Hermès Stock Falls to Lowest Level Since 2022 Before Rebounding
The Parisian leather goods maker recorded an unprecedented intraday low on Monday since 2022 before recovering to finish in positive territory in a declining Paris market. The trading session illustrates persistent tension on the stock, which remains below its three moving averages and shows a decline of more than 32% over one year.
A Four-Year Low of €1,388 Marked During Trading Despite a Closing Rebound
The Hermès International share touched €1,388 during trading, breaking its previous four-year low of €1,395 reached in 2022, a year marked by the war in Ukraine and rising interest rates. The stock subsequently recovered to close at €1,418, representing a gain of 1.32% compared to Friday's last close of €1,399.50. This rebound occurred in a difficult context for the Paris market, with the CAC 40 finishing down 0.85% at the close of the day, with volatility rising sharply (VIX at 17.28, versus 15.84 on Friday).
Over one month, the stock has declined more than 10%, and its decline over one year exceeds 32%, sustained pressure that notably reflects the impact of unfavorable currency movements reported during the publication of first-half 2026 results on July 29th, where a negative currency effect of more than €360 million had weighed on revenue. The technical configuration remains tense: the price is trading below the 20-day moving average at €1,524.33 (a difference of nearly 7%) and well below the 200-day moving average at €1,797.20, or more than 21% lower. The RSI at 30 is approaching oversold levels, which reflects accumulated selling exhaustion over several weeks, but does not constitute an established reversal signal.
AlphaValue/Baader Raises Its Rating on Hermès and Targets €1,730, Representing 22% Upside Potential
On Monday, AlphaValue/Baader Europe revised its position on the stock in its analyst coverage, moving from a "buy" rating to "accumulate" while significantly lowering its price target from €2,339 to €1,730. Relative to the closing price of €1,418, this target implies theoretical upside potential of approximately 22%. The downward revision of the target reflects a revaluation of the stock in an environment where global luxury faces headwinds: Swiss watch exports to China fell 18.5% year-over-year in July 2026, and Chinese retail sales remain sluggish with near-zero growth.
Hermès, exposed to this region, had noted during the semi-annual publication of July 29th a 4% decline in the Middle East and a decrease in its Perfume and Beauty business at constant exchange rates. In this context, the resistance level identified at €1,644.50 constitutes the first hurdle to overcome before any return to the levels targeted by the brokerage house.
