Barclays cuts Hermes, cites less need to favor defensive names in 2026

Moncler

04/11/2025 11:21

** Barclays downgrades French luxury group Hermes HRMS.PA to "equal weight" from "overweight", citing fewer catalysts in the short term

** It expects Hermes' revenue outperformance versus peers to narrow in 2026 as the broader luxury sector is poised for a rebound, making its defensive profile less preferable

** A demanding valuation also supports the downgrade, the broker says, cutting its PT by 8% to 2,310 euros

** It upgrades Italy's Moncler MONC.MI to "overweight", flagging an "opportunity for a catch-up" after the stock's recent underperformance

** Shares in Hermes fall around 2%, compared to the STOXX Europe Luxury 10 .STXLUXP index sliding 1.8%

 (Reporting by Gianluca Lo Nostro)

 ((gianluca.lonostro@thomsonreuters.com;))