Barclays has reaffirmed its 'Overweight' recommendation on L'Oréal, with its price target raised from 453 to 467 euros, in light of the annual results published at the end of last week by the world's number one cosmetics company.

'Many investors seem to have been keen to buy L'Oréal on a pullback. With the share closing down 8% on Friday and expectations rebased for the first half of 2024, this looks like such an opportunity', the broker judges.

According to Barclays, its 2025 PE of 30x, for organic sales growth of 7% or more and EPS growth of 10% or more, 'looks reasonable'. Maintaining L'Oréal's multiple would result in an annual TSR of 12%", he continued.

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