Kering
Note: This is a daily stock update and the information stands true as of 23/10/25, 09:00 CET.
Company Update:
The momentum is definitely improving, as experienced also by LVMH and Hermès. But Kering already trades at a premium to the weighted average of peers and above LVMH. Kering is a recovery play but that recovery is already priced in and while we have no reason to believe Luca de Meo will fail to turn around the business (and Gucci notably), there are probably better opportunities in the sector to play the improved momentum.
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Company Update:
Q3 25 sales declined 5% on a comparable basis (-10% reported) to €3.4bn, a 4% beat to the consensus at -9%.
Gucci brand performance remains a problem at -14% (vs -16% expected) but shows a sharp sequential improvement with new product momentum and better performance in North America and Europe. Other brands performed decently (YSL at -4%, BV at +3% and the rest of the houses at +1%)
Outlook: Gross margin in H2 is expected to be in line with H1. Full-year opex should decline by mid-single digits on a reported basis. Management expects Q4 sales to show a similar level of decline as Q3, given tougher comparisons.
Expert Opinion: The momentum is definitely improving, as experienced also by LVMH and Hermès. But Kering already trades at a premium to the weighted average of peers and above LVMH. Kering is a recovery play but that recovery is already priced in and while we have no reason to believe Luca de Meo will fail to turn around the business (and Gucci notably), there are probably better opportunities in the sector to play the improved momentum.
For daily updates, subscribe to our newsletter and for detailed information, reach out to us at sales@alphavalue.eu
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Alphavalue Morning Market Tip
Strong performance in Q3 and FY guidance (only) confirmed.
