# Hera (HER.MI)

Canonical: https://gigainvestors.com/s/HER.MI

Analysis as of: 2026-10-16T07:37:02.179Z. Financial observations: FY2015–FY2026.

Listing currency: EUR. Reporting currency: EUR.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: EUR 3.50 per share; close as of 2026-10-14.

## Checklist

### understandable: pass

- 4 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 4

- Years with a net loss: 0

- Operating margin variation: 0.26×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.09×

- FY2018: 0.08×

- FY2019: 0.08×

- FY2020: 0.08×

- FY2021: 0.06×

- FY2022: 0.03×

- FY2023: 0.05×

- FY2024: 0.06×

- FY2025: 0.06×

- LTM to Jun 2026: 0.06×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 8.2%

- ROIC, second-lowest year: 6.7%

- Typical minus recent gross margin: -16.0 pp

- Typical gross margin (annual median): 24.0%

- Recent gross margin (lower of latest and 3-year median): 40.0%

- Years with nonpositive capital: 0

- Capital spending / revenue: 5.4%

- ROIC including acquisitions, ten-year median: 4.1%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 6.7%

- FY2017: 7.8%

- FY2018: 7.5%

- FY2019: 8.7%

- FY2020: 8.4%

- FY2021: 11.6%

- FY2022: 6.3%

- FY2023: 10.3%

- FY2024: 9.7%

- FY2025: 8.0%

### economics: fail

- owner earnings cash conversion below threshold

- Owner earnings / net income, 5-yr: 0.44×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: EUR 873M

- Net income, five-year total: EUR 2.0B

- Return on incremental invested capital: 26.4%

- Working capital / revenue, annual change: -0.9 pp

- Working capital / revenue, change between three-year averages: -6.1 pp

- Working capital / revenue, final three-year average: 6.6%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 0.94×

- FY2022: 0.94×

- FY2023: 0.29×

- FY2024: 0.37×

- FY2025: 0.02×

### management: pass

- Historical market-dollar context (not the management verdict): 2017 to 2025 (8 years)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 7.5% vs 9.7%

- Per-share earnings: 0.26 to 0.32 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: 0.1%

- Market cap gain: EUR 1.6B

- Cumulative retained earnings: EUR 213M

- Diluted shares, 5-year annual growth: 0.1%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 3.3%

- Per-share value change: EUR 0.06

- Per-share value, starting three-year median: EUR 0.26

- Per-share value, ending three-year median: EUR 0.32

- Buybacks concentrated in cheaper years (correlation): 0.40

- Average buyback yield: 1.4%

- Buyback history: 4 years

- Debt-funded buybacks: No

- Acquisition spending: EUR 1.9B

- Cumulative net income, 10 years: EUR 3.4B

- ROIC, first three-year median: 7.5%

- ROIC, last three-year median: 9.7%

Chart: Earnings per share; fiscal year observations.

- FY2017: EUR 0.17

- FY2018: EUR 0.82

- FY2019: EUR 0.26

- FY2020: EUR 0.21

- FY2021: EUR 0.23

- FY2022: EUR 0.18

- FY2023: EUR 0.30

- FY2024: EUR 0.34

- FY2025: EUR 0.32

### accounting: pass

- Sloan accruals: -5.4%

- Receivables to sales index (DSRI): 0.83×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 2.64×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 1.52×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -5.5%

- FY2017: -5.7%

- FY2018: -3.7%

- FY2019: -3.3%

- FY2020: -5.3%

- FY2021: -5.1%

- FY2022: 1.3%

- FY2023: -7.5%

- FY2024: -2.4%

- FY2025: -5.4%

## Holders

## Price story

Down 21% since Feb 2026 · sales -1%

Story as of 2026-10-16T10:00:08.526Z; price observation 2026-10-14.

### Sales · FY2025–2026

sales -1%; source https://filings.xbrl.org/8156009414FD99443B48/2025-12-31/ESEF/IT/0/heraspa-2025-12-31-it/reports/heraspa-2025-12-31-it.xhtml; observed 2026-04-09.

- FY2017: EUR 5.6B 

- FY2018: EUR 6.1B 

- FY2019: EUR 6.9B 

- FY2020: EUR 7.1B 

- FY2021: EUR 11B 

- FY2022: EUR 20B 

- FY2023: EUR 15B 

- FY2024: EUR 13B 

- FY2025: EUR 13B 

- FY2026: EUR 13B 

### Gross margin · FY2025

gross margin 40%; source https://filings.xbrl.org/8156009414FD99443B48/2025-12-31/ESEF/IT/0/heraspa-2025-12-31-it/reports/heraspa-2025-12-31-it.xhtml; observed 2026-04-09.

- FY2016: 31.5% 

- FY2017: 36.4% 

- FY2018: 18.8% 

- FY2019: 17.0% 

- FY2020: 18.2% 

- FY2021: 17.5% 

- FY2022: 12.8% 

- FY2023: 29.3% 

- FY2024: 41.7% 

- FY2025: 40.0% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in utilities diversified; annual sales are EUR 12.8 billion.

- Source: https://filings.xbrl.org/8156009414FD99443B48/2025-12-31/ESEF/IT/0/heraspa-2025-12-31-it.json (filed 2026-04-09); FY2025: revenue 12812200000; grossProfit 5126400000; margin = grossProfit / revenue.

### Why customers stay

Margins ranged from 29.3% to 41.7% during 2023–25; it earns 8.2% on its capital.

- Source: https://eodhd.com/api/fundamentals/HE9.F.json#2023-12-31 (filed 2026-04-09); FY2023: grossProfit / revenue = 29.3%.

- Source: https://eodhd.com/api/fundamentals/HE9.F.json#2024-12-31 (filed 2026-04-09); FY2024: grossProfit / revenue = 41.7%.

- Source: https://eodhd.com/api/fundamentals/HE9.F.json#2025-12-31 (filed 2026-04-09); FY2025: grossProfit / revenue = 40%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-09); 10-year return on capital observations [[2016,0.06679420228072046],[2017,0.0781634190953741],[2018,0.07486695093571243],[2019,0.08656307615012186],[2020,0.0839320214902254],[2021,0.11623478462284978],[2022,0.06337675989756003],[2023,0.10308061632646509],[2024,0.09703279547197838],[2025,0.07957667239167385]]; median 0.08175434694094963. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Earns 26.4% on new investment; paid dividends in 10 of 10 years.

- Source: https://eodhd.com/api/fundamentals/HE9.F.json#2016-12-31 (filed 2026-04-09); FY2016: growth capex 0; upkeep 384400000; owner earnings 169000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/api/fundamentals/HE9.F.json#2017-12-31 (filed 2026-04-09); FY2017: growth capex 0; upkeep 150300000; owner earnings 604500000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/api/fundamentals/HE9.F.json#2018-12-31 (filed 2026-04-09); FY2018: growth capex 0; upkeep 159200000; owner earnings 462300000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/api/fundamentals/HE9.F.json#2019-12-31 (filed 2026-04-09); FY2019: growth capex 0; upkeep 164200000; owner earnings 636100000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-09); FY2020: growth capex 47705682.75300759; upkeep 458694317.2469924; owner earnings 282165682.7530076. Growth capex / owner earnings = 0.1690697546475435.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-09); FY2021: growth capex 118800000; upkeep 469900000; owner earnings 314180000. Growth capex / owner earnings = 0.378127188236043.

- Source: https://eodhd.com/api/fundamentals/HE9.F.json#2022-12-31 (filed 2026-04-09); FY2022: growth capex 232400000; upkeep 477100000; cash acquisitions 53300000; owner earnings 239920000. Growth capex plus acquisitions / owner earnings = 1.190813604534845.

- Source: https://eodhd.com/api/fundamentals/HE9.F.json#2023-12-31 (filed 2026-04-09); FY2023: growth capex 0; upkeep 815800000; cash acquisitions 76200000; owner earnings 128640000. Growth capex plus acquisitions / owner earnings = 0.5923507462686567.

- Source: https://eodhd.com/api/fundamentals/HE9.F.json#2024-12-31 (filed 2026-04-09); FY2024: growth capex 0; upkeep 860300000; cash acquisitions 33500000; owner earnings 180780000. Growth capex plus acquisitions / owner earnings = 0.18530810930412656.

- Source: https://eodhd.com/api/fundamentals/HE9.F.json#2025-12-31 (filed 2026-04-09); FY2025: growth capex 0; upkeep 1027900000; cash acquisitions 25100000; owner earnings 9340000. Growth capex plus acquisitions / owner earnings = 2.6873661670235545.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-09); Incremental return on capital 0.26430664538672655, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-09); Dividend observations: [[2016,145400000],[2017,132900000],[2018,140000000],[2019,150100000],[2020,163300000],[2021,193000000],[2022,219500000],[2023,239100000],[2024,248800000],[2025,274300000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://filings.xbrl.org/8156009414FD99443B48/2025-12-31/ESEF/IT/0/heraspa-2025-12-31-it.json (filed 2026-04-09); FY2025: cash repurchases 148100000 EUR.

### What the price says

The price is 0.4 times annual sales.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-09); Closing price 3.496000051498413 EUR; reporting-to-trading FX 1; FY2025 annual sales per share 8.747506782711016; price multiple 0.3996567408679319. FY2025 cash earnings/share 0.006376868402813013. Closing-price date 2026-10-14.

## Monthly share-price history (EUR per share)

- 2016-11: EUR 1.96 per share

- 2016-12: EUR 2.19 per share

- 2017-01: EUR 2.16 per share

- 2017-02: EUR 2.34 per share

- 2017-03: EUR 2.61 per share

- 2017-04: EUR 2.63 per share

- 2017-05: EUR 2.93 per share

- 2017-06: EUR 2.68 per share

- 2017-07: EUR 2.73 per share

- 2017-08: EUR 2.69 per share

- 2017-09: EUR 2.66 per share

- 2017-10: EUR 2.76 per share

- 2017-11: EUR 3.02 per share

- 2017-12: EUR 2.91 per share

- 2018-01: EUR 2.94 per share

- 2018-02: EUR 2.80 per share

- 2018-03: EUR 2.97 per share

- 2018-04: EUR 3.07 per share

- 2018-05: EUR 2.65 per share

- 2018-06: EUR 2.67 per share

- 2018-07: EUR 2.84 per share

- 2018-08: EUR 2.70 per share

- 2018-09: EUR 2.68 per share

- 2018-10: EUR 2.44 per share

- 2018-11: EUR 2.43 per share

- 2018-12: EUR 2.66 per share

- 2019-01: EUR 2.95 per share

- 2019-02: EUR 2.93 per share

- 2019-03: EUR 3.22 per share

- 2019-04: EUR 3.17 per share

- 2019-05: EUR 3.25 per share

- 2019-06: EUR 3.36 per share

- 2019-07: EUR 3.37 per share

- 2019-08: EUR 3.63 per share

- 2019-09: EUR 3.77 per share

- 2019-10: EUR 3.84 per share

- 2019-11: EUR 4.00 per share

- 2019-12: EUR 3.90 per share

- 2020-01: EUR 4.10 per share

- 2020-02: EUR 3.88 per share

- 2020-03: EUR 3.27 per share

- 2020-04: EUR 3.38 per share

- 2020-05: EUR 3.45 per share

- 2020-06: EUR 3.35 per share

- 2020-07: EUR 3.27 per share

- 2020-08: EUR 3.20 per share

- 2020-09: EUR 3.15 per share

- 2020-10: EUR 2.70 per share

- 2020-11: EUR 3.06 per share

- 2020-12: EUR 2.98 per share

- 2021-01: EUR 2.88 per share

- 2021-02: EUR 2.95 per share

- 2021-03: EUR 3.27 per share

- 2021-04: EUR 3.35 per share

- 2021-05: EUR 3.49 per share

- 2021-06: EUR 3.48 per share

- 2021-07: EUR 3.59 per share

- 2021-08: EUR 3.66 per share

- 2021-09: EUR 3.54 per share

- 2021-10: EUR 3.54 per share

- 2021-11: EUR 3.40 per share

- 2021-12: EUR 3.66 per share

- 2022-01: EUR 3.68 per share

- 2022-02: EUR 3.46 per share

- 2022-03: EUR 3.35 per share

- 2022-04: EUR 3.56 per share

- 2022-05: EUR 3.46 per share

- 2022-06: EUR 2.76 per share

- 2022-07: EUR 2.80 per share

- 2022-08: EUR 2.50 per share

- 2022-09: EUR 2.19 per share

- 2022-10: EUR 2.41 per share

- 2022-11: EUR 2.64 per share

- 2022-12: EUR 2.52 per share

- 2023-01: EUR 2.63 per share

- 2023-02: EUR 2.52 per share

- 2023-03: EUR 2.60 per share

- 2023-04: EUR 2.82 per share

- 2023-05: EUR 2.92 per share

- 2023-06: EUR 2.72 per share

- 2023-07: EUR 2.82 per share

- 2023-08: EUR 2.80 per share

- 2023-09: EUR 2.59 per share

- 2023-10: EUR 2.65 per share

- 2023-11: EUR 2.90 per share

- 2023-12: EUR 2.97 per share

- 2024-01: EUR 3.27 per share

- 2024-02: EUR 3.20 per share

- 2024-03: EUR 3.27 per share

- 2024-04: EUR 3.39 per share

- 2024-05: EUR 3.39 per share

- 2024-06: EUR 3.19 per share

- 2024-07: EUR 3.38 per share

- 2024-08: EUR 3.48 per share

- 2024-09: EUR 3.58 per share

- 2024-10: EUR 3.52 per share

- 2024-11: EUR 3.51 per share

- 2024-12: EUR 3.43 per share

- 2025-01: EUR 3.54 per share

- 2025-02: EUR 3.74 per share

- 2025-03: EUR 4.00 per share

- 2025-04: EUR 4.17 per share

- 2025-05: EUR 4.37 per share

- 2025-06: EUR 4.10 per share

- 2025-07: EUR 3.75 per share

- 2025-08: EUR 3.67 per share

- 2025-09: EUR 3.83 per share

- 2025-10: EUR 3.89 per share

- 2025-11: EUR 4.12 per share

- 2025-12: EUR 4.02 per share

- 2026-01: EUR 4.17 per share

- 2026-02: EUR 4.43 per share

- 2026-03: EUR 3.97 per share

- 2026-04: EUR 4.02 per share

- 2026-05: EUR 3.86 per share

- 2026-06: EUR 3.65 per share

- 2026-07: EUR 3.79 per share

- 2026-08: EUR 3.81 per share

- 2026-09: EUR 3.54 per share

- 2026-10: EUR 3.52 per share

## Annual estimated value (EUR per share)

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:42:45.730Z where newer inputs omit a numeric field or fiscal period.

## Sources

[Original ESEF filing](https://filings.xbrl.org/8156009414FD99443B48/2025-12-31/ESEF/IT/0/heraspa-2025-12-31-it/reports/heraspa-2025-12-31-it.xhtml); period 2025-12-31, filed 2026-04-09.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.