Hermes International: Strong Market Position and Growth Potential Justify Buy Rating

Mavis Hui, an analyst from DBS, maintained the Buy rating on Hermes International (HESAF – Research Report). The associated price target is €2,950.00.

Mavis Hui has given his Buy rating due to a combination of factors that highlight Hermes International’s strong market position and growth potential. The company reported a robust 9% year-over-year revenue increase in the first quarter of 2025, with significant contributions from its core divisions such as leather goods and saddlery, which grew by 10%. This growth was observed across all geographical regions, demonstrating Hermes’ ability to thrive even in a challenging global economic and geopolitical environment.
Furthermore, Hermes’ commitment to quality and creativity, along with its exceptional craftsmanship and exclusive product offerings, solidifies its prestigious brand image. The company’s strategy of limited production enhances the exclusivity and desirability of its products, fostering a loyal customer base. Despite potential risks such as supply chain disruptions and unfavorable forex impacts, Hermes remains confident in its medium-term outlook, aiming for ambitious organic revenue growth by leveraging its artisanal model and strong distribution network.

In another report released yesterday, Bernstein also assigned a Buy rating to the stock with a €2,800.00 price target.