Hermès Shares Drop Nearly 3% and Continue Their Slide, Down 32% Over the Year
Hermès International records the largest decline in the CAC 40 during the session, in a Parisian market trending downwards. The luxury house is intensifying its medium-term downturn as the luxury sector remains under pressure.
Hermès the Laggard of the CAC 40, Luxury Takes Another Hit
Hermès International shares fell by 3.12% to €1,599.00 mid-morning, marking the steepest decline in the CAC 40, which itself fell by 1.06%. The luxury sector followed suit, with LVMH down by 1.56%, Christian Dior by 1.51%, and Kering by 2.06%. The stock thus extends its medium-term slide, with a decline of 22.45% over three months and 32.62% over a year, as the pressure on luxury exposed to China remains unrelenting. The sectoral situation remains rather unfavorable: jewelry and gold sales in China fell by 21.3% year-on-year in April according to the NBS, while the business climate in France significantly worsened, with a composite PMI dropping to 43.5 in May, the lowest since November 2020.
Below All Moving Averages, the €1,571.50 Support Once Again Threatened
Free · Every morning
Technical market signals, before the opening bell.
Bullish and bearish momentum, analyst changes, stocks to watch — automatically computed from Euronext data.
✓ Before 9 AM every morning✓ Euronext data✓ AI-powered analysis
Almost there! Check your inbox.
A confirmation email has been sent. Click the link to confirm your subscription.
An error occurred.
Indicative data. No investment advice. Unsubscribe at any time.
Today's decline brings the price below the 20-day moving average (MM20) of €1,616.88, a gap of 1.11%, after several sessions hovering around this threshold. In the longer term, the outlook remains bleak: the 50-day moving average (MM50) is at €1,674.63, approximately 4.5% above the current price, and the 200-day moving average (MM200) peaks at €1,995.24, nearly 20% higher. The RSI at 51 indicates a market without strong directional bias in the short term, but the stock is now approaching its support at €1,571.50, which was briefly breached on May 20th, dropping to a low of €1,563.50. Based on the earnings per share expected by analysts, the stock is trading at about 35.8 times the earnings for the current fiscal year according to the consensus of surveyed analysts. During the announcement of the annual results for 2025 on February 11, 2026, Hermès confirmed an ambitious target for medium-term constant-rate revenue growth. The behavior of the price around €1,571.50 will be a technical benchmark for the upcoming sessions.
Le modèle Hermès, fondé sur une distribution exclusive et qualitative, a une nouvelle fois porté ses fruits. Hermès aborde l’année 2026 avec confiance.
Résultats annuels 2025 solides: chiffre d’affaires de 16 002 millions d’euros, croissance à taux constants de 8,9 % et croissance à taux courants de 5,5 %. Résultat opérationnel courant de 6 569 millions d’euros (41,0 % du chiffre d’affaires) et résultat net de 4 524 millions d’euros. Cash flow disponible ajusté de 3 880 millions d’euros; trésorerie nette retraitée à 12 773 millions d’euros. Propositions de dividendes et actions nouvelles pour 2026, avec un accent sur le développement et l’emploi.
Outlook / guidance
Expected revenue: Le chiffre d’affaires 2026 est attendu en progression à taux constants sans chiffre précis communiqué.
Expected EBITDA: Non précisé dans le communiqué.
Expected net income: Non précisé dans le communiqué.
Management commentary: Perspectives positives pour 2026, grâce au modèle d’entreprise intégré et à la fidélité de la clientèle, malgré un contexte économique et géopolitique incertain.
The information presented in this article is provided for informational purposes only and does not constitute an investment recommendation, an incentive to buy or sell a financial asset, or investment advice. Readers are invited to conduct their own research before making any decision.
Investments in the stock market involve risks, including the risk of capital loss. Past performance of an asset or market is no guarantee of future results. Any investment decision should be made taking into account your personal financial situation, objectives and risk tolerance.
