L'Oréal Shares Drop 2.05% to €355.55, Dragged Down by Luxury and Oil
L'Oréal shares fall 2.05% to €355.55 at mid-session, in a downward trending Paris market (CAC 40 -0.97%). The stock of the world's leading cosmetics company is among the top five declines in the index, alongside LVMH (-3.66%) and Hermès (-2.32%). The luxury sector is paying for its exposure to geopolitical tensions that are driving up energy prices.
Luxury Under Pressure, L'Oréal Plummets Alongside Peers
The session penalizes all luxury stocks listed in Paris. LVMH is at the bottom of the CAC 40, Hermès is down 2.32%, and L'Oréal ranks 36th out of 40, among the top five declines in the index. In the background, Brent crude climbs 2.24% to $103.56 due to the diplomatic deadlock between Tehran and Washington after Donald Trump's rejection of the Iranian conditions. However, the Chinese economic situation provides a factual support point for the cosmetics sector: beauty product sales in China grew 8.3% year-on-year in March 2026, while the country's total retail only advanced 1.7%. China remains a strategic market for the group, which had suffered a 5.5% currency effect in the first quarter during the April 23 publication, with a revenue of €12.15 billion.
Below Moving Averages, Support at €344.90 in Sight
Today's decline brings the stock below its three moving averages: the 20-day MA at €362.09 shows a gap of about 1.8%, the 50-day MA at €361.74 about 1.7%, while the 200-day MA at €374.30 remains 5% above the current price. The RSI at 49 remains neutral, and the price is moving in the lower part of the Bollinger Bands, at 33% of the range. The technical support is located at €344.90, which is 3% below the current level. The stock has lost 9.16% over three months and 7.22% over a year, figures that contrast with the valuation: based on the consensus of 20 analysts, the stock is trading at about 26.2 times the earnings expected for the current fiscal year, compared to a sector average 'Consumer Discretionary' of 14.5 times. The next financial calendar event is the publication of the semi-annual results, expected on July 29 and 30, 2026.