H & M Hennes & Mauritz AB
STO:HM B

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H & M Hennes & Mauritz AB Logo
H & M Hennes & Mauritz AB
STO:HM B
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Price: 142.1 SEK -1.35% Market Closed
Market Cap: 229.8B SEK

Operating Margin
H & M Hennes & Mauritz AB

7.2%
Current
6%
Average
3.1%
Industry

Operating Margin represents how efficiently a company is able to generate profit through its core operations.

Higher ratios are generally better, illustrating the company is efficient in its operations and is good at turning sales into profits.

Operating Margin
7.2%
=
Operating Profit
16.9B
/
Revenue
236.1B

Operating Margin Across Competitors

H & M Hennes & Mauritz AB
Glance View

Market Cap
228B SEK
Industry
Retail

Once upon a time in 1947, in the idyllic town of Västerås, Sweden, H & M Hennes & Mauritz AB began its journey as a women’s clothing store, primarily known as "Hennes." The founder, Erling Persson, envisioned a retail experience that was not only affordable but stylishly attuned to the whims of fashion-forward consumers. Over the decades, this modest idea burgeoned into a sprawling global enterprise. What began as a singular focus on women's wear evolved into a diverse array of clothing under numerous brand names, catering to men, children, and even introducing home decor. H&M operates on a fast-fashion model; this method pivots on rapidly adapting runway styles into market-ready garments swiftly, thereby maintaining a high volume of collections per year. The essence of H&M's success lies in its highly efficient logistics and supply chain management. This allows the company to sustain affordability while consistently stocking up-to-date fashion trends. The mechanisms driving H&M's profitability are deeply woven into its operational framework. At the core, the company harnesses economies of scale, leveraging its vast network of over 4,500 stores worldwide to negotiate favorable terms with suppliers, securing materials at competitive prices. In retail management, H&M deftly combines its physical and online presence, ensuring seamless accessibility for consumers. By utilizing data analytics, the company adeptly discerns consumer preferences, enabling it to tailor product offerings with precision. The company’s innovative marketing strategies—often tapping into collaborations with designers and influencers—amplify brand visibility and consumer engagement. Furthermore, its ongoing ventures into sustainability and eco-friendly initiatives reflect a commitment to future-oriented, conscientious business practices, aiming to appeal to increasingly environment-conscious consumers. This comprehensive approach is at the heart of how H&M continues to flourish in the competitive arena of global retail fashion.

HM B Intrinsic Value
174.69 SEK
Undervaluation 19%
Intrinsic Value
Price
What is Operating Margin?

Operating Margin represents how efficiently a company is able to generate profit through its core operations.

Higher ratios are generally better, illustrating the company is efficient in its operations and is good at turning sales into profits.

Operating Margin
7.2%
=
Operating Profit
16.9B
/
Revenue
236.1B
What is the Operating Margin of H & M Hennes & Mauritz AB?

Based on H & M Hennes & Mauritz AB's most recent financial statements, the company has Operating Margin of 7.2%.

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