EssilorLuxottica SA (EL) AI Stock Analysis

• Market Cap: €90.01B
• Dividend Yield: 1.46%
• Average Volume (3M): 420.79K
• Price to Earnings (P/E): 53.5
• Beta (1Y): 0.94
• Revenue Growth: 5.45%
• EPS Growth: 2.86%
• Country: FR
• Employees: 153,498
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 2.91
• Shares Outstanding: 463,289,580
• 10 Day Avg. Volume: 450,041
• 30 Day Avg. Volume: 420,785
• PEG Ratio: -17.39
• Price to Book (P/B): 3.19
• Price to Sales (P/S): 4.35
• P/FCF Ratio: 32.90
• 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: €323.75
• Price Target Upside: 66.20% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): 7.5
• Revenue Forecast (FY): €31.41B

• Rating: 61 Neutral
• Price Target: €206.00 ▲(5.75% Upside)
• Action: Reiterated Date: 02/18/26
• Date: Action: Reiterated 02/18/26

The score is primarily supported by solid financial performance (steady growth, high gross profitability, and improving 2025 free cash flow), but is held back by weaker technical momentum (below key moving averages and negative MACD) and a rich valuation (high P/E with only a modest dividend yield).

Positive Factors

Vertical integration

Owning design, manufacturing, wholesale and retail creates durable supply-chain control and margin capture across the value chain. This structure supports cost discipline, faster product rollouts, and stronger negotiating leverage with suppliers and partners over the medium term.

Negative Factors

Rising leverage

A notable step-up in debt weakens financial flexibility and raises interest cost sensitivity. If leverage continues to rise while margins soften, it can constrain investment capacity and heighten balance-sheet risk during economic or industry downturns.

EssilorLuxottica SA Business Overview & Revenue Model

Company Description

EssilorLuxottica Société anonyme designs, manufactures, and distributes ophthalmic lenses, frames, and sunglasses in North America, Europe, Latin America, Asia, Oceania, and Africa. It operates in five segments: Wholesale, Retail, Lenses and Optic...

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EssilorLuxottica Société anonyme designs, manufactures, and distributes ophthalmic lenses, frames, and sunglasses in North America, Europe, Latin America, Asia, Oceania, and Africa. It operates in five segments: Wholesale, Retail, Lenses and Optic...

How the Company Makes Money

EssilorLuxottica primarily makes money by selling eyewear products and related services through a mix of wholesale and direct-to-consumer channels. Key revenue streams include: (1) Ophthalmic lenses and lens solutions: The company sells prescripti...

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EssilorLuxottica primarily makes money by selling eyewear products and related services through a mix of wholesale and direct-to-consumer channels. Key revenue streams include: (1) Ophthalmic lenses and lens solutions: The company sells prescripti...

EssilorLuxottica SA Financial Statement Overview

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	28.49B	26.51B	25.39B	24.49B	19.82B
Gross Profit	17.25B	16.81B	16.05B	15.59B	12.28B
EBITDA	6.47B	6.55B	6.18B	6.10B	4.71B
Net Income	2.31B	2.36B	2.29B	2.15B	1.45B
Balance Sheet
Total Assets	63.90B	64.26B	60.52B	60.56B	59.41B
Cash, Cash Equivalents and Short-Term Investments	3.54B	2.25B	2.56B	1.99B	3.33B
Total Debt	17.05B	13.22B	11.66B	12.20B	13.02B
Total Liabilities	24.40B	23.26B	21.63B	22.41B	23.54B
Stockholders Equity	38.89B	40.38B	38.24B	37.45B	35.06B
Cash Flow
Free Cash Flow	3.77B	3.35B	3.33B	3.21B	3.52B
Operating Cash Flow	5.29B	4.87B	4.86B	4.78B	4.54B
Investing Cash Flow	-2.64B	-3.62B	-1.72B	-3.29B	-8.13B
Financing Cash Flow	-971.00M	-1.65B	-2.36B	-2.91B	-1.97B

EssilorLuxottica SA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 194.80
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:EL, the sentiment is Negative. The current price of 194.8 is below the 20-day moving average (MA) of 205.08, below the 50-day MA of 232.93, and below the 200-day MA of 264.20, indicating a bearish trend. The MACD of -11.76 indicates Negative momentum. The RSI at 25.36 is Positive, neither overbought nor oversold. The STOCH value of 23.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:EL.

EssilorLuxottica SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RMS	68 Neutral	€169.68B	49.17	25.52%	1.24%	10.31%	0.54%
CDI	64 Neutral	€78.26B	23.71	19.54%	2.33%	-3.24%	-21.65%
MC	63 Neutral	€226.55B	29.51	16.39%	2.06%	-3.24%	-21.24%
EL	61 Neutral	€90.01B	53.52	6.19%	1.46%	5.45%	2.86%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
KER	48 Neutral	€30.44B	-23.01	0.49%	2.03%	-14.56%	-64.91%