SEHK:973

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L'Occitane International

Market Cap

HK$39.7b

Last Updated

2021/07/30 17:17 UTC

Data Sources

Company Financials +

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


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

973IndustryMarket
7 Day-4.4%-3.7%-4.3%
30 Day-4.9%-8.0%-9.4%
90 Day20.8%2.0%-9.8%
1 Year110.5%107.4%1.4%-3.0%12.0%8.2%
3 Year112.2%101.8%0.3%-10.2%10.0%-2.3%
5 Year78.8%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

Valuation

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

TodayJul 31 2021Ex Dividend DateOct 05 2021Dividend Pay DateOct 22 202117 days from Ex DividendBuy in the next 66 days to receive the upcoming dividend

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

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/07/30 17:17
End of Day Share Price2021/07/30 00:00
Earnings2021/03/31
Annual Earnings2021/03/31


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.