Lovisa Holdings Ltd. (LOV) AI Stock Analysis

• Market Cap: €4.13B
• Dividend Yield: 2.04%
• Average Volume (3M): 292.87K
• Price to Earnings (P/E): 48.3
• Beta (1Y): 1.72
• Revenue Growth: 14.24%
• EPS Growth: 3.58%
• Country: AU
• Employees: 8,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Luxury Goods
• EPS (TTM): 0.27
• Shares Outstanding: 110,738,495
• 10 Day Avg. Volume: 173,024
• 30 Day Avg. Volume: 292,872
• PEG Ratio: 10.14
• Price to Book (P/B): 44.59
• Price to Sales (P/S): 4.39
• P/FCF Ratio: 23.85
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €38.64
• Price Target Upside: 4.04% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 11

• Rating: 61 Neutral
• Price Target: AU$39.00 ▲(5.01% Upside)

Lovisa Holdings Ltd. has a solid financial performance with strong revenue growth and profitability, but high leverage poses risks. Technical indicators suggest a bearish trend, and the valuation indicates potential overvaluation. These factors combined result in a moderate overall stock score.

Lovisa Holdings Ltd. Business Overview & Revenue Model

Company Description

Lovisa Holdings Limited engages in the retail sale of fashion jewelry and accessories. It designs, develops, sources, and merchandises fashion jewelry and accessories under the Lovisa brand name. As of July 3, 2022, the company operated 629 retail stores, including 44 franchise stores. It operated owned stores in Australia, New Zealand, Singapore, Malaysia, South Africa, the United Kingdom, France, Luxembourg, Belgium, Germany, the Netherlands, Austria, Switzerland, the United States, Poland, Canada, Spain, and the Middle East. Lovisa Holdings Limited was founded in 2010 and is based in Hawthorn, Australia.

How the Company Makes Money

Lovisa Holdings Ltd. generates revenue primarily through the sale of its fashion jewelry and accessories via its extensive network of retail stores and online platforms. The company's revenue model is centered on maintaining a fast-fashion approach, which involves quickly bringing to market a broad variety of trendy jewelry pieces that appeal to a wide demographic. By keeping its designs fresh and aligned with current fashion trends, Lovisa attracts repeat customers and drives sales growth. Additionally, Lovisa benefits from strategic store locations in high-traffic shopping areas and malls, enhancing its visibility and customer reach. The company may also engage in partnerships or collaborations with designers or influencers to expand its market presence, though specific partnerships are not detailed here. Furthermore, Lovisa's cost-effective production and supply chain management contribute to its profitability, allowing it to offer competitive pricing while maintaining healthy margins.

Lovisa Holdings Ltd. Financial Statement Overview

Summary

Lovisa Holdings Ltd. shows strong financial performance with robust revenue growth and profitability. The company effectively manages its cash flows, supporting its operations and growth. However, the high leverage on the balance sheet suggests potential risks that need careful management.

Income Statement

Lovisa Holdings Ltd. has demonstrated strong revenue growth with a 9.1% increase in the latest year, supported by a robust gross profit margin of 82%. The net profit margin is healthy at 10.8%, indicating efficient cost management. EBIT and EBITDA margins are solid, reflecting operational efficiency. Overall, the income statement shows a positive growth trajectory and profitability.

Balance Sheet

The company has a high debt-to-equity ratio of 6.36, indicating significant leverage, which could pose risks if not managed carefully. However, the return on equity is impressive at 109.9%, showcasing effective use of equity to generate profits. The equity ratio is relatively low, suggesting a reliance on debt financing. While profitability is strong, the high leverage warrants caution.

Cash Flow

Operating cash flow is strong, with a positive free cash flow growth rate of 3.2%. The operating cash flow to net income ratio is 2.41, indicating good cash generation relative to net income. The free cash flow to net income ratio is 1.70, reflecting efficient cash conversion. Overall, the cash flow statement indicates healthy cash management and growth.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	798.13M	798.13M	698.66M	596.46M	458.71M	288.03M
Gross Profit	654.67M	654.67M	565.79M	476.71M	361.83M	220.96M
EBITDA	176.59M	176.59M	221.55M	180.19M	142.73M	97.70M
Net Income	86.33M	86.33M	82.41M	68.16M	58.39M	24.83M
Balance Sheet
Total Assets	698.43M	698.43M	532.80M	525.31M	373.52M	298.26M
Cash, Cash Equivalents and Short-Term Investments	49.11M	49.11M	30.52M	31.65M	34.15M	35.55M
Total Debt	499.64M	499.64M	359.07M	372.59M	228.37M	200.69M
Total Liabilities	619.88M	619.88M	452.51M	445.32M	309.20M	252.55M
Stockholders Equity	78.55M	78.55M	80.29M	79.99M	64.32M	45.72M
Cash Flow
Free Cash Flow	146.88M	146.88M	148.91M	64.30M	93.18M	69.96M
Operating Cash Flow	207.91M	207.91M	187.51M	141.16M	130.56M	85.30M
Investing Cash Flow	-55.17M	-55.17M	-23.27M	-60.72M	-34.60M	2.26M
Financing Cash Flow	-143.06M	-143.06M	-165.16M	-83.61M	-97.47M	-73.08M

Lovisa Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 37.14
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:LOV, the sentiment is Neutral. The current price of 37.14 is below the 20-day moving average (MA) of 38.90, below the 50-day MA of 37.53, and above the 200-day MA of 30.29, indicating a neutral trend. The MACD of -0.26 indicates Positive momentum. The RSI at 42.01 is Neutral, neither overbought nor oversold. The STOCH value of 36.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:LOV.

Lovisa Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UNI	72 Outperform	AU$659.80M	28.62	15.62%	4.36%	15.51%	-32.98%
PMV	71 Outperform	AU$3.08B	18.57	10.29%	5.37%	-48.80%	-35.88%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
LOV	61 Neutral	€4.13B	48.27	110.44%	2.04%	14.24%	3.58%
MYR	60 Neutral	€836.66M	23.12	-36.66%	6.19%	13.78%	-413.50%
AX1	59 Neutral	AU$814.34M	13.39	12.90%	5.28%	1.58%	-4.71%
MHJ	52 Neutral	AU$140.47M	66.36	1.24%	13.29%	-0.20%	―

Lovisa Holdings Ltd. Corporate Events

Lovisa Holdings to Announce FY25 Results on August 27

Lovisa Holdings Limited has announced the release date for its financial year 2025 results, scheduled for August 27, 2025. The results will be presented by the CEO and CFO via a webcast, with an archive available on the company’s website, reflecting the company’s commitment to transparency and stakeholder engagement.

The most recent analyst rating on (AU:LOV) stock is a Hold with a A$31.20 price target. To see the full list of analyst forecasts on Lovisa Holdings Ltd. stock, see the AU:LOV Stock Forecast page.

State Street Corporation Ceases Substantial Holding in Lovisa Holdings Ltd.

Lovisa Holdings Ltd. has announced that State Street Corporation and its subsidiaries have ceased to be substantial holders in the company as of June 27, 2025. This change in substantial holding may impact the company’s shareholder structure and influence its market positioning, though specific implications for stakeholders are not detailed in the release.

The most recent analyst rating on (AU:LOV) stock is a Hold with a A$31.20 price target. To see the full list of analyst forecasts on Lovisa Holdings Ltd. stock, see the AU:LOV Stock Forecast page.

Pinnacle Increases Stake in Lovisa Holdings

Lovisa Holdings Ltd. has announced a change in the substantial holding of its voting shares by Pinnacle Investment Management Group Limited. Pinnacle’s voting power in Lovisa Holdings has increased from 6.11% to 7.11%, indicating a significant rise in their stake in the company. This change could potentially impact Lovisa Holdings’ market dynamics and influence stakeholder interests.

The most recent analyst rating on (AU:LOV) stock is a Hold with a A$29.00 price target. To see the full list of analyst forecasts on Lovisa Holdings Ltd. stock, see the AU:LOV Stock Forecast page.

Lovisa Holdings Announces Leadership Changes to Drive Global Growth

Lovisa Holdings Limited announced the commencement of John Cheston as the new Global CEO and Managing Director, effective June 4, 2025, marking a leadership transition from Victor Herrero. Additionally, Mark McInnes has been appointed as Executive Deputy Chairman, bringing extensive retail experience to support Lovisa’s next stage of global growth. These leadership changes are expected to strengthen Lovisa’s industry position and drive long-term shareholder value.

The most recent analyst rating on (AU:LOV) stock is a Hold with a A$29.00 price target. To see the full list of analyst forecasts on Lovisa Holdings Ltd. stock, see the AU:LOV Stock Forecast page.

Lovisa Holdings Welcomes State Street as Substantial Holder

Lovisa Holdings Ltd. has announced a significant change in its shareholder structure, with State Street Corporation and its subsidiaries becoming substantial holders in the company as of May 22, 2025. This development may impact Lovisa’s market positioning and stakeholder dynamics, as State Street’s involvement could influence voting power and strategic decisions within the company.

The most recent analyst rating on (AU:LOV) stock is a Hold with a A$29.00 price target. To see the full list of analyst forecasts on Lovisa Holdings Ltd. stock, see the AU:LOV Stock Forecast page.

State Street Corporation Ceases Substantial Holding in Lovisa Holdings

Lovisa Holdings Ltd. has announced that State Street Corporation and its subsidiaries have ceased to be substantial holders in the company as of May 12, 2025. This change in substantial holding may impact the company’s shareholder structure and could influence future voting outcomes, potentially affecting Lovisa Holdings’ strategic decisions and market positioning.

The most recent analyst rating on (AU:LOV) stock is a Hold with a A$29.00 price target. To see the full list of analyst forecasts on Lovisa Holdings Ltd. stock, see the AU:LOV Stock Forecast page.

State Street Becomes Substantial Holder in Lovisa Holdings

Lovisa Holdings Ltd. has announced that State Street Bank and Trust Company has become a substantial holder in the company, indicating a significant investment and interest in Lovisa’s operations. This development could impact Lovisa’s market positioning by potentially increasing investor confidence and influencing voting power within the company.