for services such as asset valuation, secured lending against various asset classes, and the liquidation or disposition of repossessed or distressed assets.
- Private Equity Firms: Investment firms that are actively involved in mergers, acquisitions, and divestitures frequently engage Heritage Global for the valuation, acquisition, or disposition of assets belonging to their portfolio companies or for entire businesses.
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Ross Dove, Chief Executive Officer and President
Ross Dove began his career over forty years ago, joining his father and grandfather at a family auction house in San Francisco. He pioneered numerous advancements in the industrial asset and commercial property auction industry, growing the firm into one of the world's largest. He and Kirk Dove re-acquired the family firm, renaming it "Dove Brothers," and later re-launched the family legacy as "Heritage Global Partners, Inc." Mr. Dove was appointed CEO of Heritage Global Inc. in May 2015. His success has been widely chronicled in major publications, and he is a founding member of the Industrial Auctioneers Association (IAA) and a recipient of its Lifetime Achievement award.
Brian Cobb, Chief Financial Officer
Brian Cobb was appointed Chief Financial Officer of Heritage Global Inc. in May 2022. He joined the company in 2017 as Director of Financial Reporting, later becoming Corporate Controller in 2019. In this role, he was instrumental in the company's transition from the OTC market to Nasdaq and its public offering in 2020. Prior to his appointment as CFO, he served as Vice President of Finance starting in 2021. Before joining Heritage Global, Mr. Cobb accumulated over 10 years of accounting and managerial experience, primarily at PricewaterhouseCoopers.
Nicholas Dove, President, Industrial Assets Division
Nicholas Dove serves as the President of Heritage Global's Industrial Assets business. He was previously the Executive Vice President of Heritage Global Partners (HGP) and is involved in the family business alongside his brother, Ross Dove.
David Ludwig, President, Financial Assets Division and Director
David Ludwig is the President of the Financial Assets Division and a Director at Heritage Global Inc. He has over thirty-two years of experience in the receivables management industry. He was previously the President of National Loan Exchange (NLEX), which was divested by Dove Brothers to him, and he subsequently advanced it into a leading loan sale advisor of charged-off and nonperforming assets.
James Sklar, Executive Vice President, General Counsel and Secretary
James Sklar holds the positions of Executive Vice President, General Counsel, and Secretary at Heritage Global Inc.
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The key risks to Heritage Global (HGBL) include significant concentration risk and default within its specialty lending segment, the business's high sensitivity to economic volatility, and intensifying competition leading to margin pressure.
- Specialty Lending Concentration Risk and Default: Heritage Global faces substantial credit and earnings risk due to a significant portion of its gross notes receivable being tied to a single borrower within its Specialty Lending segment who is currently in default. This borrower represents approximately 66% to 76% of the gross notes receivable, creating a concentrated risk exposure. Related loans have been placed on a nonaccrual basis, and the recovery of funds depends on collections from underlying charged-off receivable portfolios.
- Economic Volatility and Macroeconomic Sensitivity: The company's financial performance is highly susceptible to macroeconomic cycles. Economic downturns, periods of tighter credit, or specific shocks within the sectors it serves can significantly reduce transaction volumes and the value of assets, thereby impacting fee-based revenues and overall profitability. Economic volatility may also increase counterparty risk and delay asset sales.
- Heightened Competition and Margin Pressure: Heritage Global operates in a competitive environment for its asset valuation and disposition services. Increased competition poses a risk of margin compression and potential erosion of market share if rivals offer lower pricing or utilize superior technology. This competitive landscape can adversely affect the company's revenues and valuation.
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Here are the addressable market sizes for Heritage Global Inc.'s main products and services:
Industrial Asset Transactions (Acquisitions, Dispositions, Brokering Manufacturing Facilities, Surplus Industrial Machinery and Equipment, Industrial Inventories)
- The global industrial auction services market was estimated to be approximately USD 8.5 billion in 2023 and is projected to reach USD 16.2 billion by 2032.
- The global hard asset equipment online auction market was valued at USD 16.23 billion in 2025 and is projected to reach USD 88.03 billion by 2035. North America holds nearly 38% of this market.
- The global online auction market size, which includes B2B goods like industrial equipment, was approximately USD 19.6 billion in 2024 and is expected to reach USD 55.95 billion by 2033.
- The IT Asset Disposition (ITAD) market, which encompasses the secure disposal and recovery of IT equipment, was valued at USD 29.74 billion in 2024 and is projected to grow to USD 90.77 billion by 2033 globally. North America is projected to lead this market with an estimated 35% share in 2025.
Financial Asset Transactions and Secured Lending (Accounts Receivable Portfolios, Secured Lending Services)
- The global accounts receivable financing market was valued at approximately USD 400 billion in 2023 and is projected to reach about USD 700 billion by 2032.
- Another estimate places the global accounts receivable financing market at $180 billion in 2024, with a projection to reach $277.68 billion by 2030. North America was the largest region in this market in 2025, and the United States dominates with an estimated market share of over 40%.
Intellectual Property Transactions (Acquiring or Brokering Intellectual Property)
- The global intellectual property services market was valued at US$ 4.2 billion in 2024 and is projected to reach US$ 14.3 billion by 2035. North America dominated this market in 2024, holding a 37.4% revenue share.
- A more specific segment, the brokered patent market, was estimated at $290 million in 2020.
Business Enterprises (Acquiring or Brokering Business Enterprises) and Valuations
- The global business valuation service market size was valued at US$ 14,250 million in 2023 and is forecast to reach US$ 21,220 million by 2030.
- Other estimates for the global business valuation service market indicate a size of $8.03 billion in 2025, growing to $11.75 billion in 2030, or starting at an estimated value of USD 246.5 billion in 2026, on track to hit USD 2021.3 billion by 2035. North America leads this market, accounting for approximately 42% of global demand.
- The global corporate valuation service market size was valued at USD 2,427 million in 2024 and is projected to grow to USD 3,579 million by 2032. North America dominates this market.
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Here are 3-5 expected drivers of future revenue growth for Heritage Global (HGBL) over the next 2-3 years:
- Continued Growth in Industrial Asset Transactions: Heritage Global anticipates sustained positive trends within its Industrial Assets division. This growth is expected to be fueled by heightened macroeconomic pressures, which are increasing activity in the company's auction business. The company aims to capitalize on key auction and liquidation opportunities.
- Increased Volume in Financial Asset Transactions: The Financial Assets division is positioned for continued growth due to macroeconomic factors such as record consumer debt and a rise in charged-off credit cards and non-performing loans. The company's brokerage segment has expanded its client base, directly correlating with these increased volumes in the market.
- Strategic Mergers and Acquisitions (M&A): Heritage Global is actively pursuing strategic mergers and acquisitions, with management "aggressively looking at many, many opportunities" as a high priority. The company sees significant opportunities for industry consolidation, potentially leading to a leadership role in large-scale M&A activities. For example, the acquisition of substantially all the assets of The Debt Exchange (DebtX) is expected to contribute to both operating and net income starting in 2026.
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Here is a summary of Heritage Global's capital allocation decisions over the last 3-5 years:
Share Repurchases
- On September 13, 2024, the Board of Directors approved an amendment to the share repurchase program, increasing the authorized amount from $4.0 million to $6.0 million and extending the expiration date to June 30, 2025.
- During the year ended December 31, 2024, Heritage Global repurchased approximately $2.2 million of common stock.
- Cash disbursements during the year ended December 31, 2025, included repurchases of common stock totaling $2.6 million.
- A new share repurchase program was authorized on July 31, 2025, allowing for the repurchase of up to $7.5 million in common stock over the subsequent three years.
Share Issuance
- No significant share issuances for capital-raising purposes have been explicitly reported within the last 3-5 years.
Inbound Investments
- No large investments made in Heritage Global by third-parties have been explicitly reported within the last 3-5 years.
Outbound Investments
- Effective January 1, 2026, Heritage Global acquired substantially all assets of The Debt Exchange, Inc. (DebtX) for approximately $8.5 million in an all-cash transaction. This acquisition is expected to strengthen the company's Financial Assets division.
- On August 23, 2021, the company acquired certain assets and liabilities of American Laboratory Trading (ALT).
Capital Expenditures
- Cash disbursements for the year ended December 31, 2025, included an investment of $8.5 million in the new San Diego facility, which serves as the company's corporate headquarters and warehouse space. This facility was opened in February 2025.
Peer Outperformance in Diversified Capital Markets
HGBL has outperformed 60% of its 20 Diversified Capital Markets peers over 5Y. Diversified Capital Markets ranks 17th of 18 industries in Financials by median 5Y return. The sector’s gains have largely come from elsewhere.
Share of Diversified Capital Markets constituents that HGBL has outperformed, by holding period. Peers without a full price history over a given window are excluded from that window.
1Y
66%
of 35 industry peers · -19.6% return
3Y
36%
of 22 industry peers · -56.0% return
5Y
60%
of 20 industry peers · -34.9% return
No Diversified Capital Markets peer with a comparable growth profile has beaten HGBL by more than 20pp over 5Y.
Median price return by industry across the Financials sector, ranked by 5Y. Diversified Capital Markets is HGBL's own industry. Use this to see which corners of the sector have carried the returns.
| Industry | Names | 1Y med | 3Y med | 5Y med | Top 3 by 5Y |
|---|---|---|---|---|---|
| Reinsurance | 6 | 23.3% | 69.0% | 130.6% | SPNT 170% · RGA 149% · RNR 140% |
| Investment Banking & Brokerage | 13 | -0.3% | 111.7% | 118.7% | IBKR 535% · SNEX 254% · GS 181% |
| Diversified Banks | 12 | 29.5% | 134.2% | 114.6% | CM 162% · JPM 156% · RY 149% |
| Life & Health Insurance | 20 | 7.1% | 55.5% | 103.2% | JXN 534% · UNM 361% · FG 204% |
| Multi-Sector Holdings | 4 | 4.1% | 48.9% | 84.6% | JONE 362% · VOYA 86% · BRK-B 83% |
| Property & Casualty Insurance | 42 | 7.9% | 66.0% | 66.2% | ASIC 2706900% · HRTG 404% · UVE 317% |
| Regional Banks | 265 | 24.0% | 91.9% | 64.7% | ESQ 367% · GCBC 309% · NBN 309% |
| Multi-line Insurance | 9 | 8.4% | 69.4% | 61.1% | GNW 194% · L 107% · SLF 102% |
| Financial Exchanges & Data | 15 | 0.0% | 17.3% | 31.2% | VIRT 185% · CBOE 134% · CME 80% |
| Diversified Financial Services | 4 | -6.0% | 23.2% | 30.6% | FRHC 177% · EQH 116% · TMS -55% |
| Consumer Finance | 30 | -0.1% | 90.1% | 25.6% | ENVA 427% · EZPW 312% · FCFS 164% |
| Insurance Brokers | 16 | -16.5% | -8.1% | 17.5% | LIFE 217% · ARX 88% · CRD-A 65% |
| Commercial & Residential Mortgage Finance | 15 | -46.0% | 25.3% | 12.1% | FNMA 446% · FMCC 415% · ACT 182% |
| Asset Management & Custody Banks | 85 | -11.3% | 16.4% | 11.7% | WT 351% · VCTR 281% · SII 278% |
| Specialized Finance | 3 | 11.2% | 42.6% | -5.7% | EFC 26% · CACC -6% · HASI -17% |
| Mortgage REITs | 33 | -12.6% | 7.5% | -20.2% | NREF 55% · RITM 42% · DX 33% |
| Diversified Capital Markets ← | 21 | -33.8% | 16.4% | -36.8% | OPY 204% · LPLA 131% · GOLD 82% |
| Transaction & Payment Processing Services | 16 | -0.2% | -6.9% | -45.5% | V 72% · MA 70% · CPAY 55% |
Median of constituents with a full price history over each window. Top names are unfiltered by size in this render.
Latest Trefis Analyses
| Title | Date | |
|---|---|---|
| DASHBOARDS | ||
| Heritage Global Earnings Notes | 12/16/2025 | |
| With Heritage Global Stock Sliding, Have You Assessed The Risk? | 10/17/2025 |
| Title | |
|---|---|
| ARTICLES |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 35.87 |
| Mkt Cap | 1.7 |
| Rev LTM | 1,622 |
| Op Inc LTM | 532 |
| FCF LTM | 108 |
| FCF 3Y Avg | 88 |
| CFO LTM | 125 |
| CFO 3Y Avg | 111 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 7.5% |
| Rev Chg 3Y Avg | 17.2% |
| Rev Chg Q | 9.6% |
| QoQ Delta Rev Chg LTM | 2.4% |
| Op Inc Chg LTM | 22.0% |
| Op Inc Chg 3Y Avg | 22.1% |
| Op Mgn LTM | 21.1% |
| Op Mgn 3Y Avg | 16.7% |
| QoQ Delta Op Mgn LTM | 0.4% |
| CFO/Rev LTM | 12.9% |
| CFO/Rev 3Y Avg | 14.3% |
| FCF/Rev LTM | 8.5% |
| FCF/Rev 3Y Avg | 10.2% |
Segment Financials
Revenue by Segment| $ Mil | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|
| Services revenue | 20 | 22 | 18 | 15 | 13 |
| Asset sales | 6 | 2 | 2 | 8 | 4 |
| Total | 26 | 24 | 20 | 24 | 17 |
| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Brokerage | 6 | 7 | 9 | 5 | 2 |
| Auction and Liquidation | 3 | 4 | 5 | 8 | 3 |
| Refurbishment & Resale | 2 | 0 | 3 | 1 | -0 |
| Specialty Lending | 0 | 2 | 2 | 1 | 0 |
| Corporate and other | -5 | -5 | -4 | -4 | -2 |
| Total | 6 | 9 | 14 | 11 | 3 |
| $ Mil | 2013 | 2012 | 2011 | 2010 | 2004 |
|---|---|---|---|---|---|
| Other assets not allocated to segments | 30 | 34 | 38 | 6 | |
| Asset Liquidation | 20 | 28 | 9 | 11 | |
| Patent Licensing | 0 | 0 | |||
| Technologies | 1 | ||||
| Telecommunications | 22 | ||||
| Total | 50 | 61 | 47 | 17 | 24 |
Price Behavior
Price Behavior
| Market Price | $1.35 | |
| Market Cap ($ Bil) | 0.0 | |
| First Trading Date | 02/23/2007 | |
| Distance from 52W High | -22.9% | |
| 50 Days | 200 Days | |
| DMA Price | $1.22 | $1.29 |
| DMA Trend | down | indeterminate |
| Distance from DMA | 11.1% | 5.0% |
| 3M | 1YR | |
| Volatility | 48.7% | 43.3% |
| Downside Capture | -23.31 | 31.92 |
| Upside Capture | 26.72 | 0.69 |
| Correlation (SPY) | -9.7% | 8.1% |
HGBL Betas & Captures as of 8/31/2026
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | -2.12 | -0.54 | -0.52 | 0.15 | 0.30 | 0.40 |
| Up Beta | -3.68 | -2.73 | -1.88 | -0.32 | 0.05 | 0.57 |
| Down Beta | -2.14 | 1.01 | 0.10 | 0.35 | 0.99 | 0.53 |
| Up Capture | -27% | 23% | -13% | 18% | -9% | -0% |
| Bmk +ve Days | 10 | 21 | 32 | 68 | 138 | 427 |
| Stock +ve Days | 12 | 20 | 28 | 54 | 105 | 327 |
| Down Capture | -361% | -53% | -50% | 35% | 48% | 68% |
| Bmk -ve Days | 11 | 21 | 32 | 59 | 113 | 324 |
| Stock -ve Days | 6 | 13 | 24 | 54 | 116 | 349 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with HGBL | |
|---|---|---|---|---|
| HGBL | -24.7% | 43.7% | -0.53 | - |
| Sector ETF (XLF) | 4.9% | 14.6% | 0.10 | 8.7% |
| Equity (SPY) | 18.2% | 13.0% | 1.01 | 8.4% |
| Gold (GLD) | 18.8% | 29.3% | 0.59 | 8.8% |
| Commodities (DBC) | 47.0% | 20.6% | 1.76 | 1.4% |
| Real Estate (VNQ) | 5.7% | 13.6% | 0.15 | 3.7% |
| Bitcoin (BTCUSD) | -31.0% | 44.4% | -0.71 | 3.3% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with HGBL | |
|---|---|---|---|---|
| HGBL | -8.5% | 48.6% | -0.02 | - |
| Sector ETF (XLF) | 9.9% | 18.4% | 0.40 | 18.0% |
| Equity (SPY) | 13.1% | 17.2% | 0.58 | 15.1% |
| Gold (GLD) | 18.9% | 18.8% | 0.81 | 1.2% |
| Commodities (DBC) | 11.0% | 19.5% | 0.44 | 2.8% |
| Real Estate (VNQ) | 1.2% | 18.8% | -0.04 | 13.4% |
| Bitcoin (BTCUSD) | 12.5% | 52.6% | 0.42 | 3.3% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with HGBL | |
|---|---|---|---|---|
| HGBL | -15.1% | 57.4% | -0.20 | - |
| Sector ETF (XLF) | 13.2% | 22.1% | 0.54 | 20.1% |
| Equity (SPY) | 15.6% | 17.9% | 0.74 | 19.0% |
| Gold (GLD) | 12.1% | 16.4% | 0.61 | 1.9% |
| Commodities (DBC) | 8.4% | 18.1% | 0.38 | 7.2% |
| Real Estate (VNQ) | 4.9% | 20.7% | 0.20 | 18.2% |
| Bitcoin (BTCUSD) | 62.7% | 66.2% | 1.03 | 6.6% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 06/30/2026 | 08/13/2026 | 10-Q |
| 03/31/2026 | 05/07/2026 | 10-Q |
| 12/31/2025 | 03/12/2026 | 10-K |
| 09/30/2025 | 11/06/2025 | 10-Q |
| 06/30/2025 | 08/07/2025 | 10-Q |
| 03/31/2025 | 05/08/2025 | 10-Q |
| 12/31/2024 | 03/13/2025 | 10-K |
| 09/30/2024 | 11/07/2024 | 10-Q |
| 06/30/2024 | 08/08/2024 | 10-Q |
| 03/31/2024 | 05/09/2024 | 10-Q |
| 12/31/2023 | 03/14/2024 | 10-K |
| 09/30/2023 | 11/09/2023 | 10-Q |
| 06/30/2023 | 08/10/2023 | 10-Q |
| 03/31/2023 | 05/11/2023 | 10-Q |
| 12/31/2022 | 03/24/2023 | 10-K |
| 09/30/2022 | 11/10/2022 | 10-Q |
| Report Date | Filing Date | Filing |
|---|---|---|
| 06/30/2026 | 08/13/2026 | 10-Q |
| 03/31/2026 | 05/07/2026 | 10-Q |
| 12/31/2025 | 03/12/2026 | 10-K |
| 09/30/2025 | 11/06/2025 | 10-Q |
| 06/30/2025 | 08/07/2025 | 10-Q |
| 03/31/2025 | 05/08/2025 | 10-Q |
| 12/31/2024 | 03/13/2025 | 10-K |
| 09/30/2024 | 11/07/2024 | 10-Q |
| 06/30/2024 | 08/08/2024 | 10-Q |
| 03/31/2024 | 05/09/2024 | 10-Q |
| 12/31/2023 | 03/14/2024 | 10-K |
| 09/30/2023 | 11/09/2023 | 10-Q |
| 06/30/2023 | 08/10/2023 | 10-Q |
| 03/31/2023 | 05/11/2023 | 10-Q |
| 12/31/2022 | 03/24/2023 | 10-K |
| 09/30/2022 | 11/10/2022 | 10-Q |
| 06/30/2022 | 08/10/2022 | 10-Q |
| 03/31/2022 | 05/12/2022 | 10-Q |
| 12/31/2021 | 03/17/2022 | 10-K |
| 09/30/2021 | 11/10/2021 | 10-Q |
| 06/30/2021 | 08/12/2021 | 10-Q |
| 03/31/2021 | 05/13/2021 | 10-Q |
| 12/31/2020 | 03/08/2021 | 10-K |
| 09/30/2020 | 11/09/2020 | 10-Q |
| 06/30/2020 | 08/10/2020 | 10-Q |
| 03/31/2020 | 05/11/2020 | 10-Q |
| 12/31/2019 | 03/09/2020 | 10-K |
| 09/30/2019 | 11/08/2019 | 10-Q |
Insider Activity
Updated 9/2/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Sklar, James Edward | EVP, Gen Counsel & Secretary | Direct | Sell | 9022026 | 1.27 | 2,500 | 3,175 | 323,712 | Form |
| 2 | Cobb, Brian J | CFO | Direct | Buy | 8202026 | 1.10 | 20,000 | 22,000 | 269,888 | Form |
| 3 | Hounsell, Bruce Kenneth | President, Heritage DebtX LLC | Direct | Buy | 8172026 | 1.14 | 10,000 | 11,395 | 11,395 | Form |
| 4 | Dove, Nicholas Kirk | President, Industrial Assets | Direct | Buy | 8172026 | 1.10 | 60,000 | 65,940 | 204,414 | Form |
| 5 | Dove, Nicholas Kirk | President, Industrial Assets | Direct | Buy | 5262026 | 1.22 | 26,000 | 31,590 | 153,090 | Form |
| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Sklar, James Edward | EVP, Gen Counsel & Secretary | Direct | Sell | 9022026 | 1.27 | 2,500 | 3,175 | 323,712 | Form |
| 2 | Cobb, Brian J | CFO | Direct | Buy | 8202026 | 1.10 | 20,000 | 22,000 | 269,888 | Form |
| 3 | Hounsell, Bruce Kenneth | President, Heritage DebtX LLC | Direct | Buy | 8172026 | 1.14 | 10,000 | 11,395 | 11,395 | Form |
| 4 | Dove, Nicholas Kirk | President, Industrial Assets | Direct | Buy | 8172026 | 1.10 | 60,000 | 65,940 | 204,414 | Form |
| 5 | Dove, Nicholas Kirk | President, Industrial Assets | Direct | Buy | 5262026 | 1.22 | 26,000 | 31,590 | 153,090 | Form |
| 6 | Sklar, James Edward | EVP, Gen Counsel & Secretary | Direct | Sell | 5082026 | 1.33 | 3,734 | 4,966 | 342,330 | Form |
| 7 | Sklar, James Edward | EVP, Gen Counsel & Secretary | Direct | Sell | 4022026 | 1.35 | 3,734 | 5,041 | 352,519 | Form |
| 8 | Sklar, James Edward | EVP, Gen Counsel & Secretary | Direct | Sell | 3032026 | 1.30 | 3,734 | 4,854 | 344,317 | Form |
| 9 | Sklar, James Edward | EVP, Gen Counsel & Secretary | Direct | Sell | 2032026 | 1.37 | 3,734 | 5,116 | 367,972 | Form |
| 10 | Sklar, James Edward | EVP, Gen Counsel & Secretary | Direct | Sell | 1052026 | 1.23 | 3,734 | 4,593 | 334,962 | Form |
| 11 | Sklar, James Edward | EVP, Gen Counsel & Secretary | Direct | Sell | 12022025 | 1.31 | 3,734 | 4,892 | 361,640 | Form |
| 12 | Sklar, James Edward | EVP, Gen Counsel & Secretary | Direct | Sell | 11042025 | 1.43 | 3,734 | 5,340 | 400,107 | Form |
| 13 | Sklar, James Edward | EVP, Gen Counsel & Secretary | Direct | Sell | 10022025 | 1.63 | 7,468 | 12,173 | 462,152 | Form |
Industry Resources
| Financials Resources |
| Federal Reserve Economic Data |
| Federal Reserve |
| FDIC Data |
| American Banker |
| The Banker |
| Banking Technology |
| Diversified Capital Markets Resources |
| International Financing Review (IFR) |
| Financial News |
| Global Capital |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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