Richemont at Record High After Surprisingly Strong Quarter

The numbers sparked enthusiasm on the stock market: Richemont shares climbed 6.4 percent to 195 Swiss francs as the top performer in the SMI blue-chip index, surpassing the previous record of just over 190 francs reached at the end of June. Deutsche Bank had only rated the stock at "Buy" on July 13, 2026, after it had previously been rated, among others, at "Sector Perform" by RBC Capital Markets on July 2, 2026, at "Overweight" by JP Morgan Chase & Co. on July 9, 2026, and at "Outperform" by Bernstein Research on June 29, 2026.

Jewelry Business as Growth Driver

The main driver of the development was the jewelry business: Revenue from maisons such as Cartier and Van Cleef & Arpels rose by 21 percent to 4.37 billion euros in the reporting period, or 24 percent on a currency-adjusted basis. In the watch segment with brands such as IWC and Piaget, revenue grew by 6 percent to 873 million euros, or 8 percent on a currency-adjusted basis. The group's management, including Chairman Johan Rupert, remains characteristically tight-lipped about forecasts.

Regionally, business also developed on a broad footing. In the Asia-Pacific region, which had suffered just a year earlier from weak consumer activity in China, Macau, and Hong Kong, revenue grew 21 percent on a currency-adjusted basis. In the Americas, revenue rose by as much as 27 percent, supported by persistently strong demand in the USA. The Middle East and Africa region grew by 3 percent despite the crisis in the Middle East, while the China business as a whole recorded double-digit growth.

Mixed Picture on European Stock Markets

Other European stocks also attracted attention on Tuesday. At the top of the gainers, alongside Richemont, was the luxury group LVMH, whose shares gained 2.5 percent in the Euro Stoxx 50 – LVMH added 2.5 percent. Burberry gained 2.8 percent in London. At the online pharmacy DocMorris, strong growth in the prescription medications business in Germany drew applause: DocMorris shares climbed by nearly eight percent, as the online pharmacy's stock continued its upward flight and marked new annual highs. Compared with the annual lows in March, the price is heading toward a tripling. The robust growth in the German prescription medications business in particular was well received. This had accelerated significantly compared with the first quarter and was the main reason DocMorris had exceeded revenue expectations. Analysts now see the company on track to reach operational profitability.

At Dutch chip equipment maker ASML, AI euphoria meanwhile drove prices higher: Net profit of 2.9 billion euros in the second quarter. Driven by high demand for AI chips, the chip equipment maker ASML exceeded market expectations in the second quarter and raised its full-year targets once again, the Dutch group announced.

BASF Under Pressure, ASML Benefits from AI Boom

The chemicals sector had less luck. The most significant declines were seen in the chemicals sector. Here, BASF shares lost 1.9 percent. The US bank JPMorgan kept its rating for BASF at "Underweight". Overall, Europe's leading stock exchanges were mostly in negative territory, so that positive individual news from the luxury segment could not support the broader market.

In previous quarters, Richemont had already posted strong gains: In the final quarter of the past fiscal year, revenue had grown 16 percent on a currency-adjusted basis. The current jump to a new all-time high underscores that the recovery in the luxury segment has become broader and more robust than expected at the beginning of the year. Comparisons with competitors in the premium segment also look favorable; LVMH shares benefited less strongly but confirmed with a gain of 2.5 percent the recovery trend in the European luxury sector.

It remains noteworthy that Richemont, as is customary at the start of a quarter, provides no information on earnings development. Investors therefore had to rely solely on the revenue figures – and these sent a clearly positive signal: A currency-adjusted increase of 20 percent in a global luxury group of this size is an upward outlier.

The day before, the major European stock exchanges had already mostly presented a weak picture before the business figures from the luxury segment triggered a shift in sentiment. Overall, the picture for Richemont remains clearly positive: The company is growing significantly faster than the consensus expected, the jewelry segment remains the central growth driver, and the geographic diversification – from the Americas through Asia to Europe – gives the upward movement additional stability.

The report was filed from Geneva.