LVMH stock nearing its 6-year low, -21.5% over the quarter
The luxury giant is losing ground in mid-afternoon trading, with the CAC 40 also heading lower. The stock remains below its three moving averages, while its two comparable peers in the sector are not following the same downward trend.
A daily decline that extends a 21.74% slide over three months
The LVMH stock loses 0.65% to €387.45, while the CAC 40 falls 0.67%. The movement is modest, but it adds to a severely weakened quarter (-21.74%), when the past week ended with a gain of 0.77%. The price is 0.60% below the 20-day moving average (€389.80), 7.61% below the 50-day moving average and 19.51% below the 200-day moving average, placing the stock far from its medium-term averages. The support at €379.50, broken on October 13, led to a six-year low a few days later.
The stock has since moved away from it by approximately 2%. Among comparable stocks, Kering gains 0.44% and Hermès loses 0.56%, with no overall sector movement. Over one month, Kering is down 7.34%, Hermès down 0.15% and LVMH down 3.81%.
Third quarter sales up 1% that failed to reverse the trend
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Published on October 12, the figures for the first nine months show a group at €57.1 billion in sales, down 2% on a reported basis and up 2% on a constant scope and exchange basis. For the third quarter alone, organic growth stands at 1%. The company cites slowing demand in China for fashion and leather goods, a negative currency impact of 3% over the period, and growth drivers in watches and jewelry (+8% organically) as well as at Sephora.
On the technical side, the MACD remains negative at -7.12 but its histogram at +2.93 shows selling pressure easing, with an RSI at 41.5, in neutral territory. The next target level on the upside is resistance at €426.55, or approximately 10% above the current price.
LVMH will draw on its powerful brands and the talent of its teams to reinforce its global leadership position in luxury goods once again in 2026
Risks mentioned
Uncertain geopolitical and economic environment affecting global business activity
Slowdown in demand in China impacting Fashion & Leather Goods segment
Market sensitivity to exchange rate fluctuations (negative 3% impact in 9M 2026)
Opportunities identified
Continued growth in Watches & Jewelry with 8% organic growth driven by strong jewelry performance
Strong performance of Sephora in Selective Retailing with market share gains and network expansion
Recovery in Wines & Spirits champagne business and good momentum in Asia for Hennessy cognac
Outlook / guidance
Management commentary: LVMH will draw on its powerful brands and the talent of its teams to reinforce its global leadership position in luxury goods once again in 2026. Despite an economic and geopolitical environment that remains uncertain, the Group remains confident and will maintain a strategy focused on continuously enhancing the desirability of its brands.
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.