H & M Hennes & Mauritz AB
H & M Hennes & Mauritz AB (publ) provides clothing, accessories, footwear, cosmetics, home textiles, and homeware for women, men, and children worldwide. It offers sportswear, shoes, bags, accessories, ready-to-wear, activewear, and jeans; interior products, including bed linens, towels and tablecl…
H & M Hennes & Mauritz AB (publ) provides clothing, accessories, footwear, cosmetics, home textiles, and homeware for women, men, and children worldwide. It offers sportswear, shoes, bags, accessories, ready-to-wear, activewear, and jeans; interior products, including bed linens, towels and tablecloths, tableware, furniture, and lighting; and beauty products, such as make-up and fragrance collections. The company provides its products under the H&M, H&M HOME, H&M Move, H&M Beauty, COS, Cheap Monday, Weekday, Monki, & Other Stories, ARKET, and Singular Society brand names. In addition, it operates Sellpy, a broad digital platform for second-hand fashion and other products; Smartex.ai, a platform that detects faults in real time and helps in textile production; Syre, a platform which focuses on scaling textile-to-textile recycling primarily polyester; and A Retro Tale offers selected vintage and secondhand accessories, as well as provides collecting and sorting solutions to extend the useful life of no longer used garments through reuse and recycling under Looper Textile name. Further, the company operates seasonal vegetarian cafés and coffee shops. It offers its products through online and physical stores. H & M Hennes & Mauritz AB (publ) was incorporated in 1943 and is headquartered in Stockholm, Sweden.Looks undervalued
5-year outlook: Not shown because confidence is low: Earnings-based DCF disagrees strongly.
Why: Free cash flow is positive and in line with earnings, and the dividend is small, so a cash-flow DCF fits best.
Details and the full model are below.
Market price below modeled range
Showing the EV/EBITDA (12x) you selected on the company card, using 3% growth, 3% terminal growth and 10.8% discount. The range varies these assumptions slightly; it is illustrative, not investment advice.
Assumptions: growth 3% (limited from 3.69% because the latest annual revenue declined), discount rate 10.80%, terminal growth 3%. See a worked example.
Blended growth assumption: 3.7% (sector default 7.2%, own revenue history 0.7%, analyst revenue consensus 3.4%).
Analyst consensus expects revenue growth of 3.4% a year; the growth assumption used is 3.0%.
Adjust assumptions
Show the recommended model instead
Why this model: Free cash flow is positive and in line with earnings, and the dividend is small, so a cash-flow DCF fits best.
Compare models- Recommended: Free-cash-flow DCF — SEK 190.68 (+7.8%)
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EPS-based Gordon proxy
— SEK 109.15 (-38.3%)
Not used: Treats all earnings as if paid out and ignores the cash kept for reinvestment, so it overstates value for companies that retain most profit.
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DCF (trailing free cash flow)
— SEK 190.68 (+7.8%)
Not used: Free cash flow is 2.1x net income, which usually means costs such as lease payments sit outside operating cash flow, so it may be overstated.
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FCFF (steady state)
— SEK 190.68 (+7.8%)
Not used: Free cash flow is 2.1x net income, which usually means costs such as lease payments sit outside operating cash flow, so it may be overstated.
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EV/EBITDA (12x)
— SEK 265.56 (+50.1%)
Not used: Used only when free cash flow is far below earnings even after averaging three years; a fixed 12x multiple also ignores sector differences.
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Fade DCF (10-year growth fade)
— SEK 190.68 (+7.8%)
Not used: Free cash flow is 2.1x net income, which usually means costs such as lease payments sit outside operating cash flow, so it may be overstated.
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EV/Sales (Rule of 40)
— SEK 547.69 (+209.6%)
Not used: Used only for technology and communication companies whose cash-flow value is far below the price.
| Bear SEK 215.78 | 18.0% |
| Base SEK 265.56 | 33.4% |
| Bull SEK 315.34 | 43.9% |
Margin = (value − price) / value, so it is measured against the value and reads lower than the upside to value, which is measured against the price. Positive means the price is below that case.
Track record: see the methodology page for how this model has performed historically, including its limits. Treat it as a screen, not a forecast.
Price history and fair value
No chartable saved daily price history is available for this range. The chart uses stored EODHD prices only and will appear after history is saved.
More detail: quality, peers, price history, dividends and financials
Quality score: 74 / 100
Five equal checks on reported history: profitability, cash generation, revenue growth, balance sheet and margins. It describes business quality, not whether the price is attractive.
| Profitability | 5 of 5 years profitable | 20 / 20 |
| Cash generation | free cash flow positive in 5 of 5 years | 20 / 20 |
| Growth | revenue -0.3% a year | 4 / 20 |
| Balance sheet | net debt 1.3x EBITDA | 20 / 20 |
| Margins | EBITDA margin 18% | 10 / 20 |
Peers in Consumer Discretionary
Same-sector companies with a valuation, most undervalued first. Compare the margin of safety, yield and quality score side by side.
| Company | Price | Margin of safety | P/E | P/B | Yield | Quality |
|---|---|---|---|---|---|---|
| HM-B.ST (this company) | SEK 176.90 | 7.2% | 21.4 | 7.2 | 3.8% | 74 |
| KGF.L Kingfisher plc | GBP 3.70 | 45.5% | 26.8 | 1.1 | 3.3% | 74 |
| BWY.L Bellway p.l.c. | GBP 22.72 | 44.3% | 13.8 | 0.8 | 3.1% | 70 |
| INCH.L Inchcape plc | GBP 6.33 | 38.1% | 8.8 | 1.9 | 4.2% | 80 |
| ZAL.DE Zalando SE | EUR 27.37 | 36.9% | 108.0 | 2.6 | – | 80 |
| DECK Deckers Brands | USD 85.74 | 36.4% | 10.9 | 5.0 | – | 100 |
| LULU Lululemon Athletica | USD 109.52 | 34.7% | 8.7 | 2.6 | – | 100 |
| EXPE Expedia Group | USD 268.04 | 30.8% | 15.6 | 19.8 | 0.7% | 100 |
| BKNG Booking Holdings | USD 166.20 | 29.9% | 17.4 | – | 1.0% | 100 |
| Peer median | 14.7 | 2.6 | ||||
Dividends
Paid in the last 12 months: SEK 7.10 per share · yield 4.01% at the current price.
| Year | Dividends per share |
|---|---|
| 2026 (so far) | 7.100 |
| 2025 | 6.800 |
| 2024 | 6.500 |
| 2023 | 6.500 |
| 2022 | 6.500 |
| 2021 | 6.500 |
Trailing 12-month financials
TTM through 31 Aug 2026 · quarterly EODHD data · data downloaded 06 Nov 2026 15:24
| Revenue | SEK 220,845,000,000 |
|---|---|
| EBITDA | SEK 39,734,000,000 |
| EBIT | SEK 20,355,000,000 |
| Net income | SEK 13,195,000,000 |
| Free cash flow | SEK 27,055,000,000 |
| Capital expenditures | SEK 7,875,000,000 |
| Debt | SEK 79,376,000,000 |
| Cash | SEK 26,507,000,000 |
| Working capital | SEK 9,632,000,000 |
| Shares outstanding | 1,596,373,000 |