LVMH Moët Hennessy - Louis Vuitton Société Européenne
Market Cap
€163.7b
Last Updated
2020/04/03 21:26 UTC
Data Sources
Company Financials +
Executive Summary
LVMH Moët Hennessy - Louis Vuitton, Société Européenne operates as a luxury products company.
Rewards
Risk Analysis
Snowflake Analysis
Solid track record with excellent balance sheet and pays a dividend.
Similar Companies
Share Price & News
How has LVMH Moët Hennessy - Louis Vuitton Société Européenne's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MC's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-4.9%
MC
-9.9%
FR Luxury
-6.8%
FR Market
1 Year Return
-3.3%
MC
-8.7%
FR Luxury
-21.9%
FR Market
Return vs Industry: MC exceeded the French Luxury industry which returned -8% over the past year.
Return vs Market: MC exceeded the French Market which returned -21.8% over the past year.
Shareholder returns
| MC | Industry | Market | |
|---|---|---|---|
| 7 Day | -4.9% | -9.9% | -6.8% |
| 30 Day | -15.6% | -14.9% | -21.2% |
| 90 Day | -22.4% | -23.9% | -28.4% |
| 1 Year | -1.6%-3.3% | -6.1%-8.7% | -19.2%-21.9% |
| 3 Year | 64.3%55.3% | 49.0%39.7% | -3.2%-12.2% |
| 5 Year | 108.2%88.5% | 85.6%68.1% | 3.4%-11.3% |
Price Volatility Vs. Market
How volatile is LVMH Moët Hennessy - Louis Vuitton Société Européenne's share price compared to the market and industry in the last 5 years?
Simply Wall St News
Valuation
Is LVMH Moët Hennessy - Louis Vuitton Société Européenne undervalued compared to its fair value and its price relative to the market?
9.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MC (€325.35) is trading below our estimate of fair value (€359.44)
Significantly Below Fair Value: MC is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: MC is poor value based on its PE Ratio (22.8x) compared to the Luxury industry average (21.1x).
PE vs Market: MC is poor value based on its PE Ratio (22.8x) compared to the French market (13.2x).
Price to Earnings Growth Ratio
PEG Ratio: MC is poor value based on its PEG Ratio (3.1x)
Price to Book Ratio
PB vs Industry: MC is overvalued based on its PB Ratio (4.5x) compared to the FR Luxury industry average (1.2x).
Next Steps
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 23 analysts?
7.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MC's forecast earnings growth (7.4% per year) is above the savings rate (-0.1%).
Earnings vs Market: MC's earnings (7.4% per year) are forecast to grow slower than the French market (12% per year).
High Growth Earnings: MC's earnings are forecast to grow, but not significantly.
Revenue vs Market: MC's revenue (5.7% per year) is forecast to grow faster than the French market (3.5% per year).
High Growth Revenue: MC's revenue (5.7% 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 (20.6%)
Next Steps
Past Performance
How has LVMH Moët Hennessy - Louis Vuitton Société Européenne performed over the past 5 years?
9.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MC has high quality earnings.
Growing Profit Margin: MC's current net profit margins (13.4%) are lower than last year (13.6%).
Past Earnings Growth Analysis
Earnings Trend: MC's earnings have grown by 9.4% per year over the past 5 years.
Accelerating Growth: MC's earnings growth over the past year (12.9%) exceeds its 5-year average (9.4% per year).
Earnings vs Industry: MC earnings growth over the past year (12.9%) exceeded the Luxury industry -0.9%.
Return on Equity
High ROE: MC's Return on Equity (20.3%) is considered high.
Next Steps
Financial Health
How is LVMH Moët Hennessy - Louis Vuitton Société Européenne's financial position?
Financial Position Analysis
Short Term Liabilities: MC's short term assets (€26.5B) exceed its short term liabilities (€22.6B).
Long Term Liabilities: MC's short term assets (€26.5B) do not cover its long term liabilities (€35.5B).
Debt to Equity History and Analysis
Debt Level: MC's debt to equity ratio (33.2%) is considered satisfactory.
Reducing Debt: MC's debt to equity ratio has reduced from 39.6% to 33.2% over the past 5 years.
Debt Coverage: MC's debt is well covered by operating cash flow (91.5%).
Interest Coverage: MC's interest payments on its debt are well covered by EBIT (29.6x coverage).
Balance Sheet
Inventory Level: MC has a high level of physical assets or inventory.
Debt Coverage by Assets: MC's debt is covered by short term assets (assets are 2.1x debt).
Next Steps
Dividend
What is LVMH Moët Hennessy - Louis Vuitton Société Européenne's current dividend yield, its reliability and sustainability?
2.09%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: MC's dividend (2.09%) is higher than the bottom 25% of dividend payers in the French market (2.07%).
High Dividend: MC's dividend (2.09%) is low compared to the top 25% of dividend payers in the French market (6.44%).
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.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (47.7%), MC's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MC's dividends in 3 years are forecast to be well covered by earnings (48.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
16.3yrs
Average management tenure
CEO
Bernard Arnault (70yo)
31.25s
Tenure
€7,957,623
Compensation
Mr. Bernard Arnault serves as an Executive Chairman and Chief Executive Officer at LVMH Moët Hennessy Louis Vuitton Inc. and LVMH Moët Hennessy Louis Vuitton SE since January 1989. Mr. Arnault began his ca ...
CEO Compensation Analysis
Compensation vs Market: Bernard's total compensation ($USD8.66M) is above average for companies of similar size in the French market ($USD4.00M).
Compensation vs Earnings: Bernard's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 31.25yrs | €7.96m | 0.13% €207.7m | |
| Senior VP of Development & Acquisitions and Director | 20.92yrs | €3.99m | 0.024% €38.5m | |
| Group MD & Director | 17.92yrs | €7.59m | 0.085% €139.2m | |
| Director | 16.58yrs | €1.65m | 0.095% €155.2m | |
| Chief Financial Officer | 16.25yrs | no data | no data | |
| General Counsel | no data | no data | no data | |
| Vice President of Sales | no data | no data | no data | |
| Executive Vice President of Human Resources & Synergies | no data | no data | no data | |
| Managing Director od L Catterton | no data | no data | no data | |
| Managing Director of Franck & Fils | 9.25yrs | no data | no data |
16.3yrs
Average Tenure
60yo
Average Age
Experienced Management: MC's management team is seasoned and experienced (16.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 31.25yrs | €7.96m | 0.13% €207.7m | |
| Senior VP of Development & Acquisitions and Director | 20.92yrs | €3.99m | 0.024% €38.5m | |
| Group MD & Director | 17.92yrs | €7.59m | 0.085% €139.2m | |
| Director | 16.58yrs | €1.65m | 0.095% €155.2m | |
| Chairman & CEO of Christian Dior Couture | 2.17yrs | no data | no data | |
| Chairman & CEO of Louis Vuitton | 7.33yrs | no data | no data | |
| Independent Director | 11.92yrs | €112.50k | 0.00020% €327.4k | |
| Independent Director | 10.92yrs | €157.50k | 0.00010% €163.7k | |
| Independent Director | 17.92yrs | €45.00k | 0.00010% €163.7k | |
| Independent Director | 15.92yrs | €60.00k | 0.00010% €163.7k |
16.3yrs
Average Tenure
68yo
Average Age
Experienced Board: MC's board of directors are seasoned and experienced ( 16.3 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
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
LVMH Moët Hennessy - Louis Vuitton, Société Européenne's company bio, employee growth, exchange listings and data sources
Key Information
- Name: LVMH Moët Hennessy - Louis Vuitton, Société Européenne
- Ticker: MC
- Exchange: ENXTPA
- Founded: 1854
- Industry: Apparel, Accessories and Luxury Goods
- Sector: Consumer Durables
- Market Cap: €163.712b
- Shares outstanding: 503.65m
- Website: https://www.lvmh.com
Number of Employees
Location
- LVMH Moët Hennessy - Louis Vuitton, Société Européenne
- 22, Avenue Montaigne
- Paris
- Ile-de-France
- 75008
- France
Listings
| 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 |
| 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 |
Biography
LVMH Moët Hennessy - Louis Vuitton, Société Européenne operates as a luxury products company. The company offers champagnes, wines, and spirits under the Ao Yun, Ardbeg, Belvedere, Bodega Numanthia, Cape Mentelle, Chandon, Château Cheval Blanc, Château d'Yquem, Cheval des Andes, Clos des Lambrays, Clos19, Cloudy Bay, Dom Pérignon, Glenmorangie, Hennessy, Krug, Mercier, Moët & Chandon, Newton, Vineyard, Ruinart, Terrazas de los Andes, Veuve Clicquot, Volcan de mi Tierra, and Woodinville 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, Nicholas Kirkwood, Pink Shirtmaker, and Rimowa brands. In addition, the company offers perfumes and cosmetics under the Acqua di Parma, Benefit Cosmetics, Fenty Beauty by Rihanna, Fresh, Parfums Givenchy, Guerlain, Kat Von D Beauty, Kenzo Parfums, Maison Francis Kurkdjian, Make Up For Ever, Marc Jacobs Beauty, Parfums Christian Dior, and Perfumes Loewe brands; watches and jewelry under the Bvlgari, Chaumet, Fred, Hublot, TAG Heuerand Zenith brands; and custom-designed yachts under the Feadship brand name, as well as designs and builds luxury yachts under the Royal Van Lent brand. Further, it provides daily newspapers under the Les Échos brand; Belmond, a luxury tourism service; home other activities under the Belmond, Cheval Blanc, Connaissance des Arts, Cova, Investir, Jardin d'Acclimatation, La Samaritaine, Le Parisien, and Radio Classique brands; and selective retailing products under the DFS, La Grande Epicerie de Paris, Le Bon Marché Rive Gauche, Sephora, and Starboard Cruise brands, as well as operates Jardin d’Acclimatation, a leisure and amusement park. As of December 31, 2019, the company operated 4,915 stores worldwide. The company was founded in 1854 and is headquartered in Paris, France.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/03 21:26 |
| End of Day Share Price | 2020/04/03 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.