< The 2016 All-Europe Research Team
Thomas Chauvet & team
Citi
First-place appearances: 1
Total appearances: 7
Team debut: 2010
Claiming the No. 3 spot on this roster is the Citi pair directed by Thomas Chauvet, which held second place the past two years. The two analysts monitor 12 companies in the European luxury goods industry, where Chauvet says competitive pressures are intensifying and pricing power is becoming more limited. “Selectivity remains key, in our view, given diverging growth patterns within the sector,” explains the London-based Chauvet, 38. Citi’s researchers dub France’s Kering their top pick in this group. The luxury and sportswear powerhouse has long been among their favorite names. This year, they advise, it is poised to benefit from an expected revival of its flagship Italian Gucci Group subsidiary, which accounts for more than 60 percent of the holding company’s annual recurring operating income, and Kering’s management might be compelled to spin off its underperforming Puma business and the entire sportswear division. “Thomas has very strong industry knowledge, particularly of what is going on in France,” one fund manager avers. “He is a good intuitive investor and is not afraid of expressing an opinion.”