American Invest Hub
  • Politics
  • Investing
  • Business
  • Latest News

American Invest Hub

  • Politics
  • Investing
  • Business
  • Latest News
Business

Here are the best and worst CAC 40 index companies of 2024

by admin November 15, 2024
November 15, 2024
Here are the best and worst CAC 40 index companies of 2024

The CAC 40 index has moved into a technical correction after crashing by over 11% from its highest level this year. It has retreated to €7,200, down by 11.50% from the year-to-date high of €8,260. It is also hovering near its lowest level since August 12. 

CAC, which tracks the biggest companies in France, has underperformed its global peers as the Nasdaq 100, S&P 500, and Dow Jones have surged to their record highs.

China’s exposure to blame

The most important reason why the CAC 40 index has underperformed its American peers because of its exposure to China.

Indeed, the top laggards in the index are those with a substantial presence in the second-biggest economy globally. 

LVMH, the biggest luxury brand company in the world, has dropped by over 34% from its highest level this year as demand from Chinese shoppers wanes. It has moved to its lowest level since October 2022. 

Kering, the parent company of Gucci, has been the second-worst-performing luxury brand this year after Burberry. Its stock has dropped to €220, a 70% drop from the highest level in 2021. It is hovering near its lowest level since 2017 after reporting weak sales and delivering several profit warnings.

Kering’s revenue dropped by 15% in the third quarter to €3.7 billion, with Gucci’s sales falling by 26% to €1.64 billion.

L’Oreal, one of the top sellers of beauty products, has also been in a deep sell-off because of its exposure to the Chinese market. Its stock is down by 27% this year, a trend that could continue after it reported weak financial results. The most recent results showed that L’Oreal’s revenues jumped by 6% to €32.4 billion as its Chinese business slowed.

Pernod Ricard, another top French giant, has plunged by over 30% this year as sales of its popular brands dropped. 

The other top laggards in the index are STMicroelectronics, Vinci, Dassault Systemes, and Eurofins Scientific, which have all crashed by over 20%.

On the other top gainers in the CAC 40 index are companies are firms like Schneider Electric, Saint Gobain, EssilorLuxottica, AXA, and Danone have all jumped by over 15% this year.

European Central Bank and Fed decisions

The CAC 40 index has underperformed as concerns about Donald Trump’s tariffs continued. He has promised to implement tariffs on most imports, including friendly nations like France and those in the European Union.

The trade volume between the two countries has risen by 32% to over $153.8 billion. Tariffs would have an impact on the trade relations between the two countries and hit top companies. 

Meanwhile, the Federal Reserve and the European Central Bank have continued to slash interest rates in the past few months. The Fed and the ECB have slashed rates by 0.75% and they will continue doing that in the coming months.

CAC 40 index analysis

CAC 40 chart by TradingView

The CAC 40 index has been in a strong downward trend in the past few months after peaking at €8,263, where it formed a double-top pattern. It dropped to a low of €7,310, its lowest level since August 14.

The index has remained below the 50-day and 200-day Exponential Moving Averages (EMA). Similarly, the Relative Strength Index (RSI) and the MACD indicators have all pointed downwards, pointing to more selling pressure.

Therefore, the index will likely continue falling as sellers target the psychological level at €7,000, its lowest level on August 5.  This view will become invalid if the index rises above the key resistance at €7,792.

The post Here are the best and worst CAC 40 index companies of 2024 appeared first on Invezz

0
FacebookTwitterGoogle +Pinterest
previous post
Top FTSE 100 and FTSE 250 shares to watch next week
next post
Ford’s $165 million safety lapse that affected 620K vehicles

Related Posts

John Lewis cuts H1 losses in half as...

September 12, 2024

Gap stock soars 15% on strong holiday sales,...

November 22, 2024

Fed Chair Powell says holding rates high for...

July 12, 2024

Johnson & Johnson to pay $6.5 billion to...

May 8, 2024

DeepSeek impact? Baidu and OpenAI offer free chatbots...

February 15, 2025

Kia’s EV sales soar 74% in US, hitting...

January 4, 2025

India’s energy transition accelerates as coal declines and...

June 5, 2025

Thames Water hit with record £123m fine by...

May 28, 2025

Long AZTA: Azenta Inc. Rebounds from $50 Support,...

February 6, 2025

IAG share price forecast ahead of earnings: will...

February 25, 2025

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest News

    • Interview: Strategic location gives Brazil Potash cost advantage in domestic fertiliser market, says CEO Matt Simpson

      June 1, 2025
    • Canada’s Q1 GDP expands by 2.2%, driven by exports spike ahead of potential US tariffs

      June 1, 2025
    • President Trump to host farewell for Elon Musk as DOGE leader steps away

      June 1, 2025
    • UK’s digital banks face divergent fortunes: Starling stumbles, Monzo and Revolut soars

      June 1, 2025
    • Trump wants Apple to shift iPhone production from India to the US: here’s what it means

      May 18, 2025

    Categories

    • Business (3,022)
    • Investing (2,459)
    • Latest News (1,994)
    • Politics (1,530)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: americaninvesthub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 americaninvesthub.com | All Rights Reserved