Kering shares are posting a very slight gain in early Friday trading at the end of a week dominated by unconvincing quarterly results and an investor day that did not act as the catalyst so eagerly anticipated by analysts.

Around 10:15 a.m., the luxury group's stock is up 0.3% at 246.9 euros, though it remains on track for a decline of more than 11% over the week. This represents one of the sharpest weekly retreats on the CAC 40.

A presentation lasting over three hours

Luca de Meo certainly did not spare any effort. For more than three hours yesterday in Florence, Kering's CEO focused on presenting his new roadmap to the financial community. Dubbed ReconKering, the plan is intended to guide the recovery of the company's earnings in the coming years.

The objective is to reset brand desirability, strengthen operational execution, and reposition the group on a long-term value creation trajectory.

The owner of Gucci, Saint Laurent, and Boucheron stated its intention to prioritize the logic of True Luxury - based on creativity, craftsmanship, and product excellence - while developing the capabilities necessary to support the emergence of Next Luxury, which blends technological innovation, new customer aspirations, and fresh product segments.

The plan is structured into three phases, with a "reset" period expected to last until the end of 2026 to facilitate a structural overhaul and the restoration of financial discipline. The "rebuild" phase, scheduled for 2027-28, is intended to return the group to sustainable growth and improved profitability.

Finally, the "reclaim" home stretch planned for 2029-2030 aims to regain an undisputed leadership position in the sector.

In terms of profitability, Kering notably aims to more than double its recurring operating margin rate compared to the 2025 fiscal year.

A structural plan, but no element of surprise

According to analysts, this strategy did not cause any real surprise, as the group's management had already had the opportunity to unveil its broad outlines in recent weeks.

The prospect of doubling the operating margin by 2030 was also already priced in by the market.

In a sign that these announcements were largely anticipated, Kering shares had fallen by more than 3% yesterday following De Meo's presentation.

At TP ICAP Midcap, however, experts refer to a "structural" moment in the group's recovery sequence.

"The message delivered is coherent, ambitious, and significantly more structured than in the past, but it also confirms that the turnaround will be gradual, spread over time, and very largely dependent on Gucci," notes Sarah Thirion, the equity analyst covering the stock at the brokerage firm.

Execution under close scrutiny

The general consensus is that the central question remains the trajectory of Gucci, the group's true profit center.

"To achieve the positive growth targeted for 2026, Gucci will have to produce a significant improvement in its growth quarter after quarter," the teams at Oddo BHF point out. "We remain cautious at this stage," the Parisian private bank states.

The Italian label, which remains the major weak spot in the business, saw its revenue decline by 14% on a reported basis in the first quarter and by 8% organically, whereas the consensus had hoped for a limited decline of 6%.

This disappointment led to a drop of more than 9% in Kering's share price on the Paris Stock Exchange on Wednesday.

Taking note of the disappointing performance of the brand with the two interlocking Gs, Jefferies analysts decided yesterday evening to lower their price target on the stock from 280 to 250 euros. Their recommendation remains at Hold.

At UBS, the vision is welcomed as encouraging, but the project is seen as a work in progress.

"Kering's new CEO has laid the foundations for a pragmatic reset, but the real test will be the ability to transform this strategy into profit acceleration," warns the Swiss bank, which maintains its Neutral rating with a target of 271 euros.