LVMH Stock Surges As Luxury Goods Maker Appoints Longtime Arnault Confidante To Lead Americas Turnaround: Retail Remains Bearish

LVMH Moët Hennessy Louis Vuitton (LVMH) has appointed veteran executive Michael Burke to lead its Americas operations, reinstating a trusted fixer to tackle some of the group’s most pressing problems in the region.

LVMH stock was up nearly 2% on Tuesday. Retail sentiment on LVMH was in the ‘bearish’ territory currently, compared to ‘neutral’ a month ago, according to Stocktwits data.

Burke, 68, who has worked with CEO Bernard Arnault since the 1980s, will take charge of LVMH’s North and South American operations. He will report directly to Group Managing Director Stéphane Bianchi, Bloomberg reported, citing an internal company memo.

The report added he will also become the non-executive chairman of the U.S. jeweler Tiffany & Co, which LVMH bought in 2021.

LVMH is contending with waning U.S. demand as organic sales decline and escalating tariff costs put pressure on margins. Signs of luxury fatigue among American shoppers have spurred the group to recalibrate its regional strategy.

Burke’s appointment follows LVMH's effort, bringing in someone well-known to the company to spearhead a turnaround in the region.

He joined Arnault with responsibility for investments in the United States before becoming CEO of Christian Dior USA from 1986 to 1992, and then of Louis Vuitton North America from 1992 to 1997.

Burke has, after this, held a series of top leadership roles across LVMH’s portfolio, including Managing Director of Christian Dior Couture, Chairman and CEO of Fendi, Bulgari, and Louis Vuitton.

He became Chairman of Tiffany's board in 2021 and later served as Advisor to the Chairman in 2023. In February 2024, Burke was named to lead the LVMH Fashion Group as Chairman and CEO, overseeing brands such as Celine, Givenchy, Loewe, and Marc Jacobs.

However, media reports from last year stated that Burke had to step aside from the role due to personal reasons.

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