EssilorLuxottica Société anonyme (1EL) fair value: what the stock is really worth
As of Oct 2, 2026: fair value of EssilorLuxottica Société anonyme €109, price €143, upside -24.0%, quality 62 out of 100. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Oct 2, 2026.
How to read this chart
60‑month range €121.78 – €313.26 · fair‑value band €74.72 – €138.52 · the €143.45 price screens above the €109.04 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Oct 2, 2026.
EssilorLuxottica designs, manufactures, and distributes ophthalmic lenses, frames, sunglasses, and instruments and equipment in North America, the Middle East, Africa, Europe, Latin America, and the Asia-Pacific.
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EssilorLuxottica designs, manufactures, and distributes ophthalmic lenses, frames, sunglasses, and instruments and equipment in North America, the Middle East, Africa, Europe, Latin America, and the Asia-Pacific. It offers lens, eyewear, contact lenses, reading glasses under Essilor, Varilux, Crizal, Eyezen, Stellest, Xperio, Transitions, Ray-Ban, Oakley, Barberini, KODAK Lens, Nikon, Shamir Optical, eyexpert, iWear, Humanware, Optifog, Persol, Oliver Peoples, Vogue Eyewear, Arnette, Alain Mikli, Costa, Bliz, Native Eyewear and Bolon, and Foster Grant brands. The company also provides vision assessment, eye pathology diagnosis and treatment, finishing equipment, fitting parameter measurement, small tools, and consumables. In addition, it offers SPECTRALIS, a multimodal imaging platform for diagnosis and treatment; RetinAI; Espansione Group; Cellview Imaging; ANTERION, a multidisciplinary all-in-one anterior segment imaging solution for measurements; apparel, footwear and accessories; and high-tech equipment for optical surfacing, polishing, measuring, coating, and finishing, as well as consumables, tools, and services under the Satisloh brand. Further, the company designs, develops, markets, and maintains diagnostics, refraction, lens edging and mounting instruments for opticians and prescription laboratories, and measurement; and optometry instruments for eyecare professionals, schools, occupational medicine centers, military, and other institutions. It sells its products to independent opticians, distributors, third-party e-commerce platforms, and large retail chains in the eyecare and eyewear industry; and consumers through the network of brick and mortar retail networks and its online channels. The company was formerly known as Essilor International Société Anonyme and changed its name to EssilorLuxottica in October 2018. EssilorLuxottica was founded in 1849 and is headquartered in Paris, France.
Stock analysis
EssilorLuxottica Société anonyme (1EL) currently trades at €143.45, while our model-based Fair Value estimate is €109.04, 24.0% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the DCF Models group reads highest at a median of €120.90 per share, and 5 of the 26 models we run sit above the €143.45 price.
Bear case: the Dividend Discount group reads lowest at €17.91, and 21 of the 26 models stay below the price. Evidence for this calculation is high.
Scenario range: €74.72 (bear) to €138.52 (bull), the price of €143.45 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 62/100 (solid quality), in the Healthcare sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
EssilorLuxottica Société anonyme reported revenue of €28.5B in FY2025 versus €19.8B in FY2021, a compound +9.5%/yr. Reported net income was €2.3B in FY2025, compounding +12.4%/yr from FY2021.
Key figures
Market cap €79.1B · P/E ratio 28.8 · P/S ratio 2.34 · EPS (TTM) €4.98 · Dividend yield 2.8% · Net margin 8.1% · Return on equity 6.1% · Return on assets (EBIT) 5.0%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 50 out of 100 (low confidence).
What moves the price
The share trades about 54% below its 52-week high and 3% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Healthcare peers we cover trades at −41% fair-value upside, at −24%, 1EL screens cheaper than that median.
Fair Value models
Bear €74.72Fair Value €109.04Bull €138.52
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above is their evidence-weighted blend, not the output of a single model. Based on fiscal year 2025 figures (about 9 months old). Earnings retained since then (€0.7410 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Evidence ⓘEvidence = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.69/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+7.5%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+5.2%
’21
’22
’23
’24
’25
What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
+11.6%
Earnings growth per share plus dividend.
Earnings per share, growth per year+8.8%
Dividend (yield on the price)2.8%
Profit margin 2021 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.12% → 12%
Growth Forecast
Price in line with expectations
The price assumes about as much growth as the company has delivered so far and about what analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+10.2%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+8.4%
Yearly sales growth analysts expect, extended to five years.
After inflation (euro area: IMF forecast 2.2% a year to 2030, 2.6% from 2016 to 2025) that is about +7.8% a year for the price and +6.1% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (89 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Positive
Recent news coverage is more positive than average.
Compare EssilorLuxottica Société anonyme with another stock
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Medical Instruments & Supplies · 191 stocks
Beats the industry median on 5/15 measures
Overall it trails its industry peers.
Valuation
Quality Score62 · Above median
Fair Value upside−36.6% · Below median
Profitability
Return on equity (TTM)6.1% · Below median
Return on assets3.4% · Above median
Net margin (TTM)8.1% · Above median
Operating margin (TTM)10.2% · Below median
Growth and dividend
Revenue growth9.4% · Above median
Dividend yield (TTM)2.8% · Above median
Balance sheet
Debt / equity0.18× · Above median
Valuation Multiplesvs Medical Instruments & Supplies median · lower = cheaper
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Cite: Fair Value Calculator (2026). "EssilorLuxottica Société anonyme Fair Value". https://www.fairvalue-calculator.com/stock/1EL
Frequently asked questions
Is EssilorLuxottica Société anonyme (1EL) overvalued or undervalued?
As of Oct 2, 2026, our model estimates a fair value of €109.04 versus a price of €143.45, about −24% upside (overvalued).
What is the fair value of 1EL?
Our model-based fair value for EssilorLuxottica Société anonyme is €109.04 (as of Oct 2, 2026), built from audited fundamentals. The current price: €143.45.
What is the quality score of 1EL?
EssilorLuxottica Société anonyme has a Quality Score of 62/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for EssilorLuxottica Société anonyme (1EL)?
Our model-based price target is the fair value of €109.04 (as of Oct 2, 2026) from 26 valuation models. Cautious scenario €74.72, optimistic scenario €138.52. It is a calculation from audited fundamentals, not an analyst target.
What is the EssilorLuxottica Société anonyme stock forecast for 2026?
Our models put fair value at €109.04, about −24% upside versus a price of €143.45 (overvalued). Cautious scenario €74.72, optimistic scenario €138.52. The calculation is refreshed regularly with new filings.
What is the revenue of EssilorLuxottica Société anonyme (1EL)?
EssilorLuxottica Société anonyme reported trailing-twelve-month revenue of about €28.5B (latest available figure, as of Oct 2, 2026).
Does EssilorLuxottica Société anonyme pay a dividend?
EssilorLuxottica Société anonyme currently shows a dividend yield of about 2.79% relative to its recent price (as of Oct 2, 2026).
What growth is priced into EssilorLuxottica Société anonyme (1EL)?
For today's price to be fair in a discounted-cash-flow model, EssilorLuxottica Société anonyme would have to grow free cash flow by +10.2 % per year for five years (discount rate 10.1 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 4 years revenue grew +9.5 % per year. As of Oct 2, 2026.
What discount rate (WACC) does the fair value of 1EL use?
Our models discount EssilorLuxottica Société anonyme at 10.1 %: a base by market capitalisation (large), damped by beta 0.53, country premium for Italy. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For EssilorLuxottica Société anonyme that is +10.2 % per year a year over ten years, using the same discount rate (10.1 %) and the same formula as our fair value.
How much growth has EssilorLuxottica Société anonyme (1EL) delivered so far?
Over the past 4 years revenue at EssilorLuxottica Société anonyme grew +9.5 % a year. The price currently implies +10.2 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of EssilorLuxottica Société anonyme (1EL) growing?
The median revenue growth in the sector is +9.2 % a year. That is the yardstick for the growth priced into EssilorLuxottica Société anonyme (+10.2 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of EssilorLuxottica Société anonyme (1EL)?
The free-cash-flow yield on the price is 5.67 %: that much free cash flow EssilorLuxottica Société anonyme produces per unit of market value. When it exceeds the discount rate of our models (10.1 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of EssilorLuxottica Société anonyme (1EL)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For EssilorLuxottica Société anonyme it is €109.04 per share (as of Oct 2, 2026), against a price of €143.45. It is the blended result of 26 valuation models (cash flow, earnings, asset, dividend).
Is EssilorLuxottica Société anonyme stock overvalued or undervalued in 2026?
As of Oct 2, 2026, 1EL trades above its calculated fair value: price €143.45, fair value €109.04, a gap of about −24% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of 1EL?
No. The price is what the market pays today (€143.45); the fair value is what the company's own numbers justify (€109.04). For EssilorLuxottica Société anonyme the two are €34.41 per share apart. That gap is exactly why we show both numbers side by side.
How much is EssilorLuxottica Société anonyme worth?
The market values EssilorLuxottica Société anonyme at about €79.1B (market capitalisation, as of Oct 2, 2026). Per share that is €143.45; our models calculate a fair value of €109.04 per share.
What do the bullish and bearish scenarios say about 1EL?
Our models span a range for EssilorLuxottica Société anonyme: cautious scenario €74.72, base €109.04, optimistic €138.52 per share (as of Oct 2, 2026, price €143.45). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of 1EL?
EssilorLuxottica Société anonyme trades at a price-to-earnings ratio of 28.8 (as of Oct 2, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of €109.04 is built from several models across several years. Other multiples: PEG 1.7, P/B 2.4, P/S 3.2, EV/EBITDA 17.1.
What is the PEG ratio of 1EL?
The PEG ratio of EssilorLuxottica Société anonyme is 1.69 (P/E divided by earnings growth, as of Oct 2, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of EssilorLuxottica Société anonyme (1EL)?
Balance-sheet figures for EssilorLuxottica Société anonyme (as of Oct 2, 2026): return on equity 6.1%, debt of 0.18 per unit of equity. They feed the Quality Score of 62/100, which measures business quality independently of the share price.
How far is 1EL from its 52-week high?
EssilorLuxottica Société anonyme trades at €143.45, about 54% below its 52-week high of €313.26 and 3% above the low of €138.70 (as of Oct 2, 2026). Distance from the high says nothing about value: that is what the fair value of €109.04 is for.
Which stocks are comparable to EssilorLuxottica Société anonyme?
From the same area (Healthcare) we also value Intuitive Surgical, Inc, Becton, Dickinson and Company, Medline Inc, Alcon Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is EssilorLuxottica Société anonyme stock attractive at the current price?
The data as of Oct 2, 2026: price €143.45, calculated fair value €109.04 (−24%), Quality Score 62/100, from 26 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of 1EL calculated?
We run EssilorLuxottica Société anonyme through 26 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of €109.04, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 14.5 % above its aggregate fair value. EssilorLuxottica Société anonyme itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of EssilorLuxottica Société anonyme (1EL)?
The closing price on Oct 2, 2026 was €143.45. Our model-based fair value is €109.04, about −24% upside (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with EssilorLuxottica Société anonyme right now?
The price sits above even our optimistic bull case (€138.52). The favourable scenario is already priced in. Solid but not exceptional quality (62/100) and above fair value, neither a clear bargain nor a standout compounder. A fairly wide model range (€74.72 to €138.52) leaves room in how you read the outcome.
Key figures of EssilorLuxottica Société anonyme
How large is the market capitalisation of EssilorLuxottica Société anonyme (1EL)?
The market capitalisation of EssilorLuxottica Société anonyme is €79.1B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of EssilorLuxottica Société anonyme (1EL)?
The price-to-sales ratio of EssilorLuxottica Société anonyme is 2.34 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of EssilorLuxottica Société anonyme (1EL)?
Earnings per share at EssilorLuxottica Société anonyme are €4.98 (price ÷ EPS = P/E 28.8). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of EssilorLuxottica Société anonyme (1EL)?
The dividend yield of EssilorLuxottica Société anonyme is 2.8% (payout 80.3%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of EssilorLuxottica Société anonyme (1EL)?
The net margin of EssilorLuxottica Société anonyme is 8.1% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of EssilorLuxottica Société anonyme (1EL)?
The return on equity (ROE) of EssilorLuxottica Société anonyme is 6.1% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of EssilorLuxottica Société anonyme (1EL)?
On an EBIT basis the return on assets of EssilorLuxottica Société anonyme is 5.0% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of EssilorLuxottica Société anonyme (1EL)?
The operating margin of EssilorLuxottica Société anonyme is 10.2% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at EssilorLuxottica Société anonyme (1EL)?
Revenue at EssilorLuxottica Société anonyme is growing +9.4% versus a year earlier (3y avg +5.2%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at EssilorLuxottica Société anonyme (1EL)?
Earnings per share at EssilorLuxottica Société anonyme are growing −7.7% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does EssilorLuxottica Société anonyme (1EL) carry?
The net debt of EssilorLuxottica Société anonyme is €7.3B (fiscal year 2025, ≈ 1.9 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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