Group 1 - The new wave of store openings by LVMH in China is significant, particularly in the context of a weak consumer housing market and deflation concerns [1] - Four major LVMH brands, including Louis Vuitton, Dior, Tiffany, and Loro Piana, are opening large multi-storey stores in Beijing next month, a scale rarely seen in recent years [2] - LVMH is also in discussions to open a new Dior store in Shanghai by 2027, highlighting the strategy of creating massive shopping destinations that offer unique experiences [3] Group 2 - Chinese consumer behavior is shifting from a focus on brand names to seeking personal wellness and experiences, prompting luxury brands to build personal connections with consumers [4] - The latest Louis Vuitton flagship store in Shanghai has significantly increased visitor numbers, contributing to a doubling of sales in the shopping mall where it is located [5] - The performance of stock markets in mainland China and Hong Kong this year may have contributed to increased spending in the luxury sector [5]

LVMH is set to open major stores in China in December and is considering further expansion there https://t.co/RKbSL5QZR5 ...

Core Insights - Tapestry (TPR) stock presents a promising investment opportunity due to strong margins, a low-debt capital structure, and positive momentum [2][3] Financial Performance - Tapestry's Q1 FY26 revenue increased by 13.1% to $1.7 billion, primarily driven by a 22% sales increase at Coach [3] - The company reported an 8.1% revenue growth over the Last Twelve Months (LTM) and a 2.5% average growth over the past three years [8] - Tapestry has an operating cash flow margin of approximately 18.2% and an operating margin of 17.8% on a three-year average basis [8] Strategic Initiatives - The strategic shift includes the sale of the Stuart Weitzman brand and the implementation of the Amplify Growth Strategy, which aims to enhance focus on core brands and attract Gen Z consumers [3] - Tapestry plans to return $1.3 billion to shareholders for FY26, reflecting confidence in its growth trajectory [3] Market Position - Tapestry operates in the luxury accessories and branded lifestyle products sector through three segments: Coach, Kate Spade, and previously Stuart Weitzman [5] - The company has a retail network of 939 Coach locations, indicating a strong market presence [5] Momentum and Valuation - TPR stock is currently trading 11% below its 52-week high, suggesting potential for growth [8] - Tapestry ranks in the top 10 percentile of stocks regarding "trend strength," indicating strong momentum [8]

Brand Expansion - Chrome Hearts, a Los Angeles luxury brand, is investing heavily in Southern California's hospitality sector [1] - The brand is known for its high-priced merchandise and cult following [1]

Investment Focus - LUXUS launches a fund specifically for Hermès Birkin and Kelly bags [1] - Investors gain priority access to these luxury handbags [1] Company Action - LUXUS, a luxury asset investment company, is debuting the fund [1]

Group 1: Tesla and Elon Musk - Tesla shareholders approved Elon Musk's unprecedented $1 trillion pay package, which is contingent on meeting specific business targets, making him a potential trillionaire [7][10] - The board is hesitant to invest Tesla's funds into Musk's xAI artificial intelligence start-up, despite shareholder support for the proposal [3][6] - Musk expressed optimism that AI-trained Optimus robots will reduce labor costs and increase production, with plans for Cybercab production to begin in April 2026 [8] Group 2: Market Sentiment and AI Investment - The market mood towards AI investments appears to be darkening, with investors wary of large expenditures in the sector amid economic uncertainty [4][5] - Technology stocks have faced significant selling pressure, leading to a flight to safe-haven assets, which complicates justifying long-term investments in AI [5][6] Group 3: DraftKings and Market Competition - DraftKings reported third-quarter sales of $1.14 billion, a 4.4% increase, but fell short of Wall Street expectations, leading to a wider-than-expected loss [15] - The company plans to enter prediction markets, which will allow it to compete with other platforms like Kalshi and Polymarket, expanding its market reach [15][16] Group 4: Schwab's Acquisition of Forge Global - Charles Schwab is acquiring Forge Global, a private markets exchange, for approximately $660 million, aiming to make investing in private companies more accessible [16][21] - The acquisition is expected to enhance Forge's marketplace by connecting it with Schwab's extensive client base, potentially increasing liquidity for private companies [17][21]

Market Overview - Pre-market indexes are showing positive movement after a period of volatility, particularly since the government shutdown began in early October [1] - Among major indexes, only the small-cap Russell 2000 has been positive over the past five trading days, but it remains negative for the past month [2] Labor Market Indicators - Challenger Job Cuts for October reached 153,704, marking a +183% increase month over month and +175% year over year, indicating the worst October for job layoffs since 2009 [3] - The Chicago Fed Labor Market Indicator shows an unchanged unemployment estimate at +4.36%, with a +40% probability that this figure may be higher [4] Q3 Earnings Results - ConocoPhillips (COP) reported a +15% earnings beat with $1.61 per share, but shares are down -10% year to date [5] - AstraZeneca (AZN) had a modest earnings beat of 5 cents, with shares up +3.5% in early trading, having gained nearly +24% year to date [5] - Ralph Lauren (RL) outperformed expectations with earnings of $3.79 per share, boosting shares by +1.9% and up +37% year to date [6] - Planet Fitness (PLNT) reported earnings of 80 cents per share, exceeding expectations, and is now positive year to date with a +15.3% gain [6] - TripAdvisor (TRIP) saw a +7.9% gain after an +11% earnings beat, indicating strong consumer demand for vacations [7] - Tapestry (TPR) posted earnings of $1.38 per share, exceeding estimates, but shares are down -9% due to projected revenue slowdowns [7] - Moderna (MRNA) outperformed expectations by +76.3% with a loss of -$0.51 per share, but shares are still down more than -30% year to date [8]

Market Overview - Pre-market indexes are showing positive movement after a period of volatility since the government shutdown began in early October [1] - Major indexes have seen slight gains, with the Dow up +0.10%, S&P 500 and Nasdaq both up +0.23%, and Russell 2000 up +0.24% [2] - Bond yields have increased, with the 10-year yield at +4.13% and the 2-year yield at +3.60% [2] Labor Market Indicators - Challenger Job Cuts for October reached 153,704, marking a +183% increase month over month and +175% year over year, indicating the worst October for job layoffs since 2009 [3] - The Chicago Fed Labor Market Indicator shows an unchanged unemployment estimate at +4.36%, with a +40% probability that this figure may be higher [4] Q3 Earnings Results - ConocoPhillips (COP) reported a +15% earnings beat at $1.61 per share, though shares are down -10% year to date [5] - AstraZeneca (AZN) had a modest earnings beat of 5 cents, with shares up +3.5% in early trading, and a year-to-date gain of nearly +24% [5] - Ralph Lauren (RL) outperformed expectations with earnings of $3.79 per share, leading to a +9.86% increase in shares, which are up +37% year to date [6] - Planet Fitness (PLNT) reported earnings of 80 cents per share, exceeding expectations, and shares are up +15.3% year to date [6] - TripAdvisor (TRIP) saw a +7.9% increase in shares following an earnings beat of +11% at 65 cents per share [7] - Tapestry (TPR) reported earnings of $1.38 per share, a +10.4% surprise, but shares are down -9% despite a +60% year-to-date gain [7] - Moderna (MRNA) exceeded expectations with a +76.3% earnings surprise, reporting a loss of -$0.51 per share, and shares are up +6.5% [8]

Core Insights - Luxury brands are experiencing significant growth during this year's Double 11 shopping festival, with overall sales increasing by double digits year-on-year on Tmall [1] - The shift in luxury consumption is towards lifestyle and quality enhancement, with a notable rise in demand for winter sports gear and high-end home goods [3][5] Group 1: Sales Performance - Tmall's first cycle data shows that luxury brands like Balenciaga, Burberry, and Moncler achieved high double-digit growth in sales [1] - The luxury segment for winter sports equipment saw over 80% year-on-year growth since October, driven by brands like Balenciaga and Zegna [3] - High-end home goods are emerging as a new growth area, with brands like Wedgwood and HAY also reporting double-digit sales increases [3] Group 2: Consumer Trends - Millennials and Gen Z are becoming the main consumers of luxury goods, seeking brands that resonate with their personal aesthetics rather than just logos [5] - Coach experienced a three-digit percentage increase in sales on Tmall's Double 11 opening day, attributed to its unique product lines appealing to younger consumers [5] - The introduction of new products is a key driver for growth, with over 200 luxury brands launching more than 10,000 exclusive items during this year's event [5]

Core Insights - The article highlights the strong performance of certain stocks during the last two months of the year, particularly in November and December, which are historically the best months for the S&P 500 [1][2][3]. Performance Analysis - Twelve stocks, including Broadcom, Tapestry, and Howmet Aerospace, have consistently outperformed the S&P 500 in the November-December period over the last five years, with an average gain of 11.4% or higher, compared to the S&P 500's average gain of 6.7% [1][2]. - The S&P 500 has recorded an average price increase of 3.1% in November and a 1.4% increase in December since 1945, with a frequency of advance (FoA) of 76% [2][4]. Notable Stocks - Broadcom has been identified as the top performer, with an average gain of 27.7% in the final two months of the year since 2020, including a nearly 37% increase last year when the S&P 500 fell [5][10]. - Tapestry has shown an average gain of 27% during the same period, with a notable 20% increase in 2022 [7][10]. - Howmet Aerospace has averaged a gain of 23.2% in the last two months of the year, with analysts projecting a 36% rise in EPS this year [8][10]. Analyst Outlook - Analysts are optimistic about Broadcom, forecasting a 39% EPS growth in 2025, despite the stock being extended from its 200-day moving average [6]. - Tapestry is expected to see an 8% EPS growth this year, while Howmet Aerospace is projected to have a stable growth trajectory [7][8].