L'Oreal SA
OR: XPAR (FRA)
| Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
|---|---|---|---|
| €377.00 | Bgk | Zvtzbjrc |
Wide-Moat L'Oréal Is Off to a Strong Start in 2022 Despite Many Headwinds
/s3.amazonaws.com/arc-authors/morningstar/954b1b84-f2c0-4919-adbf-a5947c688cd7.jpg)
Business Strategy and Outlook
We believe L’Oréal has secured a wide moat, fortified by a mix of market-leading brands, entrenched relationships with retailers, and a scale-based cost advantage. L’Oréal is the world’s third-largest advertiser, which we think affords it a degree of negotiating power. We expect these benefits to endure for the next 20 years, prompting its wide moat designation.