LVMH Moët Hennessy - Louis Vuitton Société Européenne (ENXTPA:MC) - Share price, News & Analysis

Q: What is the Fair Price of MC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

MC (€610.4) is trading below our estimate of [[fair value]] (€854.27)

MC fundamental analysis
Snowflake Score
Valuation	5/6
Future Growth	3/6
Past Performance	6/6
Financial Health	5/6
Dividends	3/6

MC Stock Overview

LVMH Moët Hennessy - Louis Vuitton, Société Européenne operates as a luxury goods company worldwide.

Rewards

Trading at 28.5% below our estimate of its fair value

Earnings are forecast to grow 8.51% per year

Earnings grew by 40% over the past year

Trading below our calculated fair Price-To-Earnings ratio

Analysts in good agreement that stock price will rise by 27.8%

Risk Analysis

No risks detected for MC from our risk checks.

LVMH Moët Hennessy - Louis Vuitton Société Européenne Competitors

Hermès International Société en commandite par actions

ENXTPA:RMS

€127.2b

Christian Dior

ENXTPA:CDI

€107.4b

EssilorLuxottica Société anonyme

ENXTPA:EL

€62.3b

Kering

ENXTPA:KER

€56.3b

Price History & Performance

Summary of all time highs, changes and price drops for LVMH Moët Hennessy - Louis Vuitton Société Européenne
Historical stock prices
Current Share Price	€610.40
52 Week High	€758.50
52 Week Low	€535.00
Beta	0.97
1 Month Change	-5.31%
3 Month Change	4.29%
1 Year Change	-3.11%
3 Year Change	74.60%
5 Year Change	164.93%
Change since IPO	366.60%

Shareholder Returns

	MC	FR Luxury	FR Market
7D	1.2%	1.3%	-0.1%
1Y	-3.1%	-5.4%	-12.3%

Return vs Industry: MC exceeded the French Luxury industry which returned -6.5% over the past year.

Return vs Market: MC exceeded the French Market which returned -12.3% over the past year.

Price Volatility

Is MC's price volatile compared to industry and market?
MC volatility
MC Average Weekly Movement	3.5%
Luxury Industry Average Movement	3.9%
Market Average Movement	4.9%
10% most volatile stocks in FR Market	9.3%
10% least volatile stocks in FR Market	2.8%

Stable Share Price: MC is less volatile than 75% of French stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: MC's weekly volatility (3%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1923	157,953	Bernard Arnault	https://www.lvmh.com

LVMH Moët Hennessy - Louis Vuitton, Société Européenne operates as a luxury goods company worldwide. The company offers champagnes, wines, and spirits under the Clos des Lambrays, Château d'Yquem, Dom Pérignon, Ruinart, Moët & Chandon, Hennessy, Veuve Clicquot, Ardbeg, Château Cheval Blanc, Glenmorangie, Krug, Mercier, Chandon, Cape Mentelle, Newton Vineyard, Cloudy Bay, Belvedere, Terrazas de los Andes, Bodega Numanthia, Cheval des Andes, Woodinville, Ao Yun, Clos19, and Volcan de mi Tierra brands. It also provides fashion and leather products under the Berluti, Celine, Christian Dior, Emilio Pucci, FENDI, Givenchy, Kenzo, Loewe, Loro Piana, Louis Vuitton, Marc Jacobs, Moynat, Patou, and RIMOWA brands.

LVMH Moët Hennessy - Louis Vuitton Société Européenne Fundamentals Summary

How do LVMH Moët Hennessy - Louis Vuitton Société Européenne's earnings and revenue compare to its market cap?
MC fundamental statistics
Market Cap	€306.47b
Earnings (TTM)	€13.27b
Revenue (TTM)	€72.28b

23.1x

P/E Ratio

4.2x

P/S Ratio

Is MC overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
MC income statement (TTM)
Revenue	€72.28b
Cost of Revenue	€22.67b
Gross Profit	€49.61b
Other Expenses	€36.35b
Earnings	€13.27b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	26.43
Gross Margin	68.64%
Net Profit Margin	18.36%
Debt/Equity Ratio	41.1%

How did MC perform over the long term?

See historical performance and comparison

Dividends

2.0%

Current Dividend Yield

45%

Payout Ratio

Does MC pay a reliable dividends?

See MC dividend history and benchmarks

When do you need to buy MC by to receive an upcoming dividend?
LVMH Moët Hennessy - Louis Vuitton Société Européenne dividend dates
Ex Dividend Date	Dec 01 2022
Dividend Pay Date	Dec 05 2022
Days until Ex dividend	59 days
Days until Dividend pay date	63 days

Does MC pay a reliable dividends?

See MC dividend history and benchmarks

We’ve recently updated our valuation analysis.

Valuation

Is MC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MC?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for MC. This is calculated by dividing MC's market cap by their current preferred multiple.
What is MC's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	€306.47b

MC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	4.6x
Enterprise Value/EBITDA	14.9x
PEG Ratio	2.7x

Price to Earnings Ratio vs Peers

How does MC's PE Ratio compare to its peers?

MC PE Ratio vs Peers

The above table shows the PE ratio for MC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	28.4x
RMS Hermès International Société en commandite par actions	43.7x	10.8%	€127.2b
CDI Christian Dior	19.7x	n/a	€107.4b
EL EssilorLuxottica Société anonyme	34.9x	11.2%	€62.3b
KER Kering	15.3x	9.2%	€56.3b
MC LVMH Moët Hennessy - Louis Vuitton Société Européenne	23.1x	8.5%	€306.5b

Price-To-Earnings vs Peers: MC is good value based on its Price-To-Earnings Ratio (23.1x) compared to the peer average (28.4x).

Price to Earnings Ratio vs Industry

How does MC's PE Ratio compare vs other companies in the European Luxury Industry?

Price-To-Earnings vs Industry: MC is expensive based on its Price-To-Earnings Ratio (23.1x) compared to the European Luxury industry average (13.9x)

Price to Earnings Ratio vs Fair Ratio

What is MC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	23.1x
Fair PE Ratio	36.7x

Price-To-Earnings vs Fair Ratio: MC is good value based on its Price-To-Earnings Ratio (23.1x) compared to the estimated Fair Price-To-Earnings Ratio (36.7x).

Share Price vs Fair Value

What is the Fair Price of MC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MC (€610.4) is trading below our estimate of fair value (€854.27)

Significantly Below Fair Value: MC is trading below fair value by more than 20%.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Future Growth

How is LVMH Moët Hennessy - Louis Vuitton Société Européenne forecast to perform in the next 1 to 3 years based on estimates from 29 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

8.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: MC's forecast earnings growth (8.5% per year) is above the savings rate (0.3%).

Earnings vs Market: MC's earnings (8.5% per year) are forecast to grow slower than the French market (11.1% per year).

High Growth Earnings: MC's earnings are forecast to grow, but not significantly.

Revenue vs Market: MC's revenue (6.7% per year) is forecast to grow faster than the French market (5.3% per year).

High Growth Revenue: MC's revenue (6.7% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: MC's Return on Equity is forecast to be high in 3 years time (24.9%)

Discover growth companies

Past Performance

How has LVMH Moët Hennessy - Louis Vuitton Société Européenne performed over the past 5 years?

Past Performance Score

6/6

Past Performance Score 6/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

18.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: MC has high quality earnings.

Growing Profit Margin: MC's current net profit margins (18.4%) are higher than last year (17.3%).

Past Earnings Growth Analysis

Earnings Trend: MC's earnings have grown by 18.1% per year over the past 5 years.

Accelerating Growth: MC's earnings growth over the past year (40%) exceeds its 5-year average (18.1% per year).

Earnings vs Industry: MC earnings growth over the past year (40%) exceeded the Luxury industry 32%.

Return on Equity

High ROE: MC's Return on Equity (26.7%) is considered high.

Discover strong past performing companies

Financial Health

How is LVMH Moët Hennessy - Louis Vuitton Société Européenne's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: MC's short term assets (€37.3B) exceed its short term liabilities (€31.9B).

Long Term Liabilities: MC's short term assets (€37.3B) do not cover its long term liabilities (€46.7B).

Debt to Equity History and Analysis

Debt Level: MC's net debt to equity ratio (21.3%) is considered satisfactory.

Reducing Debt: MC's debt to equity ratio has reduced from 45% to 41.1% over the past 5 years.

Debt Coverage: MC's debt is well covered by operating cash flow (84.2%).

Interest Coverage: MC's interest payments on its debt are well covered by EBIT (104.4x coverage).

Balance Sheet

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Dividend

What is LVMH Moët Hennessy - Louis Vuitton Société Européenne current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage

1.97%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

LVMH Moët Hennessy - Louis Vuitton Société Européenne Dividend Yield vs Market

How does LVMH Moët Hennessy - Louis Vuitton Société Européenne dividend yield compare to the market?
Segment	Dividend Yield
Company (LVMH Moët Hennessy - Louis Vuitton Société Européenne)	2.0%
Market Bottom 25% (FR)	2.0%
Market Top 25% (FR)	6.1%
Industry Average (Luxury)	1.8%
Analyst forecast in 3 Years (LVMH Moët Hennessy - Louis Vuitton Société Européenne)	2.2%

Notable Dividend: MC's dividend (1.97%) isn’t notable compared to the bottom 25% of dividend payers in the French market (2.03%).

High Dividend: MC's dividend (1.97%) is low compared to the top 25% of dividend payers in the French market (6.06%).

Stability and Growth of Payments

Stable Dividend: MC's dividend payments have been volatile in the past 10 years.

Growing Dividend: MC's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (45.5%), MC's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (42.2%), MC's dividend payments are well covered by cash flows.

Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

16.3yrs

Average management tenure

CEO

Bernard Arnault (73 yo)

34.08yrs

Tenure

€7,929,234

Compensation

Mr. Bernard Arnault serves as an Executive Chairman at LVMH Moët Hennessy Louis Vuitton Inc., and LVMH Moët Hennessy - Louis Vuitton, Société Européenne (formerly known as LVMH Moët Hennessy Louis Vuitton...

CEO Compensation Analysis

Bernard Arnault's Compensation vs LVMH Moët Hennessy - Louis Vuitton Société Européenne Earnings

How has Bernard Arnault's remuneration changed compared to LVMH Moët Hennessy - Louis Vuitton Société Européenne's earnings?
Date	Total Comp.	Salary	Company Earnings
Jun 30 2022	n/a	n/a	€13b
Mar 31 2022	n/a	n/a	€13b
Dec 31 2021	€8m	€1m	€12b
Sep 30 2021	n/a	n/a	€11b
Jun 30 2021	n/a	n/a	€9b
Mar 31 2021	n/a	n/a	€7b
Dec 31 2020	€6m	€949k	€5b
Sep 30 2020	n/a	n/a	€5b
Jun 30 2020	n/a	n/a	€4b
Mar 31 2020	n/a	n/a	€6b
Dec 31 2019	€8m	€1m	€7b
Sep 30 2019	n/a	n/a	€7b
Jun 30 2019	n/a	n/a	€7b
Mar 31 2019	n/a	n/a	€6b
Dec 31 2018	€8m	€1m	€6b
Sep 30 2018	n/a	n/a	€6b
Jun 30 2018	n/a	n/a	€6b
Mar 31 2018	n/a	n/a	€6b
Dec 31 2017	€8m	€1m	€5b
Sep 30 2017	n/a	n/a	€5b
Jun 30 2017	n/a	n/a	€4b
Mar 31 2017	n/a	n/a	€4b
Dec 31 2016	€8m	€1m	€4b
Sep 30 2016	n/a	n/a	€4b
Jun 30 2016	n/a	n/a	€4b
Mar 31 2016	n/a	n/a	€4b
Dec 31 2015	€10m	€1m	€4b

Compensation vs Market: Bernard's total compensation ($USD7.78M) is above average for companies of similar size in the French market ($USD3.59M).

Compensation vs Earnings: Bernard's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: MC's management team is seasoned and experienced (16.3 years average tenure).

Board Members

Experienced Board: MC's board of directors are seasoned and experienced ( 13.9 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Ownership Breakdown

What is the ownership structure of MC?
Owner Type	Number of Shares	Ownership Percentage
Private Companies	12,268,779	2.4%
Institutions	149,270,157	29.7%
General Public	340,535,893	67.8%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Top Shareholders

Top 25 shareholders own 25.3% of the company

Ownership	Name	Shares	Current Value	Change %	Portfolio %
6.19%	Financière Agache Société Anonyme	31,056,678	€19.0b	2.04%	65.21%
2.92%	Capital Research and Management Company	14,636,455	€8.9b	0.01%	0.61%
2.5%	BlackRock, Inc.	12,553,794	€7.7b	-0.16%	0.19%
2.03%	Groupe Arnault SAS	10,197,545	€6.2b	0%	6.29%
1.94%	The Vanguard Group, Inc.	9,741,165	€5.9b	1.44%	0.14%
1.89%	Le Peigne SA	9,500,000	€5.8b	0%	no data
1.09%	Norges Bank Investment Management	5,484,424	€3.3b	0%	0.45%
1%	FMR LLC	5,011,781	€3.1b	2.86%	0.29%
0.7%	Amundi Asset Management	3,536,259	€2.2b	-10.83%	0.66%
0.63%	Massachusetts Financial Services Company	3,181,447	€1.9b	0.12%	0.5%
0.55%	Groupe familial Arnault	2,768,779	€1.7b	0%	no data
0.47%	Jennison Associates LLC	2,358,300	€1.4b	-3.83%	1.29%
0.47%	Invesco Ltd.	2,335,979	€1.4b	-2.75%	0.48%
0.45%	Fisher Asset Management, LLC	2,257,018	€1.4b	-1.67%	1%
0.35%	J.P. Morgan Asset Management, Inc.	1,735,163	€1.1b	-3.58%	0.2%
0.31%	Geode Capital Management, LLC	1,533,808	€936.2m	0.22%	0.12%
0.28%	Deutsche Asset & Wealth Management	1,391,136	€849.1m	-0.18%	0.36%
0.25%	WCM Investment Management, LLC	1,234,237	€753.4m	-6.64%	1.75%
0.21%	Janus Henderson Group plc	1,050,060	€641.0m	0.66%	0.36%
0.2%	UBS Asset Management	1,010,547	€616.8m	0.88%	0.12%
0.19%	Aviva Investors Global Services Limited	969,350	€591.7m	0.18%	1.17%
0.19%	Fidelity International Ltd	931,087	€568.3m	-0.51%	0.3%
0.18%	Fundsmith, LLP	907,077	€553.7m	107.15%	1.85%
0.17%	Comgest S.A.	840,171	€512.8m	-0.25%	2.48%
0.16%	Natixis Investment Managers International	822,020	€501.8m	-4.72%	2%

Ticker	Exchange	Primary Security	Security Type	Country	Currency	Listed on
LVMH.F	OTCPK (Pink Sheets LLC)	Yes	Common Shares	US	USD	Nov 1987
MC	ENXTPA (Euronext Paris)	Yes	Common Shares	FR	EUR	Nov 1987
MC	SWX (SIX Swiss Exchange)	Yes	Common Shares	CH	CHF	Nov 1987
0HAU	LSE (London Stock Exchange)	Yes	Common Shares	GB	EUR	Nov 1987
LVMH	BIT (Borsa Italiana)	Yes	Common Shares	IT	EUR	Nov 1987
MOH	XTRA (XETRA Trading Platform)	Yes	Common Shares	DE	EUR	Nov 1987
MOH	DB (Deutsche Boerse AG)	Yes	Common Shares	DE	EUR	Nov 1987
MCP	BATS-CHIXE (BATS 'Chi-X Europe')	Yes	Common Shares	GB	EUR	Nov 1987
MC	WBAG (Wiener Boerse AG)	Yes	Common Shares	AT	EUR	Nov 1987
MC N	BMV (Bolsa Mexicana de Valores)	Yes	Common Shares	MX	MXN	Nov 1987
MOH	BUL (Bulgaria Stock Exchange)	Yes	Common Shares	BG	EUR	Nov 1987
LVMU.Y	OTCPK (Pink Sheets LLC)		ADR EACH EACH CNV INTO 0.2 ORD EUR0.30	US	USD	Feb 2003
MOHF	DB (Deutsche Boerse AG)		ADR EACH EACH CNV INTO 0.2 ORD EUR0.30	DE	EUR	Feb 2003

Data	Last Updated (UTC time)
Company Analysis	2022/10/02 00:00
End of Day Share Price	2022/09/30 00:00
Earnings	2022/06/30
Annual Earnings	2021/12/31