HERMES INTERNATIONAL (HMI.DE) Stock Fundamental Analysis
FRA:HMI - Deutsche Boerse Ag - FR0000052292 - Common Stock - Currency: EUR
HMI gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 40 industry peers in the Textiles, Apparel & Luxury Goods industry. Both the health and profitability get an excellent rating, making HMI a very profitable company, without any liquidiy or solvency issues. HMI is quite expensive at the moment. It does show a decent growth rate. These ratings would make HMI suitable for quality investing!
1. Profitability
1.1 Basic Checks
HMI had positive earnings in the past year.
In the past year HMI had a positive cash flow from operations.
In the past 5 years HMI has always been profitable.
Each year in the past 5 years HMI had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 19.94%, HMI belongs to the best of the industry, outperforming 97.50% of the companies in the same industry.
HMI's Return On Equity of 26.57% is amongst the best of the industry. HMI outperforms 87.50% of its industry peers.
With an excellent Return On Invested Capital value of 22.99%, HMI belongs to the best of the industry, outperforming 95.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for HMI is significantly above the industry average of 10.69%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.94% | ||
| ROE | 26.57% | ||
| ROIC | 22.99% |
ROA(3y)20.1%
ROA(5y)18.1%
ROE(3y)27.33%
ROE(5y)25.35%
ROIC(3y)23.47%
ROIC(5y)21.82%
1.3 Margins
HMI's Profit Margin of 30.34% is amongst the best of the industry. HMI outperforms 100.00% of its industry peers.
HMI's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 41.09%, HMI belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
HMI's Operating Margin has improved in the last couple of years.
HMI has a better Gross Margin (70.26%) than 77.50% of its industry peers.
In the last couple of years the Gross Margin of HMI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 41.09% | ||
| PM (TTM) | 30.34% | ||
| GM | 70.26% |
OM growth 3Y0.88%
OM growth 5Y3.62%
PM growth 3Y3.69%
PM growth 5Y6.45%
GM growth 3Y-0.48%
GM growth 5Y0.33%
2. Health
2.1 Basic Checks
HMI has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
HMI has more shares outstanding than it did 1 year ago.
The number of shares outstanding for HMI has been increased compared to 5 years ago.
Compared to 1 year ago, HMI has an improved debt to assets ratio.
2.2 Solvency
HMI has an Altman-Z score of 29.36. This indicates that HMI is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 29.36, HMI belongs to the best of the industry, outperforming 97.50% of the companies in the same industry.
HMI has a debt to FCF ratio of 0.54. This is a very positive value and a sign of high solvency as it would only need 0.54 years to pay back of all of its debts.
HMI has a better Debt to FCF ratio (0.54) than 95.00% of its industry peers.
A Debt/Equity ratio of 0.11 indicates that HMI is not too dependend on debt financing.
HMI's Debt to Equity ratio of 0.11 is amongst the best of the industry. HMI outperforms 92.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 0.54 | ||
| Altman-Z | 29.36 |
ROIC/WACC2.86
WACC8.03%
2.3 Liquidity
HMI has a Current Ratio of 4.26. This indicates that HMI is financially healthy and has no problem in meeting its short term obligations.
HMI has a Current ratio of 4.26. This is amongst the best in the industry. HMI outperforms 100.00% of its industry peers.
A Quick Ratio of 3.49 indicates that HMI has no problem at all paying its short term obligations.
The Quick ratio of HMI (3.49) is better than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.26 | ||
| Quick Ratio | 3.49 |
3. Growth
3.1 Past
HMI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.69%.
The Earnings Per Share has been growing by 24.70% on average over the past years. This is a very strong growth
Looking at the last year, HMI shows a quite strong growth in Revenue. The Revenue has grown by 12.98% in the last year.
The Revenue has been growing by 17.12% on average over the past years. This is quite good.
EPS 1Y (TTM)6.69%
EPS 3Y23.48%
EPS 5Y24.7%
EPS Q2Q%7.2%
Revenue 1Y (TTM)12.98%
Revenue growth 3Y19.09%
Revenue growth 5Y17.12%
Sales Q2Q%13.92%
3.2 Future
Based on estimates for the next years, HMI will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.93% on average per year.
HMI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.40% yearly.
EPS Next Y5.8%
EPS Next 2Y10.88%
EPS Next 3Y11.73%
EPS Next 5Y8.93%
Revenue Next Year12.14%
Revenue Next 2Y11.43%
Revenue Next 3Y11.21%
Revenue Next 5Y9.4%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 54.18, which means the current valuation is very expensive for HMI.
Compared to the rest of the industry, the Price/Earnings ratio of HMI indicates a slightly more expensive valuation: HMI is more expensive than 67.50% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of HMI to the average of the S&P500 Index (28.78), we can say HMI is valued expensively.
Based on the Price/Forward Earnings ratio of 51.21, the valuation of HMI can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HMI is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 21.32. HMI is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.18 | ||
| Fwd PE | 51.21 |
4.2 Price Multiples
85.00% of the companies in the same industry are cheaper than HMI, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, HMI is valued expensively inside the industry as 80.00% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 62.38 | ||
| EV/EBITDA | 34.36 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates HMI does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of HMI may justify a higher PE ratio.
PEG (NY)9.34
PEG (5Y)2.19
EPS Next 2Y10.88%
EPS Next 3Y11.73%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.09%, HMI has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.55, HMI is paying slightly less dividend.
With a Dividend Yield of 1.09, HMI pays less dividend than the S&P500 average, which is at 2.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
5.2 History
On average, the dividend of HMI grows each year by 40.81%, which is quite nice.
Dividend Growth(5Y)40.81%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
HMI pays out 58.77% of its income as dividend. This is a bit on the high side, but may be sustainable.
HMI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP58.77%
EPS Next 2Y10.88%
EPS Next 3Y11.73%
FRA:HMI (4/25/2025, 7:00:00 PM)
2377
-15 (-0.63%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners11.19%
Inst Owner ChangeN/A
Ins Owners0.34%
Ins Owner ChangeN/A
Market Cap250.94B
Analysts73.33
Price Target2710.33 (14.02%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
Yearly Dividend25.85
Dividend Growth(5Y)40.81%
DP58.77%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-0.9%
PT rev (3m)14.81%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-2.85%
EPS NY rev (3m)-3.62%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.62%
Revenue NY rev (3m)0.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.18 | ||
| Fwd PE | 51.21 | ||
| P/S | 16.54 | ||
| P/FCF | 62.38 | ||
| P/OCF | 48.83 | ||
| P/B | 14.48 | ||
| P/tB | 14.88 | ||
| EV/EBITDA | 34.36 |
EPS(TTM)43.87
EY1.85%
EPS(NY)46.41
Fwd EY1.95%
FCF(TTM)38.11
FCFY1.6%
OCF(TTM)48.68
OCFY2.05%
SpS143.7
BVpS164.13
TBVpS159.72
PEG (NY)9.34
PEG (5Y)2.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.94% | ||
| ROE | 26.57% | ||
| ROCE | 32.04% | ||
| ROIC | 22.99% | ||
| ROICexc | 47.14% | ||
| ROICexgc | 49.57% | ||
| OM | 41.09% | ||
| PM (TTM) | 30.34% | ||
| GM | 70.26% | ||
| FCFM | 26.52% |
ROA(3y)20.1%
ROA(5y)18.1%
ROE(3y)27.33%
ROE(5y)25.35%
ROIC(3y)23.47%
ROIC(5y)21.82%
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)32.7%
ROCE(5y)30.42%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y0.88%
OM growth 5Y3.62%
PM growth 3Y3.69%
PM growth 5Y6.45%
GM growth 3Y-0.48%
GM growth 5Y0.33%
F-Score6
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 0.54 | ||
| Debt/EBITDA | 0.26 | ||
| Cap/Depr | 132.23% | ||
| Cap/Sales | 7.36% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 72.62% | ||
| Profit Quality | 87.4% | ||
| Current Ratio | 4.26 | ||
| Quick Ratio | 3.49 | ||
| Altman-Z | 29.36 |
F-Score6
WACC8.03%
ROIC/WACC2.86
Cap/Depr(3y)109.61%
Cap/Depr(5y)102.11%
Cap/Sales(3y)6.07%
Cap/Sales(5y)6.23%
Profit Quality(3y)92.27%
Profit Quality(5y)96.1%
High Growth Momentum
Growth
EPS 1Y (TTM)6.69%
EPS 3Y23.48%
EPS 5Y24.7%
EPS Q2Q%7.2%
EPS Next Y5.8%
EPS Next 2Y10.88%
EPS Next 3Y11.73%
EPS Next 5Y8.93%
Revenue 1Y (TTM)12.98%
Revenue growth 3Y19.09%
Revenue growth 5Y17.12%
Sales Q2Q%13.92%
Revenue Next Year12.14%
Revenue Next 2Y11.43%
Revenue Next 3Y11.21%
Revenue Next 5Y9.4%
EBIT growth 1Y9.89%
EBIT growth 3Y20.13%
EBIT growth 5Y21.36%
EBIT Next Year27.36%
EBIT Next 3Y16.86%
EBIT Next 5Y11.46%
FCF growth 1Y15.94%
FCF growth 3Y11.86%
FCF growth 5Y20.11%
OCF growth 1Y18.71%
OCF growth 3Y14.7%
OCF growth 5Y19.75%