Rankings Food, drinks & restaurants LVMH
LVMH
76
15070100
A view of the same findings, not a new score. How it works
In the 70+ zone: a score above 70 with more than 20% upside to the median analyst target.
Biggest deductions
- Demand in China−5
- Margin−4
- Quality of growth−4
Strengths
- Strong segments+2
- Buybacks+1
- Robust cash flow+1
How the score is built
From 100 to 76, step by step: points off for the business, the price and the cracks, back for documented strengths, then three data adjustments.
Start
Score
Hover or select a step to see what drove it. Steps with findings open them below.
Key numbers
As of 3 Nov 2026. Analyst targets tend to be optimistic; read upside as a hint, not a forecast.
- Price
- 397.25 EUR
- Median analyst target
- 490.00 EUR
- Upside to median
- +23.3%
- Analysts
- 27
- Target range
- 415.00 – 590.00 EUR
- 52-week change
- −35%
- P/E (trailing)
- 18.1
- Forward P/E
- 16.6
- PEG
- 2.05
Findings
Every deduction and every plus, with its source. Open a step to read them.
Business
Is the company getting stronger, not just bigger? · 4 findings−13 of −30
- −4MarginOperating margin 21.8% (TTM) vs 26.4–26.7% in 2021–2023 and net margin 13.7% vs 17.6–18.7%; the gross margin has fallen from 68.8% to 66.4%. The margin has weakened three years in a row.
- −4Quality of growthRevenue has fallen three years in a row from EUR 86.2bn (2023) to 79.6bn TTM; Fashion & Leather Goods, which accounts for about three quarters of operating profit, has shrunk from 42.2 to EUR 36.8bn and fell 1% organically in H1 2026 (only +1% in Q2). EPS has fallen from 30.33 to EUR 21.94.
- −3ROIC and capital efficiencyROIC has fallen to 12.4% from 19.6–19.9% in 2021–2023, and inventory turnover has fallen from 1.38 to 1.13 times; inventory grew by a further 1.7 bn EUR in the past year despite falling sales.
- −2Weak segment: Wine & SpiritsWine & Spirits has fallen from EUR 7.1bn in 2022 to 5.4bn TTM (−24%) with weak demand for Hennessy cognac.
Price
Today's multiples against the company's own history and its peers. · 2 findings−3 of −35
- −2Multiples vs own historyForward P/E 17.0 vs 21.8–31.4 in 2021–2025 and EV/EBITDA 9.6 vs 15.6–20.7 – clearly below its own history, but on earnings that are still falling and could be revised down again after Q3.
- −1FCF after leases and debtFCF yield 7.3%, but only about 5.8% after lease payments of about EUR 3.0bn; net debt of EUR 24.9bn lifts EV to 223bn (EV/FCF 15.5), and analysts expect FCF of only 11.35bn in 2026.
Cracks
Cash flow, customers, debt, insiders, guidance and what sits behind the headline numbers. · 3 findings−8 of −35
- −5Demand in ChinaSales in Chinese luxury centres fell 12% in July and an estimated 10–15% in July–August; on 18 Sept Barclays lowered its Q3 estimate for Fashion & Leather Goods from +3% to −2%, and Morgan Stanley expects weak conditions for 18 months.
- −2Geopolitics and tariffsThe conflict in the Middle East has hit tourism and Europe sales (flat in Q2), and US tariffs create uncertainty; the stock fell over 25% in Q1 2026 alone.
- −1SuccessionThe unresolved succession after Bernard Arnault (77) is mentioned as one of the reasons the share is at its lowest level since 2020.
Plus
Only documented strengths. · 3 findings+4 of +15
- +1BuybacksBuybacks of EUR 2.1bn and dividend of EUR 6.4bn (TTM) are below FCF of 14.4bn (11.4bn after leasing); the share count has fallen 0.6% over a year.
- +2Strong segmentsWatches & Jewelry (Tiffany, Bulgari) grew 9% organically in H1 and 11% in Q2, Selective Retailing (Sephora) 6% in Q2, and the US accelerated to +6%; net profit of EUR 5.70bn beat consensus of 5.22bn.
- +1Robust cash flowFCF has risen from EUR 10.9bn (2023) to 14.4bn TTM despite falling revenue, because investments have been cut from 7.5 to 4.3bn; net debt/EBITDA is moderate at 1.2.
Caveats
What the score does not capture, or where the data is weak.
Luxury does not fit the industry list: placed under 'Consumer: food, beverages & restaurants' as the nearest consumer category (like Pandora and adidas). Forward P/E and EPS estimates are adjusted (non-GAAP) figures; analysts (e.g. Barclays 18 Sept.) are cutting Q3 expectations, so the forward multiple may be too low. Q3 revenue is due 9 Oct. 2026. The Arnault family controls about half the capital and the majority of votes – mentioned, but scored only for succession uncertainty. Insider trades, lawsuits (including the Dior subcontractor case in Italy 2024) and rating have not been examined in depth.
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