H & M Hennes & Mauritz AB (publ) (HM-B) fair value: what the stock is really worth
As of Oct 20, 2026: fair value (intrinsic value) of H & M Hennes & Mauritz AB (publ) stock SEK 165, price SEK 174, upside -4.9%, quality 71 out of 100. Rating: fairly valued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Oct 13, 2026.
How to read this chart
60‑month range kr 83.51 – kr 190.08 · fair‑value band kr 113.53 – kr 224.94 · the kr 174.00 price screens above the kr 165.47 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Oct 13, 2026.
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H & M Hennes & Mauritz AB (publ) provides clothing, accessories, footwear, cosmetics, home textiles, and homeware for women, men, and children worldwide.
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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.
Stock analysis
H & M Hennes & Mauritz AB (publ) (HM-B) currently trades at kr 174.00, while our model-based Fair Value estimate is kr 165.47, so the stock looks roughly fairly valued today (gap 5.2%).
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Valuation
Bull case: the DCF Models group reads highest at a median of kr 229.97 per share, and 12 of the 24 models we run sit above the kr 174.00 price.
Bear case: the Asset-Based group reads lowest at kr 16.81, and 12 of the 24 models stay below the price. Data coverage for this calculation is high.
Scenario range: kr 113.53 (bear) to kr 224.94 (bull), the price of kr 174.00 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 71/100 (solid quality), in the Consumer Cyclical sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
H & M Hennes & Mauritz AB (publ) reported revenue of 228B SEK in FY2025 versus 199B SEK in FY2021, a compound +3.5%/yr. Reported net income was 12.2B SEK in FY2025, compounding +2.5%/yr from FY2021.
Key figures
Market cap 278B SEK (≈ $28.0B) Large · P/E ratio 19.6 · P/S ratio 1.26 · EPS (TTM) kr 8.26 · Dividend yield 4.1% · Net margin 6.0% · Return on equity 33.3% · Return on assets (EBIT) 8.2%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 63 out of 100 (medium confidence).
What moves the price
The share trades about 8% below its 52-week high and 11% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Consumer Cyclical peers we cover trades at −15% fair-value upside, at −5%, HM-B screens cheaper than that median.
Fair Value models
Bearkr 113.53Fair Value kr 165.47Bullkr 224.94
Price kr 174.00 · Upside -4.9%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 11 months old). Earnings retained since then (kr 1.03 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.66/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
−2.6%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+0.7%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+4.1%
Start year 2020 (pandemic). Over 10 years: +2.4% a year
Revenue growth 21 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+7.1%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Basis: EBIT basis.
+8.7%
Earnings growth per share plus dividend.
Earnings per share, growth per year+4.6%
Dividend (yield on the price)4.1%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.2.6% vs −4.5%, picking up
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.2% → 8%
Pace: the 5-year rate starts in 2020 (pandemic)
Growth Forecast
Price in line with expectations
The price assumes less growth than the company has delivered so far and about what analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
−0.4%
The company could shrink this much every year for the next five years and today's price would still be justified.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+1.7%
Yearly sales growth analysts expect, extended to five years.
After inflation (Sweden: IMF forecast 2.0% a year to 2030, 2.9% from 2016 to 2025) that is about −2.3% a year for the price and −0.3% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (96 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Neutral
Recent news coverage is roughly neutral, about typical for how stocks are covered.
AI conclusion: Operational scale and family alignment create a moderate moat as the main strength, while limited innovation and weak pricing power in a competitive apparel sector remain the key weakness.
Main risk: Persistent consumer pressure in the key Western European market risks keeping sales growth muted and limiting the effect of operational improvements on overall results.
H&M has lifted margins through tighter purchasing, cost discipline and operational tweaks, yet sales grew just 1 percent in local currencies last quarter with a dip in its key Western European market. The group is also shifting toward more in-season buying to chase trends faster while trimming underperforming stores. Will these moves deliver sustained sales acceleration, or will consumer pressure keep growth muted?
Compare H & M Hennes & Mauritz AB (publ) with another stock
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Apparel Manufacturing · 217 stocks
Beats the industry median on 7/15 measures
A mixed picture versus its industry peers.
Valuation
Quality Score71 · Top 25%
Fair Value upside−4.9% · Below median
Profitability
Return on equity (12 months)33.3% · Top 25%
Return on assets7.1% · Top 25%
Net margin (12 months)6.0% · Above median
Operating margin (12 months)10.7% · Above median
Growth and dividend
Revenue growth (quarter YoY)0.3% · Below median
Dividend yield (12 months)4.1% · Above median
Balance sheet
Debt / equity0.43× · Highest 25%
Valuation Multiplesvs Apparel Manufacturing median · lower = cheaper
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "H & M Hennes & Mauritz AB (publ) Fair Value". https://www.fairvalue-calculator.com/stock/HM-B
Frequently asked questions
Is H & M Hennes & Mauritz AB (publ) (HM-B) overvalued or undervalued?
As of Oct 13, 2026, our model estimates a fair value of kr 165.47 versus a price of kr 174.00, about −5% upside (fairly valued).
What is the fair value of HM-B?
Our model-based fair value for H & M Hennes & Mauritz AB (publ) is kr 165.47 (as of Oct 13, 2026), built from audited fundamentals. The current price: kr 174.00.
What is the quality score of HM-B?
H & M Hennes & Mauritz AB (publ) has a Quality Score of 71/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for H & M Hennes & Mauritz AB (publ) (HM-B)?
Our model-based price target is the fair value of kr 165.47 (as of Oct 13, 2026) from 24 valuation models. Cautious scenario kr 113.53, optimistic scenario kr 224.94. It is a calculation from audited fundamentals, not an analyst target.
What is the H & M Hennes & Mauritz AB (publ) stock forecast for 2026?
Our models put fair value at kr 165.47, about −5% upside versus a price of kr 174.00 (fairly valued). Cautious scenario kr 113.53, optimistic scenario kr 224.94. The calculation is refreshed regularly with new filings.
What is the revenue of H & M Hennes & Mauritz AB (publ) (HM-B)?
H & M Hennes & Mauritz AB (publ) reported trailing-twelve-month revenue of about 221B SEK (latest available figure, as of Oct 13, 2026).
Does H & M Hennes & Mauritz AB (publ) pay a dividend?
H & M Hennes & Mauritz AB (publ) currently shows a dividend yield of 4.08% relative to its recent price (as of Oct 13, 2026).
What growth is priced into H & M Hennes & Mauritz AB (publ) (HM-B)?
For today's price to be fair in a discounted-cash-flow model, H & M Hennes & Mauritz AB (publ) would have to grow free cash flow by -0.4 % per year for five years (discount rate 9.0 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +4.1 % per year. As of Oct 13, 2026.
What discount rate (WACC) does the fair value of HM-B use?
Our models discount H & M Hennes & Mauritz AB (publ) at 9.0 %: a base by market capitalisation (large), damped by beta 1.01, country premium for Sweden. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For H & M Hennes & Mauritz AB (publ) that is -0.4 % per year a year over ten years, using the same discount rate (9.0 %) and the same formula as our fair value.
How much growth has H & M Hennes & Mauritz AB (publ) (HM-B) delivered so far?
Over the past 5 years revenue at H & M Hennes & Mauritz AB (publ) grew +4.1 % a year. The price currently implies -0.4 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of H & M Hennes & Mauritz AB (publ) (HM-B) growing?
The median revenue growth in the sector is +4.3 % a year. That is the yardstick for the growth priced into H & M Hennes & Mauritz AB (publ) (-0.4 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of H & M Hennes & Mauritz AB (publ) (HM-B)?
The free-cash-flow yield on the price is 7.87 %: that much free cash flow H & M Hennes & Mauritz AB (publ) produces per unit of market value. When it exceeds the discount rate of our models (9.0 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of H & M Hennes & Mauritz AB (publ) (HM-B)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For H & M Hennes & Mauritz AB (publ) it is kr 165.47 per share (as of Oct 13, 2026), against a price of kr 174.00. It is the blended result of 24 valuation models (cash flow, earnings, asset, dividend).
Is H & M Hennes & Mauritz AB (publ) stock overvalued or undervalued in 2026?
As of Oct 13, 2026, HM-B trades above its calculated fair value: price kr 174.00, fair value kr 165.47, a gap of about −5% (fairly valued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of HM-B?
No. The price is what the market pays today (kr 174.00); the fair value is what the company's own numbers justify (kr 165.47). For H & M Hennes & Mauritz AB (publ) the two are kr 8.53 per share apart. That gap is exactly why we show both numbers side by side.
How much is H & M Hennes & Mauritz AB (publ) worth?
The market values H & M Hennes & Mauritz AB (publ) at about 278B SEK (market capitalisation, as of Oct 13, 2026). Per share that is kr 174.00; our models calculate a fair value of kr 165.47 per share.
What do the bullish and bearish scenarios say about HM-B?
Our models span a range for H & M Hennes & Mauritz AB (publ): cautious scenario kr 113.53, base kr 165.47, optimistic kr 224.94 per share (as of Oct 13, 2026, price kr 174.00). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of HM-B?
H & M Hennes & Mauritz AB (publ) trades at a price-to-earnings ratio of 19.6 (as of Oct 13, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of kr 165.47 is built from several models across several years. Median P/E at fiscal year-end, 10 fiscal years (2016 to 2025), reported earnings, FY2025 ex one-offs: 23.3. Other multiples: PEG 2.8, P/B 6.5, P/S 1.3, EV/EBITDA 11.0.
What is the PEG ratio of HM-B?
The PEG ratio of H & M Hennes & Mauritz AB (publ) is 2.79 (P/E divided by earnings growth, as of Oct 13, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of H & M Hennes & Mauritz AB (publ) (HM-B)?
Balance-sheet figures for H & M Hennes & Mauritz AB (publ) (as of Oct 13, 2026): return on equity 33.3%, debt of 0.43 per unit of equity. They feed the Quality Score of 71/100, which measures business quality independently of the share price.
How far is HM-B from its 52-week high?
H & M Hennes & Mauritz AB (publ) trades at kr 174.00, about 8% below its 52-week high of kr 190.08 and 11% above the low of kr 156.95 (as of Oct 20, 2026). Distance from the high says nothing about value: that is what the fair value of kr 165.47 is for.
Which stocks are comparable to H & M Hennes & Mauritz AB (publ)?
From the same area (Consumer Cyclical) we also value Ralph Lauren Corporation, Moncler S.p.A, LPP SA, Levi Strauss & Co, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is H & M Hennes & Mauritz AB (publ) stock attractive at the current price?
The data as of Oct 13, 2026: price kr 174.00, calculated fair value kr 165.47 (−5%), Quality Score 71/100, from 24 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of HM-B calculated?
We run H & M Hennes & Mauritz AB (publ) through 24 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of kr 165.47, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.9 % above its aggregate fair value. H & M Hennes & Mauritz AB (publ) itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of H & M Hennes & Mauritz AB (publ) (HM-B)?
The closing price on Oct 20, 2026 was kr 174.00. Our model-based fair value is kr 165.47, about −5% upside (fairly valued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with H & M Hennes & Mauritz AB (publ) right now?
The price sits close to our fair value, market and models broadly agree here, little valuation tension. A fairly wide model range (kr 113.53 to kr 224.94) leaves room in how you read the outcome.
Where does the earnings growth of H & M Hennes & Mauritz AB (publ) (HM-B) come from?
Earnings per share at H & M Hennes & Mauritz AB (publ) grew −6.2 % a year from 2014 to 2025. Broken into its drivers: revenue per share +3.5 %, EBIT margin −7.5 %, tax rate −0.7 %, residual (interest, one-offs) −1.4 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of H & M Hennes & Mauritz AB (publ)
How large is the market capitalisation of H & M Hennes & Mauritz AB (publ) (HM-B)?
The market capitalisation of H & M Hennes & Mauritz AB (publ) is 278B SEK (≈ $28.0B). The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of H & M Hennes & Mauritz AB (publ) (HM-B)?
The price-to-sales ratio of H & M Hennes & Mauritz AB (publ) is 1.26 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of H & M Hennes & Mauritz AB (publ) (HM-B)?
Earnings per share at H & M Hennes & Mauritz AB (publ) are kr 8.26 (price ÷ EPS = P/E 19.6). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of H & M Hennes & Mauritz AB (publ) (HM-B)?
The dividend yield of H & M Hennes & Mauritz AB (publ) is 4.1% (payout 86.0%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of H & M Hennes & Mauritz AB (publ) (HM-B)?
The net margin of H & M Hennes & Mauritz AB (publ) is 6.0% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of H & M Hennes & Mauritz AB (publ) (HM-B)?
The return on equity (ROE) of H & M Hennes & Mauritz AB (publ) is 33.3% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of H & M Hennes & Mauritz AB (publ) (HM-B)?
On an EBIT basis the return on assets of H & M Hennes & Mauritz AB (publ) is 8.2% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of H & M Hennes & Mauritz AB (publ) (HM-B)?
The operating margin of H & M Hennes & Mauritz AB (publ) is 10.7% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at H & M Hennes & Mauritz AB (publ) (HM-B)?
Revenue at H & M Hennes & Mauritz AB (publ) is growing +0.3% versus a year earlier (3y avg +0.7%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at H & M Hennes & Mauritz AB (publ) (HM-B)?
Earnings per share at H & M Hennes & Mauritz AB (publ) are growing +28.3% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does H & M Hennes & Mauritz AB (publ) (HM-B) carry?
The net debt of H & M Hennes & Mauritz AB (publ) is 102B SEK (fiscal year 2025, ≈ 4.6 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Oct 13, 2026