LVMH loses top valuation spot in France to L’Oréal

LVMH has lost its position as France’s most valuable listed company to L’Oréal. The shift follows a period of market volatility, with LVMH shares closing at 400.10 euros on Friday, marking a 37 percent decline since the beginning of the year.

Industry analysts attribute this downturn to a slowdown in the luxury sector, driven by cautious consumer spending in key markets and geopolitical tensions in the Middle East. The company recently hit a 52-week low of 395.05 euros earlier in the week.

In response to these economic pressures, the Arnault family is pursuing a structural reorganization to consolidate control over the luxury empire. This includes the merger of their holding company, Agache, with Christian Dior. The restructured Agache unit is intended to hold 49.76 percent of LVMH shares and 65.55 percent of voting rights.