LRLCY

Consumer Defensive

L'Oréal S.A. · Household & Personal Products · $224B

UQS Score — Balanced Preset
55.1
Good

L'Oréal S.A. scores 55.1/100 using the Balanced preset.

UQS vs Consumer Defensive Sector
LRLCY
55.1
Sector avg
38.4
Quality
Good
Moat
Neutral
Growth
Weak
Risk
Good
Valuation
Neutral

What is L'Oréal S.A.?

L'Oréal S.A. is the world's largest beauty company, selling cosmetics, skincare, haircare, and fragrance products across every major consumer segment. Headquartered in Clichy, France, it distributes products in virtually every country on earth.

The company operates four divisions — Consumer Products, L'Oréal Luxe, Professional Products, and Active Cosmetics — each targeting a distinct price point and channel. Revenue flows through mass-market retail, department stores, hair salons, pharmacies, and a growing e-commerce footprint. Owning dozens of globally recognized brands allows L'Oréal to capture spending across prestige, professional, and everyday beauty categories.

L'Oréal was founded in 1909 and remains headquartered in Clichy, France.

  • Mass-market beauty brands (L'Oréal Paris, Garnier, Maybelline New York)
  • Luxury cosmetics and fragrance (Lancôme, Yves Saint Laurent Beauté, Giorgio Armani Beauty)
  • Professional haircare products (Kérastase, Redken, Matrix)
  • Dermatological skincare (La Roche-Posay, CeraVe, Vichy)

Is LRLCY a Good Stock to Buy?

UQS Score rates LRLCY as Good overall, reflecting a balanced but not exceptional profile across its five pillars.

The Quality and Risk pillars both register as Good, pointing to a business with durable financial characteristics and manageable downside exposure — traits common among large, diversified consumer staples companies. The brand portfolio's breadth provides some buffer against category-level slowdowns.

Growth comes in as Weak, suggesting the company is not expanding at a pace that stands out relative to peers, while the Moat pillar reads as Neutral — indicating competitive advantages exist but may not be as wide as the brand prestige implies.

See the exact pillar breakdown and full financial metrics by signing up for a UQS Pro account. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does LRLCY pay dividends?

Yes — L'Oréal S.A. pays a dividend.

L'Oréal pays a regular dividend, consistent with its profile as a mature, cash-generative consumer staples company. The dividend reflects management's confidence in recurring earnings and is a common feature of large European consumer multinationals. Income-oriented investors often view this cadence as a sign of financial discipline.

When does LRLCY report earnings?

L'Oréal reports earnings on a regular cadence, typical for large internationally listed consumer companies.

The company's recent results reflect the dynamics of a mature global beauty market — steady demand in core categories offset by currency headwinds and uneven regional growth. The Active Cosmetics and Luxe divisions have been key contributors to overall performance in recent periods.

For the most recent quarter's results, visit L'Oréal's official investor relations page.

LRLCY Price History

-7.1% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in L'Oréal S.A.?

$
Today it would be worth
$10,419
That's a +4.2% total return, or +0.8% annualized.

Based on L'Oréal S.A.'s historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

LRLCY Long-term Outlook

The Weak Growth pillar suggests L'Oréal's near-term expansion trajectory is below what higher-rated peers deliver. The Good Risk profile indicates the business is well-positioned to weather macro volatility, but the combination of neutral valuation and subdued growth means the fundamental outlook is measured rather than compelling. Long-term stability appears more likely than rapid acceleration.

Growth drivers

  • Continued premiumization in the Luxe and Active Cosmetics divisions
  • E-commerce channel expansion across emerging markets
  • Dermatological skincare demand driven by brands like CeraVe and La Roche-Posay

Key risks

  • Slowing organic growth in mature Western markets
  • Currency translation risk given heavy international revenue exposure
  • Valuation leaves limited margin of safety if growth disappoints further

LRLCY vs Peers

L'Oréal competes with several large consumer goods multinationals, though its pure-play focus on beauty sets it apart from more diversified rivals.

PGSimilar UQS
The Procter & Gamble Company

P&G spans a far broader range of household and personal care categories, making it more diversified but less concentrated in premium beauty.

ULLRLCY scores higher
Unilever PLC

Unilever competes in beauty and personal care but also carries significant food and home care exposure, diluting its beauty-sector focus.

CLLRLCY scores higher
Colgate-Palmolive Company

Colgate-Palmolive is primarily an oral care and personal hygiene company, overlapping with L'Oréal mainly at the mass-market personal care level.

Frequently Asked Questions

What does L'Oréal do?

L'Oréal manufactures and sells beauty products — including skincare, haircare, makeup, and fragrance — under dozens of brands spanning mass-market, luxury, professional, and dermatological segments. It distributes through retail stores, salons, pharmacies, and e-commerce globally.

Does LRLCY pay dividends?

Yes, L'Oréal pays a regular dividend. As a mature, cash-generative consumer staples company, it has a long history of returning capital to shareholders through dividends. Investors should check L'Oréal's investor relations page for current yield and payment schedule details.

When does LRLCY report earnings?

L'Oréal reports on a regular cadence consistent with major European-listed multinationals. Specific upcoming dates are not covered by our data source — visit L'Oréal's investor relations page for the current financial calendar.

Is LRLCY a good stock to buy?

UQS Score rates LRLCY as Good overall. The Quality and Risk pillars are strengths, while Growth registers as Weak. Whether it fits your portfolio depends on your goals — the full pillar breakdown is available to UQS Pro members.

Is LRLCY overvalued?

The Valuation pillar for LRLCY reads as Neutral, suggesting the market is pricing the stock in line with its fundamental profile — neither deeply discounted nor obviously stretched. The full valuation metrics are available in the Pro view.

How does LRLCY compare to its competitors?

Unlike P&G or Unilever, L'Oréal is a pure-play beauty company, giving it deeper brand concentration in cosmetics and skincare. This focus can be an advantage in premium beauty trends but also means less diversification across consumer categories compared to broader household goods rivals.

What is LRLCY's market cap bracket?

L'Oréal is a mega-cap company, placing it among the largest publicly traded equities globally. Its scale gives it significant pricing power, distribution reach, and R&D resources relative to smaller beauty peers.

Who founded L'Oréal?

L'Oréal was founded in 1909 by French chemist Eugène Schueller, who developed a hair dye formula and built the company from a single product into a global beauty empire. Full founding history is widely available through public sources.

Is LRLCY a long-term quality stock?

As a long-term quality indicator, LRLCY's Good UQS Score reflects durable business characteristics — particularly in Quality and Risk — that matter over multi-year horizons. The Weak Growth pillar is worth monitoring, as sustained low growth can weigh on long-term compounding potential.

What is the main competitive advantage of L'Oréal?

L'Oréal's primary advantage is its multi-brand architecture, which allows it to serve consumers across every price point and distribution channel simultaneously. Its investment in research and dermatological science also supports brand credibility, particularly in the fast-growing skincare segment.

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Pro Analysis

LRLCY — Score History

4550556065Apr 5Apr 15Apr 25May 5May 15May 24v5
Score changes· 14 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 22, 202655.170.748.032.475.950.1-0.2
May 4, 202655.370.748.032.475.951.5+0.1
Apr 29, 202655.270.748.032.175.951.40.0
Apr 25, 202655.270.748.032.075.951.5+0.2
Apr 20, 202655.070.748.031.475.951.2+0.1
Apr 19, 202654.970.748.030.975.951.1+0.2
Apr 18, 202654.770.748.030.975.949.8-1.0
Apr 14, 202655.770.748.030.975.956.2-0.1
Apr 12, 202655.870.748.031.275.956.4-0.5
Apr 11, 202656.370.750.031.275.956.4+0.1

LRLCY — Pillar Breakdown

Quality

70.6/100 (25%)

L'Oréal S.A. shows solid profitability with healthy returns on capital and reasonable margins.

Capital Efficiency (ROIC)Moderate

How effectively capital is deployed to generate returns.

Return on EquityStrong

Profitability relative to shareholders' equity.

Operating ProfitabilityStrong

Ability to convert revenue into operating profit.

Net ProfitabilityModerate

Bottom-line profit as a share of revenue.

Gross Profit / AssetsStrong

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationModerate

Free cash flow relative to market value.

Growth

32.4/100 (20%)

L'Oréal S.A. faces growth headwinds with declining or stagnant revenue trends.

Recent Revenue TrendWeak

Revenue trajectory over the last twelve months.

3Y Revenue CAGRWeak

Compound annual revenue growth rate over 3 years.

EPS GrowthWeak

Year-over-year earnings per share growth.

Forward Revenue OutlookWeak

Analyst consensus for future revenue growth.

Forward EPS GrowthStrong

Analyst consensus for future earnings growth.

Risk

75.9/100 (15%)

L'Oréal S.A. carries minimal financial risk with conservative leverage and strong solvency.

Financial LeverageStrong

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioWeak

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageStrong

Earnings capacity relative to interest payments.

Valuation

50.4/100 (15%)

L'Oréal S.A. has a mixed valuation — some metrics suggest fair value while others appear stretched.

Earnings YieldWeak

Inverse of forward P/E — higher yield means cheaper stock.

Price to Free Cash FlowModerate

How many years of FCF the market cap represents.

PEG RatioStrong

P/E relative to earnings growth — lower is more attractive.

EV/EBITDA vs SectorWeak

Enterprise value multiple relative to sector median.

Moat

48/100 (25%)

L'Oréal S.A. possesses some competitive advantages but faces meaningful competition. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for LRLCY.

Score Composition

Quality
70.6×25%17.6
Growth
32.4×20%6.5
Risk
75.9×15%11.4
Valuation
50.4×15%7.6
Moat
48.0×25%12.0
Total
55.1Good

Financial Data

More Stock Analysis

How is the LRLCY UQS Score Calculated?

The UQS (Unified Quality Score) for L'Oréal S.A. is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses L'Oréal S.A.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether L'Oréal S.A. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.