|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||540.80 - 549.10|
|52 Week Range||377.60 - 553.40|
|Beta (3Y Monthly)||1.12|
|PE Ratio (TTM)||35.74|
|Earnings Date||Feb. 10, 2020 - Feb. 14, 2020|
|Forward Dividend & Yield||10.50 (1.94%)|
|1y Target Est||524.67|
PARIS/MILAN, Dec 5 (Reuters) - The chief executive and top shareholder of puffer jacket maker Moncler played down speculation around a takeover by Gucci-owner Kering on Thursday, saying the two firms sometimes talked but that there was no deal in the works. Shares in the Italian label, which has become a luxury industry darling in recent years after a makeover under CEO Remo Ruffini, surged earlier after Bloomberg reported that it had held exploratory discussions with Kering.
(Bloomberg) -- Kering SA has held exploratory talks with Moncler SpA about a potential deal for the Italian skiwear maker, people with knowledge of the matter said.Senior executives at Kering, the owner of Gucci and Saint Laurent, and Moncler have held preliminary discussions about a combination, according to the people, who asked not to be identified because the information is private. There’s no certainty the talks will lead to a transaction.Any takeover would require Kering Chief Executive Officer Francois-Henri Pinault to win over Moncler’s Remo Ruffini, whose investment vehicle owns 22.5% of the company, which has a market value of about 11 billion euros ($12 billion).Ruffini “maintains contacts and interacts with investors and other sector participants, including the Kering group, in order to explore strategic potential opportunities to further promote the successful development of Moncler,” the Italian company said in a statement Thursday. “At the moment, however, there is not any concrete hypothesis under consideration.”A representative for Kering declined to comment.Moncler surged as much as 12%, the biggest gain since the shares began trading about six years ago in Milan. Kering rose 1% in Paris, and other European luxury stocks gained.Adding Moncler would help Kering keep pace with larger rival LVMH, which recently agreed to buy jeweler Tiffany & Co. for $16.2 billion in the biggest-ever luxury deal. The rivalry between LVMH Chairman Bernard Arnault and Kering’s controlling shareholder Francois Pinault -- Francois-Henri’s father -- has fueled the transformation of the industry over the past few decades, as the French companies raced to assemble vast portfolios of labels.“LVMH’s Tiffany takeover is putting pressure on everyone,” Bernstein analyst Luca Solca said.Gucci’s ProfitKering’s offerings include Ulysse Nardin watches and Boucheron jewelry, as well as fashion labels such as Alexander McQueen and Bottega Veneta. The company has become increasingly dependent on Gucci, which provided more than three-quarters of its operating profit in the first half of the year. That’s putting pressure on Kering to diversify in order to hedge against the risk that demand for the Italian brand’s new looks could fade.A deal for Moncler would give Kering a label whose growth has stood out over the past decade, even in a booming luxury sector. As bankers shuck suits, ties and overcoats in favor of more casual attire, its $2,000 puffy down jackets have moved beyond the ski slopes of St. Moritz to the conference rooms of the World Economic Forum in Davos. Moncler’s profit margins rival those of Hermes International.The driving force behind Moncler is Ruffini, who bought the company in 2003 and transformed it from a failing French maker of functional but no-frills outdoor gear into one of the world’s hottest luxury brands. The CEO took the brand upmarket, opening boutiques in places ranging from Rodeo Drive in Beverly Hills to the Alpine hub of Chamonix. It has 49 stores in greater China, where consumers are driving the industry’s growth.Shares of Moncler have roughly quadrupled since the company completed its initial public offering in late 2013. The stock has climbed about 48% this year.The company said in October that sales for the first nine months of the year rose 12% at constant exchange rates, reassuring investors that Chinese consumers are still spending on fancy ski jackets despite the effects of anti-Beijing protests in Hong Kong that have hit sales in the key luxury hub.Swimsuits, SneakersLonger term, Moncler has faced questions about where growth will come from if its fans tire of buying expensive coats. The company has added everything from swimsuits to sneakers, and Ruffini has launched collaborations with outside designers in a bid to broaden its appeal.Ruffini has shown in the past that he’s willing to let go when the price is right. He was able to acquire Moncler by using proceeds from the sale of a brand that he founded, called New England, in 2000.The Pinaults are no strangers to fighting tough takeover battles after going head-to-head with Arnault to win control of Gucci. But in recent years the company has walked away from deals when the price wasn’t right, leaving it with 2.5 billion euros in cash.(Updates with Moncler statement in fourth paragraph)\--With assistance from Eric Pfanner, Daniele Lepido, Robert Williams, Albertina Torsoli, Dinesh Nair and Dan Liefgreen.To contact the reporters on this story: Ed Hammond in New York at email@example.com;Geraldine Amiel in Paris at firstname.lastname@example.orgTo contact the editors responsible for this story: Liana Baker at email@example.com, ;Ben Scent at firstname.lastname@example.org, Eric Pfanner, Marthe FourcadeFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
PARIS/MILAN (Reuters) - The chief executive and top shareholder of puffer jacket maker Moncler played down speculation around a takeover by Gucci-owner Kering on Thursday, saying the two firms sometimes talked but that there was no deal in the works. Shares in the Italian label, which has become a luxury industry darling in recent years after a makeover under CEO Remo Ruffini, surged earlier after Bloomberg reported that it had held exploratory discussions with Kering.
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Moncler had a market valuation of about 9.8 billion euros as of Wednesday's close on the Milan Stock Exchange. Kering declined to comment, while Moncler did not immediately respond to Reuters request for comment.
LONDON/PARIS, Dec 4 (Reuters) - The U.S. threat of tariffs on French goods from handbags to Champagne proved just a glancing blow to giants like LVMH and Kering this week, as investors refused to give up their decade-long love affair with luxury goods. The European luxury conglomerates are the leading lights of continental exchanges, just like digital behemoths Facebook, Amazon, Apple, Netlix and Alphabet's Google (FAANGs) are the vanguard of Wall Street stock indices and portfolios.
LONDON/PARIS (Reuters) - The U.S. threat of tariffs on French goods from handbags to Champagne proved just a glancing blow to giants like LVMH and Kering this week, as investors refused to give up their decade-long love affair with luxury goods. Equity analysts reckon the appeal of companies such as Hermes , whose Birkin handbags sell for $10,000-plus and often have waiting lists, will be undimmed despite attempts to hit their exports as retaliation for European taxation of U.S. digital companies. With a price tag of over 200 billion euros, Louis Vuitton and Christian Dior owner LVMH is the biggest stock by market capitalization on the Paris exchange and is worth twice as much as pan-European planemaker Airbus which is also at the centre of the transatlantic trade war.
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Kering led a luxury goods share rally on Friday after its star fashion label Gucci posted stronger-than-expected sales, demonstrating how some brands have so far managed to counter the hit from protests in Hong Kong. Moncler shares were also rising, up 6% after the Italian puffer jacket maker's third quarter sales beat expectations. The firms joined rivals such as LVMH's Louis Vuitton and Hermes in easing fears of a major hit from months of pro-democracy demonstrations in Hong Kong that have caused them to temporarily close shops and which have kept tourists away.
Europe's retail index gained 1.2%, leading gains among major subsectors. The food and beverage sector led losses on Friday, however, after brewer AB InBev provided a cautious outlook and reported weaker-than-expected quarterly earnings growth, sparked by reduced demand for its beer in Brazil and South Korea. "You have a mechanical effect from that 10% decline in AB InBev, but you can't really generalize.
PARIS/MILAN (Reuters) - Kering's Gucci brand and Italian jacket maker Moncler joined other luxury labels on Thursday in easing fears of a major third quarter sales hit from protests in Hong Kong, as they benefited from brisk business across the rest of Asia. Birkin-handbag maker Hermes and LVMH , which owns Louis Vuitton, have also managed to largely make up for lost business in the Chinese-ruled city, where months of pro-democracy demonstrations have put off tourists and shoppers. The brands were still penalised to some degree, after being forced to temporarily close shops, with Moncler's sales down 40% in Hong Kong in the third quarter and those across the Kering conglomerate as a whole falling 35%.
Environmental activist Greta Thunberg's discourse on climate change was overly pessimistic and demoralising for young people, LVMH boss Bernard Arnault said on Wednesday, as the group behind brands like Louis Vuitton raised its "green" goals. LVMH, the world's biggest luxury goods conglomerate, which like its peers is seeking to improve its environmental credentials and keep young consumers onside, said it was further cutting emissions and improving sourcing on materials like animal fur.
French luxury group Kering moved to reduce its remaining stake in Puma on Wednesday by issuing bonds that can be exchanged for shares in the German sportswear brand. Kering, which owns fashion brands like Gucci, Saint Laurent and Balenciaga, still has a 15.7% stake after spinning off 70% of Puma to its shareholders last year. In recent years Kering has increasingly focused on its high-margin luxury businesses, but even within this portfolio it has disposed of smaller brands like Christopher Kane.
In this article, I will take a look at Kering SA's (EPA:KER) most recent earnings update (30 June 2019) and compare...