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How Has LVMH Performed Financially from 2018 to 2022: A Fundamental Financial Analysis of LVMH
- 1 Institute of Problem Solving, HD Shanghai Bilingual School, Shanghai, 201600,China
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Abstract
This thesis will analyze and evaluate the value of the LVMH Group from a quantitative and qualitative perspective as part of its examination and evaluation as the topic of my dissertation. We are going to examine the qualitative analysis of COVID-19, the CEO of LVMH Bernard Arnault who is the richest man in the world, and LVMH's purchase of Tiffany in the qualitative analysis. As part of the quantitative analysis, the CAPM model and the Sharpe ratio were used to examine LVMH from a quantitative perspective. In addition, we also chose DCF, WACC, and relative valuation as measures of how well LVMH is performing. In the end, it was determined through a series of analyses and assessments made at various stages in the process that LVMH's stock price has been overvalued by the market. As a result of this, the luxury industry is generating enormous revenues, and a majority of the businesses are overvalued.
Keywords
valuation, luxury industry, LVMH
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Cite this article
Zhang,X. (2024). How Has LVMH Performed Financially from 2018 to 2022: A Fundamental Financial Analysis of LVMH. Advances in Economics, Management and Political Sciences,59,306-314.
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Volume title: Proceedings of the 2nd International Conference on Financial Technology and Business Analysis
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