Gucci stock market soars 10% on reports of new CEO

The news that Luca de Meo is set to be the next CEO of Kering , which owns Gucci, is getting investors excited. Proof of this is the group's shares rising almost 10% in Monday's session.

On Sunday, Renault announced that its CEO will leave the group in mid-July. According to French newspaper Le Figaro, Luca de Meo is expected to later be appointed CEO of Kering, the group that owns the Gucci brand, among many others.

With over 30 years of experience in the automotive group, de Meo is renowned for his proven track record in revitalizing struggling companies. At Kering, he will find a group with a high level of debt and struggling with sales (a year-on-year decline of 14% in the first quarter of 2025).

The reaction in the markets is one of clear optimism, with shares rising 9.87% to 189.62 euros. In the last 12 months, shares have fallen more than 42%, which is a testament to the difficulties Kering is facing.

At the helm of Renault since 2020, Luca de Meo has helped the group come to life. He has cut costs, workforce and production capacity. The success has been such that market capitalization has increased by 90% in that period.

Now, in Monday's session, Renault is feeling the effects of the announcement that Luca de Meo will leave that position. Proof of this is that the shares are falling 6.02% to 40.45 euros.