HERMES INTERNATIONAL (RMS.PA) Stock Fundamental Analysis
EPA:RMS - Euronext Paris - Matif - FR0000052292 - Common Stock - Currency: EUR
Taking everything into account, RMS scores 7 out of 10 in our fundamental rating. RMS was compared to 43 industry peers in the Textiles, Apparel & Luxury Goods industry. RMS has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. While showing a medium growth rate, RMS is valued expensive at the moment. These ratings could make RMS a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
RMS had positive earnings in the past year.
In the past year RMS had a positive cash flow from operations.
Each year in the past 5 years RMS has been profitable.
Each year in the past 5 years RMS had a positive operating cash flow.
1.2 Ratios
RMS has a better Return On Assets (19.94%) than 97.67% of its industry peers.
With an excellent Return On Equity value of 26.57%, RMS belongs to the best of the industry, outperforming 90.70% of the companies in the same industry.
With an excellent Return On Invested Capital value of 22.99%, RMS belongs to the best of the industry, outperforming 95.35% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for RMS 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
With an excellent Profit Margin value of 30.34%, RMS belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
RMS's Profit Margin has improved in the last couple of years.
RMS has a Operating Margin of 41.09%. This is amongst the best in the industry. RMS outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of RMS has grown nicely.
Looking at the Gross Margin, with a value of 70.26%, RMS is in the better half of the industry, outperforming 74.42% of the companies in the same industry.
RMS'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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), RMS is creating value.
The number of shares outstanding for RMS has been increased compared to 1 year ago.
Compared to 5 years ago, RMS has more shares outstanding
The debt/assets ratio for RMS has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 29.03 indicates that RMS is not in any danger for bankruptcy at the moment.
RMS has a Altman-Z score of 29.03. This is amongst the best in the industry. RMS outperforms 100.00% of its industry peers.
The Debt to FCF ratio of RMS is 0.54, which is an excellent value as it means it would take RMS, only 0.54 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.54, RMS belongs to the top of the industry, outperforming 95.35% of the companies in the same industry.
RMS has a Debt/Equity ratio of 0.11. This is a healthy value indicating a solid balance between debt and equity.
RMS 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 | 29.03 |
ROIC/WACC2.86
WACC8.05%
2.3 Liquidity
RMS has a Current Ratio of 4.26. This indicates that RMS is financially healthy and has no problem in meeting its short term obligations.
RMS has a better Current ratio (4.26) than 97.67% of its industry peers.
RMS has a Quick Ratio of 3.49. This indicates that RMS is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of RMS (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
RMS 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
The Revenue has grown by 12.98% in the past year. This is quite good.
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
RMS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.75% yearly.
Based on estimates for the next years, RMS will show a quite strong growth in Revenue. The Revenue will grow by 8.77% on average per year.
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
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 54.37, which means the current valuation is very expensive for RMS.
RMS's Price/Earnings ratio is a bit more expensive when compared to the industry. RMS is more expensive than 74.42% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.04, RMS is valued quite expensively.
A Price/Forward Earnings ratio of 51.38 indicates a quite expensive valuation of RMS.
RMS's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. RMS is more expensive than 65.12% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of RMS to the average of the S&P500 Index (37.64), we can say RMS is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.37 | ||
| Fwd PE | 51.38 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RMS is valued more expensive than 88.37% of the companies in the same industry.
RMS's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. RMS is more expensive than 76.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 62.59 | ||
| EV/EBITDA | 33.91 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates RMS does not grow enough to justify the current Price/Earnings ratio.
RMS has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)9.37
PEG (5Y)2.2
EPS Next 2Y10.88%
EPS Next 3Y11.73%
5. Dividend
5.1 Amount
RMS has a Yearly Dividend Yield of 1.11%.
RMS's Dividend Yield is slightly below the industry average, which is at 3.27.
Compared to an average S&P500 Dividend Yield of 2.31, RMS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
5.2 History
On average, the dividend of RMS grows each year by 40.81%, which is quite nice.
Dividend Growth(5Y)40.81%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
58.77% of the earnings are spent on dividend by RMS. This is a bit on the high side, but may be sustainable.
RMS'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%
EPA:RMS (7/25/2025, 7:00:00 PM)
2385
+38 (+1.62%)
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 Cap251.78B
Analysts74.29
Price Target2628.15 (10.19%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
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)-2.21%
PT rev (3m)-4.22%
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 | 54.37 | ||
| Fwd PE | 51.38 | ||
| P/S | 16.6 | ||
| P/FCF | 62.59 | ||
| P/OCF | 48.99 | ||
| P/B | 14.53 | ||
| P/tB | 14.93 | ||
| EV/EBITDA | 33.91 |
EPS(TTM)43.87
EY1.84%
EPS(NY)46.41
Fwd EY1.95%
FCF(TTM)38.11
FCFY1.6%
OCF(TTM)48.68
OCFY2.04%
SpS143.7
BVpS164.13
TBVpS159.72
PEG (NY)9.37
PEG (5Y)2.2
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 | 29.03 |
F-Score6
WACC8.05%
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 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%