Story Highlight
– Swatch shares peaked at CHF 200, then fell to CHF 165.
– Richemont’s shares declined 19% from CHF 162 to CHF 131.
– Watches of Switzerland Group fell 17% from £5.18 peak.
– Seiko’s share price increased 158% but retreated 20%.
– Middle East market crucial for luxury watchmakers’ sales.
Full Story
At the end of trading on Friday, February 27, shares in prominent watchmaking firms, including Swatch Group, Richemont, and The Watches of Switzerland Group, experienced significant fluctuations.
Swatch Group’s stock price increased markedly from CHF 150 in September of the previous year, peaking above CHF 200 by the end of February—an impressive surge of 33%. However, following the outbreak of conflict, shares have since retreated to CHF 165 amid global market sell-offs.
In contrast, Richemont’s stock has seen a steadier course. Six months prior, shares were valued at CHF 152, climbing to CHF 162 just before the onset of hostilities. Nevertheless, in the past three weeks, the company has faced a drop of 19%, bringing its stock price down to CHF 131.
Meanwhile, The Watches of Switzerland Group, often seen as a key indicator of Rolex’s performance in the UK and US markets, enjoyed a robust growth trajectory from September until late February, witnessing a 45% increase in its value, from £3.55 to a high of £5.18. Recently, however, this momentum has waned, with shares declining 17% to £4.31.
In addition to these major players, Citizen Watch Company reached a record share price of JPY 1,913 on February 27, but has since decreased by 14% to JPY 1,636. Despite this recent dip, shares are still up an impressive 73% over the last year.
Seiko Group Corporation’s performance has also been notable, reflecting a year-on-year increase of 158%, although the ongoing conflict has impacted their share price, which has declined by 20% from a peak of JPY 14,000 to JPY 11,210 currently.
The challenges facing these companies stem not simply from the immediate effects of the conflict on watch sales in the Middle East, but from a larger decline in consumer and business confidence. Economic shifts, including rising interest rates, inflation, and the increasing cost of living, are also contributing factors.
The affluent markets of the Middle East represent a significant opportunity for luxury watchmakers. The UAE, for instance, has emerged as the world’s eighth largest market for Swiss watch exports, with total sales reaching CHF 1.3 billion last year. In January 2026, it ranked as the sixth largest market globally.
Esteemed events such as Dubai Watch Week, which occurs in November and is set to return in 2027, highlight the UAE’s status as a pivotal hub for the watch industry. Collectively, Qatar, Bahrain, Saudi Arabia, and Kuwait imported Swiss watches worth CHF 921 million, leading to total sales of CHF 2.21 billion in the Gulf Cooperation Council (GCC) region in 2025.
If evaluated as a single market, the GCC would rank as the second largest globally, underscoring the high stakes for the Swiss watch sector during the current turmoil.
