L’Oreal Co Price To Earning vs. Current Valuation

LRLCY Stock  USD 69.70  0.50  0.71%   
Considering L’Oreal Co's profitability and operating efficiency indicators, LOreal Co ADR may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in January. Profitability indicators assess L’Oreal Co's ability to earn profits and add value for shareholders.
For L’Oreal Co profitability analysis, we use financial ratios and fundamental drivers that measure the ability of L’Oreal Co to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well LOreal Co ADR utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between L’Oreal Co's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of LOreal Co ADR over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between L’Oreal Co's value and its price as these two are different measures arrived at by different means. Investors typically determine if L’Oreal Co is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, L’Oreal Co's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

LOreal Co ADR Current Valuation vs. Price To Earning Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining L’Oreal Co's current stock value. Our valuation model uses many indicators to compare L’Oreal Co value to that of its competitors to determine the firm's financial worth.
LOreal Co ADR is rated below average in price to earning category among its peers. It is considered the number one company in current valuation category among its peers reporting about  4,342,135,444  of Current Valuation per Price To Earning. Comparative valuation analysis is a catch-all model that can be used if you cannot value L’Oreal Co by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for L’Oreal Co's Pink Sheet. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.

L’Oreal Current Valuation vs. Price To Earning

Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.

L’Oreal Co

P/E

 = 

Market Value Per Share

Earnings Per Share

 = 
47.41 X
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.

L’Oreal Co

Enterprise Value

 = 

Market Cap + Debt

-

Cash

 = 
205.86 B
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.

L’Oreal Current Valuation vs Competition

LOreal Co ADR is considered the number one company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Consumer Staples industry is now estimated at about 1.13 Trillion. L’Oreal Co retains roughly 205.86 Billion in current valuation claiming about 18% of stocks in Consumer Staples industry.

L’Oreal Co Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in L’Oreal Co, profitability is also one of the essential criteria for including it into their portfolios because, without profit, L’Oreal Co will eventually generate negative long term returns. The profitability progress is the general direction of L’Oreal Co's change in net profit over the period of time. It can combine multiple indicators of L’Oreal Co, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
LOral S.A., through its subsidiaries, manufactures and sells cosmetic products for women and men worldwide. LOral S.A. was founded in 1909 and is headquartered in Clichy, France. LOreal ADR is traded on OTC Exchange in the United States.

L’Oreal Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on L’Oreal Co. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of L’Oreal Co position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the L’Oreal Co's important profitability drivers and their relationship over time.

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Analyst Advice

Analyst recommendations and target price estimates broken down by several categories
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Additional Tools for L’Oreal Pink Sheet Analysis

When running L’Oreal Co's price analysis, check to measure L’Oreal Co's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy L’Oreal Co is operating at the current time. Most of L’Oreal Co's value examination focuses on studying past and present price action to predict the probability of L’Oreal Co's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move L’Oreal Co's price. Additionally, you may evaluate how the addition of L’Oreal Co to your portfolios can decrease your overall portfolio volatility.