How Analysts Say EssilorLuxottica’s Evolving Strategy Is Reshaping Its Growth Story

EssilorLuxottica Société anonyme has recently seen its consensus analyst price target rise noticeably from €283.63 to €303.95. This shift underscores renewed confidence in the company's future value. This boost in optimism follows a series of positive analyst reports, with particular emphasis on the firm's strong revenue growth and the strategic impact of its vertically integrated business model. Stay tuned to discover how investors can keep abreast of the evolving story around EssilorLuxottica's market narrative.

What Wall Street Has Been Saying

🐂 Bullish Takeaways

Morgan Stanley has raised its price target for EssilorLuxottica from EUR 280 to EUR 320, maintaining an Overweight rating. The upward revision reflects strong confidence in the company’s continued growth and execution. JPMorgan has increased its price target to EUR 300 from EUR 267, also keeping an Overweight stance. The firm credits EssilorLuxottica's ongoing growth momentum and execution. Rothschild & Co Redburn upgraded EssilorLuxottica to Buy from Neutral and boosted its target price from EUR 235 to EUR 320, citing the company’s “unrivalled” position in structurally attractive optical markets and new market entries that are creating sustainably higher growth. Barclays initiated coverage with an Overweight rating and a EUR 305 price target. The analyst describes EssilorLuxottica as a “quality compounder” with growth opportunities in lens differentiation, wearables, and medical technology. The company’s robust competitive moat is highlighted through its vertical integration and broad retail and wholesale presence. Analysts broadly cite EssilorLuxottica’s effective execution, vertical integration, and expanding footprint into new markets as drivers of the company’s valuation and robust growth momentum.

🐻 Bearish Takeaways

While analyst sentiment remains largely positive, some commentary hints at reservations surrounding near-term valuation metrics and the degree to which anticipated growth may already be reflected in the share price. Explicitly bearish calls or substantial price target reductions are notably absent from recent analyst coverage.

Do your thoughts align with the Bull or Bear Analysts? Perhaps you think there's more to the story. Head to the Simply Wall St Community to discover more perspectives or begin writing your own Narrative!ENXTPA:EL Community Fair Values as at Oct 2025

What's in the News

EssilorLuxottica has received U.S. FDA market authorization for its Essilor Stellest lens, marking it as the first spectacle lens clinically proven to slow myopia progression in children. This milestone follows the previous Breakthrough Device designation for the product. The company, in collaboration with Meta, introduced innovative AI-powered eyewear at Meta Connect. The lineup includes the Oakley Meta Vanguard designed for athletes, as well as the upgraded Ray-Ban Meta (Gen 2), which features enhanced cameras and is now available in additional markets and styles. EssilorLuxottica successfully completed a share buyback program, repurchasing 3.4 million shares for €782.71 million. This buyback represents 0.75 percent of the company’s total shares as of June 30, 2025. A Board Meeting is scheduled for July 28, 2025, where EssilorLuxottica’s management will consider and approve the condensed consolidated interim financial statements for the six-month period ended June 30, 2025.

Story Continues

How This Changes the Fair Value For EssilorLuxottica Société anonyme

Consensus Analyst Price Target has risen from €283.63 to €303.95. This indicates increased market optimism for EssilorLuxottica Société anonyme’s future value. Discount Rate has decreased slightly, moving from 6.88% to 6.86%. This reflects a marginally lower perceived risk or cost of capital. Revenue Growth projections have increased from 6.31% to 6.88%. This suggests expectations of stronger sales momentum. Net Profit Margin is nearly unchanged and has edged down marginally from 11.32% to 11.31%. Future P/E ratio has increased from 44.32x to 46.75x. This indicates higher anticipated earnings multiples based on updated estimates.

🔔 Never Miss an Update: Follow The Narrative

A Narrative is a smarter, story-driven way to make investment decisions. On Simply Wall St’s Community page, Narratives bring together a company’s story, financial forecasts, and fair value into a dynamic, easy-to-understand forecast. Narratives help investors decide when to buy or sell by comparing the Fair Value to the Price, and instantly update when news or results arrive. This makes them an essential tool used by millions.

Interested in what could shape EssilorLuxottica Société anonyme's future? Read the full Narrative here to stay ahead of key developments:

Continuous innovation and expansion in myopia management and smart eyewear opens major new markets and supports future earnings growth. Resilient business model through global supply chain diversification and direct-to-consumer channels strengthens recurring revenues and operating margins. Proactive identification of risks from technological change, regulatory hurdles, and growing competition helps keep your investment thesis up to date.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include EL.enxtpa.

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