Hermès Share Breaks Through 1,262.50 € Support Level and Falls 2.5%
The Parisian leather goods maker extends its decline following its activity publication, in a CAC 40 also oriented downwards. Two research firms have just revised their targets, adding further pressure on a security already distant from its moving averages.
The Security Breaks Through the 1,262.50 € Floor and Remains Far From Its Moving Averages
Hermès share falls 2.33% to 1,259.50 € during the session and drops below 1,262.50 €, the lowest in the last 30, 150 and 250 trading sessions. This threshold, broken downward, now becomes a resistance level. The security ranks among the CAC 40's strongest declines, in an index retreating 0.82%.
The decline fits into a longer trend: the price is below its 20-day MA (gap of 3.92%) as well as its 200-day MA (24.92%). It has lost 25% over three months and nearly 43% over one year. The RSI at 35 remains close to the oversold zone without entering it, which describes a security that is weakening without excessive selling pressure.
UBS and RBC Lower Their Targets Following Slower-Paced Sales
Two revisions came out today. UBS lowers its target from 1,168 € to 1,150 € and remains on a sell rating. RBC Capital reduces its target from 1,600 € to 1,500 € with a sector perform rating. Compared to today's price, UBS's target is approximately 9% below current levels, while RBC's is nearly 19% above.
These revisions follow figures published on October 22: growth reduced to 4.3% in the third quarter, compared to 6.1% in the first half, with leather goods up 10.8% and Asia-Pacific excluding Japan stable at constant rates. Luxury groups are impacted during the session: LVMH loses 1.08%, Christian Dior 1.22% and Kering 11.78%. For reference, the analyst consensus remains to be monitored following these two adjustments.
