Stock · OR.PA · Consumer Defensive

LOréal S.A.

France · Large Cap · Revenue 2025 €44.1B

Price as of 11/06/2026

StockScorer score
4.5
of 10 5 of 11 points Low Match To the score
Price
€449.80
1 Y +17.4%
Market cap
€240.1B
Phase
Payout
core business profitable, at least half of operating cash flow goes to shareholders
Revenue +4.8% a year (3 years)EBIT margin 20.2%Payout 50.2% of operating cash flow

L'Oréal S.A., through its subsidiaries, manufactures and sells cosmetic products for women and men in Europe, North America, North Asia, South Asia Pacific, the Middle East, North Africa, Sub-Saharan Africa, and Latin America.

moreless

L'Oréal S.A., through its subsidiaries, manufactures and sells cosmetic products for women and men in Europe, North America, North Asia, South Asia Pacific, the Middle East, North Africa, Sub-Saharan Africa, and Latin America. It operates through four divisions: Professional Products, Consumer Products, Luxe, and Dermatological Beauty. The company offers skincare, make-up, hair colourant, haircare, perfume, and hygiene products. It provides its products under the L'Oréal Paris, Garnier, Maybelline New York, NYX Professional Makeup, Stylenanda, Essie, Dark & Lovely, Mixa, Niely, L'Oréal Professionnel, Kérastase, Redken, Matrix, Pureology, Lancôme, Yves Saint Laurent Beauté, Armani Beauty, Kiehl's, Helena Rubinstein, Aesop, Biotherm, Valentino, Prada, Shu Uemura, IT Cosmetics, Mugler, Ralph Lauren, Urban Decay, Azzaro, Maison Margiela, Viktor&Rolf, Takami, La RochePosay, CeraVe, Vichy, SkinCeuticals, Skinbetter Science, and other brand names. The company sells its products through distribution channels, such as hair salons, local stores, e-commerce, travel retail, mass market retail, department store perfumeries, pharmacies, drug stores, medi-spas, and free-standing stores. L'Oréal S.A. was founded in 1909 and is headquartered in Clichy, France.

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Summary

LOréal S.A. is above the middle of the Consumer Defensive sector overall

61.5 of 100

Mean of the six area values. Each area value is the mean of the stock's ranks among the companies in its sector. 50 is the middle of the sector, not a share of companies beaten.

Analysis

What the price requires

The price requires 15.4% FCF growth a year, more than achieved over the last 5 and 10 years.

If free cash flow stays at €7.2B (2025), it supports €79.6B. The remaining €160.6B of the market value assume it grows 15.4% a year for 10 years and not at all afterwards.

Required FCF growth per year

15.4%

no growth afterwards

Market value breakdown€240.1B market value, price as of 11/06/2026

€79.6B without growth
€160.6B priced-in growth
  • 5 yrs achieved 7.4%
  • 10 yrs achieved 8.5%
  • priced in 15.4%

4 signs support the expectation, 1 speaks against it.

What supports it

with respect to the priced-in expectation

  • High, stable gross margin median 73.1%, range 2.7 pp (10 years)
  • High return on capital every year ROCE at least 16.0% (10 years)
  • Low capital needs capex median 3.7% of revenue (10 years)
1 more
  • Steady FCF margin at least 12.9%, range 6.7 pp (10 years)

What speaks against it

with respect to the priced-in expectation

  • Expectation above the company's own record priced in 15.4%, achieved at most 8.5%

Since the last quarter

Q3 2025 → Q3 2026

Mostly worse than the previous quarter: 1 of 1 change for the worse.

  • Net debt€4.0B → €12.7B+216.1%worse

1 more unchanged: Shares outstanding

Derivation

How the sector comparison is derived

Each area value is the average of its metrics' ranks within the sector (0 to 100, 50 is the middle). For metrics where lower is better, the rank is mirrored. The overall value is the average of the area values.

Price as of 11/06/2026.

Profitability85.6above the middleEarns more than the sector: Gross margin 74.32%, sector 35.78%.
MetricStockSector medianPosition in sector
Return on equity17.53%12.35%Rank 69
Return on capital (Greenblatt)69.98%20.14%Rank 88
EBIT margin20.19%9.44%Rank 86
FCF margin16.26%6.71%Rank 88
Gross margin74.32%35.78%Rank 97
Growth49.9around the middleGrows about as fast as the sector.
MetricStockSector medianPosition in sector
Revenue growth, 1 year1.30%2.12%Rank 41
Earnings growth, 3 years per year2.54%5.20%Rank 44
Earnings growth, 5 years per year12.52%6.07%Rank 72
Sustainable growth (ROE × retained earnings)3.39%3.77%Rank 43
Valuation17.0below the middleValued higher than the sector: EV/sales 5.50, sector 1.51.
MetricStockSector medianPosition in sector
Earnings yield2.54%4.25%Rank 20
FCF yield2.98%5.05%Rank 20
EV/saleslower is better5.501.51Rank 7
EV/EBITlower is better27.2416.74Rank 21
Momentum84.3above the middleShare price doing better than the sector: Share price, 3 months 21.69%, sector 9.00%.
MetricStockSector medianPosition in sector
Share price, 1 year17.37%3.24%Rank 75
Share price, 6 months24.40%11.30%Rank 86
Share price, 3 months21.69%9.00%Rank 92
Distance from 52-week high−1.27%−7.96%Rank 85
Quality58.0around the middleQuality about like the sector.
MetricStockSector medianPosition in sector
Accruals (Sloan)lower is better−1.90%−0.99%Rank 62
Change in share countlower is better−0.13%−0.62%Rank 41
Dividend streak in years355Rank 94
Price reaction to results, market-adjusted−0.92%0.22%Rank 35
Balance sheet & risk74.2above the middleLess risk than the sector: Equity ratio 56.54%, sector 41.95%.
MetricStockSector medianPosition in sector
Equity ratio56.54%41.95%Rank 82
Net debt/EBITDAlower is better0.191.96Rank 79
Debt to equitylower is better0.340.67Rank 76
Volatility, 1 yearlower is better25.22%25.82%Rank 60

Ten years in figures

Revenue from €24.9B (2016) to €44.1B (2025), 6.5% a year.

Fiscal years, amounts in EUR
YearRevenue, €BEBIT marginFCF, €BSharesNet debt
201624.918.1%3.4565M−€481.4M
201726.018.0%3.9564M−€1.9B
201826.918.3%3.9563M−€2.8B
201929.918.6%5.0563M−€2.4B
202028.018.6%5.5562M−€3.9B
202132.319.1%5.7560M€3.6B
202238.319.5%4.9538M€3.0B
202341.219.8%6.1537M€4.4B
202443.520.0%6.6536M€4.4B
202544.120.2%7.2535M€2.1B
4.5 / 10Low MatchStockScorer score5 of 11 points

3 of 7 StockScorer Score rules met · How the score is built

LOréal S.A. mainly meets criteria in the Profitability category. Result from 18 strategies checked.

This stock · Profitability: 100%This stock · Growth: 0%This stock · Valuation: 0%This stock · Momentum: 0%Median of all stocks · Profitability: 33%Median of all stocks · Growth: 0%Median of all stocks · Valuation: 0%Median of all stocks · Momentum: 0%50%100%ProfitabilityGrowthValuationMomentumThis stockMedian of all stocks

How LOréal S.A.'s score is built

LOréal S.A. is rated here with the StockScorer Score strategy, the flagship rule set. It compares return and cash-flow metrics with the median of the company's own sector and checks growth and price trend.

3 of 7 rules met

5 of 11 points

  1. Free cash flow yield above the sector mediannot met0 of 2 points
  2. Return on capital (Greenblatt ROC) above the sector medianmet2 of 2 points
  3. Return on equity above the sector medianmet1 of 1 point
  4. Free cash flow margin above the sector medianmet2 of 2 points
  5. Revenue growth above 15%not met0 of 2 points
  6. 3-year earnings growth above 12% p.a.not met0 of 1 point
  7. 12-month share price more than 20 percentage points ahead of the marketnot met0 of 1 point
  8. Exclusion: financial and real estate stocksdoes not apply

Detail data

How does LOréal S.A. stock perform across 18 strategies?

Excerpt from 18 strategies checked. The full evaluation is visible after a free sign-up.

12 more strategies locked

With a free account, you can see the match across all strategies checked in one complete overview.

  • StockScorer Score
  • Altman Z-Score: Stress Test
  • Earnings Quality: Accrual Check (Sloan)
  • Magic Formula: Value + Quality
  • Levermann Strategy (13 Criteria)
  • Balanced GARP
  • Dividend Aristocrats & Continuity
  • Undervalued Stocks: Multi-Factor Check
  • Acquirer's Multiple: EV/EBIT Deep Value
  • High-Growth / Rule of 40
  • PEG Strategy (inspired by Peter Lynch)
  • Trending Value: Value + Momentum

LOréal S.A. key metrics: P/E, P/B and equity ratio

Selected fundamental metrics for LOréal S.A.

MetricStockSector
P/E ratio39.322.8
P/B ratio6.92.6
Return on equity (ROE)17.5%12.3%
Equity ratio56.5%42.0%
Debt-to-equity (D/E)0.340.67
Dividend yield1.6%2.6%

Similar stocks in Consumer Defensive

How comparable stocks in the same sector score in the StockScorer model.

SymbolCompanyRating
OR.PALOréal S.A.this page
PGProcter & Gamble CompanyLow4.5
ULVR.LUnilever PLClocked
CLColgate-Palmolive CompanyLow4.5
HINDUNILVR.NSHindustan Unilever Limitedlocked
RKT.LReckitt Benckiser Group PLClocked

Frequently asked questions about LOréal S.A. stock

How does LOréal S.A. stock (OR.PA) score in the StockScorer model?
LOréal S.A. stock reaches a StockScorer score of 4.5 out of 10, which is a low match with the rule-based strategies. 3 out of 7 flagship profile rules are met.
What is LOréal S.A.'s P/E ratio?
LOréal S.A.'s P/E ratio is 39.3. The Consumer Defensive sector median is 22.8.
What sector is LOréal S.A. in?
LOréal S.A. is assigned to the Consumer Defensive sector. Its rank within the sector is 61.5 out of 100: 100 means the stock leads its peer group of large and mid-cap sector stocks in every measured area.

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