Kering stock drops more than 2%
In a slightly negative Paris market this Tuesday, Kering is experiencing a marked decline that places it among the most poorly performing values in the index. The stock remains caught between its three moving averages, in a difficult sector context where signals from China remain mixed.
Kering loses 2.3% during the session and falls below its three key moving averages
Kering is down 2.3% to €248.20 mid-session, while the CAC 40 declines 0.41%. Ranking 36th out of 40 index values, the stock is among the steepest declines in the CAC 40. Over a one-month rolling period, losses reach 12.67%, illustrating sustained deterioration over several weeks. The technical configuration remains clearly bearish.
The price is trading below the 20-day MA at €265.55 (gap of -6.53%), below the 50-day MA at €260.27 (gap of -4.64%) and below the 200-day MA at €267.50 (gap of -7.21%): all three moving averages are simultaneously weighing above the stock, with no sign of reversal visible. The RSI at 44 remains in neutral territory, without signaling any clear selling exhaustion. The support level at €238.80 constitutes the next key bearish reference zone to monitor.
Half-year results under pressure and unfavorable China context for luxury
When H1 2026 results were published on July 29, the half-year accounts revealed a contrasting picture: Group net income fell 60% to €189 million, while Gucci revenue declined 5% on a comparable basis. Non-recurring charges of €223 million (disposals, impairments, restructurings) weighed on profitability. On a more positive note, the sale of Kering Beauty enabled net debt reduction of €4.7 billion, and Kering Jewelry advanced 20% on a comparable basis with current margin up 2.7 percentage points. Management had indicated at that time its intention to return to growth while improving profitability.
The macroeconomic context on the Chinese market complicates matters: jewelry sales in China retreated 10.1% year-over-year in July 2026, according to NBS data, and Swiss watch exports to China fell 16.5% over the same period. At this price level, according to the consensus of analysts surveyed, the stock is trading at approximately 38.8 times expected earnings for the current fiscal year and 24.9 times those of the following fiscal year. The VIX, up 10.53% during the session, furthermore reflects increased nervousness across markets this Tuesday.
