Hugo Boss AG
BOSS: XETR (DEU)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
€56.00 | Qltxq | Cxdlyxrbp |
Hugo Boss' Sales Growth Should Moderate in Future
Business Strategy and Outlook
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.