(EL) EssilorLuxottica S. A. - Overview
Sector: Healthcare | Industry: Medical Instruments & Supplies | Exchange: PA (France) | Market Cap: 148.128m EUR | Total Return: -21.7% in 12m
Avg Trading Vol: 131M EUR
Peers RS (IBD): 18.5
EssilorLuxottica designs, manufactures, and distributes ophthalmic lenses, frames, and sunglasses across global markets, including North America, Europe, and Asia-Pacific. Operating as a vertically integrated company, it controls the entire value chain from product design and manufacturing to wholesale and direct-to-consumer retail, a structure that allows for optimized supply chain management and margin capture at multiple stages. The company’s portfolio features prominent eyewear brands such as Ray-Ban, Oakley, and Persol, alongside advanced lens technologies like Varilux, Crizal, and Transitions.
Beyond consumer goods, EssilorLuxottica provides essential technologies for eye care professionals, including diagnostic equipment, digital imaging platforms like SPECTRALIS, and surfacing instruments under the Satisloh brand. Distribution channels encompass independent opticians, third-party e-commerce platforms, and a proprietary network of brick-and-mortar stores. For those evaluating the financial strength of this integrated business model, reviewing data on ValueRay can provide helpful context. Headquartered in Paris, France, the company was formed through the 2018 merger of Essilor and Luxottica, with roots dating back to 1849.
- Luxury eyewear demand drives revenue growth
- Supply chain disruptions impact manufacturing costs
- Global economic slowdown reduces consumer spending
- Regulatory scrutiny on market dominance increases risk
| Net Income: 4.67b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.11 > 0.02 and ΔFCF/TA 2.99 > 1.0 |
| NWC/Revenue: -0.26% < 20% (prev -0.05%; Δ -0.22% < -1%) |
| CFO/TA 0.16 > 3% & CFO 10.16b > Net Income 4.67b |
| Net Debt (13.51b) to EBITDA (13.17b): 1.03 < 3 |
| Current Ratio: 0.99 > 1.5 & < 3 |
| Outstanding Shares: last quarter (469.3m) vs 12m ago 3.56% < -2% |
| Gross Margin: 61.51% > 18% (prev 0.63%; Δ 6.09k% > 0.5%) |
| Asset Turnover: 88.41% > 50% (prev 72.73%; Δ 15.68% > 0%) |
| Interest Coverage Ratio: 22.31 > 6 (EBITDA TTM 13.17b / Interest Expense TTM 312.0m) |
| A: -0.00 (Total Current Assets 12.01b - Total Current Liabilities 12.15b) / Total Assets 63.90b |
| B: 0.04 (Retained Earnings 2.31b / Total Assets 63.90b) |
| C: 0.11 (EBIT TTM 6.96b / Avg Total Assets 62.21b) |
| D: 0.10 (Book Value of Equity 2.40b / Total Liabilities 24.40b) |
| Altman-Z'' Score: 0.96 = BB |
| DSRI: 1.01 (Receivables 3.77b/2.97b, Revenue 55.00b/44.02b) |
| GMI: 1.03 (GM 61.51% / 63.26%) |
| AQI: 0.95 (AQ_t 0.67 / AQ_t-1 0.70) |
| SGI: 1.25 (Revenue 55.00b / 44.02b) |
| TATA: -0.09 (NI 4.67b - CFO 10.16b) / TA 63.90b) |
| Beneish M-Score: -2.92 (Cap -4..+1) = A |
Over the past week, the price has changed by -1.82%, over one month by -10.80%, over three months by -27.39% and over the past year by -21.74%.
| Wallstreet Target Price | 312.3 | 57.4% |
| Analysts Target Price | - | - |
P/E Trailing = 61.9961
P/E Forward = 25.0627
P/S = 3.1503
P/B = 2.3059
P/EG = 1.8426
Revenue TTM = 55.00b EUR
EBIT TTM = 6.96b EUR
EBITDA TTM = 13.17b EUR
Long Term Debt = 6.81b EUR (from longTermDebt, last quarter)
Short Term Debt = 4.93b EUR (from shortTermDebt, last quarter)
Debt = 17.05b EUR (from shortLongTermDebtTotal, last quarter)
Net Debt = 13.51b EUR (from netDebt column, last quarter)
Enterprise Value = 161.63b EUR (148.13b + Debt 17.05b - CCE 3.54b)
Interest Coverage Ratio = 22.31 (Ebit TTM 6.96b / Interest Expense TTM 312.0m)
EV/FCF = 22.71x (Enterprise Value 161.63b / FCF TTM 7.12b)
FCF Yield = 4.40% (FCF TTM 7.12b / Enterprise Value 161.63b)
FCF Margin = 12.94% (FCF TTM 7.12b / Revenue TTM 55.00b)
Net Margin = 8.50% (Net Income TTM 4.67b / Revenue TTM 55.00b)
Gross Margin = 61.51% ((Revenue TTM 55.00b - Cost of Revenue TTM 21.17b) / Revenue TTM)
Gross Margin QoQ = 58.15% (prev 63.05%)
Tobins Q-Ratio = 2.53 (Enterprise Value 161.63b / Total Assets 63.90b)
Interest Expense / Debt = 0.86% (Interest Expense 147.0m / Debt 17.05b)
Taxrate = 22.60% (289.0m / 1.28b)
NOPAT = 5.39b (EBIT 6.96b * (1 - 22.60%))
Current Ratio = 0.99 (Total Current Assets 12.01b / Total Current Liabilities 12.15b)
Debt / Equity = 0.44 (Debt 17.05b / totalStockholderEquity, last quarter 38.89b)
Debt / EBITDA = 1.03 (Net Debt 13.51b / EBITDA 13.17b)
Debt / FCF = 1.90 (Net Debt 13.51b / FCF TTM 7.12b)
Total Stockholder Equity = 39.03b (last 4 quarters mean from totalStockholderEquity)
RoA = 7.51% (Net Income 4.67b / Total Assets 63.90b)
RoE = 11.97% (Net Income TTM 4.67b / Total Stockholder Equity 39.03b)
RoCE = 15.19% (EBIT 6.96b / Capital Employed (Equity 39.03b + L.T.Debt 6.81b))
RoIC = 11.02% (NOPAT 5.39b / Invested Capital 48.88b)
WACC = 6.82% (E(148.13b)/V(165.18b) * Re(7.53%) + D(17.05b)/V(165.18b) * Rd(0.86%) * (1-Tc(0.23)))
Discount Rate = 7.53% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 7.92%
Shares Correlation 3-Years: 100.0 | Cagr: 1.76%
[DCF] Terminal Value 85.55% ; FCFF base≈6.25b ; Y1≈7.70b ; Y5≈13.14b
[DCF] Fair Price = 613.8 (EV 297.74b - Net Debt 13.51b = Equity 284.23b / Shares 463.0m; r=6.82% [WACC]; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: -8.48 | EPS CAGR: 0.0% | SUE: 0.0 | # QB: 0
Revenue Correlation: 64.07 | Revenue CAGR: 19.97% | SUE: 0.09 | # QB: 0
EPS next Year (2026-12-31): EPS=7.96 | Chg7d=+0.025 | Chg30d=+0.140 | Revisions Net=+14 | Growth EPS=+11.6% | Growth Revenue=+7.5%