| Valuation method | Value, € | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 446.26 | -40 |
| Intrinsic value (DCF) | 295.92 | -61 |
| Graham-Dodd Method | 311.81 | -58 |
| Graham Formula | 844.22 | 13 |
Robertet SA (CBE.PA) is a leading global producer of perfumes, aromas, and natural products, headquartered in Grasse, France—the historic capital of perfumery. Founded in 1850, the company operates across three key segments: Raw Materials, Fragrances, and Flavors, with a strong emphasis on natural and organic ingredients, including essential oils and active compounds. Robertet serves diverse markets in North America, Europe, Asia Pacific, South America, the Caribbean, Africa, and the Middle East. As a pioneer in natural fragrance and flavor solutions, Robertet differentiates itself through sustainable sourcing and deep expertise in botanical extraction. The company’s vertically integrated supply chain ensures quality control from farm to finished product, catering to high-end perfumery, cosmetics, and food industries. With a market capitalization of €1.6 billion, Robertet is a key player in the specialty chemicals sector, combining tradition with innovation to meet growing consumer demand for natural and premium ingredients.
Robertet SA presents a compelling investment case due to its niche leadership in natural fragrances and flavors, a sector benefiting from rising demand for clean-label and sustainable products. The company’s strong profitability (€90.1M net income in FY 2023) and consistent dividend (€8.5/share) reflect stable cash flows, supported by a low beta (0.25), suggesting defensive characteristics. However, reliance on agricultural raw materials exposes it to price volatility and supply chain risks. Capital expenditures (€38.6M) indicate ongoing investments in capacity, but debt (€268M) warrants monitoring. With a focus on premium natural ingredients, Robertet is well-positioned in high-margin segments, though competition from larger chemical conglomerates could pressure growth.
Robertet’s competitive advantage lies in its heritage, natural ingredient focus, and vertical integration. Unlike synthetic-focused peers, Robertet emphasizes traceability and sustainability, appealing to luxury and health-conscious markets. Its Grasse headquarters provide proximity to premium perfume clients, while its global sourcing network ensures raw material security. The company’s smaller scale vs. giants like Givaudan allows agility in custom formulations but limits R&D budgets. In flavors, it competes with DSM-Firmenich in natural solutions but lacks their broad food science portfolio. Robertet’s EBITDA margins (~15%) lag some peers due to higher input costs, but its niche positioning mitigates direct competition. Challenges include scaling while maintaining artisanal quality and navigating regulatory hurdles in organic certification. The shift toward natural products in cosmetics and food is a tailwind, but reliance on agrarian supply chains (e.g., lavender, vanilla) introduces climate-related risks.