Executive Summary
H & M Hennes & Mauritz AB (publ) provides clothing, accessories, footwear, and cosmetics for women, men, teenagers, children, and babies worldwide.
Snowflake
Fundamentals
Excellent balance sheet average dividend payer.
Similar Companies
Share Price & News
How has H & M Hennes & Mauritz's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
0.4%
HM B
0.3%
SE Specialty Retail
2.2%
SE Market
1 Year Return
29.8%
HM B
26.8%
SE Specialty Retail
16.0%
SE Market
Return vs Industry: HM B exceeded the Swedish Specialty Retail industry which returned 26.8% over the past year.
Return vs Market: HM B exceeded the Swedish Market which returned 16% over the past year.
Shareholder returns
| HM B | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.4% | 0.3% | 2.2% |
| 30 Day | 11.5% | 8.7% | 2.7% |
| 90 Day | 22.8% | 20.5% | 4.2% |
| 1 Year | 38.0%29.8% | 34.2%26.8% | 21.0%16.0% |
| 3 Year | -5.9%-18.2% | -6.6%-19.1% | 34.5%14.2% |
| 5 Year | -11.8%-28.1% | -8.0%-25.5% | 61.7%27.1% |
Price Volatility Vs. Market
How volatile is H & M Hennes & Mauritz's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 days ago | Simply Wall St
Is There Now An Opportunity In H & M Hennes & Mauritz AB (publ) (STO:HM B)?2 weeks ago | Simply Wall St
Estimating The Intrinsic Value Of H & M Hennes & Mauritz AB (publ) (STO:HM B)3 weeks ago | Simply Wall St
Should You Be Tempted To Sell H & M Hennes & Mauritz AB (publ) (STO:HM B) Because Of Its P/E Ratio?Valuation
Is H & M Hennes & Mauritz undervalued compared to its fair value and its price relative to the market?
4.5%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: HM B (SEK207.9) is trading below our estimate of fair value (SEK217.78)
Significantly Below Fair Value: HM B is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: HM B is poor value based on its PE Ratio (26.9x) compared to the Specialty Retail industry average (12.3x).
PE vs Market: HM B is poor value based on its PE Ratio (26.9x) compared to the Swedish market (16.9x).
Price to Earnings Growth Ratio
PEG Ratio: HM B is poor value based on its PEG Ratio (3.6x)
Price to Book Ratio
PB vs Industry: HM B is overvalued based on its PB Ratio (6.4x) compared to the SE Specialty Retail industry average (2.5x).
Next Steps
Future Growth
How is H & M Hennes & Mauritz forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?
7.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: HM B's forecast earnings growth (7.5% per year) is above the savings rate (0.4%).
Earnings vs Market: HM B's earnings (7.5% per year) are forecast to grow slower than the Swedish market (8.8% per year).
High Growth Earnings: HM B's earnings are forecast to grow, but not significantly.
Revenue vs Market: HM B's revenue (4.6% per year) is forecast to grow faster than the Swedish market (4.5% per year).
High Growth Revenue: HM B's revenue (4.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: HM B's Return on Equity is forecast to be high in 3 years time (27.3%)
Next Steps
Past Performance
How has H & M Hennes & Mauritz performed over the past 5 years?
-11.5%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: HM B's earnings have declined by -11.5% per year over the past 5 years.
Accelerating Growth: HM B's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: HM B had negative earnings growth (-2.5%) over the past year, making it difficult to compare to the Specialty Retail industry average (0.1%).
Return on Equity
High ROE: HM B's Return on Equity (23.9%) is considered high.
Return on Assets
ROA vs Industry: HM B has a higher Return on Assets than the Specialty Retail industry average last year.
Return on Capital Employed
ROCE Improving: HM B's Return on Capital Employed has declined over the past 3 years.
Next Steps
Financial Health
How is H & M Hennes & Mauritz's financial position?
Financial Position Analysis
Short Term Liabilities: HM B's short term assets (SEK69.8B) exceeds its short term liabilities (SEK58.6B)
Long Term Liabilities: HM B's short term assets (69.8B) exceeds its long term liabilities (15.9B)
Debt to Equity History and Analysis
Debt Level: HM B's debt to equity ratio (35.2%) is considered satisfactory
Reducing Debt: Insufficient data to determine if HM B's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: HM B's debt is well covered by operating cash flow (125.7%).
Interest Coverage: HM B earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: HM B has a high level of physical assets or inventory.
Debt Coverage by Assets: HM B's debt is covered by short term assets (assets are 3.7x debt).
Next Steps
Dividend
What is H & M Hennes & Mauritz's current dividend yield, its reliability and sustainability?
4.69%
Current Dividend Yield
Upcoming Dividend Payment
Purchase H & M Hennes & Mauritz before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: HM B's dividend (4.69%) is higher than the bottom 25% of dividend payers in the Swedish market (1.81%).
High Dividend: HM B's dividend (4.69%) is low compared to the top 25% of dividend payers in the Swedish market (4.71%).
Stable Dividend: HM B's dividends per share have been stable in the past 10 years.
Growing Dividend: HM B's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (126.3%), HM B's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: HM B's dividends in 3 years are forecast to be covered by earnings (85.3% payout ratio).
Next Steps
Management
What is the CEO of H & M Hennes & Mauritz's salary, the management and board of directors tenure and is there insider trading?
6.0yrs
Average management tenure
CEO
Karl-Johan Persson (44yo)
10.3yrs
Tenure
kr13,800,000
Compensation
Mr. Karl-johan Persson is a Co-founder at NS Intressenter AB. Mr. Persson has been the Chief Executive Officer and Managing Director of H & M Hennes & Mauritz AB (publ) since July 1, 2009 and serves as its ...
CEO Compensation Analysis
Compensation vs. Market: Karl-Johan's total compensation ($USD1.43M) is about average for companies of similar size in the Swedish market ($USD1.90M).
Compensation vs Earnings: Karl-Johan's compensation has been consistent with company performance over the past year.
Management Age and Tenure
6.0yrs
Average Tenure
Experienced Management: HM B's management team is seasoned and experienced (6 years average tenure).
Board Age and Tenure
5.5yrs
Average Tenure
50yo
Average Age
Experienced Board: HM B's board of directors are considered experienced (5.5 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Company |
| Shares | 1,767,641 |
| Max Price | kr159.05 |
| Entity | Company |
| Shares | 5,072,521 |
| Max Price | kr158.13 |
| Entity | Company |
| Shares | 6,000,000 |
| Max Price | kr140.00 |
| Entity | Company |
| Shares | 10,377,845 |
| Max Price | kr141.40 |
| Entity | Company |
| Shares | 2,041,765 |
| Max Price | kr157.39 |
| Entity | Company |
| Shares | 5,456,374 |
| Max Price | kr155.65 |
Ownership Breakdown
Management Team
Kristina Stenvinkel
Head of Communications & Communications Director
- Tenure: 0yrs
Karl-Johan Persson (44yo)
CEO, President & MD
- Tenure: 10.3yrs
- Compensation: kr13.80m
Anders Jonasson
Chief Accountant
- Tenure: 0yrs
Madeleine Persson
Managing Director of H&M
- Tenure: 0yrs
Nils Vinge
Head of Investor Relations/Franchise
- Tenure: 0yrs
Jyrki Tervonen
Chief Financial Officer
- Tenure: 11.1yrs
Anna Attemark (51yo)
Head of New Business
- Tenure: 1.7yrs
Helena Helmersson
Chief Operating Officer
- Tenure: 1.8yrs
Helena Thybell
Head of Human Resources
- Tenure: 0yrs
Fredrik Björkstedt
Head of Legal
- Tenure: 0yrs
Board Members
Max Sievert (50yo)
Independent Director
- Tenure: 9.5yrs
- Compensation: kr800.00k
Stefan Persson (72yo)
Chairman of the Board
- Tenure: 21.8yrs
- Compensation: kr1.68m
Niklas Zennström (53yo)
Independent Director
- Tenure: 5.5yrs
- Compensation: kr600.00k
Erica Häger (49yo)
Independent Director
- Tenure: 3.4yrs
- Compensation: kr750.00k
Anders Dahlvig (62yo)
Independent Director
- Tenure: 9.5yrs
- Compensation: kr750.00k
Lena Keller (50yo)
Independent Director
- Tenure: 5.5yrs
- Compensation: kr600.00k
Ingrid Godin (60yo)
Employee Representative Director
- Tenure: 7.8yrs
Stina Bergfors (47yo)
Independent Director
- Tenure: 3.4yrs
- Compensation: kr600.00k
Alexandra Rosenqvist (43yo)
Employee Representative Director
- Tenure: 1.8yrs
Danica Jensfelt (48yo)
Director
- Tenure: 0.4yrs
Company Information
H & M Hennes & Mauritz AB (publ)'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: H & M Hennes & Mauritz AB (publ)
- Ticker: HM B
- Exchange: OM
- Founded: 1947
- Industry: Apparel Retail
- Sector: Retail
- Market Cap: kr344.089b
- Shares outstanding: 1.66b
- Website: https://www.hm.com
Number of Employees
Location
- H & M Hennes & Mauritz AB (publ)
- Mäster Samuelsgatan 46A
- Stockholm
- Stockholm County
- 106 38
- Sweden
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| HMRZ.F | OTCPK (Pink Sheets LLC) | Yes | Class B Shares | US | USD | Jan 1992 |
| HM B | OM (OMX Nordic Exchange Stockholm) | Yes | Class B Shares | SE | SEK | Jan 1992 |
| HMB | SWX (SIX Swiss Exchange) | Yes | Class B Shares | CH | CHF | Jan 1992 |
| 0HBP | LSE (London Stock Exchange) | Yes | Class B Shares | GB | SEK | Jan 1992 |
| HMSB | XTRA (XETRA Trading Platform) | Yes | Class B Shares | DE | EUR | Jan 1992 |
| HMSB | DB (Deutsche Boerse AG) | Yes | Class B Shares | DE | EUR | Jan 1992 |
| HMBS | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Class B Shares | GB | SEK | Jan 1992 |
| HNNM.Y | OTCPK (Pink Sheets LLC) | ADR | US | USD | Aug 2007 |
Biography
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 prod ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/23 20:33 |
| End of Day Share Price | 2019/10/23 00:00 |
| Earnings | 2019/08/31 |
| Annual Earnings | 2018/11/30 |
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.