LVMH, headed by Bernard Arnault, has become the first European company to exceed $500 billion in market cap after a strong first quarter stock market surge. Photograph: Stefano Rellandini / AFP via Getty ImagesLVMH became the first European company to hit $500 billion in market capitalisation on Monday after its share price rose and the euro strengthened against the dollar, as the luxury sector continues to benefit from China’s reopening. Shares in the Paris-listed company edged up 0.
This marks the first time a European company has ever surpassed the figure, according to Bloomberg. The second and third-biggest companies on the benchmark European Stoxx 600 index are valued significantly lower than LVMH. Nestlé, the world’s largest food company, and Danish drugmaker Novo Nordisk have market capitalisations of €326 billion and €272 billion respectively.
Other luxury goods companies in the top 10 include the world’s largest beauty company L’Oréal and Hermès, with Christian Dior just behind. LVMH is controlled by billionaire Bernard Arnault. France’s stock exchange, the Cac 40, has risen 17 per cent in the year to date as investors pile into luxury goods groups. Shares in LVMH, the world’s biggest luxury group, have outpaced the index, climbing 32.9 per cent so far this year.