LVMH: growth set to last, UBS says.
(CercleFinance.com) - This morning UBS has raised its 12-month target price for the share of the French luxury group LVMH from 242 euros to 255 euros.
The Swiss broker has confirmed its buy rating on the stock.
UBS says in its research report that LVMH is well placed to continue to outperform the luxury sector as a whole. Luxury is currently driven by the "soft luxury" segment (as opposed to "hard luxury", i.e. jewellery and watchmaking), on which LVMH's Louis Vuitton brand stands out due to its ability to "capture demand".
Admittedly, the euro's recent appreciation has not been beneficial for the group. However, UBS believes that the market should be more focused on demand, which UBS expects to surprise pleasantly over the next few quarters, despite less favourable comparison bases.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The Swiss broker has confirmed its buy rating on the stock.
UBS says in its research report that LVMH is well placed to continue to outperform the luxury sector as a whole. Luxury is currently driven by the "soft luxury" segment (as opposed to "hard luxury", i.e. jewellery and watchmaking), on which LVMH's Louis Vuitton brand stands out due to its ability to "capture demand".
Admittedly, the euro's recent appreciation has not been beneficial for the group. However, UBS believes that the market should be more focused on demand, which UBS expects to surprise pleasantly over the next few quarters, despite less favourable comparison bases.
Copyright (c) 2017 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.