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Hermès International Société en commandite par actions (RMS) Stock Verdict & Ratings | Investment Bastion

Stock Verdict·Updated 1d ago

Hermès International Société en commandite par actions

RMSMarket cap $151BPrice $1443.4

Country🇫🇷France

SectorConsumer

IndustryApparel & Luxury

Crafts the world's most coveted luxury handbags, scarves, and leather goods using centuries-old techniques. A single Birkin bag can cost more than a new car and often appreciates faster than stocks.

In Bastion Portfolios?

52W Return-43%Global Market +16%?

01Key Ratings

How does this stock score across Bastion factors?

Growth

Historical Revenue

Rev CAGR (3y)+15%8

Revenue Forecast

Rev CAGR (1y)+0%3

Rev CAGR (3y)+7%5

Rev CAGR (5y)+7%6

Earnings Forecast

EPS Growth Y+1+15%8

EPS Growth Y+2+11%7

EPS Growth Y+3+10%7

Quality

Margins

EBIT Margin42%10

Net Income Margin28%9

Free Cash Flow Margin31%9

Debt

Net Debt/EBITDA-1.410

Efficiency

ROE25%9

ROA19%10

Earnings Stability88

GEAR+STRONG72

Overall rating across all five factors

Value

Price Multiples

P/E Ratio (Forward)282

P/E Ratio (Forward 3y)242

P/BV7.12

EV Multiples

EV/EBITDA Fwd163

EV/EBIT Fwd184

Yield

Free Cash Flow Yield3.8%5

Dividend Yieldna–

Momentum

Short term

1 month return-14%1

3 month return-23%1

YTD return-40%1

Mid term

Price vs 52wHigh56%2

1 year return-39%1

Long term

3 year return-25%2

5 year return+8%4

Risk Shield

Price Risk

Beta1.04

Volatility33%6

Free Cash Flow

Free Cash Flow Margin31%9

Free Cash Flow Yield3.8%5

Quality

ROCE34%10

Earnings Stability88

Net Debt/EBITDA-1.410

02Growth

Is it actually growing, and how fast?

RMSHermès International Société en commandite par actions

Revenue FY25$16.0B

GROWTH RATING↗

AVERAGE51 / 100

REVENUE GROWTH▾SCORE

Revenue, last 3Y, CAGR+15%8

Revenue, next 1Y+0%3

Revenue, next 3Y, CAGR+7%5

Revenue, next 5Y, CAGR+7%6

EARNINGS FORECAST▾SCORE

EPS growth, FY26E+15%8

EPS growth, FY27E+11%7

EPS growth, FY28E+10%7

GROWTH ASSESSMENT

STRENGTHS

Revenue grew 15%/yr over the last 3 years, ahead of 70% of companies worldwide.8/10

Earnings are set to grow in step with sales (EPS about 11%/yr vs revenue 7%/yr).

WATCH

A mid-pack grower, ahead of 51% of companies worldwide.

Revenue is set to grow 7%/yr over the next 3 years, in line with the market.5/10

Revenue grew 15%/yr over the last 3 years; forecasts see it cooling to 7%/yr.

Over five years revenue is set to grow 7%/yr, ahead of 50% of companies worldwide.6/10

WEAKNESSES

None flagged.

BOTTOM LINE

Margin Expander

A middle-of-the-pack grower that is slowing. The one thing to watch: forward revenue growth is only about average.

03Price Momentum

Is the market behind it right now?

RMSHermès International Société en commandite par actions

Total return Current292%

Price return Current270%

MOMENTUM RATING↗

VERY WEAK4 / 100

SHORT-TERM RETURNS▾SCORE

1-month return-14%1

3-month return-23%1

YTD return-40%1

MID & LONG-TERM▾SCORE

% of 52-week high56%2

1-year return-39%1

3-year return-25%2

5-year return+8%4

MOMENTUM ASSESSMENT

STRENGTHS

None flagged.

WATCH

None flagged.

WEAKNESSES

Weak long-term results. It has been a disappointing long-term hold (-25% over three years and +7.9% over five), behind 70% of the market.

It's down 39% over the past year, now 44% below its 52-week high. That is lagging the market.

The stock is underperforming over the past month (-14%), over three months (-23%) and so far this year (-40%).

BOTTOM LINE

Falling Knife

Returns rank poorly over both the short and long run, and the price is still falling. Momentum is firmly negative — catching this is a bet against the tape, not with it. Wait for a base to form. The one thing to watch: the multi-year record is weak.

04Value

Are you paying a fair price for it?

Stop guessing on Hermès. Get the full investment case.

Premium

$20.75/month

Billed annually at $249/year $348

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02Growth

Is it actually growing, and how fast?

RMSHermès International Société en commandite par actions

Revenue FY25$16.0B

GROWTH RATING↗

AVERAGE51 / 100

REVENUE GROWTH▾SCORE

Revenue, last 3Y, CAGR+15%8

Revenue, next 1Y+0%3

Revenue, next 3Y, CAGR+7%5

Revenue, next 5Y, CAGR+7%6

EARNINGS FORECAST▾SCORE

EPS growth, FY26E+15%8

EPS growth, FY27E+11%7

EPS growth, FY28E+10%7

GROWTH ASSESSMENT

STRENGTHS

Revenue grew 15%/yr over the last 3 years, ahead of 70% of companies worldwide.8/10

Earnings are set to grow in step with sales (EPS about 11%/yr vs revenue 7%/yr).

WATCH

A mid-pack grower, ahead of 51% of companies worldwide.

Revenue is set to grow 7%/yr over the next 3 years, in line with the market.5/10

Revenue grew 15%/yr over the last 3 years; forecasts see it cooling to 7%/yr.

Over five years revenue is set to grow 7%/yr, ahead of 50% of companies worldwide.6/10

WEAKNESSES

None flagged.

BOTTOM LINE

Margin Expander

A middle-of-the-pack grower that is slowing. The one thing to watch: forward revenue growth is only about average.

03Price Momentum

Is the market behind it right now?

RMSHermès International Société en commandite par actions

Total return Current292%

Price return Current270%

MOMENTUM RATING↗

VERY WEAK4 / 100

SHORT-TERM RETURNS▾SCORE

1-month return-14%1

3-month return-23%1

YTD return-40%1

MID & LONG-TERM▾SCORE

% of 52-week high56%2

1-year return-39%1

3-year return-25%2

5-year return+8%4

MOMENTUM ASSESSMENT

STRENGTHS

None flagged.

WATCH

None flagged.

WEAKNESSES

Weak long-term results. It has been a disappointing long-term hold (-25% over three years and +7.9% over five), behind 70% of the market.

It's down 39% over the past year, now 44% below its 52-week high. That is lagging the market.

The stock is underperforming over the past month (-14%), over three months (-23%) and so far this year (-40%).

BOTTOM LINE

Falling Knife

04Value

Are you paying a fair price for it?

Stop guessing on Hermès. Get the full investment case.

Premium

$20.75/month

Billed annually at $249/year $348

✓
Stock VerdictValuation and investment strategy for 4,000+ stocks. Days of hedge fund analyst research, done in 2 minutes.
✓
RadarFind your next investment idea: top-ranked stocks across all 9 Bastion strategies.
✓
Portfolio ManagerCheck if Bastion algorithms added the stock you care about to their portfolios.

Secure via Stripe

Trusted by 1,000+ investors in our community