Executive Summary
L'Occitane International S.A., together with its subsidiaries, designs, manufactures, and markets various natural and organic ingredient based cosmetics and well-being products. More Details
Rewards
Risk Analysis
Snowflake Analysis
Solid track record with mediocre balance sheet.
Similar Companies
Share Price & News
How has L'Occitane International's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 973 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: 973's weekly volatility (8%) has been stable over the past year.
Market Performance
7 Day Return
-4.4%
973
-3.7%
HK Personal Products
-4.3%
HK Market
1 Year Return
107.4%
973
-3.0%
HK Personal Products
8.2%
HK Market
Return vs Industry: 973 exceeded the Hong Kong Personal Products industry which returned -3% over the past year.
Return vs Market: 973 exceeded the Hong Kong Market which returned 8.2% over the past year.
Shareholder returns
| 973 | Industry | Market | |
|---|---|---|---|
| 7 Day | -4.4% | -3.7% | -4.3% |
| 30 Day | -4.9% | -8.0% | -9.4% |
| 90 Day | 20.8% | 2.0% | -9.8% |
| 1 Year | 110.5%107.4% | 1.4%-3.0% | 12.0%8.2% |
| 3 Year | 112.2%101.8% | 0.3%-10.2% | 10.0%-2.3% |
| 5 Year | 78.8%64.4% | -0.8%-16.5% | 38.9%14.3% |
Long-Term Price Volatility Vs. Market
How volatile is L'Occitane International's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 hours ago | Simply Wall St
Should You Be Adding L'Occitane International (HKG:973) To Your Watchlist Today?2 weeks ago | Simply Wall St
Are L'Occitane International S.A. (HKG:973) Investors Paying Above The Intrinsic Value?1 month ago | Simply Wall St
These 4 Measures Indicate That L'Occitane International (HKG:973) Is Using Debt Reasonably WellValuation
Is L'Occitane International undervalued compared to its fair value and its price relative to the market?
27.73x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 973 (HK$27) is trading above our estimate of fair value (HK$22.16)
Significantly Below Fair Value: 973 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 973 is poor value based on its PE Ratio (27.7x) compared to the Hong Kong Personal Products industry average (6.8x).
PE vs Market: 973 is poor value based on its PE Ratio (27.7x) compared to the Hong Kong market (10.7x).
Price to Earnings Growth Ratio
PEG Ratio: 973 is poor value based on its PEG Ratio (1.8x)
Price to Book Ratio
PB vs Industry: 973 is overvalued based on its PB Ratio (3.6x) compared to the HK Personal Products industry average (0.7x).
Future Growth
How is L'Occitane International forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
15.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 973's forecast earnings growth (15.1% per year) is above the savings rate (1.5%).
Earnings vs Market: 973's earnings (15.1% per year) are forecast to grow slower than the Hong Kong market (18.5% per year).
High Growth Earnings: 973's earnings are forecast to grow, but not significantly.
Revenue vs Market: 973's revenue (10.6% per year) is forecast to grow slower than the Hong Kong market (12.4% per year).
High Growth Revenue: 973's revenue (10.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 973's Return on Equity is forecast to be low in 3 years time (15.7%).
Past Performance
How has L'Occitane International performed over the past 5 years?
2.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 973 has high quality earnings.
Growing Profit Margin: 973's current net profit margins (10.1%) are higher than last year (7.1%).
Past Earnings Growth Analysis
Earnings Trend: 973's earnings have grown by 2.4% per year over the past 5 years.
Accelerating Growth: 973's earnings growth over the past year (32.9%) exceeds its 5-year average (2.4% per year).
Earnings vs Industry: 973 earnings growth over the past year (32.9%) exceeded the Personal Products industry -8%.
Return on Equity
High ROE: 973's Return on Equity (12.3%) is considered low.
Financial Health
How is L'Occitane International's financial position?
Financial Position Analysis
Short Term Liabilities: 973's short term assets (€808.3M) do not cover its short term liabilities (€887.5M).
Long Term Liabilities: 973's short term assets (€808.3M) exceed its long term liabilities (€330.5M).
Debt to Equity History and Analysis
Debt Level: 973's debt to equity ratio (40.8%) is considered high.
Reducing Debt: 973's debt to equity ratio has increased from 9.1% to 40.8% over the past 5 years.
Debt Coverage: 973's debt is well covered by operating cash flow (82.3%).
Interest Coverage: 973's interest payments on its debt are well covered by EBIT (14.1x coverage).
Balance Sheet
Dividend
What is L'Occitane International current dividend yield, its reliability and sustainability?
1.26%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: 973's dividend (1.26%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.07%).
High Dividend: 973's dividend (1.26%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.47%).
Stability and Growth of Payments
Stable Dividend: 973's dividend payments have been volatile in the past 10 years.
Growing Dividend: 973's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (35%), 973's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 973's dividends in 3 years are forecast to be well covered by earnings (33.8% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
10.1yrs
Average board tenure
CEO
Reinold Geiger (74 yo)
no data
Tenure
€772,000
Compensation
Mr. Reinold Geiger serves as the Chief Executive Officer and Chairman of L’Occitane Incorporated. Mr. Geiger serves as the Chairman and Chief Executive Officer of L'Occitane International S.A., and has bee...
Board Members
Experienced Board: 973's board of directors are seasoned and experienced ( 10.1 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: 973 insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
L'Occitane International S.A.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: L'Occitane International S.A.
- Ticker: 973
- Exchange: SEHK
- Founded: 1976
- Industry: Personal Products
- Sector: Household
- Market Cap: HK$39.684b
- Shares outstanding: 1.47b
- Website: https://group.loccitane.com
Number of Employees
Location
- L'Occitane International S.A.
- 49, Boulevard Prince Henri
- Luxembourg City
- 1724
- Luxembourg
Listings
Biography
L'Occitane International S.A., together with its subsidiaries, designs, manufactures, and markets various natural and organic ingredient based cosmetics and well-being products. It offers perfumes, soaps, ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/07/30 17:17 |
| End of Day Share Price | 2021/07/30 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2021/03/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.