Added to YB: 2026-08-03
Pitch date: 2026-07-30
RMS.PA [neutral]
Hermès International Société en commandite par actions
-1.03%
current return
Author Info
Sector Stories is an ex-JPM buyside, analysing stocks mostly through a broader sector lens, and using substack to sharpen, share and track investment ideas. Sign up for the newsletter.
Company Info
Hermès International Société en commandite par actions engages in the production, wholesale, and retail of various goods.
Market Cap
EUR 160.4B
Pitch Price
EUR 1.5K
Price Target
1.2K (-23%)
Dividend
1.18%
EV/EBITDA
20.15
P/E
35.62
EV/Sales
9.32
Sector
Textiles, Apparel and Luxury Goods
Category
N/A
Hermès- Q2'26 Earnings
RMS.PA (pass): H1'26 earnings hit negative reaction. Leather (47% sales) growing 9-10% but faces de-leverage risk if volumes miss 6-7% expansion targets for 2027-2030. Growth over-reliant on leather, raising saturation concerns. Plugging 6-7% growth, 35% EBIT margin, 33% tax = €41 EPS; 25-30x P/E implies €1,000-1,200 fair value vs €1,508 now. Limited upside, staying away.
Read full article (1 min)