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

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LVMH Moet Hennessy Louis Vuitton SE

(OTC:LVMUY)

Rating:70Outperform

Price Target:―

LVMH's overall stock score is driven by strong financial performance and strategic growth, offset by bearish technical indicators and mixed earnings call outcomes. While the company is financially robust, recent challenges in certain divisions and technical weakness affect the score.

LVMH Moet Hennessy Louis Vuitton SE (LVMUY) vs. SPDR S&P 500 ETF (SPY)

Market Cap

$268.47B

Dividend Yield1.88%

Average Volume (3M)439.63K

Price to Earnings (P/E)19.8

Beta (1Y)1.09

Revenue Growth-1.65%

EPS Growth-17.16%

CountryUS

Employees200,518

SectorConsumer Cyclical

Sector Strength63

IndustryLuxury Goods

Share Statistics

EPS (TTM)2.21

Shares Outstanding2,500,708,500

10 Day Avg. Volume538,686

30 Day Avg. Volume439,628

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)0.00

P/FCF RatioN/A

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

$130.00

Price Target Upside20.91% Upside

Rating ConsensusModerate Buy

Number of Analyst Covering1

LVMH Moet Hennessy Louis Vuitton SE Business Overview & Revenue Model

Company DescriptionLVMH Moet Hennessy Louis Vuitton SE (LVMUY) is a leading global luxury goods conglomerate based in France. The company operates across several sectors, including fashion and leather goods, perfumes and cosmetics, watches and jewelry, wines and spirits, and selective retailing. LVMH's portfolio includes prestigious brands like Louis Vuitton, Christian Dior, Fendi, Givenchy, Dom Pérignon, Moët & Chandon, and Sephora, among others. Known for its commitment to quality, craftsmanship, and innovation, LVMH has established a dominant presence in the luxury market worldwide.

How the Company Makes MoneyLVMH makes money primarily through the sale of its luxury products across various sectors. The company generates significant revenue from its fashion and leather goods segment, which includes iconic brands like Louis Vuitton and Fendi. Another substantial revenue stream comes from its wines and spirits division, featuring brands such as Moët & Chandon and Hennessy. The perfumes and cosmetics segment also contributes notably, with brands like Christian Dior and Guerlain. Additionally, the watches and jewelry division, with brands like TAG Heuer and Bulgari, and selective retailing, which includes Sephora, bolster LVMH's earnings. The company benefits from a global presence and strong brand loyalty, leveraging a vast distribution network and strategic marketing to maintain its market position. Furthermore, LVMH engages in selective acquisitions and partnerships to expand its brand portfolio and market reach, enhancing its revenue-generating capabilities.

LVMH Moet Hennessy Louis Vuitton SE Earnings Call Summary

Earnings Call Date:Jan 28, 2025

(Q4-2024)

% Change Since: -29.99%|

Next Earnings Date:Jul 29, 2025

Earnings Call Sentiment Neutral

The earnings call reflected a mixed sentiment. While there were significant achievements in growth for Sephora, Japan, and Tiffany, challenges were evident in the declines in operating income and the performance of Wines & Spirits and DFS. The overall revenue remained stable, but with a slight decrease.

Q4-2024 Updates

Positive Updates

Sephora's Exceptional Growth

Sephora reported exceptional growth, with revenues now more than 10 times since its acquisition in 1998.

Japan's Strong Performance

Japan reported strong growth, increasing its share from 7% to 9% due to favorable currency conditions.

Successful Fashion Events

Louis Vuitton and Christian Dior hosted successful fashion shows, including events like Pharrell Williams' Fashion Show at UNESCO and a show in Scotland with favorable weather.

High Jewelry and TAG Heuer Achievements

High Jewelry broke records in Geneva, and TAG Heuer launched a new Monaco watch and signed a 10-year contract to be the official timekeeper for Formula One.

Tiffany's Recovery and Growth

Tiffany reported a 9% organic growth in Q4 2024 and doubled profits compared to pre-acquisition levels.

Louis Vuitton's Double-Digit Growth

Louis Vuitton reported double-digit growth in early 2025.

Negative Updates

Decline in Operating Income

Operating income decreased by 14%, impacted by higher costs and decreased revenue.

Wines & Spirits Challenges

Wines & Spirits faced a negative 8% organic growth, with a notable 36% drop in operating margin due to decreased volumes and pricing.

DFS Financial Struggles

DFS experienced significant financial challenges due to currency issues, especially with the Hong Kong dollar's high value compared to the renminbi.

Overall Revenue Stability

The overall revenue saw only a 1% organic growth, with a 2% decrease in total revenue.

Company Guidance

During the call, LVMH provided several key metrics regarding its financial performance and strategic initiatives for the fiscal year 2024. The company achieved EUR 84.6 billion in revenue, with a 1% organic growth rate, despite a challenging economic environment. The operating income saw a decline of 14%, attributed partially to a EUR 1 billion impact from foreign exchange fluctuations. Geographically, LVMH's revenue mix was balanced, with 25% from Europe and the U.S., 28% from Asia, and Japan increasing to 9%. The company highlighted exceptional growth in its Fashion & Leather Goods segment, particularly at Louis Vuitton, and noted a 9% organic growth in its Watches & Jewelry division. LVMH continues to invest heavily, maintaining a high level of operating investments and achieving a reduction in net debt to EUR 9.2 billion. The company also declared a stable dividend payout, ensuring continued shareholder value despite the current economic challenges.

LVMH Moet Hennessy Louis Vuitton SE Financial Statement Overview

Summary

LVMH showcases strong financial performance with robust profitability and growth. The income statement reflects efficient cost management and premium pricing power, though there was a slight recent decline in revenue. The balance sheet indicates a solid financial position with reasonable leverage levels, although total debt has increased. Cash flow generation is strong, with effective conversion of earnings to cash, despite rising capital expenditures.

Income Statement

Very Positive

LVMH exhibits strong income statement metrics with impressive profitability and growth. The gross profit margin and net profit margin are robust, reflecting efficient cost management and premium pricing power. Revenue showed steady growth over recent years, although there was a slight decline in the most recent period. The EBIT and EBITDA margins remain strong, indicating operational efficiency.

Balance Sheet

Positive

The balance sheet reflects a solid financial position with a healthy equity ratio and return on equity. The debt-to-equity ratio is reasonable, suggesting manageable leverage levels. Stockholders' equity has consistently grown, supporting future growth. However, attention should be given to the increase in total debt over the years.

Cash Flow

Very Positive

The cash flow statement reflects strong cash generation capabilities, with consistent growth in operating cash flow and free cash flow. The free cash flow to net income ratio is healthy, indicating effective conversion of earnings to cash. The free cash flow growth rate is positive, although capital expenditures have increased, which could impact future cash availability.

Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Breakdown
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
	EBIT
18.91B	22.56B	21.00B	17.13B	8.32B
	EBITDA
27.09B	28.55B	26.72B	22.19B	13.78B
	Net Income Common Stockholders
12.55B	15.17B	14.08B	12.04B	4.70B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
13.59B	11.26B	10.85B	10.56B	20.71B
	Total Assets
149.19B	143.69B	134.65B	125.31B	108.67B
	Total Debt
41.20B	38.88B	35.09B	34.45B	37.48B
	Net Debt
31.57B	31.10B	28.79B	28.26B	31.07B
	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	12.76B	15.40B	8.39B
	Operating Cash Flow
18.93B	18.40B	17.84B	18.66B	10.91B
	Investing Cash Flow
-6.54B	-8.31B	-6.28B	-16.42B	-3.02B
	Financing Cash Flow
-10.72B	-9.40B	-12.33B	-14.72B	7.47B

LVMH Moet Hennessy Louis Vuitton SE Technical Analysis

Technical Analysis Sentiment

Negative

Last Price107.52

Price Trends

50DMA

112.85

Negative

100DMA

126.47

Negative

200DMA

129.82

Negative

Market Momentum

MACD

-1.83

Positive

RSI

39.80

Neutral

STOCH

34.18

Neutral

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 107.52 is below the 20-day moving average (MA) of 111.31, below the 50-day MA of 112.85, and below the 200-day MA of 129.82, indicating a bearish trend. The MACD of -1.83 indicates Positive momentum. The RSI at 39.80 is Neutral, neither overbought nor oversold. The STOCH value of 34.18 is Neutral, 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

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TPR	76 Outperform	$16.40B	20.77	40.27%	1.77%	2.67%	1.31%
LVMUY	70 Outperform	$268.47B	19.78	19.77%	1.88%	-1.65%	-17.16%
SIG	70 Outperform	$3.20B	84.32	2.04%	1.53%	-3.98%	-93.50%
LUXE	63 Neutral	$801.50M	―	-8.75%	―	7.08%	-42.22%
Sector *	62 Neutral	$6.88B	11.32	2.95%	3.87%	2.70%	-24.57%
REAL	49 Neutral	$645.77M	―	32.94%	―	11.89%	66.22%
CPRI	49 Neutral	$2.00B	―	-120.18%	―	-12.34%	-574.65%

* Consumer Cyclical Sector Average

Performance Comparison

LVMUY

LVMH Moet Hennessy Louis Vuitton SE

107.52

-50.69

-32.04%

TPR

Tapestry

78.95

35.75

82.75%

CPRI

Capri Holdings

17.00

-16.51

-49.27%

SIG

Signet Jewelers

77.68

-24.34

-23.86%

REAL

RealReal

5.71

2.09

57.73%

LUXE

LuxExperience

9.40

3.40

56.67%

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.