Bernstein analyst Callum Elliott has maintained their neutral stance on 0NZM stock, giving a Hold rating yesterday.
Callum Elliott’s rating is based on a combination of factors that contribute to a cautious outlook for L’Oréal’s stock. The company’s first-quarter results were complicated by stock building related to an SAP rollout in China, which created noise in the quarterly performance metrics. While these short-term fluctuations might not significantly impact the long-term value of the company, they do raise concerns about the immediate future, especially as the market expected a turning point in Q1.
Additionally, the stock is trading close to 30 times earnings, which Elliott considers a precarious position given the current market conditions. Despite recent positive data from the US, China, and Europe, these improvements were based on March data and may not persist into the following months. Furthermore, negative revisions due to the strength of the Euro add to the uncertainty, leading Elliott to maintain a Hold rating with a price target of €380.
According to TipRanks, Elliott is ranked #3520 out of 9371 analysts.
In another report released yesterday, Berenberg Bank also maintained a Hold rating on the stock with a €374.00 price target.