Hermès International S.C.A. (Euronext Paris: RMS.PA)

Hermès is the most exclusive luxury brand in the world, and it's not particularly close. Annual revenue exceeds €13 billion (~$14 billion), with operating margins above 40% — unheard of in retail. The Birkin bag, with waitlists stretching years and resale values exceeding retail, is the ultimate status symbol. The company also sells silk scarves, leather goods, ready-to-wear, perfume, and watches. The Hermès family still controls the company through a complex holding structure.

Direct retail through about 300 company-owned stores worldwide generates the vast majority of revenue. Hermès deliberately constrains supply to maintain exclusivity — you can't just walk in and buy a Birkin. Leather goods and saddlery (~42% of revenue) are the core, followed by ready-to-wear, silk, and other categories. The company has virtually no discounting and no outlet stores.

Thierry Hermès founded the company in 1837 as a harness workshop serving European noblemen. The first Hermès handbag was created in the 1920s for his wife. The Kelly bag was renamed after Grace Kelly in 1956, and the Birkin was created in 1984 after a chance meeting between CEO Jean-Louis Dumas and actress Jane Birkin on a flight. LVMH's Bernard Arnault secretly accumulated a 23% stake in 2010, triggering a bitter family defense that ultimately repelled the takeover attempt.