Richemont share price jumps after strong Q3 sales data
The Richemont share price has jumped following news of Q3 sales growth of 35% year on year
Richemont has posted a strong Q3 2022 update for the quarter ending 31 December 2021. Sales growth for the group (at actual exchange rates) jumped by 35% against the prior year’s comparative quarter, with the double digit sales growth reported across all regions channels and business areas. American and European sales saw the strongest sales growth for Richemont.
In terms of the group’s business areas, the following sales growth was realised:
Jewellery Maisons sales growth of 41% at actual exchange rates
Fashion & Accessories Maisons sales growth of +40% at actual exchange rates
Specialist Watchmakers sales growth of +29% at actual exchange rates
Richemont – Technical View
The long-term trend for Richemont remains up as the price continues to trade firmly above the 200 day simple moving average (blue line). In the short to medium term, we have seen the price rebounding from oversold territory and off range support at 21800.
The Q3 results have seen a strong gap up in price. Traders respecting the long-term uptrend will look to keep a long bias to trades on the stock. A pullback to gap support at 22915 would consider long entry with 25050 as the initial upside resistance target. A break above this resistance level (confirmed with a close, would see dotted trend line resistance at 26800 as a further upside target from the move. Traders who do find long entry might consider using a close below range support at 21800 as a stop loss indication for the trade.
In summary:
Richemont Q3 results show sales growth for the group of 35% year on year
Double digit sales growth was reported across all regions channels and business areas
Growth was led by a strong performance in the Americas and Europe
The long term uptrend for Richemont remains firmly in tact and we are seeing an aggressive short term move higher off range support
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