Thursday, December 23, 2021

Harte Hanks (HHS)
New Credit Facility Is Another Big Step Forward

Harte-Hanks is a marketing services company that provides multichannel marketing solutions as well as consulting, data analytics, and strategic assessment. The company’s offerings focus on business-to-business, retail, finance, and automotive segments through digital, social, mobile, and print media offerings. Harte-Hanks strives to develop better customer relationships through its marketing and analytical services for clients. The majority of its revenue is derived from its marketing services in the retail, technology, and consumer brand segments.

Michael Kupinski, Director of Research, Noble Capital Markets, Inc.

Patrick McCann, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

New credit facility. On December 21, 2021, the company announced a $25 million secured revolving credit agreement with Texas Capital Bank. According to the company’s press release, the new line of credit will be used to repay existing debt, invest in growth initiatives, and will be a source of working capital. The credit line is secured by certain subsidiaries of Harte Hanks.


Expanded credit, greater flexibility.  The $25 million line of credit is a significant increase from the company’s existing line of $15 million. Moreover, the credit agreement is for three years, which is longer than the company’s previous agreements. We believe the expansion of the credit line, as well as the agreement’s extended time frame, will allow the company greater financial flexibility …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision.