07:58 AM EDT, 10/05/2026 (MT Newswires) -- RBC Capital Markets made "small" changes to its forecasts for Hermès International (RMS.PA) amid a model update, taking into account adjustments to underlying assumptions and volume, price and mix expectations in outer years. The research firm trimmed its organic revenue growth estimate for 2026 to 5.9% from 6.1%, mainly driven by "slightly" lower projections for the third and fourth quarters, according to a Monday note. For 2027 and 2028, EPS estimates were reduced by 1%, along with lower revenue and adjusted EBIT assumptions. "Hermès' relative revenue/earnings growth premium to the wider luxury sector is narrowing, and therefore we anticipate its premium valuation to come into question. For Hermès to re-rate would require either a sustainable growth premium (to sector peers), increasing ROIC profile or a sector demand shock that would make Hermes relatively more attractive in our view," analysts said. The French luxury group's stock is rated sector perform, with a reaffirmed price target of 1,600 euros.

Disclaimer:This article represents the opinion of the author only. It does not represent the opinion of Webull, nor should it be viewed as an indication that Webull either agrees with or confirms the truthfulness or accuracy of the information. It should not be considered as investment advice from Webull or anyone else, nor should it be used as the basis of any investment decision.