Swatch rises as CEO says company can soften U.S. tariff blow, analysts say

Swatch groupAG

27/08/2025 14:01

** Shares in Swatch UHR.S spike 5% after the Swiss watchmaker's CEO says the company will be able to partly offset an impact from U.S. tariffs through price increases, analysts say

** Swatch CEO Nick Hayek said on call with analysts and investors the company is able to ease the tariffs' impact with 5-10% price increases as the end consumer demand in America is very strong, Luca Solca, analyst from Bernstein says

** Rey Wium, analyst at Anchor Stockbrokers, also points to the company's commentary on the impact of U.S. tariffs

** "There is no expectation that price elasticity will be a problem," Solca adds

** Shares in peer Richemont CFR.S are up 2.6%

** Switzerland has been particularly hard hit by Washington's trade policy under President Donald Trump, who earlier this month ratcheted up U.S. tariffs on Swiss imports to 39%

 (Reporting by Amir Orusov; Editing by Matt Scuffham)

 ((Amir.orusov@thomsonreuters.com))