Hermès: among the winners of 2024

(CercleFinance.com) - Hermès is one of the winners of the year 2024 within the CAC40 index, posting an increase of around 20% since January 1, compared with a negative 2.
5% for the Paris Bourse's flagship index.

Despite a difficult global economic environment, marked by a slowdown in consumer spending in China, Hermès stands out with impressive growth of over 14% since the start of the year", Saxo Banque was already pointing out in mid-December.

"The luxury house continues to rely on the excellence of its products and their rarity, guaranteeing high margins. With a low level of debt, the brand is posting remarkable financial results", continued the Danish bank.

In the first six months of the year, Hermès posted recurring operating income of 3.1 billion euros, representing a margin of 42% on sales up 15% to 7.5 billion (+12% at constant exchange rates).

The Group maintained strong growth in the third quarter (+11% at constant exchange rates), with increases in 'all regions, despite a particularly high basis of comparison in Europe and Asia Pacific'.

More recently (December 20), Oddo BHF raised its price target from 2164 to 2315 euros, while maintaining its 'neutral' opinion on the share, judging that at the current price it 'does not appear to have significant potential for revaluation'.

Copyright (c) 2024 CercleFinance.com. All rights reserved.