L'Oréal: Stifel reduces target price

(CercleFinance.com) - Stifel maintains its Buy rating on L'Oréal shares, with a target price reduced from E450 to E440.


The analyst is reducing FY 2024-2025 EBIT forecasts by 0.5% and 1% respectively, due to weaker organic growth forecasts for the Luxury division and the North Asia region.

The broker points out that L'Oréal faces significant short-term headwinds in its Chinese ecosystem in H2 2024.

However, we expect solid growth in Europe, double-digit growth in emerging markets, as well as widespread market share gains that will enable the group to post respectable organic growth of +6% with solid margin expansion, the broker concludes.


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