L'Oréal hit by Deutsche Bank downgrade, shares face a more cautious analyst split

Deutsche Bank cuts L'Oréal to Sell and trims its target price, while a majority of brokers such as Barclays still see upside for the CAC 40 beauty group.

By Anna Wagner, Analysts & Consensus desk. Reviewed prior to publication on 2026-06-23, 14:02.

L'Oréal (FR0000120321) comes under fresh analyst scrutiny after Deutsche Bank downgraded the Paris-listed CAC 40 group to Sell and cut its target price, while trading continues on Euronext Paris alongside blue chips such as LVMH and Hermès. The move contrasts with still-supportive views from houses like Barclays, which recently raised its target after strong first-quarter growth.

What Deutsche Bank changed

According to a Deutsche Bank note reported by MarketScreener, analyst Tom Sykes lowered his recommendation on L'Oréal from Hold to Sell and cut the price target from 360 euros to 340 euros. The bank argues that growth could slow markedly in the second half of 2026 after a strong start to the year, making the current valuation demanding for the beauty leader.

MarketScreener data show L'Oréal shares last quoted around 376-378 euros in recent sessions, compared with the new Deutsche Bank target of 340 euros. Around late morning on Tuesday, the stock traded modestly lower on Euronext Paris at about 374.6 euros, roughly in line with a similar decline in the CAC 40 index.

Consensus still leans positive

Despite the Deutsche Bank downgrade, overall broker consensus on L'Oréal remains constructive, with the average target price around 407-408 euros according to MarketScreener. Investing.com highlights that the stock trades on a price-earnings multiple of about 32.9 times, with its own fair value estimate still indicating upside from current levels.

Investing.com also notes that Barclays recently lifted its target price on L'Oréal shares to 450 euros from 435 euros while reiterating an Overweight stance after robust first-quarter figures. This places Barclays at the bullish end of the analyst spectrum, in contrast to Deutsche Bank's more cautious view on the second-half growth trajectory.

The business behind the brand

L'Oréal generates its revenue from a diversified cosmetics portfolio that spans mass-market brands such as L'Oréal Paris and Maybelline, premium labels like Lancôme, and dermatological ranges including La Roche-Posay and Vichy. The group sells through global retail chains, pharmacies, e-commerce channels, and travel retail, with a strong presence in Europe, North America and Asia.

Where the stock trades today

The L'Oréal shares (FR0000120321) trade on 2026-06-23, 11:00, on Euronext Paris at around 374.6 euros, broadly in line with the intraday move in the CAC 40 benchmark index.

Key data on the L'Oréal shares

• Company: L'Oréal S.A.
• ISIN: FR0000120321
• WKN: 853888
• Ticker: OR
• Trading venue: Euronext Paris
• Price (as of 2026-06-23, 11:00): 374.6 EUR
• Market cap: around 200 billion EUR (as of 2026-06-23)
• Sector / industry: Consumer Staples / Personal Products
• Index membership: CAC 40, Euro Stoxx 50
• Next earnings date: not officially scheduled

This article is for informational purposes only and does not constitute investment advice or a solicitation to buy or sell any securities.