Cettire vs global luxury groups Interesting to see the recent divergence of share price between global luxury groups (LVMH, Kering) and Cettire.
Since the announcement of new policies in China (focusing in particular on reducing inequalities), the market has considered that luxury groups could be affected. As a result, luxury group share prices have corrected as Chinese customers account for 45 % of the world's spending on luxury (according to an article this week in The Economist).
During the same period, Cettire has reached new record and outperformed LVMH share price by 55 % (!) since Aug 12 (outperformance vs Kering is even higher). Main reason I can see for this trend : for now, Cettire has a limited exposure to Chinese consumers.
I don't think that they disclose a clear figure on their Chinese customer exposure, but there are different ways to check this limited exposure : - according to their last annual report, 76 % of Cettire sales were done in the US and Australia, - based on Similarweb figures, just 4 % of the traffic on their website came from HK (China is not among the top 5 countries for traffic).
