The French company benefited above all from the Asian market, where growth picked up speed thanks to the easing of restrictions imposed by the pandemic. Despite the global economic downturn, the Group still expects to continue its growth this year.
Sales increased in the first nine months by 28 percent compared to the same period last year to 56.5 billion euros. Organic growth was 20 percent. In the third quarter alone, sales grew organically by 19 percent. It was 19.76 billion euros. Analysts had expected 19.1 billion in the factset consensus.
LVMH does not report earnings figures for the third quarter and the first nine months.
Among the divisions, the largest segment, fashion & leather, showed the strongest growth in the quarter with a sales increase of 22 percent to 9.7 billion euros. The Watches & Jewelry division grew by 16 percent, Wines & Spirits by 14 percent.
RBC raises target for LVMH to €720 – ‘Outperform’
The Canadian bank RBC has raised the price target for LVMH from 715 to 720 euros and left the rating at “Outperform”. The strong sales growth continued in the third quarter, wrote analyst Piral Dadhania in a study available on Wednesday.
Goldman raises target for LVMH to €820 – ‘Buy’
The US investment bank Goldman Sachs has raised the price target for LVMH (LVMH Moet Hennessy Louis Vuitton) from 780 to 820 euros and left the rating on “Buy”. In the fashion and leather goods sector, the French surprised very positively, wrote analyst Louise Singlehurst on Tuesday evening after the quarterly sales.
At the EURONEXT in Paris, the LVMH share temporarily gained 1.88 percent to EUR 622.00 on Wednesday.
By Joshua Kirby
PARIS (Dow Jones) / (dpa-AFX Broker)
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