LVMH Shares Drop Nearly 2% Falling Below MM20, Dragged Down by Luxury Sector
The world's leading luxury company erases part of its June rebound and ranks at the bottom of the CAC 40 mid-session this Tuesday. The movement occurs as the Parisian luxury compartment is heavily shaken, with Kering falling more than 5%. The session contrasts with the upward trend of the flagship index.
LVMH Stock Falls Below Its MM20 and Is Among the Worst Declines in the CAC 40
LVMH stock loses 1.86% at €483.15 at midday, while the CAC 40 advances by 0.26% to 8,388.82 points. The stock is among the largest declines in the index, following a pressured luxury sector with Kering down 5.55% and Hermès down 1.33%. The decline erases part of the June rebound, which had pushed the value above €492 last week, as mentioned in the session of June 24. Regarding indicators, the price has fallen below its MM20 (€492.15, gap -1.83%) but remains above its MM50 at €477.01, which becomes the first short-term technical support. The RSI at 51 remains neutral and sends no exhaustion signals, while the MM200 at €542.50 remains more than 10% away, setting a medium-term ceiling. The weekly performance is almost null (+0.37%), after a gain of 2.14% over the month.
Luxury Market Conditions in China and Sectorial Arbitrages in the Background
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Today's decline is part of an ongoing poor situation for luxury in China: retail sales of jewelry and gold fell by 8.9% year-on-year in May 2026 according to the NBS, and French exports of wines and spirits decreased by 4% in value in the 2024 review (FEVS). In watchmaking, Swiss shipments to mainland China rebounded by 17.1% and by 13.5% to Hong Kong, but the global aggregate still fell by 16.6%, signaling fragile global demand. In Sintra, Christine Lagarde defended one of the ECB's recent rate hikes, raised to 2.25%, with eurozone inflation remaining at 3.2% in May, a rate environment that traditionally weighs on the multiples of growth stocks. The technical support to watch remains fixed at €460.85, a level that bounds the bottom of the consolidation channel observed since spring. The resistance at €520.30 constitutes the upper horizon of the same range. The next concrete appointment for the stock will be the publication of the half-year results, traditionally expected at the end of July.
« LVMH démontre sa solidité et l'efficacité de sa stratégie. »
Le premier semestre 2026 affiche des ventes de 38 644 M€, en recul publié de 3 % mais en croissance organique de 2 %, avec une accélération au deuxième trimestre (+3 % en organique, +4 % hors impact du conflit au Moyen-Orient). Le résultat opérationnel courant atteint 8 691 M€ pour une marge de 22,5 % et le résultat net part du Groupe est stable à 5 697 M€. La dette financière nette recule de 19 % à 8 245 M€ et le cash-flow disponible d'exploitation progresse de 2 % à 4 100 M€. Les États-Unis accélèrent, l'Asie hors Japon progresse fortement, effet de change de -5 % et effet périmètre de -1 %.
Risks mentioned
Contexte géopolitique et économique perturbé, amplifié par le conflit au Moyen-Orient
Effet de change négatif de -5 % pesant sur les ventes et le résultat opérationnel
Effet périmètre défavorable de -1 % lié aux cessions (DFS, Marc Jacobs)
Ventes Mode et Maroquinerie en recul de 5 % en publié sur le semestre
Opportunities identified
Succès des premières créations de Jonathan Anderson pour Christian Dior
Nouveaux flagships Louis Vuitton de Pékin et Séoul aux excellents résultats
Accélération de Montres et Joaillerie : Tiffany et Bvlgari, record de ventes Eclettica
Reprise du Champagne et du Cognac, bonne dynamique de Hennessy en Chine
Sephora gagne des parts de marché et s'implante en Belgique et en Croatie
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