LVMH ‘s share price rose to a new high on this week, giving the French luxury goods group a market value of EUR 400 billion for the first time. This makes LVMH the most valuable company in Europe.
Like other luxury companies with strong operations in China, LVMH has benefited this year from the rapid reopening of the world’s second largest economy. However, some analysts warn that further increases in the share price are more difficult to achieve in the future.
“Let’s say I’m waiting for EUR 500 billion to mark this as a milestone,” said Angelo Meda, Head of Equity Trading and Portfolio at Banor SIM in Milan. “They fire their last shot, so the reopening of China, it will be more difficult in the future: hard comparative values, sinking of the dollar,” he said.
The securities gained up to 0.4 percent to an all-time high of EUR 795.7. This lifted the group’s global market value to just over EUR 400 million, according to Reuters calculations based on Refinitiv data. It then fell slightly by 0.5 percent by 08:46 GMT.
Earlier this month, LVMH Chairman and CEO Bernard Arnault reorganized his leadership. He appointed his daughter Delphine as general manager of Christian Dior and hired a new boss for the Louis Vuitton brand.
