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H & M Hennes & Mauritz

BATS-CHIXE:HMBS
Snowflake Description

Proven track record with reasonable growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
HMBS
BATS-CHIXE
SEK223B
Market Cap
  1. Home
  2. GB
  3. Retail
Company description

H & M Hennes & Mauritz AB (publ) provides clothing, accessories, footwear, and cosmetics for women, men, teenagers, children, and babies worldwide. The last earnings update was 5 days ago. More info.


Add to Portfolio Compare Print
  • H & M Hennes & Mauritz has significant price volatility in the past 3 months.
HMBS Share Price and Events
7 Day Returns
8.4%
BATS-CHIXE:HMBS
5.9%
GB Specialty Retail
1.7%
GB Market
1 Year Returns
-18.4%
BATS-CHIXE:HMBS
-28.1%
GB Specialty Retail
-21.8%
GB Market
HMBS Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
H & M Hennes & Mauritz (HMBS) 8.4% -17.6% -30% -18.4% -39.4% -62.8%
GB Specialty Retail 5.9% -24.4% -39.5% -28.1% -38.7% -44.3%
GB Market 1.7% -12% -25.3% -21.8% -22.8% -22.4%
1 Year Return vs Industry and Market
  • HMBS outperformed the Specialty Retail industry which returned -28.1% over the past year.
  • HMBS outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -21.8% over the past year.
Price Volatility
HMBS
Industry
5yr Volatility vs Market

Value

 Is H & M Hennes & Mauritz undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of H & M Hennes & Mauritz to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for H & M Hennes & Mauritz.

BATS-CHIXE:HMBS Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 22 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.4%
Perpetual Growth Rate 10-Year GB Government Bond Rate 0.5%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for BATS-CHIXE:HMBS
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 0.5%
Equity Risk Premium S&P Global 5.4%
Specialty Retail Unlevered Beta Simply Wall St/ S&P Global 0.86
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.862 (1 + (1- 22%) (39.12%))
1.084
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.08
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.53% + (1.084 * 5.44%)
6.43%

Discounted Cash Flow Calculation for BATS-CHIXE:HMBS using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for H & M Hennes & Mauritz is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

BATS-CHIXE:HMBS DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (SEK, Millions) Source Present Value
Discounted (@ 6.43%)
2020 16,008.07 Analyst x11 15,041.39
2021 19,368.05 Analyst x15 17,099.51
2022 21,692.56 Analyst x13 17,995.23
2023 14,777.50 Analyst x2 11,518.52
2024 14,379.00 Analyst x1 10,531.09
2025 14,149.28 Est @ -1.6% 9,737.05
2026 14,013.54 Est @ -0.96% 9,061.29
2027 13,941.71 Est @ -0.51% 8,470.47
2028 13,913.86 Est @ -0.2% 7,943.06
2029 13,916.53 Est @ 0.02% 7,464.83
Present value of next 10 years cash flows SEK114,862.00
BATS-CHIXE:HMBS DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= SEK13,916.53 × (1 + 0.53%) ÷ (6.43% – 0.53%)
SEK237,251.13
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= SEK237,251.13 ÷ (1 + 6.43%)10
SEK127,261.55
BATS-CHIXE:HMBS Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= SEK114,862.00 + SEK127,261.55
SEK242,123.55
Equity Value per Share
(SEK)
= Total value / Shares Outstanding
= SEK242,123.55 / 1,655.07
SEK146.29
BATS-CHIXE:HMBS Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in BATS-CHIXE:HMBS represents 0.9694x of OM:HM B
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.9694x
Value per Share
(Listing Adjusted, SEK)
= Value per Share (SEK) x Listing Adjustment Factor
= SEK 146.29 x 0.9694
SEK141.81
Value per share (SEK) From above. SEK141.81
Current discount Discount to share price of SEK133.05
= -1 x (SEK133.05 - SEK141.81) / SEK141.81
6.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price H & M Hennes & Mauritz is available for.
Intrinsic value
6%
Share price is SEK133.05 vs Future cash flow value of SEK141.81
Current Discount Checks
For H & M Hennes & Mauritz to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • H & M Hennes & Mauritz's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • H & M Hennes & Mauritz's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for H & M Hennes & Mauritz's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are H & M Hennes & Mauritz's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BATS-CHIXE:HMBS PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2020-02-29) in SEK SEK8.80
OM:HM B Share Price ** OM (2020-04-07) in SEK SEK137.25
United Kingdom of Great Britain and Northern Ireland Specialty Retail Industry PE Ratio Median Figure of 23 Publicly-Listed Specialty Retail Companies 8.1x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 748 Publicly-Listed Companies 13x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of H & M Hennes & Mauritz.

BATS-CHIXE:HMBS PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= OM:HM B Share Price ÷ EPS (both in SEK)

= 137.25 ÷ 8.80

15.59x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • H & M Hennes & Mauritz is overvalued based on earnings compared to the GB Specialty Retail industry average.
  • H & M Hennes & Mauritz is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does H & M Hennes & Mauritz's expected growth come at a high price?
Raw Data
BATS-CHIXE:HMBS PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 15.59x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 22 Analysts
16.3%per year
United Kingdom of Great Britain and Northern Ireland Specialty Retail Industry PEG Ratio Median Figure of 15 Publicly-Listed Specialty Retail Companies 0.8x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 518 Publicly-Listed Companies 1.02x

*Line of best fit is calculated by linear regression .

BATS-CHIXE:HMBS PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 15.59x ÷ 16.3%

0.96x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • H & M Hennes & Mauritz is good value based on expected growth next year.
Price based on value of assets
What value do investors place on H & M Hennes & Mauritz's assets?
Raw Data
BATS-CHIXE:HMBS PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2020-02-29) in SEK SEK35.79
OM:HM B Share Price * OM (2020-04-07) in SEK SEK137.25
United Kingdom of Great Britain and Northern Ireland Specialty Retail Industry PB Ratio Median Figure of 36 Publicly-Listed Specialty Retail Companies 0.63x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,323 Publicly-Listed Companies 1.13x
BATS-CHIXE:HMBS PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= OM:HM B Share Price ÷ Book Value per Share (both in SEK)

= 137.25 ÷ 35.79

3.83x

* Primary Listing of H & M Hennes & Mauritz.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • H & M Hennes & Mauritz is overvalued based on assets compared to the GB Specialty Retail industry average.
X
Value checks
We assess H & M Hennes & Mauritz's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Specialty Retail industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Specialty Retail industry average (and greater than 0)? (1 check)
  5. H & M Hennes & Mauritz has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is H & M Hennes & Mauritz expected to perform in the next 1 to 3 years based on estimates from 22 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
16.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is H & M Hennes & Mauritz expected to grow at an attractive rate?
  • H & M Hennes & Mauritz's earnings growth is expected to exceed the low risk savings rate of 0.5%.
Growth vs Market Checks
  • H & M Hennes & Mauritz's earnings growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
  • H & M Hennes & Mauritz's revenue growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
BATS-CHIXE:HMBS Future Growth Rates Data Sources
Data Point Source Value (per year)
BATS-CHIXE:HMBS Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 22 Analysts 16.3%
BATS-CHIXE:HMBS Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 22 Analysts 4.7%
United Kingdom of Great Britain and Northern Ireland Specialty Retail Industry Earnings Growth Rate Market Cap Weighted Average 16.8%
United Kingdom of Great Britain and Northern Ireland Specialty Retail Industry Revenue Growth Rate Market Cap Weighted Average 3.6%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 15.6%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 2.5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
BATS-CHIXE:HMBS Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 22 Analyst Estimates (S&P Global) See Below
All numbers in SEK Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BATS-CHIXE:HMBS Future Estimates Data
Date (Data in SEK Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-11-30 251,250 24,179 14,375 3
2023-11-30 242,841 23,123 13,486 5
2022-11-30 239,118 31,721 14,161 19
2021-11-30 231,826 29,438 12,477 22
2020-11-30 208,623 23,823 7,251 22
2020-04-08
BATS-CHIXE:HMBS Past Financials Data
Date (Data in SEK Millions) Revenue Cash Flow Net Income *
2020-02-29 236,688 33,991 14,568
2019-11-30 232,755 28,986 13,443
2019-08-31 227,475 23,636 12,774
2019-05-31 220,724 21,253 12,014
2019-02-28 215,234 21,812 12,083
2018-11-30 210,400 21,287 12,652
2018-08-31 204,393 20,268 13,102
2018-05-31 199,801 19,778 13,840
2018-02-28 199,200 20,533 15,099
2017-11-30 200,004 21,587 16,184
2017-08-31 202,317 22,465 18,105
2017-05-31 200,070 22,151 19,088

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • H & M Hennes & Mauritz's earnings are expected to grow by 16.3% yearly, however this is not considered high growth (20% yearly).
  • H & M Hennes & Mauritz's revenue is expected to grow by 4.7% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
BATS-CHIXE:HMBS Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 22 Analyst Estimates (S&P Global) See Below

All data from H & M Hennes & Mauritz Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BATS-CHIXE:HMBS Future Estimates Data
Date (Data in SEK Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-11-30 8.69 8.69 8.69 1.00
2023-11-30 8.15 8.64 7.23 3.00
2022-11-30 8.75 10.58 6.74 12.00
2021-11-30 7.70 9.80 6.22 14.00
2020-11-30 4.38 7.88 3.09 12.00
2020-04-08
BATS-CHIXE:HMBS Past Financials Data
Date (Data in SEK Millions) EPS *
2020-02-29 8.80
2019-11-30 8.12
2019-08-31 7.72
2019-05-31 7.26
2019-02-28 7.30
2018-11-30 7.64
2018-08-31 7.92
2018-05-31 8.36
2018-02-28 9.12
2017-11-30 9.78
2017-08-31 10.94
2017-05-31 11.53

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • H & M Hennes & Mauritz is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess H & M Hennes & Mauritz's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
H & M Hennes & Mauritz has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has H & M Hennes & Mauritz performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare H & M Hennes & Mauritz's growth in the last year to its industry (Specialty Retail).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • H & M Hennes & Mauritz's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • H & M Hennes & Mauritz's 1-year earnings growth exceeds its 5-year average (20.6% vs -12.1%)
  • H & M Hennes & Mauritz's earnings growth has exceeded the GB Specialty Retail industry average in the past year (20.6% vs 1.5%).
Earnings and Revenue History
H & M Hennes & Mauritz's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from H & M Hennes & Mauritz Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BATS-CHIXE:HMBS Past Revenue, Cash Flow and Net Income Data
Date (Data in SEK Millions) Revenue Net Income * G+A Expenses R&D Expenses
2020-02-29 236,688.00 14,568.00 105,930.00
2019-11-30 232,755.00 13,443.00 105,107.00
2019-08-31 227,475.00 12,774.00 103,487.00
2019-05-31 220,724.00 12,014.00 100,816.00
2019-02-28 215,234.00 12,083.00 98,083.00
2018-11-30 210,400.00 12,652.00 95,394.00
2018-08-31 204,393.00 13,102.00 92,212.00
2018-05-31 199,801.00 13,840.00 89,508.00
2018-02-28 199,200.00 15,099.00 88,046.00
2017-11-30 200,004.00 16,184.00 87,521.00
2017-08-31 202,317.00 18,105.00 87,086.00
2017-05-31 200,070.00 19,088.00 85,899.00
2017-02-28 195,561.00 18,548.00 84,232.00
2016-11-30 192,267.00 18,636.00 82,354.00
2016-08-31 188,241.00 18,248.00 80,594.00
2016-05-31 185,283.00 18,734.00 79,213.00
2016-02-29 184,276.00 19,830.00 78,078.00
2015-11-30 180,861.00 20,898.00 76,225.00
2015-08-31 174,811.00 21,594.00 73,355.00
2015-05-31 167,592.00 21,584.00 70,253.00
2015-02-28 159,552.00 20,940.00 66,805.00
2014-11-30 151,419.00 19,976.00 63,469.00
2014-08-31 145,270.00 19,303.00 60,425.00
2014-05-31 138,505.00 18,438.00 57,757.00
2014-02-28 132,313.00 17,343.00 55,556.00
2013-11-30 128,562.00 17,093.00 53,935.00
2013-08-31 124,569.00 16,831.00 52,420.00
2013-05-31 121,335.00 16,022.00 51,316.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • H & M Hennes & Mauritz has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • H & M Hennes & Mauritz used its assets more efficiently than the GB Specialty Retail industry average last year based on Return on Assets.
  • H & M Hennes & Mauritz's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess H & M Hennes & Mauritz's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Specialty Retail industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
H & M Hennes & Mauritz has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is H & M Hennes & Mauritz's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up H & M Hennes & Mauritz's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • H & M Hennes & Mauritz is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • H & M Hennes & Mauritz's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of H & M Hennes & Mauritz's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from H & M Hennes & Mauritz Company Filings, last reported 1 month ago.

BATS-CHIXE:HMBS Past Debt and Equity Data
Date (Data in SEK Millions) Total Equity Total Debt Cash & Short Term Investments
2020-02-29 59,237.00 15,567.00 11,972.00
2019-11-30 57,069.00 17,317.00 12,312.00
2019-08-31 53,409.00 19,263.00 13,064.00
2019-05-31 49,144.00 24,937.00 13,076.00
2019-02-28 60,042.00 20,562.00 11,851.00
2018-11-30 58,546.00 19,323.00 11,590.00
2018-08-31 55,029.00 16,375.00 13,963.00
2018-05-31 51,889.00 16,537.00 11,107.00
2018-02-28 61,720.00 11,716.00 10,003.00
2017-11-30 59,713.00 9,745.00 9,718.00
2017-08-31 54,521.00 4,411.00 9,665.00
2017-05-31 52,469.00 7,046.00 10,655.00
2017-02-28 63,395.00 2,050.00 8,437.00
2016-11-30 61,236.00 2,068.00 9,446.00
2016-08-31 54,146.00 3,724.00 8,680.00
2016-05-31 48,907.00 4,915.00 8,387.00
2016-02-29 59,401.00 0.00 14,571.00
2015-11-30 58,049.00 0.00 12,950.00
2015-08-31 52,030.00 0.00 10,963.00
2015-05-31 47,239.00 0.00 10,293.00
2015-02-28 56,933.00 0.00 20,026.00
2014-11-30 51,556.00 0.00 16,693.00
2014-08-31 44,576.00 0.00 13,451.00
2014-05-31 38,516.00 0.00 9,592.00
2014-02-28 47,586.00 0.00 18,226.00
2013-11-30 45,248.00 0.00 17,224.00
2013-08-31 39,203.00 0.00 10,953.00
2013-05-31 34,747.00 0.00 9,061.00
  • H & M Hennes & Mauritz's level of debt (26.3%) compared to net worth is satisfactory (less than 40%).
  • Unable to establish if H & M Hennes & Mauritz's debt level has increased without past 5-year debt data.
  • Debt is well covered by operating cash flow (218.4%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 106.3x coverage).
X
Financial health checks
We assess H & M Hennes & Mauritz's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. H & M Hennes & Mauritz has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is H & M Hennes & Mauritz's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from H & M Hennes & Mauritz dividends. Estimated to be 4.84% next year.
If you bought SEK2,000 of H & M Hennes & Mauritz shares you are expected to receive SEK0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate H & M Hennes & Mauritz's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate H & M Hennes & Mauritz's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
BATS-CHIXE:HMBS Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 22 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Specialty Retail Industry Average Dividend Yield Market Cap Weighted Average of 22 Stocks 4.4%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 588 Stocks 5.5%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1.3%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2.5%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 6.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

BATS-CHIXE:HMBS Future Dividends Estimate Data
Date (Data in SEK) Dividend per Share (annual) Avg. No. Analysts
2024-11-30 9.75 1.00
2023-11-30 9.75 2.00
2022-11-30 8.41 21.00
2021-11-30 7.65 22.00
2020-11-30 3.68 23.00
2020-04-08
BATS-CHIXE:HMBS Past Annualized Dividends Data
Date (Data in SEK) Dividend per share (annual) Avg. Yield (%)
2020-04-03 0.000 0.000
2020-03-23 0.000 0.000
2019-05-07 9.750 5.552
2018-02-12 9.750 6.879
2017-05-10 9.750 4.956
2016-05-03 9.750 3.914
2015-04-29 9.750 3.151
2014-04-30 9.500 3.086
2013-03-22 9.500 3.681
2012-03-26 9.500 4.104
2011-04-28 9.500 4.416
2010-03-24 8.000 3.517

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as H & M Hennes & Mauritz has not reported any payouts.
  • Unable to verify if H & M Hennes & Mauritz's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of H & M Hennes & Mauritz's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as H & M Hennes & Mauritz has not reported any payouts.
Future Payout to shareholders
  • Dividends after 3 years are not well covered by earnings (1x coverage).
X
Income/ dividend checks
We assess H & M Hennes & Mauritz's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can H & M Hennes & Mauritz afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. H & M Hennes & Mauritz has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of H & M Hennes & Mauritz's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Helena Helmersson
AGE 46
TENURE AS CEO 0.3 years
CEO Bio

Ms. Helena Helmersson has been Chief Executive Officer of H & M Hennes & Mauritz AB (publ) since January 30, 2020. She served as Chief Operating Officer of H & M Hennes & Mauritz AB (publ) since 2018 until January 30, 2020. Helena Helmersson was Head of Production at H & M Hennes & Mauritz AB (publ) until 2018 and served as its Head of Sustainability. She started at H&M in 1997 as an economist at H&M's buying department and thereafter held various roles within Buying and Production. Helena was sustainability manager for five years and after that production manager based in Hong Kong. For just over a year she has been COO (Chief Operating Officer) with responsibility for expansion, logistics, production, IT, Advanced analytics and AI and Insights and Analytics.

CEO Compensation
  • Insufficient data for Helena to compare compensation growth.
  • Insufficient data for Helena to establish whether their remuneration is reasonable compared to companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the H & M Hennes & Mauritz management team in years:

0.3
Average Tenure
44
Average Age
  • The average tenure for the H & M Hennes & Mauritz management team is less than 2 years, this suggests a new team.
Management Team

Karl-Johan Persson

TITLE
Executive Officer
COMPENSATION
SEK14M
AGE
44
TENURE
0.3 yrs

Helena Helmersson

TITLE
Chief Executive Officer
AGE
46
TENURE
0.3 yrs

Adam Karlsson

TITLE
Chief Financial Officer
AGE
43
TENURE
0.3 yrs

Anders Jonasson

TITLE
Chief Accountant

Joel Ankarberg

TITLE
Head of IT & Acting CTO

Nils Vinge

TITLE
Head of Investor Relations/Franchise

Fredrik Björkstedt

TITLE
Head of Legal

Kristina Stenvinkel

TITLE
Head of Communications & Communications Director

Doris Klein

TITLE
Head of HR

Madeleine Persson

TITLE
Managing Director of H&M
Board of Directors Tenure

Average tenure and age of the H & M Hennes & Mauritz board of directors in years:

6
Average Tenure
50
Average Age
  • The tenure for the H & M Hennes & Mauritz board of directors is about average.
Board of Directors

Stefan Persson

TITLE
Chairman of the Board
COMPENSATION
SEK2M
AGE
72
TENURE
22.3 yrs

Max Sievert

TITLE
Independent Director
COMPENSATION
SEK800K
AGE
50
TENURE
10 yrs

Anders Dahlvig

TITLE
Independent Director
COMPENSATION
SEK750K
AGE
62
TENURE
10 yrs

Ingrid Godin

TITLE
Employee Representative Director
AGE
60
TENURE
8.3 yrs

Lena Keller

TITLE
Independent Director
COMPENSATION
SEK600K
AGE
50
TENURE
6 yrs

Niklas Zennström

TITLE
Independent Director
COMPENSATION
SEK600K
AGE
53
TENURE
6 yrs

Alexandra Rosenqvist

TITLE
Employee Representative Director
AGE
43
TENURE
2.3 yrs

Stina Bergfors

TITLE
Independent Director
COMPENSATION
SEK600K
AGE
47
TENURE
3.9 yrs

Erica Häger

TITLE
Independent Director
COMPENSATION
SEK750K
AGE
49
TENURE
3.9 yrs

Danica Jensfelt

TITLE
Independent Director
AGE
48
TENURE
0.9 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (SEK) Value (SEK)
13. Feb 20 Buy Ramsbury Invest AB Company 10. Feb 20 12. Feb 20 5,000,000 SEK203.55 SEK1,017,555,897
02. Jul 19 Buy Ramsbury Invest AB Company 27. Jun 19 27. Jun 19 1,767,641 SEK159.05 SEK281,145,590
17. May 19 Buy Ramsbury Invest AB Company 14. May 19 16. May 19 5,072,521 SEK158.13 SEK794,884,472
X
Management checks
We assess H & M Hennes & Mauritz's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. H & M Hennes & Mauritz has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

H & M Hennes & Mauritz AB (publ) provides clothing, accessories, footwear, and cosmetics for women, men, teenagers, children, and babies worldwide. It offers sportswear, underwear, shoes, bags, beauty products, stationery, ready-to-wear, jeans, home textiles, and homeware; and interior products for living rooms, kitchens, bedrooms, bathrooms, and kids’ rooms. The company provides its products under the H&M, COS, Weekday, Cheap Monday, Monki, H&M Home, & Other Stories, ARKET, and Afound. As of December 16, 2019, it had approximately 5,000 stores in 74 markets, including franchise markets; and 51 online markets. H & M Hennes & Mauritz AB (publ) was founded in 1947 and is headquartered in Stockholm, Sweden.

Details
Name: H & M Hennes & Mauritz AB (publ)
HMBS
Exchange: BATS-CHIXE
Founded: 1947
SEK223,351,966,400
1,655,072,000
Website: http://www.hm.com
Address: H & M Hennes & Mauritz AB (publ)
Mäster Samuelsgatan 46A,
Stockholm,
Stockholm County, 106 38,
Sweden
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
OM HM B Class B Shares OMX Nordic Exchange Stockholm SE SEK 02. Jan 1992
OTCPK HMRZ.F Class B Shares Pink Sheets LLC US USD 02. Jan 1992
DB HMSB Class B Shares Deutsche Boerse AG DE EUR 02. Jan 1992
XTRA HMSB Class B Shares XETRA Trading Platform DE EUR 02. Jan 1992
LSE 0HBP Class B Shares London Stock Exchange GB SEK 02. Jan 1992
SWX HMB Class B Shares SIX Swiss Exchange CH CHF 02. Jan 1992
BATS-CHIXE HMBS Class B Shares BATS 'Chi-X Europe' GB SEK 02. Jan 1992
OTCPK HNNM.Y ADR Pink Sheets LLC US USD 28. Aug 2007
Number of employees
Current staff
Staff numbers
179,000
H & M Hennes & Mauritz employees.
Industry
Apparel Retail
Retail
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/08 20:06
End of day share price update: 2020/04/07 00:00
Last estimates confirmation: 2020/04/07
Last earnings filing: 2020/04/03
Last earnings reported: 2020/02/29
Last annual earnings reported: 2019/11/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.