Kering SA
KER: XPAR (FRA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
€828.00 | Kcmdyc | Xhhwrcnnl |
Kering's Third-Quarter Sales Solid Even As Gucci Lags Peers
We are maintaining our fair value estimate and narrow moat rating for Kering as the company reported solid third-quarter sales, albeit the most profitable and biggest brand Gucci continued to lack the group’s growth and its big peers (LVMH’s fashion and leather division and Hermes). After a share price decline of more than 30% in 2022, Kering’s shares are among the cheapest in our luxury coverage, trading at 13 times consensus earnings, in 4-star territory, and 35% upside to our fair value estimate.