LVMH Moet Hennessy Louis Vuitton SE (LVMUY) AI Stock Analysis

• Market Cap: $322.26B
• Dividend Yield: 1.41%
• Average Volume (3M): 214.32K
• Price to Earnings (P/E): 26.2
• Beta (1Y): 1.05
• Revenue Growth: -2.71%
• EPS Growth: -20.78%
• Country: US
• Employees: 200,518
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Luxury Goods
• EPS (TTM): 2.49
• Shares Outstanding: 2,488,434,800
• 10 Day Avg. Volume: 344,824
• 30 Day Avg. Volume: 214,318
• PEG Ratio: -1.86
• Price to Book (P/B): 4.74
• Price to Sales (P/S): 4.11
• P/FCF Ratio: 22.10
• Enterprise Value/Market Cap: 0.98
• Enterprise Value/Revenue: 3.91
• Enterprise Value/Gross Profit: 5.91
• Enterprise Value/Ebitda: 14.13
• 1Y Price Target: $379.94
• Price Target Upside: 193.89% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): 5.49
• Revenue Forecast (FY): $97.87B

• Rating: 66 Neutral
• Price Target: $141.00 ▲(9.07% Upside)

The score is supported primarily by solid underlying profitability and cash generation, reinforced by earnings-call commentary on operational resilience and free-cash-flow strength. Offsetting this are weakening recent growth/profit trends and rising leverage, while technical indicators show bearish momentum despite oversold conditions. Valuation remains on the expensive side with a modest dividend yield.

Positive Factors

High margins and operating profitability

Sustained high gross and EBIT margins indicate persistent pricing power and cost structure advantages typical of top-tier luxury brands. Durable margins support reinvestment in product, marketing and retail experience, helping protect earnings even if top-line growth softens over the medium term.

Strong free cash flow generation

Material and growing free cash flow, with conversion near 80% of net income, provides long-term financial flexibility. Robust FCF supports capex, selective M&A, dividends and debt reduction, enabling strategic choices and resilience through cyclical downturns over the next several quarters.

Diversified luxury portfolio and brand strength

A broad portfolio of leading luxury houses and retail (e.g., Louis Vuitton, Dior, Sephora) creates durable competitive moats: brand equity, multi-category exposure and geographic reach. This diversification helps smooth demand swings and preserves long-term pricing and margin resilience.

Negative Factors

Sustained revenue declines

Consecutive topline declines signal structural demand or mix pressures rather than a one-off slowdown. Persistent revenue contraction erodes operating leverage, risks margin compression over time, and limits capacity to grow earnings without a tangible recovery in key segments or regions.

Rising leverage and debt coverage risk

Higher debt ratios reduce financial flexibility and increase sensitivity to cash-flow variability. While FCF is strong, operating cash flow covers a modest portion of total debt, meaning sustained cash generation is required to avoid pressure on investment plans or capital returns over the medium term.

Concentration pressure in key segments and regions

Heavy exposure to Fashion & Leather Goods and Wines & Spirits plus reliance on travel/tourist spending creates vulnerability to regional shocks. Weakness in Asia and tourism-driven markets can materially depress group revenue and profits until spending patterns or tourism recover sustainably.

LVMH Moet Hennessy Louis Vuitton SE Business Overview & Revenue Model

Company Description

LVMH Moët Hennessy - Louis Vuitton, Société Européenne operates as a luxury goods company worldwide. The company offers champagnes, wines, and spirits under the Clos des Lambrays, Château d'Yquem, Dom Pérignon, Ruinart, Moët & Chandon, Hennessy, Veuve Clicquot, Ardbeg, Château Cheval Blanc, Glenmorangie, Krug, Mercier, Chandon, Cape Mentelle, Newton Vineyard, Cloudy Bay, Belvedere, Terrazas de los Andes, Bodega Numanthia, Cheval des Andes, Woodinville, Ao Yun, Clos19, and Volcan de mi Tierra brands. It also provides fashion and leather products under the Berluti, Celine, Christian Dior, Emilio Pucci, FENDI, Givenchy, Kenzo, Loewe, Loro Piana, Louis Vuitton, Marc Jacobs, Moynat, Patou, and RIMOWA brands. In addition, the company offers perfumes and cosmetics under the Acqua di Parma, Benefit Cosmetics, Cha Ling, Fenty Beauty by Rihanna, Fresh, Givenchy Parfums, Guerlain, KVD Beauty, Kenzo Parfums, Maison Francis Kurkdjian, Make Up For Ever, Marc Jacobs Beauty, Officine Universelle Buly, Parfums Christian Dior, and Perfumes Loewe brands; watches and jewelry under the Bulgari, Chaumet, Fred, Hublot, Repossi, TAG Heuer, Tiffany & Co., and Zenith brands; and custom-designed yachts under the Feadship brand name, as well as designs and builds luxury yachts under the Royal Van Lent brand. Further, it provides daily newspapers under the Les Échos brand; Belmond, a luxury tourism service; home other activities under the Belmond, Cheval Blanc, Connaissance des Arts, Cova, Investir, Jardin d'Acclimatation, La Samaritaine, Le Parisien, and Radio Classique brands; and selective retailing products under the DFS, La Grande Epicerie de Paris, Le Bon Marché Rive Gauche, Sephora, and Starboard Cruise Services brands, as well as operates Jardin d'Acclimatation, a leisure and amusement park. The company operates 5,556 stores. LVMH Moët Hennessy - Louis Vuitton, Société Européenne was incorporated in 1923 and is headquartered in Paris, France.

How the Company Makes Money

LVMH generates revenue primarily through the sale of luxury goods across its various sectors. The Fashion & Leather Goods segment is the largest contributor to the company's revenue, driven by strong sales of handbags, apparel, and accessories from high-profile brands. The Wines & Spirits division adds significant revenue through premium wine and liquor sales, while Perfumes & Cosmetics benefit from both established and emerging brands. Watches & Jewelry contribute to earnings through sales of luxury timepieces and jewelry. Additionally, Selective Retailing includes duty-free sales through its Sephora chain and other retail outlets, further enhancing revenue streams. The company’s strategic acquisitions and partnerships with influential designers and artists also contribute to brand prestige and market reach, ensuring continued consumer interest and loyalty, which are critical for sustaining high profit margins.

LVMH Moet Hennessy Louis Vuitton SE Financial Statement Overview

Summary

Margins and cash generation remain strong for a premium franchise (gross margin ~66%, EBIT margin ~22%, sizable free cash flow), but recent fundamentals have softened with revenue declines in 2024 and a sharper drop in 2025, lower net margin (~13%), and a gradual rise in leverage (debt-to-equity ~0.74) alongside lower returns on equity (~15%).

Income Statement

Profitability remains strong for a luxury leader, with 2025 gross margin around 66% and operating profitability still healthy (EBIT margin ~22%), though both have eased versus 2021–2023. The key concern is the growth trajectory: revenue declined in 2024 and fell more sharply in 2025, alongside lower net margin (~13%) and lower net income versus prior years—suggesting a tougher demand/pricing environment or mix headwinds despite resilient underlying margins.

Balance Sheet

The balance sheet looks solid with equity of ~€67B supporting the asset base, and leverage is moderate (debt-to-equity ~0.74 in 2025), though higher than 2024 and meaningfully above the best recent years. Returns on shareholder capital remain respectable (~15% in 2025) but have declined from the 2021–2023 peak levels, indicating reduced earnings power and/or higher capital intensity. Overall financial flexibility appears good, but rising debt and softer returns are the main watch items.

Cash Flow

Cash generation is healthy and improving: free cash flow grew in 2025 and remains sizeable (~€14B). Free cash flow conversion is reasonable (about 80% of net income in 2025), supporting reinvestment and shareholder returns. The main weakness is that operating cash flow covers a modest portion of total debt (~0.60 in 2025), and this coverage has not materially strengthened—so while cash flow is strong, leverage still requires ongoing, consistent cash generation.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	77.62B	84.68B	86.15B	79.18B	64.22B
Gross Profit	51.42B	56.77B	59.28B	54.20B	43.85B
EBITDA	23.43B	27.09B	28.55B	26.07B	22.49B
Net Income	10.45B	12.55B	15.17B	14.08B	12.04B
Balance Sheet
Total Assets	141.98B	149.19B	143.69B	134.65B	125.31B
Cash, Cash Equivalents and Short-Term Investments	13.50B	13.59B	11.26B	10.85B	10.56B
Total Debt	49.64B	41.20B	38.88B	35.65B	34.84B
Total Liabilities	73.06B	79.90B	80.99B	78.04B	76.40B
Stockholders Equity	67.44B	67.52B	61.02B	55.11B	47.12B
Cash Flow
Free Cash Flow	14.45B	13.37B	10.60B	12.75B	15.39B
Operating Cash Flow	18.15B	18.93B	18.40B	17.84B	18.65B
Investing Cash Flow	-5.52B	-6.54B	-8.31B	-5.92B	-15.98B
Financing Cash Flow	-13.26B	-10.72B	-9.40B	-12.69B	-15.16B

LVMH Moet Hennessy Louis Vuitton SE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 129.28
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LVMUY, the sentiment is Negative. The current price of 129.28 is below the 20-day moving average (MA) of 142.66, below the 50-day MA of 144.89, and above the 200-day MA of 124.29, indicating a neutral trend. The MACD of -4.19 indicates Positive momentum. The RSI at 29.49 is Positive, neither overbought nor oversold. The STOCH value of 3.91 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LVMUY.

LVMH Moet Hennessy Louis Vuitton SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TPR	69 Neutral	$25.97B	113.59	16.05%	1.16%	8.14%	-65.04%
LVMUY	66 Neutral	$322.26B	26.20	16.45%	1.41%	-2.71%	-20.78%
SIG	64 Neutral	$3.75B	27.58	8.24%	1.46%	-0.40%	-68.99%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
CPRI	56 Neutral	$2.69B	-2.29	-165.96%	―	-17.66%	-223.06%
REAL	54 Neutral	$1.71B	-10.58	―	―	14.30%	23.73%
LANV	42 Neutral	$175.42M	-0.76	-2353.49%	―	-23.54%	-49.41%