L'OREAL (LOR.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:LOR - FR0000120321 - Common Stock
370 EUR
-0.85 (-0.23%)
Overall LOR gets a fundamental rating of 6 out of 10. We evaluated LOR against 16 industry peers in the Personal Care Products industry. LOR has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. While showing a medium growth rate, LOR is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
LOR had positive earnings in the past year.
In the past year LOR had a positive cash flow from operations.
LOR had positive earnings in each of the past 5 years.
Each year in the past 5 years LOR had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 11.21%, LOR belongs to the best of the industry, outperforming 81.25% of the companies in the same industry.
The Return On Equity of LOR (19.63%) is better than 75.00% of its industry peers.
The Return On Invested Capital of LOR (17.45%) is better than 87.50% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LOR is above the industry average of 11.47%.
The 3 year average ROIC (16.33%) for LOR is below the current ROIC(17.45%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.21% | ||
| ROE | 19.63% | ||
| ROIC | 17.45% |
ROA(3y)11.83%
ROA(5y)10.87%
ROE(3y)20.54%
ROE(5y)18.68%
ROIC(3y)16.33%
ROIC(5y)15.46%
1.3 Margins
The Profit Margin of LOR (13.96%) is better than 87.50% of its industry peers.
In the last couple of years the Profit Margin of LOR has grown nicely.
LOR has a better Operating Margin (20.41%) than 81.25% of its industry peers.
In the last couple of years the Operating Margin of LOR has remained more or less at the same level.
LOR's Gross Margin of 74.11% is fine compared to the rest of the industry. LOR outperforms 68.75% of its industry peers.
LOR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.41% | ||
| PM (TTM) | 13.96% | ||
| GM | 74.11% |
OM growth 3Y1.46%
OM growth 5Y1.47%
PM growth 3Y1.16%
PM growth 5Y3.26%
GM growth 3Y0.14%
GM growth 5Y0.32%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), LOR is creating value.
Compared to 1 year ago, LOR has about the same amount of shares outstanding.
LOR has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, LOR has an improved debt to assets ratio.
2.2 Solvency
LOR has an Altman-Z score of 7.06. This indicates that LOR is financially healthy and has little risk of bankruptcy at the moment.
LOR has a Altman-Z score of 7.06. This is amongst the best in the industry. LOR outperforms 93.75% of its industry peers.
LOR has a debt to FCF ratio of 1.19. This is a very positive value and a sign of high solvency as it would only need 1.19 years to pay back of all of its debts.
LOR has a better Debt to FCF ratio (1.19) than 87.50% of its industry peers.
A Debt/Equity ratio of 0.20 indicates that LOR is not too dependend on debt financing.
LOR's Debt to Equity ratio of 0.20 is amongst the best of the industry. LOR outperforms 81.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.19 | ||
| Altman-Z | 7.06 |
ROIC/WACC2.21
WACC7.89%
2.3 Liquidity
LOR has a Current Ratio of 1.19. This is a normal value and indicates that LOR is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.19, LOR perfoms like the industry average, outperforming 43.75% of the companies in the same industry.
LOR has a Quick Ratio of 1.19. This is a bad value and indicates that LOR is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.90, LOR perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
The current and quick ratio evaluation for LOR is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.19 | ||
| Quick Ratio | 0.9 |
3. Growth
3.1 Past
LOR shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.41%.
LOR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.34% yearly.
Looking at the last year, LOR shows a small growth in Revenue. The Revenue has grown by 2.60% in the last year.
LOR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.80% yearly.
EPS 1Y (TTM)3.41%
EPS 3Y12.8%
EPS 5Y10.34%
EPS Q2Q%1.29%
Revenue 1Y (TTM)2.6%
Revenue growth 3Y10.44%
Revenue growth 5Y7.8%
Sales Q2Q%1.59%
3.2 Future
Based on estimates for the next years, LOR will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.18% on average per year.
The Revenue is expected to grow by 5.04% on average over the next years.
EPS Next Y4.17%
EPS Next 2Y5.28%
EPS Next 3Y6.01%
EPS Next 5Y8.18%
Revenue Next Year2.04%
Revenue Next 2Y3.12%
Revenue Next 3Y3.86%
Revenue Next 5Y5.04%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 29.02 indicates a quite expensive valuation of LOR.
Based on the Price/Earnings ratio, LOR is valued a bit more expensive than 68.75% of the companies in the same industry.
LOR's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.54.
Based on the Price/Forward Earnings ratio of 26.37, the valuation of LOR can be described as expensive.
LOR's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. LOR is more expensive than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.78, LOR is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.02 | ||
| Fwd PE | 26.37 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LOR indicates a rather expensive valuation: LOR more expensive than 81.25% of the companies listed in the same industry.
LOR's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.69 | ||
| EV/EBITDA | 19.03 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates LOR does not grow enough to justify the current Price/Earnings ratio.
LOR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)6.97
PEG (5Y)2.81
EPS Next 2Y5.28%
EPS Next 3Y6.01%
5. Dividend
5.1 Amount
No dividends for LOR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:LOR (12/12/2025, 7:00:00 PM)
370
-0.85 (-0.23%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryPersonal Care Products
Earnings (Last)
Earnings (Next)
Inst Owners16.05%
Inst Owner ChangeN/A
Ins Owners0.27%
Ins Owner ChangeN/A
Market Cap197.50B
Revenue(TTM)43.84B
Net Income(TTM)6.12B
Analysts68.57
Price Target396.69 (7.21%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend6.76
Dividend Growth(5Y)11.22%
DP62.89%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.7%
PT rev (3m)0.16%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-0.22%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.02 | ||
| Fwd PE | 26.37 | ||
| P/S | 4.51 | ||
| P/FCF | 26.69 | ||
| P/OCF | 21.88 | ||
| P/B | 6.33 | ||
| P/tB | 14.45 | ||
| EV/EBITDA | 19.03 |
EPS(TTM)12.75
EY3.45%
EPS(NY)14.03
Fwd EY3.79%
FCF(TTM)13.86
FCFY3.75%
OCF(TTM)16.91
OCFY4.57%
SpS82.13
BVpS58.41
TBVpS25.6
PEG (NY)6.97
PEG (5Y)2.81
Graham Number129.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.21% | ||
| ROE | 19.63% | ||
| ROCE | 22.82% | ||
| ROIC | 17.45% | ||
| ROICexc | 17.45% | ||
| ROICexgc | 31.44% | ||
| OM | 20.41% | ||
| PM (TTM) | 13.96% | ||
| GM | 74.11% | ||
| FCFM | 16.88% |
ROA(3y)11.83%
ROA(5y)10.87%
ROE(3y)20.54%
ROE(5y)18.68%
ROIC(3y)16.33%
ROIC(5y)15.46%
ROICexc(3y)18.08%
ROICexc(5y)17.43%
ROICexgc(3y)36.23%
ROICexgc(5y)35.94%
ROCE(3y)21.48%
ROCE(5y)20.77%
ROICexgc growth 3Y-5.54%
ROICexgc growth 5Y4.43%
ROICexc growth 3Y-0.55%
ROICexc growth 5Y3.35%
OM growth 3Y1.46%
OM growth 5Y1.47%
PM growth 3Y1.16%
PM growth 5Y3.26%
GM growth 3Y0.14%
GM growth 5Y0.32%
F-Score5
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.19 | ||
| Debt/EBITDA | 0.58 | ||
| Cap/Depr | 83.63% | ||
| Cap/Sales | 3.71% | ||
| Interest Coverage | 23.79 | ||
| Cash Conversion | 82.87% | ||
| Profit Quality | 120.87% | ||
| Current Ratio | 1.19 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z | 7.06 |
F-Score5
WACC7.89%
ROIC/WACC2.21
Cap/Depr(3y)87.58%
Cap/Depr(5y)74.21%
Cap/Sales(3y)3.63%
Cap/Sales(5y)3.54%
Profit Quality(3y)96.35%
Profit Quality(5y)113.17%
High Growth Momentum
Growth
EPS 1Y (TTM)3.41%
EPS 3Y12.8%
EPS 5Y10.34%
EPS Q2Q%1.29%
EPS Next Y4.17%
EPS Next 2Y5.28%
EPS Next 3Y6.01%
EPS Next 5Y8.18%
Revenue 1Y (TTM)2.6%
Revenue growth 3Y10.44%
Revenue growth 5Y7.8%
Sales Q2Q%1.59%
Revenue Next Year2.04%
Revenue Next 2Y3.12%
Revenue Next 3Y3.86%
Revenue Next 5Y5.04%
EBIT growth 1Y8.41%
EBIT growth 3Y12.05%
EBIT growth 5Y9.39%
EBIT Next Year23.32%
EBIT Next 3Y11.27%
EBIT Next 5Y10.06%
FCF growth 1Y29.9%
FCF growth 3Y5.53%
FCF growth 5Y5.72%
OCF growth 1Y26.67%
OCF growth 3Y7.19%
OCF growth 5Y5.76%
L'OREAL / LOR.DE FAQ
Can you provide the ChartMill fundamental rating for L'OREAL?
ChartMill assigns a fundamental rating of 6 / 10 to LOR.DE.
What is the valuation status of L'OREAL (LOR.DE) stock?
ChartMill assigns a valuation rating of 2 / 10 to L'OREAL (LOR.DE). This can be considered as Overvalued.
Can you provide the profitability details for L'OREAL?
L'OREAL (LOR.DE) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for LOR stock?
The Price/Earnings (PE) ratio for L'OREAL (LOR.DE) is 29.02 and the Price/Book (PB) ratio is 6.33.
Can you provide the expected EPS growth for LOR stock?
The Earnings per Share (EPS) of L'OREAL (LOR.DE) is expected to grow by 4.17% in the next year.