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Hammerson PLC (HMN) Fair Value & Analysis

Real Estate · ZA · Market cap 47.9B ZAC · ISIN GB00BK7YQK64

HP Hammerson PLC HMN · JSE
PriceR81.50
Fair ValueR57.31
Upside-29.7%
Quality56/100
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Strengths

Highly profitable · 87.8% net margin

Risks

!Trades 42% ABOVE our fair value of R57.31
!Expensive Growth (revenue 5y +3.6 %/yr)
!Moderate debt · negative free cash flow
!Trails peers (5/14)
Expensive Growth (revenue 5y +3.6 %/yr)
Highly profitable · 87.8% net margin
Moderate debt · negative free cash flow
Trails peers (5/14)
Moderate moat 64/100
Evidence: Medium Range R42.40 – R72.23 Share as image

Fair value as of: Aug 28, 2026

From 7 valuation models · updated today

Fair value updated Aug 28, 2026, revised from R2.55 to R57.31 (+2,147.5%) since Aug 13, 2026. Share price +1.0% over the past month.

A solid business, but trading 42% above our fair value.

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What matters now

  • The price sits above even our optimistic bull case (R72.23). The favourable scenario is already priced in.
  • Solid but not exceptional quality (56/100) and above fair value, neither a clear bargain nor a standout compounder.
  • As a real-estate business, asset- and dividend-based methods carry more weight here than a standard DCF.
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Price vs Fair Value (5 years)

R85.50 R35.96 Fair Value R57.31 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 28, 2026.

How to read this chart

60‑month range R35.96 – R85.50 · fair‑value band R42.40 – R72.23 · the R81.50 price screens above the R57.31 fair value. Dashed = 300-day average. As of Aug 28, 2026.

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Analysis

Hammerson PLC (HMN) currently trades at R81.50, while our model-based Fair Value estimate is R57.31, implying the stock looks roughly 29.7% overvalued today. The Quality Score stands at 56/100 (solid quality), in the Real Estate sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).

Over the trailing twelve months, Hammerson PLC generated revenue of 264M ZAR at a net margin of 87.8%. Revenue grew 26.5% year over year. It earns a return on equity of 11.9%. Net debt stands at 1.2B ZAR. Fundamentals as of Aug 28, 2026

Our scenario range runs from R42.40 (bear case) to R72.23 (bull case); at R81.50, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. For context, the median of 10 Real Estate peers we cover trades at -51% fair-value upside, at -30%, HMN screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model 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. Evidence
Highest evidence
Residual Income R80.23 R92.15 R166.76 76
P/S Multiple R43.15 R57.31 R71.69 58
P/B Multiple R125.41 R167.21 R209.01 55
All 7 models by family
Multiples
P/S Multiple R43.15 R57.31 R71.69 58
P/B Multiple R125.41 R167.21 R209.01 55
EV/EBIT R10.79 R30.34 R50.12 53
EV/EBITDA R13.04 R28.54 54
EV/Revenue R12.14 43
Asset-Based
NCAV (Graham) R44.50 R59.56 R88.77 50
Economic Profit
Residual Income R80.23 R92.15 R166.76 76

Widest divergence: Economic Profit (R92.15) versus Multiples (R30.34). Highest evidence: Residual Income (76).

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Key figures & financial health

P/E ratio 8.2
P/S ratio 9.08 P/E × margin
EPS (TTM) R10.00 price ÷ EPS = P/E 8.2
Net margin 111% FY2025
Return on equity 11.9% TTM
Return on assets (EBIT) 1.0% avg 5y
More key figures
Profitability
Operating margin 40.7% TTM
Growth
Revenue (TTM) 264M ZAR TTM
Revenue growth (YoY) +26.5% 3y avg +18.3%
Balance sheet & cash flow
Free cash flow −468M ZAC FY2025
Net debt 1.2B ZAC FY2025

Figures from reported company fundamentals · as of Aug 28, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 56/100

Of which business quality 49 · Market factors (momentum, volatility) 55

Profitability 40
Margins and returns on capital today
Quality Growth 88
Are margins and returns improving?
Cashflow 25
Earnings quality: real cash, not paper profit
Fin. Strength 44
Balance sheet, leverage, solvency risk
Investment 67
Disciplined investing over empire-building
Low Volatility 42
Calm price path (market factor)
Momentum 52
Price trend over the last 3–12 months (market factor)
52W Momentum 73
Distance to the 52-week high (market factor)
Net Issuance 50
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Hammerson Plc is the largest UK-listed, pure-play owner and manager of prime retail and leisure anchored city destinations across the UK, France and Ireland.

Full company description

Hammerson Plc is the largest UK-listed, pure-play owner and manager of prime retail and leisure anchored city destinations across the UK, France and Ireland. We own, manage and invest in landmark city destinations integrating retail, leisure and community hubs to meet evolving customer and occupier needs while delivering sustainable long-term growth for our stakeholders. Our 10 city locations rank in the top 20 of all retail venues across our geographies and in the top 1% where retail spend is concentrated. Our catchment reach of 40 million people attracts 170 million visitors per annum, generating 3 billion Pounds of sales for our brand partners. Hammerson Plc was incorporated in 1942 in United Kingdom.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Hammerson PLC reported revenue of £208M in FY2025 versus £128M in FY2021, a compound +13.0%/yr. Reported net income was £232M in FY2025.

Growth Quality 32/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
208M ZAR
Latest YoY
+78.5%
Avg. revenue growth/yr (3Y) 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.
+18.3%
Avg. revenue growth/yr (5Y) 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.
+3.6%
Avg. revenue growth/yr (11Y) 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.
−4.9%
Value creation/yr We only publish this rate when it is defensible. Reason: no profitable base year
not computed
Revenue +13.0%/yr
FY21 £128M
FY22 £126M
FY23 £128M
FY24 £117M
FY25 £208M
Net income
FY21 −£429M
FY22 −£164M
FY23 −£51.4M
FY24 −£526M
FY25 £232M

HMN screens 30% overvalued. Compare with Simon Property Group →

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Cite: Fair Value Calculator (2026). "Hammerson PLC Fair Value". https://www.fairvalue-calculator.com/stock/HMN.JSE

Peer Group

REIT - Retail · 97 stocks

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.

Quality Score 54 · Below median
Fair Value upside −37% · Below median
Return on equity (TTM) 12% · Top 25%
Return on assets 2% · Bottom 25%
Net margin (TTM) 88% · Top 25%
Operating margin (TTM) 41% · Below median
Revenue growth 27% · Top 25%
Dividend yield (TTM) 0.2% · Bottom 25%
Debt / equity 0.70× · Higher than median

Valuation Multiples vs REIT - Retail median · lower = cheaper

P/E (TTM) 8.2× · Cheaper than 75% of peers
P/B 1.43× · Pricier than median
P/S (TTM) 11.34× · Pricier than 75% of peers
EV/EBITDA 29.9× · Pricier than 75% of peers
PEG 1.75× · Cheaper than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 13
FUTURE100 · sector 22
PAST48 · sector 30
HEALTH65 · sector 67
DIVIDEND4 · sector 100

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

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Frequently asked questions

Is Hammerson PLC (HMN) overvalued or undervalued?
As of Aug 28, 2026, our model estimates a fair value of R57.31 versus a price of R81.50, about −30% (overvalued).
What is the fair value of HMN?
Our model-based fair value for Hammerson PLC is R57.31 (as of Aug 28, 2026), built from audited fundamentals. The current price: R81.50.
What is the quality score of HMN?
Hammerson PLC has a Quality Score of 56/100. 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 revenue of Hammerson PLC (HMN)?
Hammerson PLC reported trailing-twelve-month revenue of about 264M ZAR (latest available figure, as of Aug 28, 2026).
What is the net profit margin of HMN?
The net profit margin of Hammerson PLC is about 87.8%, meaning it keeps roughly 87.8% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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