HENNES & MAURITZ AB-B SHS (HMSB.DE) Stock Fundamental Analysis
FRA:HMSB - Deutsche Boerse Ag - SE0000106270 - Common Stock - Currency: EUR
Taking everything into account, HMSB scores 5 out of 10 in our fundamental rating. HMSB was compared to 50 industry peers in the Specialty Retail industry. HMSB has an excellent profitability rating, but there are some minor concerns on its financial health. HMSB has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year HMSB was profitable.
In the past year HMSB had a positive cash flow from operations.
HMSB had positive earnings in each of the past 5 years.
In the past 5 years HMSB always reported a positive cash flow from operatings.
1.2 Ratios
HMSB has a Return On Assets of 6.18%. This is amongst the best in the industry. HMSB outperforms 82.00% of its industry peers.
HMSB has a better Return On Equity (23.89%) than 88.00% of its industry peers.
The Return On Invested Capital of HMSB (10.59%) is better than 82.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HMSB is below the industry average of 10.42%.
The last Return On Invested Capital (10.59%) for HMSB is above the 3 year average (7.98%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.18% | ||
| ROE | 23.89% | ||
| ROIC | 10.59% |
ROA(3y)4.41%
ROA(5y)4.01%
ROE(3y)16.88%
ROE(5y)14.25%
ROIC(3y)7.98%
ROIC(5y)6.98%
1.3 Margins
With a decent Profit Margin value of 4.66%, HMSB is doing good in the industry, outperforming 80.00% of the companies in the same industry.
HMSB's Profit Margin has declined in the last couple of years.
The Operating Margin of HMSB (7.17%) is better than 78.00% of its industry peers.
In the last couple of years the Operating Margin of HMSB has remained more or less at the same level.
HMSB has a better Gross Margin (52.87%) than 84.00% of its industry peers.
In the last couple of years the Gross Margin of HMSB has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.17% | ||
| PM (TTM) | 4.66% | ||
| GM | 52.87% |
OM growth 3Y-0.56%
OM growth 5Y0.23%
PM growth 3Y-3.61%
PM growth 5Y-3.01%
GM growth 3Y0.42%
GM growth 5Y0.31%
2. Health
2.1 Basic Checks
HMSB has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
HMSB has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, HMSB has less shares outstanding
HMSB has a better debt/assets ratio than last year.
2.2 Solvency
HMSB has a debt to FCF ratio of 3.87. This is a good value and a sign of high solvency as HMSB would need 3.87 years to pay back of all of its debts.
HMSB has a Debt to FCF ratio of 3.87. This is in the better half of the industry: HMSB outperforms 70.00% of its industry peers.
A Debt/Equity ratio of 1.40 is on the high side and indicates that HMSB has dependencies on debt financing.
HMSB has a worse Debt to Equity ratio (1.40) than 78.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | 3.87 | ||
| Altman-Z | N/A |
ROIC/WACC1.95
WACC5.42%
2.3 Liquidity
HMSB has a Current Ratio of 1.15. This is a normal value and indicates that HMSB is financially healthy and should not expect problems in meeting its short term obligations.
HMSB has a Current ratio of 1.15. This is comparable to the rest of the industry: HMSB outperforms 44.00% of its industry peers.
HMSB has a Quick Ratio of 1.15. This is a bad value and indicates that HMSB is not financially healthy enough and could expect problems in meeting its short term obligations.
HMSB's Quick ratio of 0.51 is in line compared to the rest of the industry. HMSB outperforms 42.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 18.34% over the past year.
Measured over the past years, HMSB shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.32% on average per year.
HMSB shows a small growth in Revenue. In the last year, the Revenue has grown by 0.56%.
The Revenue has been growing slightly by 0.15% on average over the past years.
EPS 1Y (TTM)18.34%
EPS 3Y2.83%
EPS 5Y-2.32%
EPS Q2Q%-50.67%
Revenue 1Y (TTM)0.56%
Revenue growth 3Y5.63%
Revenue growth 5Y0.15%
Sales Q2Q%3.1%
3.2 Future
The Earnings Per Share is expected to grow by 6.69% on average over the next years.
HMSB is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.02% yearly.
EPS Next Y7.38%
EPS Next 2Y8.98%
EPS Next 3Y8.11%
EPS Next 5Y6.69%
Revenue Next Year0.21%
Revenue Next 2Y1.33%
Revenue Next 3Y1.82%
Revenue Next 5Y1.02%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 20.73 indicates a rather expensive valuation of HMSB.
Compared to the rest of the industry, the Price/Earnings ratio of HMSB indicates a somewhat cheap valuation: HMSB is cheaper than 76.00% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 28.87. HMSB is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 16.49, the valuation of HMSB can be described as correct.
68.00% of the companies in the same industry are more expensive than HMSB, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of HMSB to the average of the S&P500 Index (21.38), we can say HMSB is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.73 | ||
| Fwd PE | 16.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HMSB is valued a bit cheaper than the industry average as 64.00% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, HMSB is valued a bit cheaper than 66.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.99 | ||
| EV/EBITDA | 6.64 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
HMSB has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.81
PEG (5Y)N/A
EPS Next 2Y8.98%
EPS Next 3Y8.11%
5. Dividend
5.1 Amount
HMSB has a Yearly Dividend Yield of 4.80%, which is a nice return.
Compared to an average industry Dividend Yield of 5.11, HMSB pays a better dividend. On top of this HMSB pays more dividend than 88.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.46, HMSB pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.8% |
5.2 History
The dividend of HMSB decreases each year by -7.85%.
Dividend Growth(5Y)-7.85%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
HMSB pays out 95.04% of its income as dividend. This is not a sustainable payout ratio.
DP95.04%
EPS Next 2Y8.98%
EPS Next 3Y8.11%
FRA:HMSB (4/28/2025, 7:00:00 PM)
12.855
+0.03 (+0.19%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners22.84%
Inst Owner ChangeN/A
Ins Owners0.87%
Ins Owner ChangeN/A
Market Cap18.20B
Analysts53.51
Price Target13.75 (6.96%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.8% |
Yearly Dividend0.59
Dividend Growth(5Y)-7.85%
DP95.04%
Div Incr Years0
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-20.38%
Min EPS beat(2)-46.79%
Max EPS beat(2)6.03%
EPS beat(4)1
Avg EPS beat(4)-18.19%
Min EPS beat(4)-46.79%
Max EPS beat(4)6.03%
EPS beat(8)4
Avg EPS beat(8)-8.17%
EPS beat(12)6
Avg EPS beat(12)-8.44%
EPS beat(16)9
Avg EPS beat(16)-9.37%
Revenue beat(2)0
Avg Revenue beat(2)-3.42%
Min Revenue beat(2)-3.95%
Max Revenue beat(2)-2.88%
Revenue beat(4)0
Avg Revenue beat(4)-3.2%
Min Revenue beat(4)-3.95%
Max Revenue beat(4)-2.01%
Revenue beat(8)0
Avg Revenue beat(8)-2.47%
Revenue beat(12)0
Avg Revenue beat(12)-2.31%
Revenue beat(16)0
Avg Revenue beat(16)-2.24%
PT rev (1m)-6.94%
PT rev (3m)-6.85%
EPS NQ rev (1m)-10.57%
EPS NQ rev (3m)-17.47%
EPS NY rev (1m)-5.2%
EPS NY rev (3m)-16.32%
Revenue NQ rev (1m)-3.77%
Revenue NQ rev (3m)-2.94%
Revenue NY rev (1m)-3.02%
Revenue NY rev (3m)-3.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.73 | ||
| Fwd PE | 16.49 | ||
| P/S | 0.85 | ||
| P/FCF | 9.99 | ||
| P/OCF | 6.26 | ||
| P/B | 4.35 | ||
| P/tB | 5.33 | ||
| EV/EBITDA | 6.64 |
EPS(TTM)0.62
EY4.82%
EPS(NY)0.78
Fwd EY6.06%
FCF(TTM)1.29
FCFY10.01%
OCF(TTM)2.05
OCFY15.97%
SpS15.16
BVpS2.96
TBVpS2.41
PEG (NY)2.81
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.18% | ||
| ROE | 23.89% | ||
| ROCE | 14.92% | ||
| ROIC | 10.59% | ||
| ROICexc | 12.41% | ||
| ROICexgc | 13.6% | ||
| OM | 7.17% | ||
| PM (TTM) | 4.66% | ||
| GM | 52.87% | ||
| FCFM | 8.49% |
ROA(3y)4.41%
ROA(5y)4.01%
ROE(3y)16.88%
ROE(5y)14.25%
ROIC(3y)7.98%
ROIC(5y)6.98%
ROICexc(3y)9.84%
ROICexc(5y)8.7%
ROICexgc(3y)10.94%
ROICexgc(5y)9.68%
ROCE(3y)11.28%
ROCE(5y)9.86%
ROICexcg growth 3Y2.73%
ROICexcg growth 5Y-9.12%
ROICexc growth 3Y3.25%
ROICexc growth 5Y-7.29%
OM growth 3Y-0.56%
OM growth 5Y0.23%
PM growth 3Y-3.61%
PM growth 5Y-3.01%
GM growth 3Y0.42%
GM growth 5Y0.31%
F-Score6
Asset Turnover1.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | 3.87 | ||
| Debt/EBITDA | 1.64 | ||
| Cap/Depr | 53.43% | ||
| Cap/Sales | 5.06% | ||
| Interest Coverage | 25.29 | ||
| Cash Conversion | 81.44% | ||
| Profit Quality | 182.17% | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.51 | ||
| Altman-Z | N/A |
F-Score6
WACC5.42%
ROIC/WACC1.95
Cap/Depr(3y)39.04%
Cap/Depr(5y)30.46%
Cap/Sales(3y)3.79%
Cap/Sales(5y)3.17%
Profit Quality(3y)328.53%
Profit Quality(5y)606.52%
High Growth Momentum
Growth
EPS 1Y (TTM)18.34%
EPS 3Y2.83%
EPS 5Y-2.32%
EPS Q2Q%-50.67%
EPS Next Y7.38%
EPS Next 2Y8.98%
EPS Next 3Y8.11%
EPS Next 5Y6.69%
Revenue 1Y (TTM)0.56%
Revenue growth 3Y5.63%
Revenue growth 5Y0.15%
Sales Q2Q%3.1%
Revenue Next Year0.21%
Revenue Next 2Y1.33%
Revenue Next 3Y1.82%
Revenue Next 5Y1.02%
EBIT growth 1Y6.19%
EBIT growth 3Y5.03%
EBIT growth 5Y0.38%
EBIT Next Year136.16%
EBIT Next 3Y36.99%
EBIT Next 5Y21.37%
FCF growth 1Y3.37%
FCF growth 3Y-20.98%
FCF growth 5Y1.72%
OCF growth 1Y22.53%
OCF growth 3Y-10.72%
OCF growth 5Y1.84%