Is It Time To Consider Buying Kering SA (EPA:KER)?
Oct 25
French (CAC) Luxury Industry Analysis
UpdatedOct 30, 2023
DataAggregated Company Financials
Companies14
- 7D1.0%
- 3M-20.0%
- 1Y6.7%
- YTD-1.3%
In the last week, the Luxury industry is up 1.0%, with Hermès International Société en commandite par actions up 4.2%. In the same time, Kering was down 5.1%. In the last 12 months, the industry was up 6.7%. Earnings are forecast to grow by 7.1% annually.
Industry Valuation and Performance
Has the French Luxury Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 31 Oct 2023 | €682.1b | €203.5b | €30.0b | 13.7x | 22.7x | 3.4x |
| Thu, 28 Sep 2023 | €700.2b | €203.5b | €30.0b | 18.1x | 23.3x | 3.4x |
| Sat, 26 Aug 2023 | €782.8b | €203.6b | €30.0b | 20.2x | 26.1x | 3.8x |
| Mon, 24 Jul 2023 | €847.4b | €191.1b | €26.8b | 18.3x | 31.6x | 4.4x |
| Wed, 21 Jun 2023 | €834.7b | €191.1b | €26.8b | 17.4x | 31.1x | 4.4x |
| Fri, 19 May 2023 | €860.7b | €191.1b | €26.8b | 18.4x | 32.1x | 4.5x |
| Sun, 16 Apr 2023 | €880.7b | €191.1b | €26.8b | 23.2x | 32.8x | 4.6x |
| Tue, 14 Mar 2023 | €775.7b | €191.2b | €26.9b | 18.6x | 28.9x | 4.1x |
| Thu, 09 Feb 2023 | €789.0b | €182.1b | €26.1b | 18.8x | 30.2x | 4.3x |
| Sat, 07 Jan 2023 | €740.4b | €175.2b | €25.3b | 17.5x | 29.2x | 4.2x |
| Mon, 05 Dec 2022 | €715.1b | €175.2b | €25.3b | 21.1x | 28.3x | 4.1x |
| Wed, 02 Nov 2022 | €641.3b | €175.2b | €25.3b | 18.5x | 25.3x | 3.7x |
| Fri, 30 Sep 2022 | €656.6b | €198.2b | €27.1b | 19.5x | 24.2x | 3.3x |
| Sun, 28 Aug 2022 | €723.9b | €198.3b | €27.1b | 19.4x | 26.7x | 3.7x |
| Tue, 26 Jul 2022 | €694.6b | €175.8b | €24.1b | 21.8x | 28.9x | 4x |
| Thu, 23 Jun 2022 | €602.5b | €175.8b | €24.1b | 19.3x | 25x | 3.4x |
| Sat, 21 May 2022 | €605.3b | €175.7b | €24.1b | 19.4x | 25.2x | 3.4x |
| Mon, 18 Apr 2022 | €706.8b | €175.7b | €24.1b | 22.3x | 29.4x | 4x |
| Wed, 16 Mar 2022 | €654.4b | €166.4b | €23.0b | 24.7x | 28.5x | 3.9x |
| Fri, 11 Feb 2022 | €755.7b | €160.9b | €22.8b | 29.5x | 33.1x | 4.7x |
| Sun, 09 Jan 2022 | €800.0b | €151.6b | €20.3b | 32.4x | 39.5x | 5.3x |
| Tue, 07 Dec 2021 | €797.5b | €151.6b | €20.3b | 31.1x | 39.3x | 5.3x |
| Thu, 04 Nov 2021 | €778.0b | €151.6b | €20.3b | 31.3x | 38.4x | 5.1x |
| Sat, 02 Oct 2021 | €708.5b | €152.2b | €20.3b | 26.2x | 34.9x | 4.7x |
| Mon, 30 Aug 2021 | €717.7b | €152.3b | €20.3b | 27.5x | 35.3x | 4.7x |
| Tue, 06 Jul 2021 | €745.6b | €152.3b | €20.3b | 29.5x | 36.7x | 4.9x |
| Fri, 09 Apr 2021 | €613.2b | €138.6b | €15.3b | 32x | 40.2x | 4.4x |
| Thu, 31 Dec 2020 | €561.8b | €124.9b | €10.2b | 42.4x | 54.9x | 4.5x |
Price to Earnings Ratio
47.9x
Current Industry PE
- Investors are pessimistic on the French Luxury industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 22.5x which is lower than its 3-year average PE of 34.5x.
- The 3-year average PS ratio of 4.3x is higher than the industry's current PS ratio of 3.3x.
Past Earnings Growth
- The earnings for companies in the Luxury industry have grown 46% per year over the last three years.
- Revenues for these companies have grown 17% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the French Consumer Discretionary industry?
| FR Market | 0.10% | |
| Consumer Discretionary | 0.90% | |
| Luxury | 1.04% | |
| Footwear | 14.29% | |
| Apparel, Accessories and Luxury Goods | 1.04% | |
| Textiles | 0% | |
Industry PE
- Investors are most pessimistic about the Footwear industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average.
Forecasted Growth
- Analysts are most optimistic on the Apparel, Accessories and Luxury Goods industry, expecting annual earnings growth of 7.1% over the next 5 years.
- However this is lower than its past earnings growth rate of 21% per year.
- In contrast, the Apparel, Accessories and Luxury Goods industry is expected to see its earnings grow by 7.1% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| RMS Hermès International Société en commandite par actions | €1.75k | 4.2% +€7.4b | 33.7% | PE46.4x | |
| CDI Christian Dior | €647.50 | 2.0% +€2.3b | 3.4% | PE17.6x | |
| MC LVMH Moët Hennessy - Louis Vuitton Société Européenne | €671.00 | 0.2% +€799.1m | 5.0% | PE20.9x | |
| ALDAR Damartex | €5.30 | 11.6% +€6.1m | -55.8% | PS0.09x | |
| BUI Barbara Bui | €9.60 | 36.2% +€1.7m | 36.2% | PE9x |
