Eugenio Catone @CatoneEugenio: "Over the past two decades,..."

Italy

Over the past two decades, Hermès has dropped by more than 40% only three times: during the Great Financial Crisis, in 2022, and today. On previous occasions, the stock always rebounded aggressively over the following quarters. Clearly, this is no guarantee of future returns, but it’s a statistic in our favor. In terms of fundamentals, Hermès continues to post a massive profit margin of around 29%, far outpacing its closest competitors (LVMH sits at roughly 13%, while others are stuck in the single digits). Revenue is growing over the long term, and the brand's exclusivity remains unmatched in the industry. In short, it’s a one-of-a-kind company going through a phase it has rarely experienced over the last twenty years. Personally, I strongly believe in a turnaround, which is why I increased my position today. Recession or not, the ultra-wealthy will keep buying Hermès. $RMS.PA (Hermes International) $FRA40 $MC.PA (LVMH Moet Hennessy Louis Vuitton SA) $KER.PA (Kering SA) $MONC.MI (Moncler)

Not investment advice. The author may have financial interests in the mentioned instruments.