This was the biggest week of the year for luxury stocks, aided by LVMH’s (slight) overshooting of analysts’ revenue expectations for 2023. Those results, which were released on Thursday, powered LVMH’s share price up by 11.5 percent over Thursday and Friday (as compared with a 0.49 percent gain for the S&P 500) and lifted the LVMH wealth path up above that of the broader market for the first time this year (see below).
The FSW High Frequency Luxury Monitor Pure Luxury Index gained almost 8 percent during the week as all 15 constituent companies, apart from Ferrari and Capri, saw positive gains. Apart from LMVH, the biggest gainers were Tapestry (6.4 percent) and Hermès (5.9 percent).
We will dip into luxury automotives next week as Ferrari will release full year 2023 results on February 1.