On Tuesday, he gave back some of those gains. LVMH shares fell 5% in Paris — the most in more than a year — amid a broader decline that erased about US$30 billion from the European luxury sector.
Even with the selloff, the French billionaire still has a net worth of US$191.6 billion, according to the Bloomberg Billionaires Index. He’s added US$29.5 billion so far this year.
The gap between the fortunes of Arnault and Tesla Inc.’s Elon Musk, the world’s second-richest person, has shrunk to just US$11.4 billion.
Tuesday’s rout came after a lengthy rally in LVMH’s share price, which is still up 23% for the year. The MSCI Europe Textiles Apparel & Luxury Goods Index has surged 27%.
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Attendees at a luxury conference in Paris organized by Morgan Stanley flagged a “relatively more subdued” performance in the US, according to Edouard Aubin, an analyst at the investment bank.
Deutsche Bank AG analysts Matt Garland and Adam Cochrane said in a note that they expect investors to become more selective with European luxury stocks, with slowing growth in the US a concern.
