LVMH: This Luxury Giant Still Trades At An Unwarranted Discount

LVMH Moët Hennessy - Louis Vuitton, Société Européenne remains a Buy as valuation offers an attractive discount with strong re-rating potential once macro conditions improve. LVMHF delivered solid H1 performance with €8.7B recurring profit, 22.5% margin, and €4.1B FCF, despite macro headwinds and segment-specific pressures. Macro risks, including Middle East conflict and consumer weakness, persist, but LVMHF's financial strength and diversified portfolio support resilience and ongoing dividend payments. Intrinsic value is estimated above current levels, underscoring solid upside potential, while M&A opportunities could further enhance long-term LVMHF value. LVMH Moët Hennessy - Louis Vuitton, Société Européenne ( LVMHF ) was upgraded to Buy, as the valuation had become attractive once again after a ~25% pullback.