Christian Dior (CDI) AI Stock Analysis

• Market Cap: €77.94B
• Dividend Yield: 2.33%
• Average Volume (3M): 3.51K
• Price to Earnings (P/E): 23.7
• Beta (1Y): 1.33
• Revenue Growth: -3.24%
• EPS Growth: -21.65%
• Country: FR
• Employees: 195,831
• Sector: General
• Sector Strength: N/A
• Industry: Luxury Goods
• EPS (TTM): 11.97
• Shares Outstanding: 180,507,520
• 10 Day Avg. Volume: 3,346
• 30 Day Avg. Volume: 3,514
• PEG Ratio: -1.82
• Price to Book (P/B): 4.38
• Price to Sales (P/S): 1.33
• P/FCF Ratio: 7.51
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: €462.00 ▼(-23.19% Downside)
• Action: Reiterated Date: 01/29/26
• Date: Action: Reiterated 01/29/26

The score is primarily supported by strong profitability and robust operating/free cash flow, but is held back by elevated leverage and a recent slowdown in revenue and net margin. Technicals are currently weak (below key moving averages with negative MACD), while valuation remains moderately premium with only partial support from the dividend yield.

Positive Factors

Strong cash generation

Sustained high operating and free cash flow provides a durable financial buffer. Over time this cash generation underpins dividend capacity, funds reinvestment in brand and retail, services debt, and allows strategic M&A or buybacks even if top-line growth softens.

Premium, durable margins

Very high gross and healthy operating margins reflect strong brand pricing power and vertical control of distribution. Those structural margins support profitability through cycles, making earnings less sensitive to modest revenue dips and preserving cash flow generation long term.

Diversified luxury exposure via LVMH stake

Holding a controlling stake in LVMH ties the company to a broad portfolio of top-tier luxury brands and global distribution. This diversification across categories and geographies reduces single-market risk and creates multiple durable cash and dividend sources over time.

Negative Factors

Elevated leverage

A materially debt-heavy capital structure reduces financial flexibility and raises interest and refinancing risk if revenue stagnates. High leverage limits the company's ability to pursue opportunistic investments, accelerates the need for cash generation to service debt, and pressures capital allocation choices.

Revenue decline and margin compression

A multi-year revenue slowdown alongside falling net margins signals weaker end-demand and margin pressure. If persistent, this trend can erode earnings power and limit the firm's ability to sustain payouts or discretionary marketing/retail investment that support long-term brand strength.

Slipping free-cash-flow conversion

Declining FCF growth and lower cash conversion reduce the firm's capacity to pay down debt, invest, or return capital. Over time weaker conversion increases reliance on operating performance to meet obligations, amplifying the impact of any further revenue or margin weakness on financial flexibility.

Christian Dior Business Overview & Revenue Model

Company Description

Christian Dior SE, through its subsidiaries, engages in the production, distribution, and retail of fashion and leather goods, wines and spirits, perfumes and cosmetics, and watches and jewelry worldwide. The company offers its fashion and leather goods under the Louis Vuitton, Christian Dior Couture, Loewe, Marc Jacobs, Celine, Kenzo, Givenchy, Pink Shirtmaker, Emilio Pucci, Berluti, Loro Piana, Rimowa brand names; wines and spirits under the Hennessy, Glenmorangie, Ardbeg, a Belvedere, Volcán de mi Tierra, Moët & Chandon, Dom Pérignon, Veuve Clicquot, Krug, Château d'Yquem, Ruinart, Belvedere, Glenmorangie, Newton Vineyards, Bodega Numanthia, and Château d'Esclans brand names; and perfumes and cosmetics under the Parfums Christian Dior, Guerlain, Parfums Givenchy, Make Up For Ever, Benefit Cosmetics, Fresh, Acqua di Parma, KVD Vegan Beauty, Fenty, Ole Henriksen, and Maison Francis Kurkdjian brand names. It also provides watches and jewelry under the Tiffany, Bvlgari, TAG Heuer, Zenith, Hublot, Chaumet, and Fred brand names. In addition, the company operates retail stores under the DFS Galleria, Sephora, Le Bon Marché, and Ile de Beauté names; publishes Le Parisien- Aujourd'hui en France, a daily newspaper; designs and builds yachts; and operates the Cova pastry shops. Further, it is involved in real estate activities under the La Samaritaine brand name; and hotel business. The company sells its products through store network, including e-commerce websites; and agents and distributors. As of December 31, 2021, it operated 5,556 stores. The company was incorporated in 1946 and is headquartered in Paris, France. Christian Dior SE was formerly a subsidiary of Semyrhamis SA.

How the Company Makes Money

Christian Dior SE primarily makes money through (1) dividends and other returns on its controlling equity stake in LVMH and (2) changes in the value of that stake, which influence reported results (e.g., through consolidated or equity-accounted financial statements depending on the period and structure). In practice, the underlying cash-generating engine is LVMH’s operating businesses: (a) Fashion & Leather Goods—sales of luxury apparel, handbags, small leather goods, shoes and accessories sold through directly operated boutiques, e-commerce, and select wholesale; (b) Perfumes & Cosmetics—sales of fragrances, cosmetics and skincare through owned stores, department stores, travel retail and online; (c) Watches & Jewelry—sales of timepieces and jewelry via boutiques and authorized retailers; (d) Wines & Spirits—sales of champagne, cognac, and other spirits through global distribution and hospitality channels; and (e) Selective Retailing/other activities—revenue from luxury retail networks (including duty-free and beauty retail), plus smaller contributions from other luxury-related operations. Key factors that support earnings include premium pricing tied to brand equity, vertical integration and control of retail distribution (which supports margins), global tourism and local demand in major luxury markets, and ongoing marketing/creative investment. Specific material partnerships at the Christian Dior SE level are null.

Christian Dior Financial Statement Overview

Summary

High-quality profitability and strong, durable cash generation support the score, but recent revenue declines and net margin compression signal cooling demand. Elevated leverage meaningfully reduces flexibility in a softer growth environment.

Income Statement

Christian Dior shows strong, premium profitability with consistently high gross margins (~64%–69%) and solid operating margins (EBIT margin ~17%–27%) across the cycle. However, growth has turned negative recently: revenue slipped slightly in 2024 and declined further in 2025, alongside lower net margin (down to ~5.6% in 2025 from ~7.3% in 2022–2023). Earnings remain healthy, but the near-term trajectory points to moderating demand and some margin pressure versus peak years.

Balance Sheet

Leverage is the key constraint. Debt-to-equity is elevated in most years (roughly ~1.7x–2.2x recently, and notably higher in 2022 and 2020), which reduces balance-sheet flexibility if the slowdown persists. On the positive side, profitability on equity is strong (mid-to-high teens recently, higher in earlier years), and the company operates with a large asset base. Overall, the balance sheet is serviceable for a high-quality luxury group, but the capital structure is meaningfully debt-heavy.

Cash Flow

Cash generation is a clear strength: operating cash flow is large and stable (~€18–19B in 2021–2025), and free cash flow remains robust (over €10B annually since 2021). That said, free cash flow growth is negative in several recent periods (including 2025), and cash conversion shows some slippage, with free cash flow running below net income in the latest year (free cash flow to net income ~0.76 in 2025). Still, overall cash-flow capacity provides a solid buffer despite softer growth.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	80.81B	84.68B	86.15B	79.18B	64.22B
Gross Profit	53.53B	56.77B	59.28B	54.20B	43.86B
EBITDA	25.52B	23.44B	25.14B	23.22B	23.27B
Net Income	4.53B	5.21B	6.30B	5.80B	4.95B
Balance Sheet
Total Assets	139.22B	146.34B	140.87B	131.95B	122.36B
Cash, Cash Equivalents and Short-Term Investments	8.94B	13.77B	11.48B	11.23B	10.67B
Total Debt	49.76B	40.79B	38.46B	35.16B	34.85B
Total Liabilities	72.69B	79.49B	80.58B	77.64B	75.99B
Stockholders Equity	24.53B	24.29B	21.53B	19.04B	15.37B
Cash Flow
Free Cash Flow	14.31B	13.39B	10.59B	12.86B	15.39B
Operating Cash Flow	18.88B	18.92B	18.40B	17.83B	18.65B
Investing Cash Flow	-7.61B	-6.54B	-8.31B	-5.92B	-17.11B
Financing Cash Flow	-11.92B	-10.73B	-9.54B	-12.49B	-14.32B

Christian Dior Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 601.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:CDI, the sentiment is Negative. The current price of 601.5 is above the 20-day moving average (MA) of 482.02, above the 50-day MA of 509.86, and above the 200-day MA of 508.22, indicating a bearish trend. The MACD of -20.11 indicates Positive momentum. The RSI at 22.30 is Positive, neither overbought nor oversold. The STOCH value of 3.88 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:CDI.

Christian Dior Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RMS	68 Neutral	$173.29B	49.17	25.52%	1.24%	10.31%	0.54%
ITP	65 Neutral	€1.87B	15.96	20.31%	3.66%	9.68%	19.46%
CDI	64 Neutral	€77.94B	23.71	19.54%	2.33%	-3.24%	-21.65%
MC	63 Neutral	€227.64B	29.51	16.39%	2.06%	-3.24%	-21.24%
EL	61 Neutral	€89.99B	53.52	6.19%	1.46%	5.45%	2.86%
Sector *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
KER	48 Neutral	€28.70B	-23.01	0.49%	2.03%	-14.56%	-64.91%