Even before Kering SA’s Luca De Meo had a chance to turn around the stumbling fashion label Gucci , investors had rewarded him with a surging stock price. If the new CEO pulls it off, the shares could have a lot further to go.

That is the view of analysts such as John San Marco at Neuberger Berman, who say De Meo has already begun to put the pieces in place for a recovery, naming a new boss at Gucci and vowing to cut costs. The shares have surged 64% since news broke in June that he was joining the company; the third-quarter gain of 53% is the biggest-ever quarterly advance for Kering.

“There’s a very high ceiling if they start to get the creative and product right,” San Marco said in an interview. “The leadership overhaul we’ve seen in rapid succession threads a difficult needle of

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