Kering (OTCMKTS:PPRUY) Hits New 12-Month Low – Here’s What Happened

Shares of Kering SA (OTCMKTS:PPRUY) reached a new 52-week low during trading on Thursday. The stock traded as low as $22.82 and last traded at $22.82, with a volume of 493,658 shares traded. The stock had previously closed at $24.75.

Key Headlines Impacting Kering

Here are the key news stories impacting Kering this week:

• Positive Sentiment: Kering’s Eyewear and Jewelry divisions continued to post positive trends during the third quarter, providing some diversification from Gucci’s weakness. Kering Eyewear and Jewelry divisions maintain positive trends in Q3
• Neutral Sentiment: Third-quarter group revenue was broadly flat to slightly lower and generally in line with expectations, but the lack of meaningful growth offers little evidence that a broader turnaround is underway. Kering third-quarter revenue performance
• Negative Sentiment: Gucci sales fell approximately 5% to 6% in the third quarter, with weak Chinese demand dampening hopes for a rapid turnaround. Because Gucci generates close to half of Kering’s revenue, its underperformance has an outsized effect on earnings expectations. Gucci sales drop in third quarter
• Negative Sentiment: Investors are also selling luxury stocks broadly as Chinese consumers reduce spending and an industry-wide recovery remains elusive, affecting Kering alongside LVMH and Hermès. Luxury brand stocks plunge amid declining sales
• Negative Sentiment: The shares have broken below their 50-day moving average and are trading near the 52-week low, signaling deteriorating technical momentum and reinforcing investor concerns about further weakness. Kering stock breaks below 50-day moving average

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the company. The Goldman Sachs Group began coverage on Kering in a report on Sunday, October 4th. They issued a “neutral” rating for the company. Royal Bank Of Canada restated a “sector perform” rating on shares of Kering in a report on Wednesday, July 29th. Zacks Research raised Kering from a “strong sell” rating to a “hold” rating in a research report on Wednesday, August 12th. HSBC upgraded Kering from a “hold” rating to a “buy” rating in a research note on Wednesday, July 29th. Finally, Deutsche Bank Aktiengesellschaft reiterated a “hold” rating on shares of Kering in a research note on Wednesday, August 12th. Three investment analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Kering presently has a consensus rating of “Hold”.

Kering Stock Down 8.4%

The company has a debt-to-equity ratio of 0.65, a current ratio of 2.05 and a quick ratio of 1.57. The business’s fifty day moving average is $26.37 and its 200-day moving average is $28.45.

About Kering

Kering is a France-based global luxury goods group that develops, manages and distributes fashion, leather goods, jewelry, watches, eyewear and beauty products through a portfolio of luxury houses. Its brands serve customers through directly operated stores, e-commerce platforms, wholesale partners and other distribution channels across major markets worldwide, including Europe, North America and Asia-Pacific.

The group’s principal houses include Gucci, Saint Laurent, Bottega Veneta, Balenciaga, Alexander McQueen, Brioni, Boucheron, Pomellato, DoDo and Ginori 1735.