|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||426.25 - 433.10|
|52 Week Range||351.70 - 539.80|
|Beta (3Y Monthly)||1.28|
|PE Ratio (TTM)||28.14|
|Earnings Date||Feb 11, 2019 - Feb 15, 2019|
|Forward Dividend & Yield||10.50 (2.46%)|
|1y Target Est||524.67|
(Bloomberg) -- Kering shares fell after sales growth at the French luxury group’s Gucci brand slowed from the breakneck pace of the past three years, even as rival LVMH accelerates.The Italian label’s comparable sales rose 12.7% in the second quarter, compared with an analyst forecast of 14.5%. Even though Kering’s overall sales gains were roughly in line with expectations and its profitability keeps growing, the waning momentum at its key brand alarmed investors.“We expect the market will continue to wonder about the future ‘soft landing’ of Gucci, despite a very healthy margin improvement,” Bernstein analysts led by Luca Solca said in a note.Kering Investors Run on Worries Gucci Losing Appeal: Street WrapThe shares fell as much as 9.9% in Paris early on Friday, the most since October. Kering reported its results after the close of trading Thursday.Gucci is coming up against tough comparisons, after sales surged 40% a year earlier and 20% in the previous quarter. Kering has been trying to persuade investors that the brand’s growth is simply normalizing and that the decadent wares by designer Alessandro Michele aren’t going out of style.Slowdown ‘Expected’“This slowdown was expected and has been commented on in recent quarters,” Chief Financial Officer Jean-Marc Duplaix said on a call.As Gucci returns to earth, Kering is no longer outperforming rival LVMH, whose key fashion and leather category surged 20% in the quarter. The Louis Vuitton and Christian Dior owner’s shares touched a record high Thursday as creative revamps at key brands fueled gains.What Bloomberg Intelligence Says“Kering’s biggest and most profitable brand, Gucci, has the ability to maintain peer-beating midterm growth rates, in our view, on design momentum and consumer following.”Deborah Aitken, consumer products analystand Maxime Boucher, associate analystClick here to read the pieceGucci remains enormously profitable, with its operating margin rising to 41% for the first half. Kering also said it continues to perform well in China, where authorities have taken steps to bring more luxury purchases onshore.The company reported bright spots elsewhere, including an improvement at the Bottega Veneta brand, which has been struggling. Though analysts expected a further decline in sales, it returned to growth in the quarter, as Kering said the first collections from a new creative director, Daniel Lee, were well received.To contact the reporter on this story: Robert Williams in Paris at email@example.comTo contact the editors responsible for this story: Eric Pfanner at firstname.lastname@example.org, John LauermanFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Sales at Gucci rose more slowly than expected in the second quarter, taking the shine off a jump in margins at the Italian fashion label and an otherwise solid performance at parent Kering. The conglomerate relies on Gucci for the bulk of its sales and profit, and investors are keeping a close watch on the extent to which it might lose steam after three years of explosive growth. A weak performance in the United States, linked partly to a drop in Chinese visitors there, dragged on Gucci's sales and that of other Kering labels, which include Saint Laurent, the group's Financial Director Jean-Marc Duplaix said.
Consolidated revenue: €7,638.4 million up 18.8% as reported and 15.3% on a comparable basis
Moody's Investors Service has today assigned a first-time A1 long-term issuer rating and Prime-1 (P-1) short-term issuer rating to leading French luxury goods group LVMH Moët Hennessy Louis Vuitton SE (LVMH). Moody's has also assigned an A1 rating to LVMH's senior unsecured notes and a (P)A1 rating to its medium-term notes program.
Gucci, the luxury brand that powers most of parent Kering's profits, made its first steps in high-end jewelery on Tuesday with a dedicated store in Paris - part of its bid to expand its reach after a blowout fashion makeover. Sales at the Italian label have grown at a breakneck pace since a turnaround under designer Alessandro Michele over the past three years, beating most industry rivals even as the rate of expansion slowed to 20 percent in the first quarter. With its sights on one day overtaking peers Louis Vuitton, owned by Kering rival LVMH , or privately-held Chanel as the biggest luxury brand by revenue, Gucci is branching into new areas, including by recently rolling out cosmetics.
In an interview with Cheddar TV, IPO Edge Editor-in-Chief John Jannarone explains what it will take for newly-listed shares of The RealReal (ticker: REAL) to maintain their current sales multiple. The company, which sells second-hand luxury goods from fashion houses such as Hermès, LVMH Moët Hennessy’s Louis Vuitton, and Kering SA’s Gucci, will likely see […]
The RealReal is the Undisputed Leader in Second-Hand Luxury Brands Such as Hermès By John Jannarone As the leading online reseller of previously-owned luxury items, The RealReal (ticker: REAL) has a chance to disrupt the industry with a combination of trust, quality, and ease of use that brick-and-mortar shops can’t offer. The question for investors […]
What slowdown? Kering brands such as Gucci and Balenciaga continue to score with Asian customers and millennials, says François-Henri Pinault, one of our 2019 World’s Best CEOs.
I've been keeping an eye on Kering SA (EPA:KER) because I'm attracted to its fundamentals. Looking at the company as a...
MILAN/MADRID, June 3 (Reuters) - Italy's Ferrero is famous for its red-and-white Kinder chocolate eggs. The confectionery giant, which runs its own gas-fired power plant near its factory in northern Italy, is in early talks to help finance a new clean energy plant, possibly a solar farm in the sunnier south, according to three sources familiar with the matter. Like other companies in Europe, Ferrero is under growing pressure from investors and authorities to shift towards greener energy.
Kering, the French fashion group whose brands include Gucci and Saint Laurent, said it would only work with models aged over 18, as the fashion industry aims to tighten up its ethical guidelines. Kering said on Wednesday that from 2020 onwards, it would only hire models aged over 18 to represent adults and wear its adult clothing at its fashion shows and photo sessions. "We believe that we have a responsibility to put forward the best possible practices in the luxury sector and we hope to create a movement that will encourage others to follow suit,” said Kering's chairman and chief executive François-Henri Pinault.
PARIS (Reuters) - French fashion group Kering, whose brands include Gucci and Saint Laurent, said it had set out internal guidelines for dealing with the welfare of animals, as fashion companies look to ...