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LORL.TO (LORL) Fair Value & Analysis

Consumer Defensive · CA · Market cap C$190B (≈ $138B) · ISIN CA50214W1068

What is LORL.TO really worth?

LT LORL.TO LORL · TO
PriceC$25.21
Fair ValueC$22.64
Upside−10.2%
Quality69/100

A solid business, but trading 11% above our fair value of C$22.64.

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Strengths

Healthy Growth (revenue 3y +4.8 %/yr)
Low debt · generates free cash flow
Wide moat 69/100

Risks

!Thin margins · 0.0% net margin
!Trails peers (3/12)
!Evidence only low, so the estimate is less certain
!Weak on valuation: 20 out of 100
Evidence: Low Range C$15.55 – C$30.30

Fair value as of: Aug 13, 2026

From 24 valuation models · updated 22 days ago

Fair value updated Aug 13, 2026, revised from C$23.21 to C$22.64 (−2.5%) since Jul 24, 2026. Share price −0.9% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • A fairly wide model range (C$15.55 to C$30.30) leaves room in how you read the outcome.
  • Evidence is limited here (fewer models, shorter history), so the fair value is a rougher estimate than usual.

Price vs Fair Value (9 months)

C$25.59 C$22.25 Fair Value C$22.64 Dec 2025 Sep 2026

White line = price, green steps = our fair value per fiscal year. As of Aug 13, 2026.

How to read this chart

9‑month range C$22.25 – C$25.59 · fair‑value band C$15.55 – C$30.30 · the C$25.21 price screens above the C$22.64 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Aug 13, 2026.

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Analysis

LORL.TO (LORL) currently trades at C$25.21, while our model-based Fair Value estimate is C$22.64, implying the stock looks roughly 11.3% overvalued today. The Quality Score stands at 69/100 (solid quality), in the Consumer Defensive sector. Bull case: the Multiples group reads highest at a median of C$13.79 per share, and 0 of the 24 models we run sit above the C$25.21 price. Bear case: the Asset-Based group reads lowest at C$3.10, and 24 of the 24 models stay below the price. Evidence for this calculation is low.

Net debt stands at C$254M. The stock trades on a trailing P/E of 1.4 (as of Jul 24, 2026). Fundamentals as of Aug 13, 2026

Our scenario range runs from C$15.55 (bear case) to C$30.30 (bull case); at C$25.21, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 1% below its 52-week high and 13% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Defensive peers we cover trades at −36% fair-value upside, at −10%, LORL screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model 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. Evidence
Highest evidence
FCF DCF C$9.45 C$13.46 C$19.11 77
Growth DCF C$9.78 C$13.58 C$18.73 76
Owner Earnings C$8.47 C$12.08 C$17.16 73
All 24 models by family
DCF Models
FCF DCF C$9.45 C$13.46 C$19.11 77
Owner Earnings C$8.47 C$12.08 C$17.16 73
5Y Revenue Exit C$6.82 C$9.78 C$13.36 70
5Y EBITDA Exit C$10.45 C$16.13 C$22.40 72
5Y P/E Exit C$10.24 C$15.75 C$21.17 68
10Y Revenue Exit C$7.56 C$10.35 C$13.61 65
10Y EBITDA Exit C$9.99 C$14.60 C$20.08 66
10Y P/E Exit C$9.85 C$14.34 C$19.20 62
Earnings-Based
Graham-Dodd C$5.52 C$11.42 C$14.43 63
EPV C$7.93 C$9.32 C$10.54 71
Dividend Discount
Gordon GGM C$4.76 C$7.07 C$9.50 66
DDM Multi-Stage C$4.76 C$6.77 C$9.07 64
Multiples
P/E Multiple C$12.77 C$17.03 C$21.29 63
P/S Multiple C$7.00 C$9.33 C$11.66 58
P/B Multiple C$10.34 C$13.79 C$17.23 55
EV/EBIT C$13.73 C$18.45 C$23.17 66
EV/EBITDA C$12.75 C$17.14 C$21.53 67
EV/Revenue C$5.70 C$8.32 C$10.95 53
Asset-Based
NCAV (Graham) C$2.31 C$3.10 C$4.63 54
Growth DCF
Growth DCF C$9.78 C$13.58 C$18.73 76
Rev-Margin DCF C$6.82 C$9.94 C$13.27 70
Economic Profit
Residual Income C$5.22 C$6.49 C$15.53 66
ROIC Compounder C$8.19 C$10.04 C$12.00 69
Growth Earnings
Growth-Adj P/E C$9.34 C$13.34 C$17.35 65

Widest divergence: Multiples (C$13.79) versus Asset-Based (C$3.10). Highest evidence: FCF DCF (77).

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Key figures & financial health

P/E ratio 1.4 as of Jul 24, 2026
P/S ratio 0.19 P/E × margin
Net margin 13.9% FY2025
Return on equity 1,800% TTM
Return on assets (EBIT) 14.7% avg 4y
Free cash flow C$7.2B FY2025
More key figures
Balance sheet & cash flow
Net debt C$254M FY2025 · ≈ 0.0 yrs of FCF

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 69/100

Of which business quality 68 · Market factors (momentum, volatility) 64

Profitability 67
Margins and returns on capital today
Quality Growth 32
Are margins and returns improving?
Cashflow 70
Earnings quality: real cash, not paper profit
Fin. Strength 79
Balance sheet, leverage, solvency risk
Investment 67
Disciplined investing over empire-building
Low Volatility 84
Calm price path (market factor)
Momentum 49
Price trend over the last 3–12 months (market factor)
52W Momentum 66
Distance to the 52-week high (market factor)
Net Issuance 83
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

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. It operates through four divisions: Professional Products, Consumer Products, Luxe, and Dermatological Beauty.

Full company description

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. 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.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2025 · reported fiscal years

LORL.TO reported revenue of €44.1B in FY2025 versus €38.3B in FY2022, a compound +4.8%/yr. Reported net income was €6.1B in FY2025, compounding +2.4%/yr from FY2022.

Growth Quality 73/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
C$44.1B
Latest YoY
+1.3%
Avg. revenue growth/yr (3Y) 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.
+4.8%
Value creation/yr (3Y) Earnings growth per share (CAGR 3 years) plus dividend yield: value created per share and year.
+1.1% (1.1 + 0.0)
Revenue +4.8%/yr
FY22 €38.3B
FY23 €41.2B
FY24 €43.5B
FY25 €44.1B
Net income +2.4%/yr
FY22 €5.7B
FY23 €6.2B
FY24 €6.4B
FY25 €6.1B

LORL screens 11% overvalued. Compare with Unilever PLC →

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Cite: Fair Value Calculator (2026). "LORL.TO Fair Value". https://www.fairvalue-calculator.com/stock/LORL

Peer Group

Household & Personal Products · 244 stocks

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.

Quality Score 69 · Top 25%
Fair Value upside −10% · Below median
Return on assets 0% · Bottom 25%
Net margin (TTM) 0% · Below median
Operating margin (TTM) 0% · Bottom 25%
Revenue growth 0% · Below median
Dividend yield (TTM) 28.6% · Top 25%
Debt / equity 0.23× · Higher than median

Valuation Multiples vs Household & Personal Products median · lower = cheaper

P/E (TTM) 1.4× · Cheaper than 75% of peers
P/B 3.94× · Pricier than 75% of peers
P/FCF 19.2× · Pricier than 75% of peers
PEG 0.10× · Cheaper than 75% of peers

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE20 · sector 28
FUTURE0 · sector 8
PAST0 · sector 27
HEALTH88 · sector 98
DIVIDEND41 · sector 56

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Household & Personal Products stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
Unilever PLC UNA €55.92 €40.47 −28%
Colgate-Palmolive Company CL $90.75 $55.28 −39%
500696 500696 ₹2,093 ₹641.55 −69%
Hindustan Unilever Limited HINDUNILVR ₹2,015 ₹789.46 −61%
Kenvue Inc KVUE $18.95 $10.97 −42%
Kimberly-Clark Corporation KMB $109.55 $79.71 −27%
Henkel AG HEN3 €75.82 €85.95 +13%
The Estée Lauder Companies Inc ESLA €86.54 €18.84 −78%
Church & Dwight Co CHD $101.26 $65.12 −36%
Beiersdorf Aktiengesellschaft, BEI €80.42 €68.36 −15%

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Frequently asked questions

Is LORL.TO (LORL) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of C$22.64 versus a price of C$25.21, about −10% upside (overvalued).
What is the fair value of LORL?
Our model-based fair value for LORL.TO is C$22.64 (as of Aug 13, 2026), built from audited fundamentals. The current price: C$25.21.
What is the quality score of LORL?
LORL.TO has a Quality Score of 69/100. 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 net profit margin of LORL?
The net profit margin of LORL.TO is about 0.0%, meaning it keeps roughly 0.0% of revenue as net income. Based on the latest reported figures.
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