Richemont 1H earnings beat market expectations
Nicolas Suiffet November 6, 2020 9:24 AM
Richemont, a luxury goods holding company, posted 1H net profit sank 82% on year to 159 million euros and operating profit declined 61% to 452 million euros.
Richemont, a luxury goods holding company, posted 1H net profit sank 82% on year to 159 million euros and operating profit declined 61% to 452 million euros on revenue of 5.48 billion euros, down 26% (-25% at constant exchange rates). Richemont 1H figures beat market expectations. In addition, the luxury group announced a collaboration between the online sales platform Farfetch and Alibaba in China.
From a chartist’s point of view, the stock price escaped from its lateral consolidation move thanks to a bullish gap opened this morning. However, prices remain capped by a declining trend line in place since 2018 highs. A price pullback cannot be ruled out towards the new support threshold at 63.4CHF before prices resume their up trend. A break above 72.3CHF would validate a bullish signal and would call for a recovery towards 82.1CHF and 89.5CHF. Alternatively, a push below 63.4CHF would open a path to see the key horizontal support at 56.2CHF.
Source: GAIN Capital, TradingView
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