Paris, Sep 15: L’Oréal has overtaken luxury conglomerate LVMH to become France’s most valuable listed company, marking the first time the cosmetics group has held the top position since 2017.
L’Oréal’s market capitalisation reached about €203 billion on Tuesday, narrowly exceeding LVMH’s valuation of around €201 billion, according to market data reported by Reuters.
The shift comes as luxury companies face pressure from weaker consumer demand in China and broader economic and geopolitical uncertainties. LVMH shares have also come under pressure after a prolonged period of strong growth in the luxury sector.
By contrast, L’Oréal has benefited from continued demand for beauty and cosmetics products. Its shares have gained during 2026, supported by investor confidence in the resilience of the global beauty market.
Analysts cited by Reuters pointed to the so-called “lipstick effect”, in which consumers facing economic uncertainty may continue purchasing relatively affordable luxury products such as cosmetics while reducing spending on more expensive items.
The change in rankings highlights the contrasting fortunes of two major French consumer companies as global shoppers adjust their spending amid economic uncertainty.
LVMH remains one of the world’s largest luxury groups, with brands spanning fashion, jewellery, watches, wines and spirits, while L’Oréal has a portfolio covering cosmetics, skincare, haircare and beauty products.