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 43 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 could make HMI a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year HMI was profitable.
In the past year HMI had a positive cash flow from operations.
HMI had positive earnings in each of the past 5 years.
HMI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
HMI has a better Return On Assets (19.94%) than 97.67% of its industry peers.
The Return On Equity of HMI (26.57%) is better than 90.70% of its industry peers.
HMI has a better Return On Invested Capital (22.99%) than 95.35% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HMI is significantly above the industry average of 10.38%.
| 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 has a Profit Margin of 30.34%. This is amongst the best in the industry. HMI outperforms 100.00% of its industry peers.
In the last couple of years the Profit Margin of HMI has grown nicely.
HMI has a better Operating Margin (41.09%) than 100.00% of its industry peers.
In the last couple of years the Operating Margin of HMI has grown nicely.
HMI's Gross Margin of 70.26% is fine compared to the rest of the industry. HMI outperforms 74.42% of its industry peers.
HMI's Gross Margin has been stable in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so HMI is creating value.
The number of shares outstanding for HMI has been increased compared to 1 year ago.
Compared to 5 years ago, HMI has more shares outstanding
Compared to 1 year ago, HMI has an improved debt to assets ratio.
2.2 Solvency
HMI has an Altman-Z score of 29.25. This indicates that HMI is financially healthy and has little risk of bankruptcy at the moment.
HMI has a Altman-Z score of 29.25. This is amongst the best in the industry. HMI outperforms 100.00% of its industry peers.
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 95.35% of its industry peers.
HMI has a Debt/Equity ratio of 0.11. This is a healthy value indicating a solid balance between debt and equity.
HMI has a better Debt to Equity ratio (0.11) than 90.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 0.54 | ||
| Altman-Z | 29.25 |
ROIC/WACC2.87
WACC8.02%
2.3 Liquidity
A Current Ratio of 4.26 indicates that HMI has no problem at all paying its short term obligations.
HMI's Current ratio of 4.26 is amongst the best of the industry. HMI outperforms 97.67% of its industry peers.
A Quick Ratio of 3.49 indicates that HMI has no problem at all paying its short term obligations.
HMI has a better Quick ratio (3.49) 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%.
Measured over the past years, HMI shows a very strong growth in Earnings Per Share. The EPS has been growing by 24.70% on average per year.
The Revenue has grown by 12.98% in the past year. This is quite good.
HMI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.12% yearly.
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 9.75% on average per year.
The Revenue is expected to grow by 8.77% on average over the next years. This is quite good.
EPS Next Y5.8%
EPS Next 2Y10.88%
EPS Next 3Y11.73%
EPS Next 5Y9.75%
Revenue Next Year11.73%
Revenue Next 2Y11.17%
Revenue Next 3Y10.98%
Revenue Next 5Y8.77%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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 53.18, which means the current valuation is very expensive for HMI.
Based on the Price/Earnings ratio, HMI is valued a bit more expensive than 74.42% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.46, HMI is valued quite expensively.
The Price/Forward Earnings ratio is 50.26, which means the current valuation is very expensive for HMI.
65.12% of the companies in the same industry are cheaper than HMI, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.44, HMI is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.18 | ||
| Fwd PE | 50.26 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HMI is valued expensively inside the industry as 86.05% of the companies are valued cheaper.
Based on the Price/Free Cash Flow ratio, HMI is valued a bit more expensive than the industry average as 76.74% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 61.22 | ||
| EV/EBITDA | 34.21 |
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.
HMI has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)9.17
PEG (5Y)2.15
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.
HMI's Dividend Yield is slightly below the industry average, which is at 3.32.
With a Dividend Yield of 1.09, HMI pays less dividend than the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
5.2 History
The dividend of HMI is nicely growing with an annual growth rate of 40.81%!
Dividend Growth(5Y)40.81%
Div Incr Years4
Div Non Decr Years4
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.
The dividend of HMI is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP58.77%
EPS Next 2Y10.88%
EPS Next 3Y11.73%
FRA:HMI (7/21/2025, 7:00:00 PM)
2333
-34 (-1.44%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners11.08%
Inst Owner ChangeN/A
Ins Owners0.34%
Ins Owner ChangeN/A
Market Cap246.29B
Analysts74.29
Price Target2620.48 (12.32%)
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 Years4
Div Non Decr Years4
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)-2.54%
PT rev (3m)-4.26%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.18 | ||
| Fwd PE | 50.26 | ||
| P/S | 16.24 | ||
| P/FCF | 61.22 | ||
| P/OCF | 47.93 | ||
| P/B | 14.21 | ||
| P/tB | 14.61 | ||
| EV/EBITDA | 34.21 |
EPS(TTM)43.87
EY1.88%
EPS(NY)46.41
Fwd EY1.99%
FCF(TTM)38.11
FCFY1.63%
OCF(TTM)48.68
OCFY2.09%
SpS143.7
BVpS164.13
TBVpS159.72
PEG (NY)9.17
PEG (5Y)2.15
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 | 29.25 |
F-Score6
WACC8.02%
ROIC/WACC2.87
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 5Y9.75%
Revenue 1Y (TTM)12.98%
Revenue growth 3Y19.09%
Revenue growth 5Y17.12%
Sales Q2Q%13.92%
Revenue Next Year11.73%
Revenue Next 2Y11.17%
Revenue Next 3Y10.98%
Revenue Next 5Y8.77%
EBIT growth 1Y9.89%
EBIT growth 3Y20.13%
EBIT growth 5Y21.36%
EBIT Next Year24.84%
EBIT Next 3Y15.79%
EBIT Next 5Y12.23%
FCF growth 1Y15.94%
FCF growth 3Y11.86%
FCF growth 5Y20.11%
OCF growth 1Y18.71%
OCF growth 3Y14.7%
OCF growth 5Y19.75%