Hudson Technologies (HDSN) Stock Forecast & Price Target

Hudson Technologies Inc. demonstrated a robust financial performance in Q2/25, reporting a gross profit of approximately $22.8 million, which translates to a gross margin of about 31%, reflecting a year-over-year increase of roughly 133 basis points and a sequential increase of approximately 951 basis points, primarily driven by rising refrigerant prices. The company achieved a net income of around $10.2 million for the same quarter, marking a 6.1% year-over-year growth and indicating its second consecutive profitable quarter following a loss in Q4/24. The consistent demand for HFC refrigerants, which maintained market prices around $8/lb in Q2, further supports Hudson’s positive financial trajectory and contributes to an optimistic outlook for the company.

Hudson Technologies Inc. reported Q2/25 revenues of $72.8 million, reflecting a decline of 3.2% year-over-year, which raises concerns about the company's market performance amid fluctuating demand. Although the GAAP diluted EPS showed an 11% increase year-over-year, the revenue drop highlights underlying business challenges that could impact long-term growth. Additionally, the slower-than-expected regulatory actions from the EPA regarding the mandatory use of reclaimed refrigerants may hinder Hudson's market expansion and competitiveness in the evolving industry landscape.