L'Oreal (XSWX:OR) Moat Score: 9/10 (As of Jun. 25, 2026)


XSWX:OR L'Oreal SA XSWX:OR
99 GF Score
Price CHF328.25
GF Value CHF356.55
! 3 Warning Signs
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What is L'Oreal Moat Score?

L'Oreal XSWX:OR 99 Moat Score is 9 as of Jun. 25, 2026. GuruFocus rates XSWX:OR with a GF Score™ of 99/100 and a GF Value™ of CHF356.55. The stock has 3 warning signs investors should review. Among 2,058 Consumer Packaged Goods companies, L'Oreal ranks better than 99.95% on this metric.

L'Oreal has the Moat Score of 9, which implies that the company might have Wide Moat - Clear and robust wide moat.

L'Oreal has Wide Moat: L'Oreal SA has a clear and robust wide moat with strong brand strength, significant customer loyalty, and superior distribution networks. Its extensive portfolio of patents and consistent innovation further solidify its dominant market position.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes L'Oreal might have Wide Moat - Clear and robust wide moat.

L'Oreal  (XSWX:OR) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

L'Oreal Moat Score Related Terms

XSWX:OR vs PG, CL, KVUE: Moat Score Comparison

For the Household & Personal Products subindustry, L'Oreal's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

L'Oreal Moat Score vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, L'Oreal's Moat Score distribution charts can be found below:

* The bar in red indicates where L'Oreal's Moat Score falls into.


XSWX:OR
99GF Score
L'Oreal SA XSWX:OR
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 9 mean?
L'Oreal (XSWX:OR) has a Moat Score of 9 as of Jun. 25, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, L'Oreal ranks #1 out of 2058 companies in the Consumer Packaged Goods industry, placing it in the top 0%.
Is L'Oreal's Moat Score too high?
L'Oreal's current Moat Score is 9. Based on the distribution chart, L'Oreal ranks #1 out of 2058 companies in the Consumer Packaged Goods industry, which is in the top quartile — a strong position relative to peers. Overall, L'Oreal has a GF Score™ of 99/100, reflecting its overall financial health beyond just this single metric.
How does L'Oreal's Moat Score compare to PG and CL?
According to the Consumer Packaged Goods industry distribution chart, L'Oreal ranks #1 out of 2058 companies for Moat Score. This places L'Oreal in the top 0% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Consumer Packaged Goods company?
A good Moat Score depends on the Consumer Packaged Goods industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. L'Oreal's current Moat Score is 9. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is L'Oreal stock overvalued right now?
L'Oreal (XSWX:OR) has a current Moat Score of 9. The stock's GF Value™ is CHF356.55, compared to a current price of CHF328.25 — trading 7.9% below its estimated fair value. The current Moat Score is 9. L'Oreal's overall GF Score™ is 99/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For L'Oreal (XSWX:OR), the current Moat Score is 9 as of Jun. 25, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is L'Oreal (XSWX:OR) Overvalued in 2026?

Based on GuruFocus' analysis, L'Oreal stock appears to be undervalued. The current stock price of CHF328.25 is trading 7.9% below its estimated GF Value™ of CHF356.55.

Key valuation signals for XSWX:OR:

  • Moat Score: 9
  • GF Value™: CHF356.55 vs. price of CHF328.25 (7.9% below fair value)
  • GF Score™: 99/100 with 3 warning signs

No single metric tells the full story. See the XSWX:OR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

L'Oreal Business Description

Address 41, Rue Martre, Clichy Cedex, Paris, FRA, 92117
L'Oréal is the largest beauty product maker in the world, with consumer products (37% of sales) and luxury beauty (35%) the major segments, followed by derma skin care (16%) and professional products (12%). The firm also has a diversified geographic footprint, generating 34% of sales in Europe, 27% from North America, 23% in North Asia, and the rest from various emerging markets across South Asia, Latin America, and Africa. L'Oréal owns a mix of premium and mass beauty brands sold through a wide range of channels such as mass retail, drugstores, department stores, travel retail, e-commerce, hair salons, and medi-spas. Leading brands include Lancôme, Yves Saint Laurent, Maybelline, Kiehl's, L'Oréal Paris, Kerastase, CeraVe, Garnier, and Armani.
99GF Score

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Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

CHF328.25
Price
CHF356.55
GF Value