(Boursier.com) — THE TREND
It’s been a while since the Paris Stock Exchange was boosted by the luxury sector! After a phase of sectoral consolidation lasting several weeks, the compartment recovered spectacularly in the wake of better than expected accounts for LVMH, first weighting of the CAC40. Enough to make the stock jump by more than 12% and push the CAC40 up 2.28% above 7,600 points, to 7,634 points, a new historic closing record. Among the other big winners of the day, Remy Cointreau jumped 15%, Kering took almost 7% and Hermès +6%!
The markets also positively digested the last meeting of the ECB yesterday, which maintained its deposit rate at 4% on Thursday, as expected… The institution welcomed the continuation of the disinflation process, while warning that it was still too early to talk about rate cuts. But investors continue to bet on a further decline by next summer. The euro is camped above 1.0870/$ this evening. Oil rises again to $82 per Brent.
RISING VALUES
Remy Cointreau jumped 15% to more than 101.25 euros, despite the announcement of a sharp decline in its quarterly revenues. This drop in revenue was in fact anticipated by the market and management confirmed its annual objectives… The spirits group thus reported a drop of 27% (-23.5% organically) in its turnover. business in the third quarter, at 319.9 million euros. The turnover of the Cognac division fell by -33.9% organically over the period, affected by a significant destocking effort in China and a still degraded market in the United States.
Rémy Cointreau anticipates for the year 2023-24 a decline in turnover located at the bottom of the forecast range (therefore close to -20% organically), and a controlled decline in the current operating margin organically thanks to the implementation of a major cost reduction plan estimated at around 100 ME this year (of which 25 ME have already been achieved in the first half).
Up sharply by more than 12% to 773 euros, LVMH therefore drove the trend this weekend in Paris, with investors showing themselves reassured by the latest publication from the world’s number one luxury company… The owner of Louis Vuitton and Dior reported organic growth of 10% on Thursday evening. % in the fourth quarter, driven by the resilience of demand for its high-end fashion brands. The market was expecting an increase of 8.17%. Growth in the group’s flagship division, fashion and leather goods, reached 9%, generally in line with expectations. Over the entire 2023 financial year, current operating income stood at €22.8 billion, up 8%, compared to a consensus of €22.46 billion, for revenues of €86.15 billion (+8. 8%). The Group’s share of net income amounted to €15.2 billion, an increase of 8%. At the General Meeting of April 18, 2024, LVMH will propose a dividend of 13 euros per share.
Dior climbs 12%, followed byHermesthird capitalization of the CAC40, which took advantage of it to gain more than 6% and Kering climbs by almost 7%.
Mersen : +10% with Pernod Ricard (+8%)
Stedim : +6% in the company of Vusiongroup, Interparfums (+5.5%)
JCDecaux (+4.8%) presented an adjusted 2023 turnover of 3.57 billion euros, up +7.6% (+8.7% organically). JCDecaux will announce its revenue forecasts for the first quarter of 2024 when it publishes its 2023 annual results on March 7.
Verallia : +4.5% with Clariane, Lectra, Sopra Steria, Valeo, DBV
Manitou : +3.5% with MdM, Téléperformance
Manitou (+3.4%) closed the 2023 financial year with growth of 22% in its turnover, which reached a historic record of 2.871 billion euros. The turnover for Q4 2023 is 814 ME, up 11% year-on-year. The machine order book at the end of 2023 was 2.275 billion euros compared to 3.521 billion euros a year earlier. The 2023 current operating profit forecast is raised to more than 7% of turnover (more than 5.5% previously) and Manitou is counting on stable 2024 turnover compared to 2023.
OVH : +3% with Assystem, Atos and Wavestone
GL Events (+2.3%) displays a new record performance in 2023 with a turnover of 1,427 ME. This corresponds to growth of 9% in turnover in 2023 on an already high comparison base in 2022. The 2023 objectives of improving the margin rate and reducing the gross debt ratio are confirmed.
Up 0.5% to 92.40 euros this Friday, Publicis is evolving at new historic highs on the stock market, while the group yesterday unveiled, in advance, a turnover of €3.540 billion for its fourth quarter, organic growth of 5.7%, against a consensus of +3 .7%.
FALLING VALUES
Cegedim down 6% followed by Solutions30
Worldline : -5% with Rallye
Claranova : -3.3% followed by Engie, Equasens
The only significant drop among CAC40 values, STMicro loses another 2.6%. It must be said that the group disappointed both in terms of its results and its guidance. Among brokers’ opinions, Barclays went back from ‘overweight’ to ‘market weighting’ on STM with a price target reduced from 52 to 46 euros. Deutsche Bank remains a buyer, but with an adjusted target of 54 to 50 euros. Stifel also remains a buyer, but with a lowered objective from 55 to 50 euros. Bernstein (‘outperformance’) estimates that while STM delivered overall in 2023, 2024 looks set to be difficult despite stable demand for automotive chips… While the personal electronics market continues to recover and the industrial segment continues to recover. weakens, it appears that stable demand for automotive chips will not be enough to help STM meet margin expectations in 2024, a cause for concern for investors.
Bastide : -2.5% with BigBen, Waga, Genfit
SoiTec : -2% with GTT, Innate
FNAC Darty : -1.5% with TF1, Believe, CGG, Thermador
Unibail : -0.5% followed by Séché, Savencia