Founded in 1909, L'Oreal has grown into the largest beauty company in the world, participating in categories including skincare (40% of sales), makeup (20%), haircare (27%), fragrance (9%), and sanitary products (4%). The firm also has a diversified geographic footprint, generating 32% of sales in its home market of Western Europe, 27% from North America, 26% in North Asia, and the rest from various emerging markets across South Asia, Latin America, and Africa. L'Oreal owns a mix of premium and mass beauty brands sold through a wide range of channels such as mass retail, drugstores, department stores, travel retail, e-commerce, hair salons, and medi-spas. Leading brands include Lancome, Yves Saint Laurent, Maybelline, Kiehl's, L'Oreal Paris, Kerastase, CeraVe, Garnier, and Armani.

Financial Strength

8/10

Name	Current	Vs Industry
Cash-To-Debt	0.5
Equity-to-Asset	0.56
Debt-to-Equity	0.3
Debt-to-EBITDA	0.87
Interest Coverage	35.58
Piotroski F-Score	6/9	0 1 2 3 4 5 6 7 8 9
Altman Z-Score	7.29	Distress Grey Safe
Beneish M-Score	-2.59	Manipulator Not Manipulator
WACC vs ROIC		WACC ROIC

Growth Rank

10/10

	Name	Current	Vs Industry		Vs History
	3-Year Revenue Growth Rate	15.4
	3-Year EBITDA Growth Rate	14.7
	3-Year EPS without NRI Growth Rate	18.3
	3-Year FCF Growth Rate	5.3
	3-Year Book Growth Rate	1.6
	Future 3-5Y EPS without NRI Growth Rate	8.5
	Future 3-5Y Total Revenue Growth Rate	7.17

Momentum Rank

8/10

	Name	Current	Vs Industry		Vs History
	5-Day RSI	8.43
	9-Day RSI	17.87
	14-Day RSI	25.62
	6-1 Month Momentum %	-3.11
	12-1 Month Momentum %	6.71

Liquidity Ratio

	Name	Current	Vs Industry		Vs History
	Current Ratio	1.1
	Quick Ratio	0.79
	Cash Ratio	0.29
	Days Inventory	144.86
	Days Sales Outstanding	45.3
	Days Payable	212.07

Dividend & Buy Back

	Name	Current	Vs Industry		Vs History
	Dividend Yield %	1.6
	Dividend Payout Ratio	0.49
	3-Year Dividend Growth Rate	15.9
	Forward Dividend Yield %	1.6
	5-Year Yield-on-Cost %	2.61
	3-Year Average Share Buyback Ratio	1.5
	Shareholder Yield %	0.5

Profitability Rank

9/10

	Name	Current	Vs Industry		Vs History
	Gross Margin %	73.86
	Operating Margin %	19.77
	Net Margin %	15.02
	FCF Margin %	14.87
	ROE %	22.03
	ROA %	12.38
	ROIC %	15.32
	ROC (Joel Greenblatt) %	150.06
	ROCE %	23.72
	Years of Profitability over Past 10-Year	10

GF Value Rank

9/10

	Name	Current	Vs Industry		Vs History
	PE Ratio	35.59
	Forward PE Ratio	31.55
	PE Ratio without NRI	33.94
	Shiller PE Ratio	48.33
	Price-to-Owner-Earnings	33.08
	PEG Ratio	3.33
	PS Ratio	5.35
	PB Ratio	7.54
	Price-to-Tangible-Book	18.77
	Price-to-Free-Cash-Flow	36
	Price-to-Operating-Cash-Flow	28.96
	EV-to-EBIT	27.17
	EV-to-Forward-EBIT	25.75
	EV-to-EBITDA	22.49
	EV-to-Forward-EBITDA	21.35
	EV-to-Revenue	5.43
	EV-to-Forward-Revenue	5.04
	EV-to-FCF	36.57
	Price-to-Projected-FCF	2.51
	Price-to-DCF (Earnings Based)	2.14
	Price-to-DCF (FCF Based)	2.05
	Price-to-Median-PS-Value	1.17
	Price-to-Peter-Lynch-Fair-Value	3.32
	Price-to-Graham-Number	5.32
	Earnings Yield (Greenblatt) %	3.68
	FCF Yield %	2.79
	Forward Rate of Return (Yacktman) %	12.5

GF Value: $107.41

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