LVMH, first European company to exceed 400 billion euros in market capitalization

The CEO of the LVMH group, Bernard Arnault, on January 28, 2020 in Paris.

REUTERS - CHRISTIAN HARTMANN

Text by: RFI Follow

1 min

The world number one in luxury, the French LVMH exceeded Tuesday the 400 billion euros of market capitalization.

A threshold crossed for the first time by a European company but which still does not measure up to the American giants. 

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Since the start of the year, LVMH shares have risen by more than 17%.

Its stock benefited from the lifting of health restrictions in China, which sparked investor enthusiasm for luxury brand stocks.

The Chinese market has become a key driver of the sector in recent years.

Since its 2022 low in early June, the stock price has jumped almost 50%.

Twelfth in the world

Despite its position as European leader, ahead of the agri-food giant Nestlé and the Danish pharmaceutical laboratory Novo Nordisk, LVMH is only the twelfth company in the world in terms of valuation, according to the financial agency Bloomberg.

It is far from American giants like Amazon, Microsoft and even Apple.

For comparison, the apple brand is worth more than 2,100 billion dollars (1,950 billion euros approximately) on Wall Street. 

However, thanks to the rise in the stock market value of LVMH,

, recently again became the richest man in the world.

He dethroned the American Elon Musk, boss of Tesla.

According to the Forbes ranking, the fortune of the Arnault family is valued at nearly 205 billion dollars (about 190 billion euros).

(

AFP)

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