0.95%
1.22%
-7.46%
-1.85%
11.46%
-45.05%
30.53%

Company Description

HORNBACH Holding AG & Co. KGaA, through its subsidiaries, develops and operates do-it-yourself (DIY) megastores with garden centers in Germany and other European countries.Its stationary stores offer approximately 50,000 articles in various divisions, including hardware/electrical, paint/wallpaper/flooring, construction materials/timber/prefabricated components, sanitary/tiles, and garden hardware/plants.The company also provides a range of construction materials and tools stocked and supply services, as well as professional advice for various product ranges and lines of trade, including shell construction and roofing; interior fittings and facades; and civil engineering, and garden and landscape construction materials for construction, conversion, or refurbishment projects.


In addition, it develops and rents retail real estate properties.As of February 28, 2022, the company operated 165 DIY megastores and garden centers, including 98 stores in Germany; and 14 stores in Austria, 16 stores in the Netherlands, 1 store in Luxembourg, 10 stores in the Czech Republic, 8 stores in Switzerland, 8 stores in Sweden, 4 stores in Slovakia, and 8 stores in Romania, as well as 36 builders' merchant outlets in south-western Germany, and two specialist stores in France.It also operates HORNBACH online stores.


The company was founded in 1877 and is based in Bornheim, Germany.

Market Data

Last Price 74.4
Change Percentage 0.95%
Open 73.7
Previous Close 73.7
Market Cap ( Millions) 1186
Volume 1881
Year High 88.4
Year Low 62.75
M A 50 77.14
M A 200 78.93

Financial Ratios

FCF Yield 34.27%
Dividend Yield 3.25%
ROE 8.28%
Debt / Equity 76.60%
Net Debt / EBIDTA 210.44%
Price To Book 0.59
Price Earnings Ratio 7.28
Price To FCF 2.92
Price To sales 0.19
EV / EBITDA 4.28

Business Breakdown

Expected Mid-Term Growth

Segment nΒ°1 -> HORNBACH Baumarkt AG

Expected Growth : 4.5 %

What the company do ?

HORNBACH Baumarkt AG is a German DIY store chain, part of HORNBACH Holding AG & Co. KGaA, offering a wide range of home improvement and gardening products.

Why we expect these perspectives ?

Growing demand for home improvement and gardening products, increasing popularity of DIY projects, and expansion of online shopping platforms drive the growth of HORNBACH Baumarkt AG's market share.

Segment nΒ°2 -> HORNBACH Baustoff Union GmbH

Expected Growth : 4.5 %

What the company do ?

HORNBACH Baustoff Union GmbH is a German-based DIY retailer and a subsidiary of HORNBACH Holding AG & Co. KGaA, offering a wide range of building materials and services.

Why we expect these perspectives ?

The German DIY market is driven by increasing demand for home improvement and renovation, fueled by a growing elderly population and government initiatives promoting energy-efficient renovations. HORNBACH's strong brand presence and wide range of building materials position the company for growth.

Segment nΒ°3 -> Consolidation

Expected Growth : 4.5 %

What the company do ?

Consolidation from HORNBACH Holding AG & Co. KGaA refers to the process of combining financial results of its subsidiaries to present a unified financial picture.

Why we expect these perspectives ?

Consolidation of HORNBACH Holding AG & Co. KGaA's subsidiaries drives growth through improved operational efficiency, enhanced financial transparency, and better resource allocation, leading to a forecast CAGR of 4.5%.

Segment nΒ°4 -> HORNBACH Immobilien AG

Expected Growth : 4.5 %

What the company do ?

HORNBACH Immobilien AG is a real estate company, a subsidiary of HORNBACH Holding AG & Co. KGaA, managing and developing properties for retail and logistics.

Why we expect these perspectives ?

Growing e-commerce demand drives logistics property development, while retail property growth is fueled by omnichannel retailing and urbanization. HORNBACH Immobilien AG's diversified portfolio and strategic locations position it for steady growth.

Hornbach Holding Ag & Co. Kgaa Products

Product Range What is it ?
Building Materials Hornbach offers a wide range of building materials, including lumber, roofing, drywall, and insulation, for construction and renovation projects.
Gardening and Landscaping Hornbach provides a selection of gardening and landscaping products, including plants, fertilizers, and outdoor furniture, for creating and maintaining outdoor spaces.
Kitchen and Bathroom Fittings Hornbach offers a range of kitchen and bathroom fittings, including sinks, faucets, and toilets, for renovation and construction projects.
Decorative and DIY Products Hornbach provides a variety of decorative and DIY products, including paints, wallpapers, and decorative items, for home decoration and renovation.
Tools and Machinery Hornbach offers a range of tools and machinery, including power tools, hand tools, and machinery, for construction, renovation, and DIY projects.
Sanitary and Heating Products Hornbach provides a selection of sanitary and heating products, including boilers, radiators, and pipes, for plumbing and heating systems.

HORNBACH Holding AG & Co. KGaA's Porter Forces

HORNBACH's products are moderately substitutable, as customers can opt for alternative home improvement retailers or online marketplaces. However, HORNBACH's strong brand reputation and wide product range mitigate the threat of substitutes.

HORNBACH's customers have limited bargaining power due to the company's strong market position and wide product range. Additionally, the home improvement market is characterized by a large number of small, independent customers, which further reduces their bargaining power.

HORNBACH's suppliers have moderate bargaining power due to the company's dependence on a few large suppliers for certain products. However, HORNBACH's strong relationships with suppliers and its ability to negotiate prices mitigate the bargaining power of suppliers.

The threat of new entrants is low due to the high barriers to entry in the home improvement market, including the need for significant capital investment and established supply chains. Additionally, HORNBACH's strong brand reputation and market position make it difficult for new entrants to gain traction.

The home improvement market is highly competitive, with several established players competing for market share. HORNBACH faces intense competition from rivals such as Obi, Max Bahr, and Hornbach Baumax, which drives prices down and increases marketing expenses.

Capital Structure

Value
Debt Weight 29.69%
Debt Cost 4.88%
Equity Weight 70.31%
Equity Cost 10.89%
WACC 9.11%
Leverage 42.22%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
WIX.L Wickes Group plc operates as a retailer of home repair, maintenance, and improvement products and services in the United Kingdom. It supports customers home improvements plans through Local Trade, do-it-for-me …
VIC.L Victorian Plumbing Group plc operates as an online retailer of bathroom products and accessories. It offers a range of products to B2C and trade customers with approximately 125 brands, as …
1AT.WA Atal S.A. develops and sells residential building complexes in Poland. The company develops housing estates, and single and multi-family houses. It operates in Gliwice, Katowice, Cracow, Lodz, Wroclaw, Warsaw, Tricity, …
DBC.WA Tire Company Debica S.A. manufactures and sells passenger, commercial, and truck tires under the Debica, Goodyear, Dunlop, Fulda, and Sava brands in Poland. It also offers curing bladders and membranes …
FSKRS.HE Fiskars Oyj Abp manufactures and markets consumer products in Europe, the Americas, and the Asia Pacific. The company operates through Vita, Terra, Crea, and Other segments. It offers various products …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
74.4$
Current Price
74.4$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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