Carrefour shares suffer their worst plunge since 2008

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Carrefour shares suffer

Damage from riots could reach €200 million

Carrefour became the first major retailer to publicly assess the financial impact of the widespread protests in France. The company is particularly vulnerable because of its large number of stores in central Paris, suburban areas, and other cities.

Carrefour CEO Alexandre Bompard told analysts that around 50 of the chain's stores were affected on the first day of looting. The company estimates that the maximum negative impact of the unrest on its profitability could reach €200 million ($225 million).

Morningstar analyst Verushka Shetty considers the revised financial outlook cautious but justified. However, other experts are more pessimistic about the company's prospects.

Analysts downgrade Carrefour shares

Kepler Cheuvreux analyst Francois Digard downgraded Carrefour shares from "buy" to "hold." In his view, the company is entering an extremely difficult period, while the events unfolding in France are raising doubts about the attractiveness of the local market to investors.

"Unfortunately, who wants to invest in France under such circumstances?" Digard wrote in a research note.

Morgan Stanley, CIC Market Solutions, and UBS also downgraded Carrefour shares. According to Bloomberg data, the company now has just five "buy" ratings, 11 "hold" ratings, and two "sell" ratings. Analysts have also lowered their earnings forecasts.

The latest plunge has largely erased Carrefour's strong performance in 2026. By the end of last week, its shares had gained 17% since the beginning of the year, putting the company on track for its best annual performance since 2013. However, the widespread unrest has sharply changed investor sentiment.

Why did mass riots break out in France?

Mass riots erupted in France on October 17 amid nationwide protests against the rising cost of living and deteriorating conditions in educational institutions. The protest movement began in late September among school and university students, but gradually attracted trade unions and members of the Yellow Vests movement. According to France's Interior Ministry, around 550,000 people took to the streets on October 17. Peaceful demonstrations in Paris and other cities escalated into clashes with police, vehicle fires, and widespread looting of stores.

The unrest affected not only major retail chains such as Carrefour, Monoprix, and Franprix, but also clothing and electronics stores, banks, and small businesses. Riots spread across Paris, Marseille, Lyon, Bordeaux, and other cities. According to preliminary estimates from the French retail federation, around 1,500 retail businesses were damaged, with total losses estimated at hundreds of millions of euros. Police officers and protesters were also injured in the clashes, while authorities detained around 2,400 people over the weekend.

As previously reported, supermarket chain Carrefour lowered its 2026 profit forecast.

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