Why LVMH Moët Hennessy-Louis Vuitton Stock Flopped Today

Core Insights - LVMH's stock experienced a decline of over 2% following the release of its quarterly and annual results, contrasting with a nearly 1% rise in the S&P 500 [1] Financial Performance - In Q4 2024, LVMH reported total revenue of 23.9 billion euros ($25.1 billion), which was essentially flat year over year [2] - For the entire year of 2024, LVMH's revenue was nearly 84.7 billion euros ($88.8 billion), down by 2% from 2023 [3] - The fashion and leather goods segment, the largest category, saw a 3% decline to slightly over 41 billion euros ($43 billion) for the year [3] - The wines and spirits segment experienced the most significant drop, with an 11% decrease to less than 5.8 billion euros ($6.1 billion) [3] - Profitability fell sharply, landing at under 12.6 billion euros ($13.2 billion), representing a 17% decline from the previous year [4] Market Sentiment - Analysts had anticipated steeper declines in revenue, but the reported figures were still not encouraging [5] - Despite the weaker performance, LVMH's CEO emphasized the company's resilience in a challenging environment, highlighting the strength of its strategy [5] - Investors are seeking growth and improvement beyond just meeting analyst projections, indicating a desire for increased sales and profitability [6]