L'Oréal: Liberum raises target price

(CercleFinance.com) - Liberum reiterates its "hold" rating on the L'Oréal share, although has raised its target price from 216 euros to 250 euros, expecting that the cosmetics giant will report organic sales growth of 5.
7% over 2019-23, slightly above its long-term average.

In 2019, the broker expects L'Oréal "to outperform 5.5% global market growth driven by innovations, a robust year for luxury and strong skin care growth."

"Strong cash flow underpins our expectation for a rising dividend pay-out ratio and bolt-on M&A," Liberum adds, which models a recurring E750 million annual share buyback program.



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