ESSILORLUXOTTICA (1EL.MI) Stock Fundamental Analysis
Europe - BIT:1EL - FR0000121667 - Common Stock
316.9 EUR
-0.9 (-0.28%)
Taking everything into account, 1EL scores 4 out of 10 in our fundamental rating. 1EL was compared to 60 industry peers in the Health Care Equipment & Supplies industry. 1EL has a medium profitability rating, but doesn't score so well on its financial health evaluation. 1EL is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1EL was profitable.
In the past year 1EL had a positive cash flow from operations.
In the past 5 years 1EL has always been profitable.
Each year in the past 5 years 1EL had a positive operating cash flow.
1.2 Ratios
1EL has a Return On Assets (3.84%) which is in line with its industry peers.
1EL has a Return On Equity of 6.29%. This is comparable to the rest of the industry: 1EL outperforms 50.00% of its industry peers.
1EL has a Return On Invested Capital (5.39%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1EL is below the industry average of 9.00%.
The last Return On Invested Capital (5.39%) for 1EL is above the 3 year average (4.84%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.84% | ||
| ROE | 6.29% | ||
| ROIC | 5.39% |
ROA(3y)3.67%
ROA(5y)2.72%
ROE(3y)5.86%
ROE(5y)4.39%
ROIC(3y)4.84%
ROIC(5y)3.74%
1.3 Margins
1EL has a Profit Margin of 8.74%. This is in the better half of the industry: 1EL outperforms 61.67% of its industry peers.
In the last couple of years the Profit Margin of 1EL has grown nicely.
1EL's Operating Margin of 12.86% is fine compared to the rest of the industry. 1EL outperforms 61.67% of its industry peers.
In the last couple of years the Operating Margin of 1EL has grown nicely.
With a decent Gross Margin value of 61.91%, 1EL is doing good in the industry, outperforming 65.00% of the companies in the same industry.
1EL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.86% | ||
| PM (TTM) | 8.74% | ||
| GM | 61.91% |
OM growth 3Y4.69%
OM growth 5Y6.47%
PM growth 3Y6.8%
PM growth 5Y7.52%
GM growth 3Y0.88%
GM growth 5Y0.39%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 1EL is destroying value.
Compared to 1 year ago, 1EL has more shares outstanding
The number of shares outstanding for 1EL has been increased compared to 5 years ago.
1EL has a worse debt/assets ratio than last year.
2.2 Solvency
1EL has an Altman-Z score of 4.62. This indicates that 1EL is financially healthy and has little risk of bankruptcy at the moment.
1EL has a Altman-Z score of 4.62. This is in the better half of the industry: 1EL outperforms 78.33% of its industry peers.
1EL has a debt to FCF ratio of 4.18. This is a neutral value as 1EL would need 4.18 years to pay back of all of its debts.
1EL has a Debt to FCF ratio of 4.18. This is in the better half of the industry: 1EL outperforms 66.67% of its industry peers.
1EL has a Debt/Equity ratio of 0.25. This is a healthy value indicating a solid balance between debt and equity.
1EL has a Debt to Equity ratio (0.25) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 4.18 | ||
| Altman-Z | 4.62 |
ROIC/WACC0.69
WACC7.82%
2.3 Liquidity
1EL has a Current Ratio of 0.97. This is a bad value and indicates that 1EL is not financially healthy enough and could expect problems in meeting its short term obligations.
1EL has a Current ratio of 0.97. This is amonst the worse of the industry: 1EL underperforms 80.00% of its industry peers.
A Quick Ratio of 0.67 indicates that 1EL may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.67, 1EL is doing worse than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.67 |
3. Growth
3.1 Past
1EL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.00%.
The Earnings Per Share has been growing by 16.01% on average over the past years. This is quite good.
1EL shows a small growth in Revenue. In the last year, the Revenue has grown by 5.45%.
Measured over the past years, 1EL shows a quite strong growth in Revenue. The Revenue has been growing by 8.80% on average per year.
EPS 1Y (TTM)3%
EPS 3Y13.7%
EPS 5Y16.01%
EPS Q2Q%2.1%
Revenue 1Y (TTM)5.45%
Revenue growth 3Y10.18%
Revenue growth 5Y8.8%
Sales Q2Q%5.52%
3.2 Future
Based on estimates for the next years, 1EL will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.20% on average per year.
The Revenue is expected to grow by 6.39% on average over the next years.
EPS Next Y6.78%
EPS Next 2Y8.91%
EPS Next 3Y9.98%
EPS Next 5Y9.2%
Revenue Next Year4.62%
Revenue Next 2Y5.36%
Revenue Next 3Y5.93%
Revenue Next 5Y6.39%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
1EL is valuated quite expensively with a Price/Earnings ratio of 46.13.
Compared to the rest of the industry, the Price/Earnings ratio of 1EL is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.03, 1EL is valued quite expensively.
With a Price/Forward Earnings ratio of 39.35, 1EL can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, 1EL is valued a bit more expensive than the industry average as 60.00% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.27, 1EL is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.13 | ||
| Fwd PE | 39.35 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as 1EL.
The rest of the industry has a similar Price/Free Cash Flow ratio as 1EL.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.64 | ||
| EV/EBITDA | 23.78 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of 1EL may justify a higher PE ratio.
PEG (NY)6.81
PEG (5Y)2.88
EPS Next 2Y8.91%
EPS Next 3Y9.98%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.24%, 1EL has a reasonable but not impressive dividend return.
1EL's Dividend Yield is a higher than the industry average which is at 2.13.
Compared to an average S&P500 Dividend Yield of 2.38, 1EL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
5.2 History
The dividend of 1EL has a limited annual growth rate of 4.50%.
Dividend Growth(5Y)4.5%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
22.97% of the earnings are spent on dividend by 1EL. This is a low number and sustainable payout ratio.
The dividend of 1EL is growing, but earnings are growing more, so the dividend growth is sustainable.
DP22.97%
EPS Next 2Y8.91%
EPS Next 3Y9.98%
BIT:1EL (11/3/2025, 7:00:00 PM)
316.9
-0.9 (-0.28%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners29.19%
Inst Owner ChangeN/A
Ins Owners32.47%
Ins Owner ChangeN/A
Market Cap146.77B
Revenue(TTM)27.24B
Net Income(TTM)2.38B
Analysts78.67
Price Target314.87 (-0.64%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
Yearly Dividend2.56
Dividend Growth(5Y)4.5%
DP22.97%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)13.75%
PT rev (3m)14.07%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-9.81%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.13 | ||
| Fwd PE | 39.35 | ||
| P/S | 5.39 | ||
| P/FCF | 43.64 | ||
| P/OCF | 29.87 | ||
| P/B | 3.88 | ||
| P/tB | N/A | ||
| EV/EBITDA | 23.78 |
EPS(TTM)6.87
EY2.17%
EPS(NY)8.05
Fwd EY2.54%
FCF(TTM)7.26
FCFY2.29%
OCF(TTM)10.61
OCFY3.35%
SpS58.82
BVpS81.67
TBVpS-5.08
PEG (NY)6.81
PEG (5Y)2.88
Graham Number112.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.84% | ||
| ROE | 6.29% | ||
| ROCE | 6.93% | ||
| ROIC | 5.39% | ||
| ROICexc | 5.71% | ||
| ROICexgc | 35.85% | ||
| OM | 12.86% | ||
| PM (TTM) | 8.74% | ||
| GM | 61.91% | ||
| FCFM | 12.34% |
ROA(3y)3.67%
ROA(5y)2.72%
ROE(3y)5.86%
ROE(5y)4.39%
ROIC(3y)4.84%
ROIC(5y)3.74%
ROICexc(3y)5.06%
ROICexc(5y)3.96%
ROICexgc(3y)34.05%
ROICexgc(5y)28.3%
ROCE(3y)6.22%
ROCE(5y)4.81%
ROICexgc growth 3Y0.01%
ROICexgc growth 5Y9.27%
ROICexc growth 3Y12.06%
ROICexc growth 5Y11.05%
OM growth 3Y4.69%
OM growth 5Y6.47%
PM growth 3Y6.8%
PM growth 5Y7.52%
GM growth 3Y0.88%
GM growth 5Y0.39%
F-Score7
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 4.18 | ||
| Debt/EBITDA | 1.41 | ||
| Cap/Depr | 49.38% | ||
| Cap/Sales | 5.69% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 73.95% | ||
| Profit Quality | 141.24% | ||
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.67 | ||
| Altman-Z | 4.62 |
F-Score7
WACC7.82%
ROIC/WACC0.69
Cap/Depr(3y)51.19%
Cap/Depr(5y)45.17%
Cap/Sales(3y)6.06%
Cap/Sales(5y)5.58%
Profit Quality(3y)145.59%
Profit Quality(5y)677.55%
High Growth Momentum
Growth
EPS 1Y (TTM)3%
EPS 3Y13.7%
EPS 5Y16.01%
EPS Q2Q%2.1%
EPS Next Y6.78%
EPS Next 2Y8.91%
EPS Next 3Y9.98%
EPS Next 5Y9.2%
Revenue 1Y (TTM)5.45%
Revenue growth 3Y10.18%
Revenue growth 5Y8.8%
Sales Q2Q%5.52%
Revenue Next Year4.62%
Revenue Next 2Y5.36%
Revenue Next 3Y5.93%
Revenue Next 5Y6.39%
EBIT growth 1Y6.6%
EBIT growth 3Y15.34%
EBIT growth 5Y15.84%
EBIT Next Year56.93%
EBIT Next 3Y22.99%
EBIT Next 5Y16.01%
FCF growth 1Y3.16%
FCF growth 3Y-1.57%
FCF growth 5Y6.95%
OCF growth 1Y2.06%
OCF growth 3Y2.36%
OCF growth 5Y8.12%
ESSILORLUXOTTICA / 1EL.MI FAQ
What is the fundamental rating for 1EL stock?
ChartMill assigns a fundamental rating of 4 / 10 to 1EL.MI.
What is the valuation status for 1EL stock?
ChartMill assigns a valuation rating of 2 / 10 to ESSILORLUXOTTICA (1EL.MI). This can be considered as Overvalued.
What is the profitability of 1EL stock?
ESSILORLUXOTTICA (1EL.MI) has a profitability rating of 6 / 10.
What is the valuation of ESSILORLUXOTTICA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ESSILORLUXOTTICA (1EL.MI) is 46.13 and the Price/Book (PB) ratio is 3.88.
What is the expected EPS growth for ESSILORLUXOTTICA (1EL.MI) stock?
The Earnings per Share (EPS) of ESSILORLUXOTTICA (1EL.MI) is expected to grow by 6.78% in the next year.