Hermes International SA
RMS: XPAR (FRA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
€5,429.00 | Nvjd | Lpcnjlbcfv |
Hermes Is in Demand, but Capacity Constraints, Modest Pricing Relative to Peers Can Damp Growth
We expect to increase our fair value estimate for wide-moat Hermes, as the company reported strong revenue and profitability development in 2021, ahead of our expectations. We still view shares as expensive, despite a more than 20% decline year to date and would recommend investors a wider margin of safety.