Værdiansættelse af LVMH

Marcus B. Nordfalk

Studenteropgave: HD-afhandlinger

Abstract

Through this assignment, an attempt will be made to find out whether the market value of LVMH is reasonable based on a DCF model, as well as an accounting and profitability analysis. LVMH is a large conglomerate company with 75 brands under it. All in the luxury category. LVMH stands for Louis Vuitton, Möet & Hennessy, and is just a part of all the luxury brands they have under them. At the beginning of 2022, LVMH was Europe's most valuable company. The man who owns the majority of the company, Bernard Arnault, was at the end of 2021, the richest man in the world. The reason for both things, was among other the large increase that has been in the LVMH share price. From 29.01.2019 to 29.01.2022, the share had risen more than 185%, where the SP500 had risen 85% in the same period An accounting analysis and profitability analysis, show that LVMH has been accelerating, but with the exception of 2020, where they have been affected by Covid-19. They provide some really nice key figures that accelerate growth while increasing the profit margin. A competitor analysis shows that they perform marginally worse than their competitor Kering, which i.a. has Gucci etc. But Kering Group, which is primarily only in fashion, clothing, bags, etc. Has a much smaller turnover, as well as business volume. This may be one of the reasons why they do not perform quite as well. But the figures also show that LVMH in 2021 will come strong again, and show if it continues, they can possibly outperform their competitors on the various parameters. After the anays has shown that LVMH delivered some great results, a forecast model has been made that shows EBIT has increased on average 30% per year. These parameters as well as some others have been added in the DCF model, which showed that although LVMH has increased very much, it is justified. It even shows that there is room for a little more. When the assignment started, the share was at 719 EUR. However, after a general decline in the market, affected by the war between Ukraine and Russia, it has been down to just over 600 EUR. DCF came with a result of 790 EUR per. shares.

UddannelserHD Finansiel Rådgivning, (HD uddannelse) Afsluttende afhandling
SprogDansk
Udgivelsesdato2022
Antal sider75
VejledereLeif Christensen