Hudson Technologies (NASDAQ:HDSN) Announces Earnings Results

Hudson Technologies (NASDAQ:HDSN) announced its quarterly earnings data on Wednesday. The industrial products company reported $0.12 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.18 by ($0.06), FiscalAI reports. The business had revenue of $78.35 million during the quarter, compared to the consensus estimate of $74.20 million. Hudson Technologies had a net margin of 5.66% and a return on equity of 6.98%.

Here are the key takeaways from Hudson Technologies’ conference call:

• Profitability declined amid weaker pricing and higher costs: Q2 revenue rose 8% to $78.3 million on 12% volume growth, but a 6% drop in average selling prices, freight inflation, ERP costs and legal expenses reduced gross margin to 26% from 31% and net income to $4.9 million from $10.2 million.
• HFC refrigerant prices remain under pressure due to excess channel inventory, illegal imports and limited sustained hot weather. Management expects prices to stabilize but cannot predict when illegal-import issues will be resolved, and lowered its full-year 2026 gross-margin outlook to the low-to-mid 20% range.
• Hudson secured the five-year, $210 million DLA contract re-award, resolving a seven-month challenge and providing greater visibility into its government business.
• Growth investments are expanding Hudson’s longer-term opportunities: the small recovery truck pilot is revenue-positive, predictive servicing has won four contracts this year, and the company plans broader rollouts while pursuing extractive-distillation technology to reclaim more complex refrigerant blends.
• The Illinois facility, temporarily idled for about three weeks after tornado damage, is fully operational again; insurance is expected to cover restoration costs, with no inventory loss or detectable damage to separation columns.

Hudson Technologies Stock Down 9.0%

Shares of HDSN traded down $0.56 during trading hours on Thursday, reaching $5.66. The stock had a trading volume of 1,055,763 shares, compared to its average volume of 405,641. Hudson Technologies has a 52 week low of $4.64 and a 52 week high of $10.52. The company has a market cap of $238.12 million, a P/E ratio of 18.26 and a beta of 0.78. The firm has a 50-day moving average of $5.87 and a 200 day moving average of $6.19.

Insider Activity

In other Hudson Technologies news, major shareholder Hartree Partners, Lp acquired 288,111 shares of the firm’s stock in a transaction that occurred on Wednesday, July 1st. The stock was acquired at an average cost of $5.88 per share, for a total transaction of $1,694,092.68. Following the transaction, the insider owned 4,700,000 shares of the company’s stock, valued at $27,636,000. This trade represents a 6.53% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Alan Sheriff bought 5,200 shares of the company’s stock in a transaction on Wednesday, May 13th. The shares were bought at an average price of $4.88 per share, for a total transaction of $25,376.00. Following the completion of the acquisition, the director directly owned 9,265 shares in the company, valued at approximately $45,213.20. This trade represents a 127.92% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have acquired 919,940 shares of company stock worth $5,374,186 in the last 90 days. Corporate insiders own 1.90% of the company’s stock.

Hedge Funds Weigh In On Hudson Technologies

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Westerly Capital Management LLC boosted its position in shares of Hudson Technologies by 34.9% during the fourth quarter. Westerly Capital Management LLC now owns 2,550,000 shares of the industrial products company’s stock worth $17,468,000 after buying an additional 660,000 shares during the period. Dimensional Fund Advisors LP lifted its stake in Hudson Technologies by 1.7% in the 4th quarter. Dimensional Fund Advisors LP now owns 2,043,151 shares of the industrial products company’s stock valued at $13,996,000 after acquiring an additional 33,670 shares in the last quarter. AQR Capital Management LLC lifted its stake in Hudson Technologies by 7.2% in the 1st quarter. AQR Capital Management LLC now owns 591,645 shares of the industrial products company’s stock valued at $3,650,000 after acquiring an additional 39,654 shares in the last quarter. Marshall Wace LLP boosted its position in Hudson Technologies by 270.4% during the 4th quarter. Marshall Wace LLP now owns 465,130 shares of the industrial products company’s stock worth $3,186,000 after acquiring an additional 339,543 shares during the last quarter. Finally, Lazard Asset Management LLC boosted its position in Hudson Technologies by 65.6% during the 4th quarter. Lazard Asset Management LLC now owns 431,769 shares of the industrial products company’s stock worth $2,958,000 after acquiring an additional 170,964 shares during the last quarter. 71.34% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several research analysts have recently issued reports on HDSN shares. Weiss Ratings upgraded Hudson Technologies from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Thursday, July 23rd. Wall Street Zen lowered Hudson Technologies from a “hold” rating to a “sell” rating in a research note on Saturday, May 16th. Finally, Canaccord Genuity Group reduced their target price on Hudson Technologies from $9.00 to $8.00 and set a “buy” rating on the stock in a report on Thursday. Two equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $8.62.

Key Headlines Impacting Hudson Technologies

Here are the key news stories impacting Hudson Technologies this week:

• Positive Sentiment: Hudson was re-awarded a U.S. Defense Logistics Agency (DLA) refrigerant IDIQ contract valued at $210 million through August 4, 2031, with a potential five-year extension through July 2036. The award restores a significant source of potential recurring revenue and confirms Hudson’s competitive standing after a prior bid protest and re-bid process. Hudson Technologies Re-Awarded Defense Logistics Agency Contract
• Positive Sentiment: Second-quarter revenue rose approximately 8% year over year to $78.3 million, exceeding analyst expectations, while operating cash flow reached $6.8 million. Hudson also reported that operations at its tornado-impacted facility were fully restored and highlighted a new Icorium partnership. Hudson Technologies Reports Second Quarter 2026 Results
• Neutral Sentiment: Management revised its 2026 gross-margin target to the low-to-mid-20% range in connection with the DLA contract re-award. The contract improves revenue visibility, but the updated margin outlook suggests investors may need to reassess its near-term contribution to profitability. Hudson revises 2026 gross margin target
• Negative Sentiment: Hudson reported second-quarter EPS of $0.12, below consensus estimates of roughly $0.17-$0.18 and down from $0.23 a year earlier. Gross profit, operating income, and net income also declined, indicating that stronger sales did not translate into expected earnings growth. Hudson Technologies misses Q2 earnings estimates

Hudson Technologies Company Profile

Hudson Technologies, Inc is a U.S.-based provider of refrigerant management and sustainability solutions, specializing in the recovery, reclamation and recycling of refrigerant gases. The company’s core business centers on collecting used refrigerants—such as CFCs, HCFCs and HFCs—from industrial, commercial and institutional customers, processing them in certified reclamation facilities and returning material that meets industry purity standards.

Headquartered in Purchase, New York, Hudson Technologies operates a network of reclamation centers across the continental United States.