The return in close proximity to the resistance at 162.45 EUR strongly favors a scenario in which the current stock price move comes to a stop followed by an expected pull back towards 150.85 EUR.
Strengths
● The company is in a robust financial situation considering its net cash and margin position.
Weaknesses
● Technically, the stock approaches a strong medium-term resistance at EUR 168.4.
● Financial statements have repeatedly disappointed market stakeholders. Most often, they were below expectations.
● For the last few months, analysts have been revising downwards their earnings forecast.
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Christian Dior SE is a holding company organized around 6 areas of activity:
- sale of fashion products and leather goods (48.9% of net sales): primarily Louis Vuitton, Fendi, Céline, Loewe, Givenchy, Kenzo, Thomas Pink, Berluti, Pucci and Loro Piana brands;
- selective distribution (20.6%): activity ensured through Sephora, DFS, Le Bon Marché and Ile de Beauté;
- sales of watches and jewelry (12.6%): Bvlgari, TAG Heuer, Zenith, Hublot, Chaumet and Fred brands;
- sale of fragrances and cosmetic products (8.3%): fragrances (Christian Dior, Guerlain, Givenchy, Kenzo brands, etc.), makeup products (Make Up For Ever, Benefit Cosmetics, Fresh, Acqua di Parma, KVD Beauty, Ole Henriksen, etc.), etc.;
- sale of wines and spirits (7.6%): champagnes (Moët & Chandon, Mercier, Veuve Clicquot, Krug, etc.; No. 1 worldwide), wines (Dom Pérignon, Newton Vineyards, Château D'Yquem, etc.), cognacs (primarily Hennessy; No. 1 worldwide), whisky (primarily Glenmorangie) and vodka (Belvedere).
- other (2%).
Net sales are distributed geographically as follows: France (7.9%), Europe (16.4%), Japan (7.3%), Asia (30.9%), the United States (25.3%) and other (12.2%).