L'Oréal Valuation

Is ORP undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ORP when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ORP (€329.45) is trading below our estimate of fair value (€476.2)

Significantly Below Fair Value: ORP is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for ORP?

Other financial metrics that can be useful for relative valuation.

ORP key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue4.2x
Enterprise Value/EBITDA19.3x
PEG Ratio3.6x

Price to Earnings Ratio vs Peers

How does ORP's PE Ratio compare to its peers?

The above table shows the PE ratio for ORP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average22.9x
ULVR Unilever
20.3x4.6%UK£111.8b
HLN Haleon
26.7x10.6%UK£32.3b
RKT Reckitt Benckiser Group
21.2x11.3%UK£32.8b
W7L Warpaint London
23.6x11.8%UK£404.3m
ORP L'Oréal
27x7.5%€174.7b

Price-To-Earnings vs Peers: ORP is expensive based on its Price-To-Earnings Ratio (27x) compared to the peer average (22.9x).


Price to Earnings Ratio vs Industry

How does ORP's PE Ratio compare vs other companies in the European Personal Products Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a6.2%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a6.2%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: ORP is expensive based on its Price-To-Earnings Ratio (27x) compared to the European Personal Products industry average (21.3x).


Price to Earnings Ratio vs Fair Ratio

What is ORP's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ORP PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio27x
Fair PE Ratio29.5x

Price-To-Earnings vs Fair Ratio: ORP is good value based on its Price-To-Earnings Ratio (27x) compared to the estimated Fair Price-To-Earnings Ratio (29.5x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst ORP forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€329.45
€413.54
+25.5%
11.0%€508.00€325.00n/a26
Nov ’25€342.80
€414.96
+21.1%
10.8%€508.00€325.00n/a26
Oct ’25€396.00
€440.19
+11.2%
10.1%€525.00€350.00n/a26
Sep ’25€398.43
€443.68
+11.4%
9.9%€525.00€350.00n/a25
Aug ’25€392.93
€446.64
+13.7%
10.0%€526.00€350.00n/a25
Jul ’25€415.10
€449.08
+8.2%
11.1%€530.00€340.00n/a25
Jun ’25€447.90
€448.04
+0.03%
11.0%€530.00€340.00n/a25
May ’25€439.48
€446.52
+1.6%
11.0%€530.00€340.00n/a25
Apr ’25€439.13
€439.71
+0.1%
11.9%€530.00€320.00n/a24
Mar ’25€440.93
€438.44
-0.6%
11.8%€530.00€320.00n/a25
Feb ’25€444.35
€428.52
-3.6%
11.1%€525.00€320.00n/a25
Jan ’25n/a
€424.04
0%
10.7%€505.00€320.00n/a25
Dec ’24€429.90
€420.84
-2.1%
9.9%€500.00€320.00n/a25
Nov ’24€395.25
€420.64
+6.4%
10.2%€500.00€320.00€342.8025
Oct ’24€397.80
€422.16
+6.1%
10.3%€500.00€320.00€396.0025
Sep ’24€405.50
€424.84
+4.8%
10.0%€500.00€320.00€398.4325
Aug ’24€425.23
€423.44
-0.4%
10.2%€500.00€320.00€392.9325
Jul ’24€428.10
€417.96
-2.4%
10.1%€495.00€320.00€415.1025
Jun ’24€400.90
€416.40
+3.9%
10.4%€495.00€320.00€447.9025
May ’24€431.55
€412.00
-4.5%
11.5%€495.00€296.00€439.4825
Apr ’24€407.53
€380.67
-6.6%
10.3%€450.00€290.00€439.1324
Mar ’24€374.75
€379.50
+1.3%
10.6%€450.00€290.00€440.9324
Feb ’24€371.03
€369.67
-0.4%
9.9%€440.00€290.00€444.3524
Jan ’24€334.65
€361.88
+8.1%
10.1%€440.00€280.00n/a24
Dec ’23€357.38
€365.04
+2.1%
10.1%€440.00€280.00€429.9024
Nov ’23€319.35
€367.54
+15.1%
9.7%€440.00€300.00€395.2524

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


Discover undervalued companies