LVMH: Credit Suisse now targets 350 euros

(CercleFinance.com) - Still with a 'Buy' (outperform) rating on the share of the world leader in luxury LVMH, Credit Suisse has raised its target price from 290 to 350 euros (+20.
7%) this morning. According to the analysts, this is a “share to have in one's portfolio in the second half of the year”.

In fact, “Louis Vuitton has shown no signs of deceleration in the 2nd quarter”, says a research note, and still shows prospects of two-figure organic growth.

The Fashion & Leather Goods business (which Louis Vuitton forms part of) should have reached operating margins of 35.4% in the first half year, calculates Credit Suisse. However, price rises have gone down in the period (+1% approximately). Price increases are therefore possible in the 2nd half year “or more likely in 2019”, anticipates a note.

Copyright (c) 2018 CercleFinance.com. All rights reserved.