80 billion for Hermès: record value for the French

80 billion for Hermès: record value for the French

Hermès as a safe haven for investors. In other words, it reevaluates itself during heavy economic crises. In recent days, in fact, the stock title of the French brand has reached a record value of 80 billion euros. LVMH and Kering stay in the wake. The Covid-19 pandemic therefore has the opposite effect on extra-luxury, at least on the stock exchange. In practice: it is not a brake, but a push. Which, in the end, is nothing new. Even in 2008, when the financial crisis broke out, the trend was similar to the current one.

Record value

In the past week, Hermès’ share price has increased by 5%. The growth has raised the Hermès’ market value, which for the first time in its history has reached a record value of 80 billion euros. LVMH and Kering stocks showed the same behaviour. According to Chinese portal Jing Daily, LVMH has reached 203 billion euros, exceeding the ceiling of 200 billion for the second time in its history. Similarly, the price of Kering‘s shares rose by 12.5%, bringing the group’s market value to almost 67 billion euros. In other words: to pre CRV levels.

Reverse trend

The market price of luxury groups shows an inverse correlation with the economic downturn. It has happened in 2008 too. On the other hand, when Birkin bags are considered, by collectors and investors, the same way as gold and futures, it doesn’t come as a shock.

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