We think Hugo Boss’ strong positioning, with almost 10% market share and high brand awareness in the premium menswear category, as well as relatively high share of distribution control (69% of brick-and-mortar sales), should allow the company to generate average returns of 11%-12%, above our 9% cost of capital estimate over the mid- to long term.
Hugo Boss is one of the leading, most-recognized menswear brands with around 10% of the designer menswear market, according to our estimates.
The company’s core formalwear category is a slow growth category as wardrobes become more casual.
|
Metric
|
BOSS
|
KER
|
01913
|
|---|---|---|---|
Price/Earnings (Normalized) | 8.66 | 16.27 | 22.98 |
Price/Book Value | 1.92 | 2.34 | 4.10 |
Price/Sales | 0.59 | 1.89 | 3.41 |
Price/Cash Flow | 3.80 | 9.19 | 12.61 |
|
Metric
|
BOSS
|
KER
|
01913
|
|---|---|---|---|
Quick Ratio | 0.44 | 0.69 | 0.84 |
Current Ratio | 1.65 | 1.38 | 1.49 |
Interest Coverage | 10.50 | 6.57 | 13.10 |
|
Metric
|
BOSS
|
KER
|
01913
|
|---|---|---|---|
Return on Assets (Normalized) | 8.67% | 5.47% | 9.47% |
Return on Equity (Normalized) | 23.91% | 14.50% | 19.42% |
Return on Invested Capital (Normalized) | 14.87% | 7.76% | 11.74% |
|
1-Day Chart
|
Name
|
Price
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|---|
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HMRZF
| — | Drjyf | $24.7 Bil | |||
| Hennes & Mauritz AB ADR
HNNMY
| — | Ghhlph | $24.7 Bil | |||
| Moncler SpA ADR
MONRY
| — | Dkzdljv | $16.6 Bil | |||
| Ralph Lauren Corp Class A
RL
| Wjylnccj | Vtvplc | $10.5 Bil | |||
| Gildan Activewear Inc
GIL
| Whhdvbltj | Dkk | $6.7 Bil | |||
| VF Corp
VFC
| Vnzclxhk | Jcq | $6.4 Bil | |||
| PVH Corp
PVH
| Zcfngthr | Xqppg | $5.6 Bil | |||
| Under Armour Inc Class A
UAA
| Mljqdhdk | Jmtd | $3.0 Bil | |||
| Under Armour Inc Class C
UA
| Qmydtkpfw | Hhp | $3.0 Bil | |||
| Hanesbrands Inc
HBI
| Xrwvmnvb | Kdlfv | $2.2 Bil |
