LOréal S.A. (OR) fair value: what the stock is really worth
As of Nov 9, 2026: fair value (intrinsic value) of LOréal S.A. stock €236, price €447, that is 47.2% below the price, quality 70 out of 100. Rating: strongly overvalued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 8, 2026.
How to read this chart
60‑month range €281.55 – €455.60 · fair‑value band €159.63 – €301.96 · the €446.80 price screens above the €235.79 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 8, 2026.
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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.
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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.
Stock analysis
LOréal S.A. (OR) currently trades at €446.80, while our model-based Fair Value estimate is €235.79, 47% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the DCF Models group reads highest at a median of €239.91 per share, and 0 of the 26 models we run sit above the €446.80 price.
Bear case: the Earnings-Based group reads lowest at €102.99, and 26 of the 26 models stay below the price. Data coverage for this calculation is high.
Scenario range: €159.63 (bear) to €301.96 (bull), the price of €446.80 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 70/100 (solid quality), in the Consumer Defensive sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
LOréal S.A. reported revenue of €44.1B in FY2025 versus €32.3B in FY2021, a compound +8.1%/yr. Reported net income was €6.1B in FY2025, compounding +7.4%/yr from FY2021.
Key figures
Market cap €239B Mega · P/E ratio 37.9 · P/S ratio 5.28 · EPS (TTM) €11.78 · Dividend yield 1.6% · Net margin 13.9% · Return on equity 19.4% · Return on assets (EBIT) 15.1% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 68 out of 100 (low confidence).
What moves the price
The share trades about 2% below its 52-week high and 32% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Consumer Defensive peers we cover trades at −30% fair-value upside, at −47%, OR screens richer than that median.
Fair Value models
Bear€159.63Fair Value €235.79Bull€301.96
Price €446.80 · Downside -47.2%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then (€3.94 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.90/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+1.3%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+4.8%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+9.5%
Start year 2020 (pandemic). Over 10 years: +6.1% a year
Revenue growth 27 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+5.8%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
+13.0%
Earnings growth per share plus dividend.
Earnings per share, growth per year+11.4%
Dividend (yield on the price)1.6%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.11.4% vs 7.0%, picking up
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.19% → 20%
Pace: the 5-year rate starts in 2020 (pandemic)
Growth Forecast
A lot of optimism in the price
The price assumes more growth than the company has delivered so far and more than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+17.0%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+5.7%
Yearly sales growth analysts expect, extended to five years.
After inflation (euro area: IMF forecast 2.2% a year to 2030, 2.6% from 2016 to 2025) that is about +14.5% a year for the price and +3.5% for the forecasts.
AI conclusion: L’Oréal draws strength from premium product innovation and sales acceleration in professional haircare plus dermatological beauty across China and emerging markets, yet thin public signals leave its competitive moat limited.
Main risk: Cheaper direct-to-consumer dupes and founder-led brands could capture online traffic and customers in mass and prestige beauty segments, pressuring L’Oréal’s consumer products division and margins.
Bull case: L’Oréal could counter cheaper rivals by accelerating acquisitions of DTC brands and using its scale in R&D and distribution to offer competitive value while maintaining innovation leadership.
Bear case: If DTC dupes and regulatory pressures intensify, L’Oréal might lose significant share in key consumer segments, face higher ongoing costs for compliance and reformulation, and see its multipolar brand ladder become less effective.
L’Oréal’s third-quarter sales accelerated on double-digit gains in professional haircare and dermatological beauty, driven by premium products and stronger demand in China plus emerging markets. Our models see the stock as overvalued. Can the company keep widening its lead over the broader beauty market through innovation and geographic expansion, or will the premium pricing eventually limit further share gains?
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Household & Personal Products · 228 stocks
Beats the industry median on 6/15 measures
A mixed picture versus its industry peers.
Valuation
Quality Score70 · Top 25%
Fair Value upside−47.2% · Bottom 25%
Profitability
Return on equity (12 months)19.4% · Top 25%
Return on assets9.9% · Top 25%
Net margin (12 months)13.9% · Top 25%
Operating margin (12 months)21.3% · Top 25%
Growth and dividend
Revenue growth (quarter YoY)5.8% · Above median
Dividend yield (12 months)1.6% · Below median
Balance sheet
Debt / equity0.23× · Above median
Valuation Multiplesvs Household & Personal Products median · lower = cheaper
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "LOréal S.A. Fair Value". https://www.fairvalue-calculator.com/stock/OR.PA
Frequently asked questions
Is LOréal S.A. (OR) overvalued or undervalued?
As of Nov 8, 2026, our model estimates a fair value of €235.79 versus a price of €446.80, about 47% lower (overvalued).
What is the fair value of OR?
Our model-based fair value for LOréal S.A. is €235.79 (as of Nov 8, 2026), built from audited fundamentals. The current price: €446.80.
What is the quality score of OR?
LOréal S.A. has a Quality Score of 70/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for LOréal S.A. (OR)?
Our model-based price target is the fair value of €235.79 (as of Nov 8, 2026) from 26 valuation models. Cautious scenario €159.63, optimistic scenario €301.96. It is a calculation from audited fundamentals, not an analyst target.
What is the LOréal S.A. stock forecast for 2026?
Our models put fair value at €235.79, about 47% lower versus a price of €446.80 (overvalued). Cautious scenario €159.63, optimistic scenario €301.96. The calculation is refreshed regularly with new filings.
What is the revenue of LOréal S.A. (OR)?
LOréal S.A. reported trailing-twelve-month revenue of about €45.4B (latest available figure, as of Nov 8, 2026).
Does LOréal S.A. pay a dividend?
LOréal S.A. currently shows a dividend yield of 1.61% relative to its recent price (as of Nov 8, 2026).
How much is the dividend of LOréal S.A. (OR) and when is the ex-dividend date?
LOréal S.A. pays a dividend of €7.20 per share a year, a dividend yield of 1.6%. The last ex-dividend date was Apr 29, 2026. A dividend has been paid every year since at least 1990. The payout ratio is 61.1% of earnings. Free cash flow covers the dividend 1.87 times. Our assessment: Sustainable. Payout and cash coverage both look sustainable.
What growth is priced into LOréal S.A. (OR)?
For today's price to be fair in a discounted-cash-flow model, LOréal S.A. would have to grow free cash flow by +17.0 % per year for five years (discount rate 9.0 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +9.5 % per year. As of Nov 8, 2026.
What discount rate (WACC) does the fair value of OR use?
Our models discount LOréal S.A. at 9.0 %: a base by market capitalisation (mega), damped by beta 0.86, country premium for France. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For LOréal S.A. that is +17.0 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (9.0 %) and the same formula as our fair value.
How much growth has LOréal S.A. (OR) delivered so far?
Over the past 5 years revenue at LOréal S.A. grew +9.5 % a year. The price currently implies free-cash-flow growth of +17.0 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of LOréal S.A. (OR) growing?
The median revenue growth in the sector is +3.6 % a year. That is the yardstick for the growth priced into LOréal S.A. (+17.0 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of LOréal S.A. (OR)?
The free-cash-flow yield on the price is 2.99 %: that much free cash flow LOréal S.A. produces per unit of market value. When it exceeds the discount rate of our models (9.0 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of LOréal S.A. (OR)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For LOréal S.A. it is €235.79 per share (as of Nov 8, 2026), against a price of €446.80. It is the blended result of 26 valuation models in 8 families (DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings).
Is LOréal S.A. stock overvalued or undervalued in 2026?
As of Nov 8, 2026, OR trades above its calculated fair value: price €446.80, fair value €235.79, a gap of about −47% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of OR?
No. The price is what the market pays today (€446.80); the fair value is what the company's own numbers justify (€235.79). For LOréal S.A. the two are €211.01 per share apart. That gap is exactly why we show both numbers side by side.
How much is LOréal S.A. worth?
The market values LOréal S.A. at about €239B (market capitalisation, as of Nov 8, 2026). Per share that is €446.80; our models calculate a fair value of €235.79 per share.
What do the bullish and bearish scenarios say about OR?
Our models span a range for LOréal S.A.: cautious scenario €159.63, base €235.79, optimistic €301.96 per share (as of Nov 8, 2026, price €446.80). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of OR?
LOréal S.A. trades at a price-to-earnings ratio of 37.9 (as of Nov 8, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of €235.79 is built from several models across several years. Median P/E at fiscal year-end, 10 fiscal years (2016 to 2025), reported earnings: 31.8. Other multiples: PEG 2.4, P/B 6.8, P/S 5.3, EV/EBITDA 22.9.
What is the PEG ratio of OR?
The PEG ratio of LOréal S.A. is 2.37 (P/E divided by earnings growth, as of Nov 8, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of LOréal S.A. (OR)?
Balance-sheet figures for LOréal S.A. (as of Nov 8, 2026): return on equity 19.4%, debt of 0.23 per unit of equity. They feed the Quality Score of 70/100, which measures business quality independently of the share price.
How far is OR from its 52-week high?
LOréal S.A. trades at €446.80, about 2% below its 52-week high of €455.60 and 32% above the low of €338.25 (as of Nov 9, 2026). Distance from the high says nothing about value: that is what the fair value of €235.79 is for.
Which stocks are comparable to LOréal S.A.?
From the same area (Consumer Defensive) we also value Colgate-Palmolive Company, Hindustan Unilever Limited, The Estée Lauder Companies Inc, Henkel AG, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is LOréal S.A. stock attractive at the current price?
The data as of Nov 8, 2026: price €446.80, calculated fair value €235.79 (−47%), Quality Score 70/100, from 26 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of OR calculated?
We run LOréal S.A. through 26 models from 8 families: DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of €235.79 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.7% above its aggregate fair value. LOréal S.A. itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of LOréal S.A. (OR)?
The closing price on Nov 9, 2026 was €446.80. Our model-based fair value is €235.79, about 47% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with LOréal S.A. right now?
The price sits above even our optimistic bull case (€301.96). The favourable scenario is already priced in. Solid but not exceptional quality (70/100) and above fair value, neither a clear bargain nor a standout compounder. A fairly wide model range (€159.63 to €301.96) leaves room in how you read the outcome.
Where does the earnings growth of LOréal S.A. (OR) come from?
Earnings per share at LOréal S.A. grew +6.5 % a year from 2014 to 2025. Broken into its drivers: revenue per share +7.5 %, EBIT margin +1.3 %, tax rate −0.1 %, residual (interest, one-offs) −2.1 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of LOréal S.A.
How large is the market capitalisation of LOréal S.A. (OR)?
The market capitalisation of LOréal S.A. is €239B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of LOréal S.A. (OR)?
The price-to-sales ratio of LOréal S.A. is 5.28 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of LOréal S.A. (OR)?
Earnings per share at LOréal S.A. are €11.78 (price ÷ EPS = P/E 37.9). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of LOréal S.A. (OR)?
The dividend yield of LOréal S.A. is 1.6% (payout 61.1%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of LOréal S.A. (OR)?
The net margin of LOréal S.A. is 13.9% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of LOréal S.A. (OR)?
The return on equity (ROE) of LOréal S.A. is 19.4% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of LOréal S.A. (OR)?
On an EBIT basis the return on assets of LOréal S.A. is 15.1% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of LOréal S.A. (OR)?
The operating margin of LOréal S.A. is 21.3% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at LOréal S.A. (OR)?
Revenue at LOréal S.A. is growing +5.8% versus a year earlier (3y avg +4.8%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at LOréal S.A. (OR)?
Earnings per share at LOréal S.A. are growing +5.4% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does LOréal S.A. (OR) carry?
The net debt of LOréal S.A. is €2.1B (fiscal year 2025, ≈ 0.3 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Broad data
Nov 8, 2026