LVMH stock rebounds over 2% and targets the top of the CAC 40

A 2.1% rebound that fits within a well-oriented CAC 40 at mid-session

LVMH gains 2.1% to €456.80 during the session, after closing the previous day at €447.40. The stock is among the strongest gainers in the CAC 40, in an index that advances 0.97% at midday. This rebound mitigates a monthly decline of 2.14% and only partially offsets the 5.61% decline over three months. The stock nevertheless remains below its three moving averages.

The 20-day moving average at €464.47 sits 1.65% above the current price, while the 50-day moving average at €476.89 is further away, at approximately 4.2% above. The RSI at 40 remains in neutral territory, without any clear oversold signal. The support level at €443.10 is not under immediate threat, while the resistance at €495.10 represents a gap of nearly 8% compared to today's price.

BofA maintains buy rating on LVMH but lowers target to €640, representing 40% upside potential

BofA Securities revised its price target on LVMH on August 27, reducing it from €660 to €640, while maintaining a buy rating. At the current price of €456.80, this target represents theoretical upside potential of nearly 40%. The downward revision of the target comes in a context where second-quarter 2026 results, published on July 27, had highlighted margin pressures in the Fashion and Leather Goods division linked to foreign exchange effects, as well as a 1% organic decline in the Perfumes and Cosmetics division.

Conversely, the Watches and Jewelry divisions (+11% organic) and Selective Distribution (+6%, driven by Sephora) had shown notable acceleration. The group had then indicated it was approaching the second half "with renewed confidence in the long-term potential of its Houses, while maintaining the utmost attention to margin management". It should be noted that Swiss watch exports to China fell 16.5% year-on-year, an environment that weighs on the entire luxury sector exposed to this geography.