L'Oréal: Berenberg maintains 'hold' rating, adjusts target
(CercleFinance.com) - Berenberg reaffirms its "hold" recommendation on the L'Oréal share, while nudging up its target price from 242 euros to 245 euros, after a survey of Chinese consumers of cosmetic products to assess the risks relating to the coronavirus epidemic.
"We were surprised that 35% of women surveyed claim to be using more cosmetics since the coronavirus outbreak, mostly offsetting the 37% that have reduced," the German broker said.
While this does not change its expectation of weak growth on a comparable basis over the March quarter for Estée Lauder and L'Oréal, Berenberg now expects a stronger growth inflection to follow from the June 2020 quarter.
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