L’Oreal shares are performing surprisingly well

By: Trademagazin Date: 2024. 04. 19. 11:37

🎧 Hallgasd a cikket: Nyelv: Sebesség: 1.05×

L’Oreal’s shares showed a significant 5% increase on Friday, which is due to the company’s first quarter sales results, which exceeded market expectations. That growth reassured investors who had been worried about a possible slowdown in the United States, Reuters reported.

The strong performance was particularly significant given earlier concerns about a slowdown in the US market. L’Oreal shares hit that level at 07:45 GMT, the biggest gain since January 2023. At the same time, since the beginning of the year, the value of shares has decreased by 6% overall. The world’s largest beauty company, L’Oreal, reported a turnover increase of more than 12% in North America and Europe. The main drivers of growth were mass market products and dermatology offerings, which offset the decline in the luxury segment.

Analysts at Barclays called L’Oreal’s first-quarter results a “rock-solid quarter”, noting that while the company acknowledged the slowdown in the US market, it still positively surprised analysts with results in both the US and Europe.

The strong performance of L’Oreal’s stock has benefited not only the company, but other beauty companies as well. Estee Lauder’s shares also rose about 5%, while Coty rose 3%.