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Kering SA (FR:KER)
:KER
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Kering SA (KER) AI Stock Analysis

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FR:KER

Kering SA

(KER)

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Neutral 68 (OpenAI - 4o)
Rating:68Neutral
Price Target:
€376.00
▲(14.67% Upside)
Kering SA's overall stock score is driven primarily by its strong technical analysis, indicating bullish momentum despite overbought signals. Financial performance is stable but shows pressure on profitability margins. The valuation suggests the stock may be overvalued, which tempers the overall score.
Positive Factors
Strategic Partnership
The partnership with L’Oreal enhances Kering's market reach and product offerings in the luxury beauty sector, potentially driving long-term revenue growth and brand strength.
Brand Portfolio
A diverse portfolio of prestigious brands provides Kering with a strong competitive position in the luxury market, supporting sustained consumer demand and premium pricing.
Cash Flow Generation
Robust cash generation relative to net earnings indicates financial health and the ability to invest in growth opportunities and weather economic fluctuations.
Negative Factors
Revenue Decline
A decline in revenue suggests challenges in maintaining market share or consumer demand, potentially impacting long-term growth and profitability.
Profit Margin Pressure
Decreasing margins indicate operational inefficiencies or increased costs, which could hinder profitability and require strategic adjustments to improve financial performance.
Free Cash Flow Decline
A reduction in free cash flow limits the company's ability to fund new projects, pay dividends, or reduce debt, potentially affecting long-term financial flexibility.

Kering SA (KER) vs. iShares MSCI France ETF (EWQ)

Kering SA Business Overview & Revenue Model

Company DescriptionKering SA develops, designs, manufactures, markets, and sells apparel and accessories. The company offers shoes; leather goods, including handbags and wallets, purses, and other leather products; eyewear, textile accessories, etc.; and jewelry and watches, as well as ready-to-wear products for men and women. It also provides perfumes and cosmetics. The company provides Gucci, Saint Laurent, Bottega Veneta, Alexander McQueen, Balenciaga, Brioni, Boucheron, Pomellato, DoDo, Qeelin, Girard-Perregaux, Ulysse Nardin, and Kering Eyewear branded products. It sells its products through stores and e-commerce sites. As of December 31, 2021, it operated 1,565 stores. Kering SA sells its products in the Asia-Pacific, Western Europe, North America, Japan, and internationally. The company was formerly known as PPR SA and changed its name to Kering SA in June 2013. Kering SA was founded in 1963 and is based in Paris, France.
How the Company Makes MoneyKering generates revenue primarily through the sale of luxury goods across its various brands. The company's revenue model is multifaceted, consisting mainly of retail sales from its branded boutiques, e-commerce platforms, and wholesale distribution to select high-end department stores and specialty retailers. Key revenue streams include ready-to-wear apparel, leather goods, accessories, and jewelry. Additionally, Kering benefits from strong brand equity and consumer loyalty, allowing for premium pricing. The company also explores strategic partnerships and collaborations that enhance brand visibility and market reach, contributing to its earnings. Seasonal collections and limited-edition releases further drive consumer demand and sales. Overall, Kering's focus on sustainability and innovation plays a significant role in its financial performance, appealing to a growing segment of environmentally conscious consumers.

Kering SA Financial Statement Overview

Summary
Kering SA's financials show mixed results. Revenue and profitability margins have declined, with EBIT and EBITDA margins under pressure. However, the company maintains a strong gross profit margin and solid cash flow generation. The balance sheet indicates a stable financial foundation with moderate leverage.
Income Statement
65
Positive
Kering SA's income statement shows a decline in total revenue from 2023 to 2024, with revenue dropping from €19.566 billion to €17.194 billion. The gross profit margin remains strong at approximately 73.8% in 2024, and the net profit margin is about 6.6%. However, the decline in EBIT and EBITDA margins from 24.3% to 13.4% and 32.9% to 27.1%, respectively, suggests pressure on operational efficiency and profitability.
Balance Sheet
70
Positive
The balance sheet reflects a moderate financial structure with a debt-to-equity ratio of 1.35, indicating a relatively balanced use of debt and equity. The return on equity (ROE) stands at 7.6%, showing profitability on shareholder investments, albeit lower compared to previous years. The equity ratio is 34.4%, highlighting a stable capital structure but with room for improvement in terms of leveraging equity more effectively.
Cash Flow
72
Positive
Kering SA's cash flow analysis reveals a decrease in free cash flow from €1.848 billion in 2023 to €1.4 billion in 2024. The operating cash flow to net income ratio is strong at 4.15, indicating robust cash generation relative to net earnings. Despite a decline in free cash flow, the company's ability to maintain positive cash flow from operations is a positive indicator.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue15.76B17.19B19.57B20.35B17.65B13.10B
Gross Profit11.51B12.68B14.93B15.20B13.07B9.51B
EBITDA4.68B4.67B6.43B7.00B6.15B4.58B
Net Income729.00M1.13B2.98B3.61B3.18B2.15B
Balance Sheet
Total Assets42.43B43.35B41.37B33.94B31.07B28.01B
Cash, Cash Equivalents and Short-Term Investments4.24B3.56B3.92B4.34B5.25B3.44B
Total Debt19.89B20.14B17.82B11.19B9.59B9.26B
Total Liabilities26.82B27.62B25.36B19.16B17.33B15.97B
Stockholders Equity14.77B14.90B15.21B14.00B13.35B11.82B
Cash Flow
Free Cash Flow1.11B1.40B1.85B3.21B3.94B2.10B
Operating Cash Flow3.15B4.71B4.46B4.28B4.88B2.89B
Investing Cash Flow-1.01B-3.19B-7.30B-2.77B-451.50M-196.50M
Financing Cash Flow-1.76B-1.90B2.38B-2.14B-2.93B-1.62B

Kering SA Technical Analysis

Technical Analysis Sentiment
Positive
Last Price327.90
Price Trends
50DMA
270.83
Positive
100DMA
234.74
Positive
200DMA
222.01
Positive
Market Momentum
MACD
17.21
Negative
RSI
63.84
Neutral
STOCH
64.95
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:KER, the sentiment is Positive. The current price of 327.9 is above the 20-day moving average (MA) of 309.61, above the 50-day MA of 270.83, and above the 200-day MA of 222.01, indicating a bullish trend. The MACD of 17.21 indicates Negative momentum. The RSI at 63.84 is Neutral, neither overbought nor oversold. The STOCH value of 64.95 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:KER.

Kering SA Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
€305.97B27.8316.88%2.13%-3.24%-21.24%
$229.59B51.3327.36%1.18%10.31%0.54%
€102.83B22.5719.54%2.27%-3.24%-21.65%
€144.77B60.076.19%1.26%5.45%2.86%
€40.66B55.784.91%1.83%-14.56%-64.91%
$18.38B12.79-2.54%3.03%1.52%-15.83%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FR:KER
Kering SA
327.90
97.93
42.58%
FR:RMS
Hermes International
2,207.00
97.17
4.61%
FR:CDI
Christian Dior
573.50
0.75
0.13%
FR:EL
EssilorLuxottica SA
316.50
104.10
49.01%
FR:MC
LVMH Moet Hennessy Louis Vuitton
611.50
-4.17
-0.68%
FR:DPT
ST Dupont SA
0.09
0.01
14.10%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 24, 2025