L'Oreal Stock

L'Oreal EV/EBIT

The EV/EBIT (Enterprise Value to EBIT) of L'Oreal (OR.PA) as of Jul 25, 2026 is 20.97. In the previous year, EV/EBIT (Enterprise Value to EBIT) was 21.46 — a change of -2.30% (lower).

EV/EBIT

20.97

YoY

-2.30%

Last updated:

EV/EBIT (Enterprise Value to EBIT) of L'Oreal is 2026 20.97 . EV/EBIT (Enterprise Value to EBIT) of L'Oreal was 2025 21.46 . It decreases by -2.30% lower compared to the previous year.

The L'Oreal EV/EBIT history

  • 3 Years

  • 10 Years

  • 25 Years

  • Max

PRICE-TO-EBIT
Date
PRICE-TO-EBIT
Jan 1, 2019
26.76 base
Jan 1, 2020
33.53 base
Jan 1, 2021
37.74 base
Jan 1, 2022
24.06 base
Jan 1, 2023
29.71 base
Jan 1, 2024
21.08 base
Jan 1, 2025
22.11 base
Jan 1, 2026 (e)
20.54 base
YEARPRICE-TO-EBIT
2026 est 20.54
2025 22.11
2024 21.08
2023 29.71
2022 24.06
2021 37.74
2020 33.53
2019 26.76
2018 23.00
2017 22.18
2016 21.73
2015 20.54
2014 20.15
2013 20.65
2012 17.83
2011 14.65
2010 16.31
2009 19.80
2008 13.35
2007 20.48
2006 18.10
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L'Oreal Valuation

Details

Historical Valuation Multiples

Price-to-Earnings Ratio (P/E)

The P/E ratio divides L'Oreal's share price by its earnings per share. It tells you how many years of current earnings you are "paying for" when you buy the stock. A P/E of 20 means you pay $20 for every $1 of annual earnings. The S&P 500 historically trades at an average P/E of roughly 15–17. A P/E significantly above that may signal high growth expectations; one below may indicate undervaluation — or declining business quality.

Price-to-Sales Ratio (P/S)

The P/S ratio divides market capitalization by total revenue. Unlike the P/E ratio, it works even for companies that are not yet profitable, making it essential for evaluating high-growth firms. A P/S below 1.0 may indicate undervaluation, while ratios above 10 are typically reserved for fast-growing tech or SaaS companies with high expected future margins.

Price-to-EBIT Ratio

This ratio relates L'Oreal's market price to its operating earnings, excluding the effects of debt structure and tax jurisdiction. It is particularly useful for comparing companies across different countries or with different levels of leverage, because it focuses purely on operational profitability. Lower values suggest cheaper operational earnings.

How to Use This Chart

This chart plots L'Oreal's valuation multiples over time. Compare the current P/E, P/S, and P/EBIT to their own historical averages — if the current ratio is well below the multi-year average, the stock may be relatively cheap compared to its own track record. Combine this with industry comparisons: a P/E that looks high in absolute terms may be justified if L'Oreal grows earnings faster than its peers.

L'Oreal Stock analysis

What does L'Oreal do? L'Oreal SA is a French cosmetics company that operates worldwide. It was founded in 1909 by Eugène Schueller. The name L'Oreal is an abbreviation for "Laboratoires de recherches cosmétiques". L'Oreal's business model is based on the manufacturing, distribution, and marketing of cosmetic products. The company operates in various levels, such as research and development, production, marketing, and distribution of skincare, hair care, makeup, and perfume products. The different divisions of L'Oreal include: luxury products, mass-market products, active cosmetics, and professional products. Each of these divisions has its own target audience and products. Luxury products are high-priced products targeting an upscale audience, while mass-market products have lower prices and a broader target audience. The active cosmetics division offers products for specific skin problems or needs, such as sun protection, anti-aging products, or products for sensitive skin. The professional products division is intended for hairdressers and beauty salons, offering products for hair care, styling, and coloring. L'Oreal is known for its numerous brands, such as Lancôme, L'Oreal Paris, Maybelline New York, Garnier, Redken, Matrix, and many more. Each of these brands has its own products and target audiences. L'Oreal also has several licensing and partnership agreements, such as with Armani, Ralph Lauren, and Yves Saint Laurent. The main product of L'Oreal is skincare. The company is one of the world's largest manufacturers of skincare products. L'Oreal is known for its anti-aging products and has also increasingly launched products for sensitive and problematic skin in recent years. Another important product segment is hair care, represented by brands like L'Oreal Professionnel, Redken, and Kérastase. L'Oreal places great emphasis on research and development. The company operates numerous research laboratories worldwide and has made significant investments in research in recent years. L'Oreal works closely with scientists and dermatologists and aims to bring innovative and effective products to the market. L'Oreal is also a company that is committed to sustainability and social responsibility. The company has launched a range of initiatives to minimize its impact on the environment and improve its ethical standards. L'Oreal aims to be carbon neutral by 2030 and climate neutral by 2050. Overall, L'Oreal is a company distinguished by its wide range of products, well-known brands, and research and development work. The company is able to meet the different needs and desires of its customers and offers products for all price ranges and target audiences. L'Oreal is also a company that is committed to sustainability and social responsibility, making it an attractive choice for customers interested in these issues. L'Oreal is one of the most popular companies on Eulerpool.

Frequently Asked Questions about L'Oreal stock

EV/EBIT (Enterprise Value to EBIT) of L'Oreal is 20.97 in 2026.

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