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As a reminder, the Euro STOXX 50<\/strong> is the main stock market index of the euro zone, belonging to the Deutsch B\u00f6rse group<\/strong>. As its name indicates, it covers 50 financial stocks for 8 European countries, including France and Germany,<\/strong> whose brands dominate, but also Finland, Belgium, the Netherlands, Spain, Ireland and Italy<\/strong>. It represents the equivalent of the CAC 40 in France.<\/p>\n <\/p>\n Some luxury brands are already included in the Euro STOXX 50 : LVMH, L’Or\u00e9al, Daimler AG<\/strong> and Essilor<\/strong>. Herm\u00e8s<\/strong> and Richemont<\/strong> are joining this very closed group, eclipsing Universal Music Group and Vodafone in the process.<\/p>\n <\/p>\n <\/p>\n This entry could generate new demand for the shares of these two luxury groups<\/strong>. It will also increase the visibility of the French luxury company among investors. The strong recovery of the sector, which has been able to cope with the Covid-19 pandemic and has seen strong demand for many brands, has benefited Herm\u00e8s and Richemont.<\/p>\n <\/p>\n Indeed, both companies are concluding a prolific year 2021. Herm\u00e8s<\/strong> shares reported stronger-than-expected third-quarter sales in October, up 31%. For all of 2021, sales were up nearly 90%, reaching record levels<\/strong>. “Herm\u00e8s represents quality<\/em>,” says Cedric Ozazman<\/strong>, chief investment officer at Reyl & Cie, a Swiss banking group. “It has one of the highest Ebit margins in the discretionary universe and is able to withstand recessions… while generating strong and recurring revenue growth in boom times<\/em>,” he adds.<\/p>\n <\/p>\n As for Richemont<\/strong>, sales reached 8.91 billion euros in the third quarter<\/strong>, representing organic growth of 65%. This had considerably boosted the CAC 40, which had approached 7,100 points for the first time on the morning of the announcement of the results.<\/p>\n <\/p>\n\nWhat are the consequences for Herm\u00e8s and Richemont ?<\/h2>\n