Why was there crowd trouble outside Swatch stores this weekend?
Police were called to shops in the UK and Europe at the weekend as crowd trouble broke out over the launch of a new watch.
The Swatch Group: The Price Recovery Can Continue
The Swatch Group AG has seen exceptional price performance YTD, rising by 29% YTD to touch one-year highs, compared to a 9% drop in the S&P Global Luxury Index. Early signs of the forecast luxury sector recovery are already playing out as peers like LVMH see a small uptick in revenues, supported by the Asia ex-Japan market. The stock's dirt-cheap market valuations also work in its favour, while the revival of the luxury market raises hopes of revenue growth and possible margin expansion.
The Swatch Group: 4 Reasons To Buy Now (Rating Upgrade)
The Swatch Group AG is upgraded to a 'Buy', driven by a robust H2 2025 turnaround and exceptionally low forward P/E. SWGAY's Q4 2025 saw healthy sales growth, with China and the Americas seeing encouraging trends. While the margin contracted, it can at least partly be attributed to investments and strategic decisions. Substantial growth and margin expansion are expected for 2026, while the forward P/E is low. Risks from both competitors and the market exist, but there's still a Buy case here.
Swatch Group: The Opportunity I'm Seeing
Swatch Group, a Swiss holding company with premium watch brands like Omega and Blancpain, is rated a "BUY" due to its valuation decline. Despite it not being the 'top' investment idea, Swatch Group offers potential upside and a 15-16% annualized RoR if you agree with the market premiumization. The company has a rich history, vertical integration, and global operations, with annual sales exceeding 6.7B CHF and a 10%+ operating margin.
Swatch Group: Slowdown Creates Opportunity
Swatch Group faced a tough H1 2024 with a 15% revenue drop and a 73% EPS decline due to FX headwinds and high tax rates. Despite weak results, Swatch retained employees and maintained investments, showing resilience with a positive working capital of 9B CHF. The company anticipates recovery, focusing on lower-priced watches in China and growth in the US and Japan, with cost-cutting boosting margins.
Here's why Swatch Group and Richemont shares are crashing
The Swatch Group (UHR) and Richemont (CFR)) share prices have crashed hard in the past few months as investors dump luxury goods companies. Richemont stock was trading at CHF 120, down by over 23% from its highest point this year.
The Swatch Group: A Luxury Leader At A Fraction Of Its Liquidation Value
The Swatch Group, a leading Swiss watch manufacturer, has seen its shares collapse by 70% since 2014 due to financial underperformance and unfriendly shareholder ownership. At the current price, this company offers an extremely low PER, a decent dividend yield, and clear downside protection thanks to a liquidation value 2-3x its current market capitalization. The company has a diverse brand portfolio with a strong, global anchor brand in Omega, unparalleled vertical integration including watch components manufacturing and retailing, and a debt-free balance sheet.
