For much of 2025, the global luxury sector has faced challenges stemming from uneven consumer demand, currency volatility, and a slowdown in key markets such as China.
However, the sector is showing signs of stabilization heading into 2026, with analysts increasingly expecting easing financial conditions, renewed spending by high-net-worth consumers, and a gradual recovery in demand.
Within this context, Finbold has identified two companies that are well-positioned to perform strongly in the year ahead.
LVMH Moët Hennessy Louis Vuitton (OTCPK: LVMHF)
LVMH Moët Hennessy Louis Vuitton (OTCPK: LVMHF), the world’s largest luxury conglomerate, stands out due to its dominant market position. The group’s broad exposure across fashion and leather goods, jewelry, cosmetics, and wines and spirits provides diversification that few rivals can match.
This structure allows LVMH to offset weakness in one segment with strength in another, while maintaining robust margins through brand equity and pricing power.
Analysts expect its flagship fashion and leather goods division to remain a key earnings driver, supported by global demand and continued investment in its brands.
At the same time, the company’s exposure to multiple regions, including the United States, Europe, and Asia, further enhances its ability to navigate uneven economic conditions.
Compagnie Financière Richemont (SWX: CFR)
Another luxury stock widely viewed as attractive for 2026 is Compagnie Financière Richemont (SWX: CFR). The Swiss group’s strong focus on high-end jewelry and watches sets it apart within the sector, with brands such as Cartier and Van Cleef & Arpels benefiting from particularly resilient demand.
Notably, jewelry has historically held up better than other luxury categories during economic slowdowns, and analysts expect this trend to persist as affluent consumers prioritize timeless, investment-grade items.
Richemont has also been strengthening its operational efficiency and digital capabilities, which could support margins as sales recover.
Recent upgrades from major banks reflect growing confidence that the company is well-positioned to capture a recovery in luxury spending while maintaining its premium brand positioning.
Overall, as macroeconomic pressures ease and consumer confidence improves, both companies appear well placed to benefit from a renewed upturn in high-end demand.
Featured image via Shutterstock
Source: https://finbold.com/2-luxury-goods-stocks-to-buy-in-2026/
