(EL) EssilorLuxottica S. A. - Ratings and Ratios
Lenses, Frames, Sunglasses, ContactLenses, OpticalEquipment
Description: EL EssilorLuxottica S. A.
EssilorLuxottica S.A. is a global leader in the design, manufacture, and distribution of ophthalmic lenses, frames, and sunglasses, operating across multiple regions including North America, the Middle East, Africa, Europe, Latin America, and the Asia-Pacific. The companys diverse portfolio of brands includes Essilor, Varilux, Crizal, Ray-Ban, Oakley, and Persol, among others, catering to various segments within the eyecare and eyewear industry.
With a strong presence in the global eyecare market, EssilorLuxottica S.A. not only offers a wide range of products but also provides advanced diagnostic and treatment solutions, including multimodal imaging platforms like SPECTRALIS and ANTERION, as well as high-tech equipment for optical surfacing and finishing under the Satisloh brand. The companys comprehensive offerings extend to vision assessment, eye pathology diagnosis, and treatment, making it a one-stop solution for eyecare professionals and consumers alike.
From a financial perspective, EssilorLuxottica S.A. has a market capitalization of approximately €107.6 billion, with a forward P/E ratio of 30.03, indicating a relatively high valuation. However, the companys return on equity (RoE) stands at 11.96%, suggesting a decent level of profitability. To further analyze the companys performance, key performance indicators (KPIs) such as revenue growth, gross margin, and operating margin can be examined. For instance, EssilorLuxotticas revenue growth has been driven by its strategic acquisitions and expanding presence in emerging markets. The companys gross margin has also been stable, reflecting its ability to maintain pricing power and manage costs effectively.
In terms of operational efficiency, EssilorLuxotticas ability to integrate its various brands and product lines can be a key driver of success. The companys strong distribution network and retail presence, both online and offline, enable it to reach a wide customer base. Additionally, EssilorLuxotticas commitment to innovation, as evident from its advanced diagnostic and treatment solutions, can help drive growth and profitability in the long term. Key metrics to monitor include the companys sales growth, market share, and return on invested capital (ROIC).
EL Stock Overview
| Market Cap in USD | 146,104m |
| Sub-Industry | Health Care Equipment |
| IPO / Inception |
EL Stock Ratings
| Growth Rating | 82.1% |
| Fundamental | 68.5% |
| Dividend Rating | 63.5% |
| Return 12m vs S&P 500 | 5.87% |
| Analyst Rating | - |
EL Dividends
| Dividend Yield 12m | 1.56% |
| Yield on Cost 5y | 3.84% |
| Annual Growth 5y | 27.99% |
| Payout Consistency | 98.0% |
| Payout Ratio | 76.7% |
EL Growth Ratios
| Growth Correlation 3m | 71.7% |
| Growth Correlation 12m | 67.2% |
| Growth Correlation 5y | 92.1% |
| CAGR 5y | 20.33% |
| CAGR/Max DD 5y | 0.69 |
| Sharpe Ratio 12m | 0.93 |
| Alpha | 11.49 |
| Beta | 0.664 |
| Volatility | 22.41% |
| Current Volume | 351.9k |
| Average Volume 20d | 347.9k |
| Stop Loss | 255.4 (-3%) |
| Signal | -1.64 |
Piotroski VR‑10 (Strict, 0-10) 6.0
| Net Income (4.67b TTM) > 0 and > 6% of Revenue (6% = 3.18b TTM) |
| FCFTA 0.08 (>2.0%) and ΔFCFTA 2.12pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -0.68% (prev -1.91%; Δ 1.23pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.16 (>3.0%) and CFO 9.73b > Net Income 4.67b (YES >=105%, WARN >=100%) |
| Net Debt (10.96b) to EBITDA (9.51b) ratio: 1.15 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.97 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (461.2m) change vs 12m ago 2.67% (target <= -2.0% for YES) |
| Gross Margin 62.42% (prev 63.78%; Δ -1.36pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 86.90% (prev 72.18%; Δ 14.72pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 26.29 (EBITDA TTM 9.51b / Interest Expense TTM 187.0m) >= 6 (WARN >= 3) |
Altman Z'' 2.00
| (A) -0.01 = (Total Current Assets 11.03b - Total Current Liabilities 11.39b) / Total Assets 61.93b |
| (B) 0.25 = Retained Earnings (Balance) 15.53b / Total Assets 61.93b |
| (C) 0.08 = EBIT TTM 4.92b / Avg Total Assets 61.08b |
| (D) 0.65 = Book Value of Equity 15.61b / Total Liabilities 24.10b |
| Total Rating: 2.00 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 68.53
| 1. Piotroski 6.0pt = 1.0 |
| 2. FCF Yield 3.98% = 1.99 |
| 3. FCF Margin 9.90% = 2.48 |
| 4. Debt/Equity 0.18 = 2.48 |
| 5. Debt/Ebitda 0.72 = 2.11 |
| 6. ROIC - WACC -0.32% = -0.40 |
| 7. RoE 12.02% = 1.00 |
| 8. Rev. Trend 60.74% = 3.04 |
| 9. Rev. CAGR 18.62% = 2.33 |
| 10. EPS Trend -0.05% = -0.00 |
| 11. EPS CAGR 36.43% = 2.50 |
What is the price of EL shares?
Over the past week, the price has changed by -3.16%, over one month by +6.99%, over three months by +6.38% and over the past year by +24.59%.
Is EssilorLuxottica S. A. a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of EL is around 285.68 EUR . This means that EL is currently overvalued and has a potential downside of 8.46%.
Is EL a buy, sell or hold?
What are the forecasts/targets for the EL price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 265.9 | 1% |
| Analysts Target Price | - | - |
| ValueRay Target Price | 317.3 | 20.5% |
EL Fundamental Data Overview
Market Cap EUR = 125.43b (125.43b EUR * 1.0 EUR.EUR)
CCE Cash And Equivalents = 246.0m EUR (last quarter)
P/E Trailing = 52.9183
P/E Forward = 36.2319
P/S = 4.6044
P/B = 3.3162
P/EG = 2.865
Beta = 0.744
Revenue TTM = 53.08b EUR
EBIT TTM = 4.92b EUR
EBITDA TTM = 9.51b EUR
Long Term Debt = 6.81b EUR (from longTermDebt, last quarter)
Short Term Debt = 29.0m EUR (from shortTermDebt, last quarter)
Debt = 6.84b EUR (Calculated: Short Term 29.0m + Long Term 6.81b)
Net Debt = 10.96b EUR (from netDebt column, last fiscal year)
Enterprise Value = 132.02b EUR (125.43b + Debt 6.84b - CCE 246.0m)
Interest Coverage Ratio = 26.29 (Ebit TTM 4.92b / Interest Expense TTM 187.0m)
FCF Yield = 3.98% (FCF TTM 5.26b / Enterprise Value 132.02b)
FCF Margin = 9.90% (FCF TTM 5.26b / Revenue TTM 53.08b)
Net Margin = 8.80% (Net Income TTM 4.67b / Revenue TTM 53.08b)
Gross Margin = 62.42% ((Revenue TTM 53.08b - Cost of Revenue TTM 19.95b) / Revenue TTM)
Tobins Q-Ratio = 8.46 (Enterprise Value 132.02b / Book Value Of Equity 15.61b)
Interest Expense / Debt = 1.16% (Interest Expense 79.0m / Debt 6.84b)
Taxrate = 24.31% (from yearly Income Tax Expense: 800.0m / 3.29b)
NOPAT = 3.72b (EBIT 4.92b * (1 - 24.31%))
Current Ratio = 0.97 (Total Current Assets 11.03b / Total Current Liabilities 11.39b)
Debt / Equity = 0.18 (Debt 6.84b / last Quarter total Stockholder Equity 37.82b)
Debt / EBITDA = 0.72 (Net Debt 10.96b / EBITDA 9.51b)
Debt / FCF = 1.30 (Debt 6.84b / FCF TTM 5.26b)
Total Stockholder Equity = 38.87b (last 4 quarters mean)
RoA = 7.55% (Net Income 4.67b, Total Assets 61.93b )
RoE = 12.02% (Net Income TTM 4.67b / Total Stockholder Equity 38.87b)
RoCE = 10.77% (Ebit 4.92b / (Equity 38.87b + L.T.Debt 6.81b))
RoIC = 7.75% (NOPAT 3.72b / Invested Capital 48.01b)
WACC = 8.07% (E(125.43b)/V(132.27b) * Re(8.46%)) + (D(6.84b)/V(132.27b) * Rd(1.16%) * (1-Tc(0.24)))
Shares Correlation 5-Years: 80.0 | Cagr: 0.68%
Discount Rate = 8.46% (= CAPM, Blume Beta Adj.)
[DCF Debug] Terminal Value 80.10% ; FCFE base≈4.69b ; Y1≈5.78b ; Y5≈9.87b
Fair Price DCF = 335.7 (DCF Value 154.81b / Shares Outstanding 461.2m; 5y FCF grow 25.0% → 3.0% )
Revenue Correlation: 60.74 | Revenue CAGR: 18.62%
Rev Growth-of-Growth: -11.08
EPS Correlation: -0.05 | EPS CAGR: 36.43%
EPS Growth-of-Growth: 165.4