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Lovisa Holdings Ltd. (AU:LOV)
ASX:LOV
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Lovisa Holdings Ltd. (LOV) AI Stock Analysis

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AU:LOV

Lovisa Holdings Ltd.

(Sydney:LOV)

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Neutral 69 (OpenAI - 5.2)
Rating:69Neutral
Price Target:
AU$26.00
▲(25.85% Upside)
Action:Reiterated
Date:03/13/26
The score is led by strong operating performance and cash generation, partially offset by elevated leverage risk. Technicals are the biggest drag given a clear downtrend and negative momentum, while valuation (reasonable P/E and solid dividend yield) provides some support.
Positive Factors
High gross margin & healthy profitability
Sustained 82% gross margin and double-digit net margin indicate durable product-level pricing power and cost control in fast-fashion jewelry. High margins provide a structural buffer against input-cost shocks, support reinvestment in stores and merchandising, and enable consistent earnings conversion over mid-term cycles.
Negative Factors
Elevated leverage on the balance sheet
A debt-to-equity ratio above 6x creates persistent balance-sheet risk: higher interest and refinancing exposure, reduced financial flexibility, and vulnerability to cash-flow variability. Over months this can constrain strategic spending, increase costs if rates rise, and limit ability to navigate retail shocks.
Read all positive and negative factors
Positive Factors
Negative Factors
High gross margin & healthy profitability
Sustained 82% gross margin and double-digit net margin indicate durable product-level pricing power and cost control in fast-fashion jewelry. High margins provide a structural buffer against input-cost shocks, support reinvestment in stores and merchandising, and enable consistent earnings conversion over mid-term cycles.
Read all positive factors

Lovisa Holdings Ltd. (LOV) vs. iShares MSCI Australia ETF (EWA)

Lovisa Holdings Ltd. Business Overview & Revenue Model

Company Description
Lovisa Holdings Limited operates as a global retailer, focusing on fashionable jewelry and accessories. The company manages the entire product lifecycle under its proprietary Lovisa brand, encompassing design, development, sourcing, and merchandis...
How the Company Makes Money
Lovisa primarily makes money by selling fashion jewelry and accessories directly to consumers through its store network, with revenue recognized at the point of sale. Its core revenue stream is retail merchandise sales (high-volume, lower-ticket i...

Lovisa Holdings Ltd. Financial Statement Overview

Summary
Strong profitability and growth profile (9.1% revenue growth, 82% gross margin, 10.8% net margin) supported by healthy cash generation (operating cash flow to net income of 2.41; free cash flow growth 3.2%). The main constraint is balance-sheet risk from high leverage (debt-to-equity 6.36), despite very strong ROE (109.9%).
Income Statement
85
Very Positive
Balance Sheet
70
Positive
Cash Flow
78
Positive
BreakdownTTMJun 2025Jun 2024Jun 2023Jun 2022Jun 2021
Income Statement
Total Revenue892.86M798.13M698.66M596.46M458.71M288.03M
Gross Profit523.36M654.67M565.79M476.71M361.83M220.96M
EBITDA236.68M176.59M221.55M180.19M142.73M97.70M
Net Income87.79M86.33M82.41M68.16M58.39M24.83M
Balance Sheet
Total Assets737.93M698.43M532.80M525.31M373.52M298.26M
Cash, Cash Equivalents and Short-Term Investments70.48M49.11M30.52M31.65M34.15M35.55M
Total Debt816.72M499.64M359.07M372.59M228.37M200.69M
Total Liabilities629.89M619.88M452.51M445.32M309.20M252.55M
Stockholders Equity108.04M78.55M80.29M79.99M64.32M45.72M
Cash Flow
Free Cash Flow165.25M146.88M148.91M64.30M93.18M69.96M
Operating Cash Flow245.16M207.91M187.51M141.16M130.56M85.30M
Investing Cash Flow-69.74M-55.17M-23.27M-60.72M-34.60M2.26M
Financing Cash Flow-159.03M-143.06M-165.16M-83.61M-97.47M-73.08M

Lovisa Holdings Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price20.66
Price Trends
50DMA
22.51
Positive
100DMA
22.44
Positive
200DMA
26.56
Negative
Market Momentum
MACD
-0.24
Positive
RSI
34.40
Neutral
STOCH
16.54
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:LOV, the sentiment is Positive. The current price of 20.66 is below the 20-day moving average (MA) of 22.63, below the 50-day MA of 22.51, and below the 200-day MA of 26.56, indicating a neutral trend. The MACD of -0.24 indicates Positive momentum. The RSI at 34.40 is Neutral, neither overbought nor oversold. The STOCH value of 16.54 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:LOV.

Lovisa Holdings Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
AU$2.65B29.8394.10%3.78%
63
Neutral
AU$2.24B16.9031.92%3.52%-30.67%-24.10%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
58
Neutral
AU$566.20M16.2722.34%5.90%14.44%61.48%
54
Neutral
AU$128.92M16.314.90%1.87%650.00%
47
Neutral
AU$72.44M-9.64-24.62%-6.53%-448.44%
42
Neutral
AU$362.83M-1.19-22.14%6.38%30.31%-737.99%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:LOV
Lovisa Holdings Ltd.
23.86
-8.91
-27.20%
AU:MYR
Myer Holdings Limited
0.21
-0.36
-63.35%
AU:UNI
Universal Store Holdings Ltd.
7.29
-0.82
-10.13%
AU:CTT
Cettire Ltd.
0.22
-0.07
-23.21%
AU:PMV
Premier Investments Limited
13.69
-6.71
-32.89%
AU:MHJ
Michael Hill International Ltd.
0.35
-0.07
-16.67%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Mar 13, 2026