Essilor Luxottica
Note: This is a daily stock update and the information stands true as of 17/10/25, 09:00 CET.
Company Update:
Essilor posted its best-ever quarterly sales with Q3 sales at €6.9bn, up 11.1% lfl (and 6.7% reported due to FX headwind). Stunning growth in North America with lfl sales up 12% (5% reported), clearly better than expected. The company stated that 4% of this growth came from wearables, though the definition of “wearables” remains unclear. Importantly, they haven’t disclosed how much of this growth is due to tariff pass-through. Yet, the fact that volumes seem to be resilient even with a significant price increase is encouraging. The company reaffirmed its mid-term guidance for 2026 — which is almost already achieved. According to our analyst on the name, they are unlikely to revise the guidance upward, as the USD devaluation is expected to significantly impact results in 2026.
Expert Opinion:
Momentum is really strong and the hype around the Meta/Ray Ban products cannot be denied. Yet, this is clearly priced in the valuation with PE 25/26 and 27 at 43.1x, 39.5x and 36.4x. Our expert would tend to align with our analyst's opinion. He loves the company and the products as well as the strategy and its execution, but the price is simply too expensive to buy it here. Unless you expect that Meta will eventually take over Essilor, our expert sees very little upside (that is after today's expected rise in price) and he would take some profit on the name. We have a fair value/ target price of €296 on the name.
For daily updates, subscribe to our newsletter and for detailed information, reach out to us at sales@alphavalue.eu
Company Update:
Essilor posted its best-ever quarterly sales with Q3 sales at €6.9bn, up 11.1% lfl (and 6.7% reported due to FX headwind). Stunning growth in North America with lfl sales up 12% (5% reported), clearly better than expected. The company stated that 4% of this growth came from wearables, though the definition of “wearables” remains unclear. Importantly, they haven’t disclosed how much of this growth is due to tariff pass-through. Yet, the fact that volumes seem to be resilient even with a significant price increase is encouraging. The company reaffirmed its mid-term guidance for 2026 — which is almost already achieved. According to our analyst on the name, they are unlikely to revise the guidance upward, as the USD devaluation is expected to significantly impact results in 2026.
Expert Opinion:
Momentum is really strong and the hype around the Meta/Ray Ban products cannot be denied. Yet, this is clearly priced in the valuation with PE 25/26 and 27 at 43.1x, 39.5x and 36.4x. Our expert would tend to align with our analyst's opinion. He loves the company and the products as well as the strategy and its execution, but the price is simply too expensive to buy it here. Unless you expect that Meta will eventually take over Essilor, our expert sees very little upside (that is after today's expected rise in price) and he would take some profit on the name. We have a fair value/ target price of €296 on the name.
For daily updates, subscribe to our newsletter and for detailed information, reach out to us at sales@alphavalue.eu
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