LVMH stock gains 1.1% as eyewear growth offsets China drag
One of the most significant recent developments is the expansion of its eyewear division, Thélios
As of July 18, LVMH stock is trading at €482.15, up 1.1% in the past 24 hours.
The stock is attempting a modest rebound following recent downward pressure. Currently, technical indicators reflect a fragile recovery phase.
Highlights
- LVMH is stabilizing above key support at €475, with potential upside toward €505 in the near term.
- Growth in the eyewear segment and AI-driven efficiencies are helping offset macroeconomic headwinds.
- Risks remain from regulatory issues in Italy and soft demand in key Asian markets.
Relative Strength Index (RSI) hovers near 39, suggesting that while the stock is no longer deeply oversold, it remains in weak momentum territory. The Moving Average Convergence Divergence (MACD) line is still negative, though the histogram shows signs of narrowing, hinting at a possible shift in momentum. Price action has found a floor around €475, where the 200-day simple moving average is providing critical support. This level has been tested multiple times in July, and buyers have so far stepped in to defend it.
Resistance, however, is forming at the €500 to €505 zone, which aligns with both short-term moving averages and a previous failed breakout from mid-June. From a broader trend perspective, LVMH remains technically neutral-to-bearish. The 50-day and 100-day moving averages are trending downward, indicating persistent bearish sentiment in the medium term.
LVMH stock price dynamics (May 2025 - July 2025). Source: TradingView
However, the stock’s ability to hold above the long-term 200-day moving average could pave the way for a consolidation pattern, particularly if upcoming earnings or macro data provide a positive surprise. Short-term traders should watch the €475 to €505 range closely. A clear break above €505 with volume confirmation could trigger a momentum move toward €520. Conversely, a breakdown below €470 could accelerate losses toward the €450 level.
Market context and developments
LVMH's performance is being shaped by both internal restructuring and external macroeconomic forces. Globally, the luxury sector has been under pressure due to slowing demand in China, inflationary trends in Europe, and increasing uncertainty over U.S. trade policy. Within this environment, LVMH is attempting to diversify and modernize its operational structure.
One of the most significant recent developments is the expansion of its eyewear division, Thélios. Sales for this unit have reportedly tripled, nearing €700 million annually. This signals a successful pivot into an underdeveloped segment that complements the group's luxury brand ecosystem. The eyewear division has also benefited from LVMH’s integration strategy and Italian manufacturing scale, which have helped to drive both margin and brand exclusivity.
In terms of leadership, the group appointed Michael Burke to head the Americas division—a move interpreted as a strategic response to tariff uncertainties and to reinvigorate U.S. market penetration. Burke, a veteran of the group, is expected to optimize regional performance through both supply chain recalibration and localized branding efforts.
LVMH price forecast
Over the next 30 days, LVMH is expected to trade within a narrow consolidation range of €475 to €505. The base case scenario anticipates stabilization within this band, supported by improving performance in the eyewear segment and cautious optimism around AI-driven operational gains. If bullish sentiment returns to the luxury sector or if the group surprises positively in Q2 results, a breakout above €505 could open a move toward €520 in the short term.
The bull case envisions a move toward €540, contingent on a meaningful rebound in Chinese luxury consumption or easing of U.S. trade concerns. On the other hand, the bear case sees a break below €470 leading to a decline toward €450, particularly if reputational or regulatory issues intensify.
LVMH’s subsidiary Loro Piana was placed under court administration by an Italian judge on July 14 over alleged labor exploitation involving third-party suppliers. Although LVMH was not directly accused, the court cited inadequate oversight of its supply chain.
