LVMH Moet Hennessy Louis Vuitton (MC) AI Stock Analysis

• Market Cap: €237.46B
• Dividend Yield: 2.75%
• Average Volume (3M): 556.70K
• Price to Earnings (P/E): 18.9
• Beta (1Y): 1.51
• Revenue Growth: -1.71%
• EPS Growth: -17.20%
• Country: FR
• Employees: 200,518
• Sector: Consumer Cyclical
• Sector Strength: 59
• Industry: Luxury Goods
• EPS (TTM): 10.58
• Shares Outstanding: 500,141,700
• 10 Day Avg. Volume: 584,657
• 30 Day Avg. Volume: 556,700
• PEG Ratio: 1.40
• Price to Book (P/B): 6.19
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 26.77
• 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: €576.28
• Price Target Upside: 19.40% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 21

• Rating: 75 Outperform
• Price Target: €550.00 ▲(13.95%Upside)

LVMH's strong financial performance is a major strength, highlighting its growth and operational efficiency. The technical indicators show some bearish momentum, but the stock's valuation remains fair with a decent dividend yield, balancing the overall score.

Positive Factors

Competitive Advantage

LVMH's extensive and diversified brand portfolio, emphasis on innovation, and strong financial performance bolster its competitive advantage.

Financial Performance

Profit from recurring operations reached EUR19.6bn, with an operating margin of 23.1% that significantly exceeded pre-COVID levels.

Market Leadership

LVMH remains confident in strengthening its global luxury leadership, with positive medium-term prospects intact.

Negative Factors

Consumer Demand

LVMH struggles amid global challenges, with consumers in the United States pulling back on beauty products and drinks, while sales in China stayed weak.

Earnings Performance

1Q25 revenue undershot expectations, falling by 3% y/y organically, well below market expectations of a 2% growth.

Margin Pressure

Declining sales in 1H25 should lead to further margin pressure in 1H25 and a muted top-line recovery in 2H25 may hold back profitability in 2H25.

LVMH Moet Hennessy Louis Vuitton Business Overview & Revenue Model

Company Description

LVMH Moet Hennessy Louis Vuitton (MC) is a French multinational luxury goods conglomerate, renowned for its prestigious portfolio of over 75 distinguished brands. Operating across several sectors including fashion and leather goods, wines and spirits, perfumes and cosmetics, watches and jewelry, and selective retailing, LVMH is synonymous with luxury, quality, and craftsmanship. Some of its most iconic brands include Louis Vuitton, Dior, Moet & Chandon, and Bulgari, catering to high-end consumers worldwide.

How the Company Makes Money

LVMH generates revenue through a diverse range of luxury products and services sold across its various sectors. The company earns substantial income from the sale of fashion and leather goods, which represents the largest portion of its revenue, driven by brands like Louis Vuitton and Dior. The wines and spirits segment, featuring brands like Moet & Chandon and Hennessy, also contributes significantly to its earnings. Additionally, the company profits from the sale of perfumes and cosmetics under brands such as Givenchy and Fenty Beauty. The watches and jewelry sector, with names like Bulgari and TAG Heuer, along with selective retailing operations including Sephora, further bolster its revenue streams. LVMH's financial performance is also supported by strategic acquisitions and partnerships, enhancing its global presence and market share in the luxury segment.

LVMH Moet Hennessy Louis Vuitton Financial Statement Overview

Summary

LVMH exhibits strong financial health, with consistent growth in revenue and profitability, solid balance sheet metrics, and strong cash flow generation. The company effectively manages leverage and capital expenditures, positioning it well for future growth and stability.

Income Statement

LVMH has demonstrated impressive revenue growth with a CAGR of 9.34% from 2019 to 2023. The gross profit margin consistently exceeds 66%, indicating strong pricing power and cost management. Net profit margin peaked at 17.6% in 2023, reflecting efficient operations and profitability. EBIT and EBITDA margins are robust, supporting strong operating efficiency.

Balance Sheet

The company's debt-to-equity ratio is stable around 0.63, showing moderate leverage. ROE improved to 24.9% in 2023, highlighting effective utilization of equity. The equity ratio is approximately 42.5%, indicating a solid equity base and financial stability.

Cash Flow

Operating cash flow is strong, with consistent growth over the years. The free cash flow to net income ratio is over 0.7, suggesting efficient cash generation relative to earnings. Free cash flow growth is robust, though slightly impeded by capital expenditures.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	84.68B	86.15B	79.18B	64.22B	44.65B
Gross Profit	56.77B	59.28B	54.20B	43.85B	28.76B
EBITDA	22.30B	28.55B	26.07B	22.49B	12.54B
Net Income	12.55B	15.17B	14.08B	12.04B	4.70B
Balance Sheet
Total Assets	149.19B	143.69B	134.65B	125.31B	108.67B
Cash, Cash Equivalents and Short-Term Investments	13.59B	11.26B	10.85B	10.56B	20.71B
Total Debt	41.20B	38.88B	35.09B	34.45B	37.48B
Total Liabilities	79.90B	80.99B	78.04B	76.40B	69.84B
Stockholders Equity	67.52B	61.02B	55.11B	47.12B	37.41B
Cash Flow
Free Cash Flow	13.37B	10.60B	12.75B	15.39B	8.43B
Operating Cash Flow	18.93B	18.40B	17.84B	18.65B	10.90B
Investing Cash Flow	-6.54B	-8.31B	-5.92B	-15.98B	-2.94B
Financing Cash Flow	-10.72B	-9.40B	-12.69B	-15.16B	7.40B

LVMH Moet Hennessy Louis Vuitton Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 482.65
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:MC, the sentiment is Positive. The current price of 482.65 is above the 20-day moving average (MA) of 462.69, above the 50-day MA of 479.27, and below the 200-day MA of 581.72, indicating a neutral trend. The MACD of -0.38 indicates Negative momentum. The RSI at 56.32 is Neutral, neither overbought nor oversold. The STOCH value of 71.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:MC.

LVMH Moet Hennessy Louis Vuitton Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RMS	77 Outperform	€251.14B	54.64	28.67%	0.83%	12.98%	6.62%
ITP	77 Outperform	€2.86B	21.11	19.41%	2.92%	10.27%	8.20%
MC	75 Outperform	€237.46B	18.92	19.53%	2.75%	-1.71%	-17.20%
KER	73 Outperform	€23.95B	21.15	7.52%	8.19%	-12.12%	-62.09%
CDI	71 Outperform	€81.47B	15.64	22.73%	3.32%	-1.71%	-17.39%
EL	67 Neutral	€109.43B	45.58	6.00%	1.67%	4.38%	1.71%
Sector *	63 Neutral	$16.67B	10.96	-6.97%	3.00%	1.72%	-24.21%