HORNBACH Holding AG and Co KGaA (HAM:HBH) Cash Conversion Cycle Explanation
Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.
Be Aware
CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.
The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.
HORNBACH Holding AG and Co KGaA Cash Conversion Cycle Related Terms
HORNBACH Holding AG and Co KGaA Cash Conversion Cycle Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
HORNBACH Holding AG and Co KGaA Cash Conversion Cycle Chart
HAM:HBH vs HD, LOW, FND: Cash Conversion Cycle Comparison
For the Home Improvement Retail subindustry, HORNBACH Holding AG and Co KGaA's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
HORNBACH Holding AG and Co KGaA Cash Conversion Cycle vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, HORNBACH Holding AG and Co KGaA's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where HORNBACH Holding AG and Co KGaA's Cash Conversion Cycle falls into.
HORNBACH Holding AG and Co KGaA Cash Conversion Cycle Calculation
Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.
Cash Conversion Cycle is one of several measures of management effectiveness.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
HORNBACH Holding AG and Co KGaA (HAM:HBH) has a Cash Conversion Cycle of 55.09 as of May. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on HORNBACH Holding AG and Co KGaA and its competitors.
Is HORNBACH Holding AG and Co KGaA's Cash Conversion Cycle too high?
HORNBACH Holding AG and Co KGaA's current Cash Conversion Cycle is 55.09. The Retail - Cyclical industry median Cash Conversion Cycle is 69.06. HORNBACH Holding AG and Co KGaA's value of 55.09 is 20.2% below this industry median. Overall, HORNBACH Holding AG and Co KGaA has a GF Score™ of 70/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does HORNBACH Holding AG and Co KGaA's Cash Conversion Cycle compare to HD and LOW?
HORNBACH Holding AG and Co KGaA's Cash Conversion Cycle of 55.09 can be compared against companies in the Retail - Cyclical industry. The industry median Cash Conversion Cycle is 69.06. HORNBACH Holding AG and Co KGaA's value of 55.09 is 20.2% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for a Retail - Cyclical company?
The median Cash Conversion Cycle among Retail - Cyclical companies is 69.06, based on 1,122 companies in the industry. Companies in the top quartile (top 25%) have a Cash Conversion Cycle significantly above this median, while those in the bottom quartile fall well below. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. HORNBACH Holding AG and Co KGaA's current Cash Conversion Cycle of 55.09 is 20.2% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on HORNBACH Holding AG and Co KGaA and its competitors. For the Retail - Cyclical industry, the median Cash Conversion Cycle is 69.06 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. HORNBACH Holding AG and Co KGaA's current Cash Conversion Cycle is 55.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is HORNBACH Holding AG and Co KGaA stock overvalued right now?
Based on GuruFocus' analysis, HORNBACH Holding AG and Co KGaA (HAM:HBH) is currently considered Fairly Valued. The stock's GF Value™ is €80.48, compared to a current price of €78.30 — trading 2.7% below its estimated fair value. The current Cash Conversion Cycle is 55.09 and 20.2% below the Retail - Cyclical industry median of 69.06. HORNBACH Holding AG and Co KGaA's overall GF Score™ is 70/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For HORNBACH Holding AG and Co KGaA (HAM:HBH), the current Cash Conversion Cycle is 55.09 as of May. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is HORNBACH Holding AG and Co KGaA (HAM:HBH) Overvalued in 2026?
Based on GuruFocus' analysis, HORNBACH Holding AG and Co KGaA stock appears to be undervalued.
The current stock price of €78.30 is trading 2.7% below its estimated GF Value™ of €80.48.
GuruFocus considers HORNBACH Holding AG and Co KGaA to be Fairly Valued.
Key valuation signals for HAM:HBH:
Cash Conversion Cycle: 55.09
GF Value™: €80.48 vs. price of €78.30 (2.7% below fair value)
Industry Position: 20.2% below the Retail - Cyclical median
No single metric tells the full story. See the HAM:HBH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
HORNBACH Holding AG and Co KGaA Business Description
HORNBACH Holding AG and Co KGaA and its subsidiaries are involved in the business of Retail and Real estate segments. The company's operating segment include HORNBACH Baumarkt subgroup; HORNBACH Baustoff Union GmbH subgroup, and HORNBACH Immobilien AG subgroup. It generates maximum revenue from the HORNBACH Baumarkt subgroup segment. Geographically, it derives a majority of revenue from Germany. Products are structured in the following divisions: Hardware/Electrical, Paint/Wallpaper/Flooring, Construction Materials/Timber/Prefabricated Components, Sanitary/Tiles, and Garden. The company operates in Germany and other European countries.
70GF Score
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