ESSILORLUXOTTICA (1EL.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1EL - FR0000121667 - Common Stock
276 EUR
-0.7 (-0.25%)
Overall 1EL gets a fundamental rating of 4 out of 10. We evaluated 1EL against 68 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 quite expensive at the moment. 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.
1EL had positive earnings in each of the past 5 years.
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 47.06% of its industry peers.
With a Return On Invested Capital value of 5.39%, 1EL perfoms like the industry average, outperforming 47.06% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1EL is below the industry average of 9.73%.
The 3 year average ROIC (4.84%) for 1EL is below the current ROIC(5.39%), indicating increased profibility in the last year.
| 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's Profit Margin of 8.74% is in line compared to the rest of the industry. 1EL outperforms 58.82% of its industry peers.
In the last couple of years the Profit Margin of 1EL has grown nicely.
Looking at the Operating Margin, with a value of 12.86%, 1EL is in line with its industry, outperforming 55.88% of the companies in the same industry.
1EL's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 61.91%, 1EL is in the better half of the industry, outperforming 61.76% of the companies in the same industry.
In the last couple of years the Gross Margin of 1EL has remained more or less at the same level.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 1EL is destroying value.
The number of shares outstanding for 1EL has been increased compared to 1 year ago.
Compared to 5 years ago, 1EL has more shares outstanding
The debt/assets ratio for 1EL is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.16 indicates that 1EL is not in any danger for bankruptcy at the moment.
1EL has a better Altman-Z score (4.16) than 76.47% of its industry peers.
The Debt to FCF ratio of 1EL is 4.18, which is a neutral value as it means it would take 1EL, 4.18 years of fcf income to pay off 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 63.24% of its industry peers.
A Debt/Equity ratio of 0.25 indicates that 1EL is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.25, 1EL is in the better half of the industry, outperforming 64.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 4.18 | ||
| Altman-Z | 4.16 |
ROIC/WACC0.7
WACC7.71%
2.3 Liquidity
A Current Ratio of 0.97 indicates that 1EL may have some problems paying its short term obligations.
1EL has a worse Current ratio (0.97) than 80.88% of its industry peers.
A Quick Ratio of 0.67 indicates that 1EL may have some problems paying its short term obligations.
1EL has a worse Quick ratio (0.67) than 76.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.67 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.00% over the past year.
Measured over the past years, 1EL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.01% on average per year.
The Revenue has been growing slightly by 5.45% in the past year.
1EL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.80% yearly.
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 9.60% on average per year.
1EL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.56% yearly.
EPS Next Y7.24%
EPS Next 2Y9.47%
EPS Next 3Y10.9%
EPS Next 5Y9.6%
Revenue Next Year5.99%
Revenue Next 2Y6.94%
Revenue Next 3Y7.45%
Revenue Next 5Y7.56%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 40.17, which means the current valuation is very expensive for 1EL.
Compared to the rest of the industry, the Price/Earnings ratio of 1EL is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 27.25. 1EL is valued slightly more expensive when compared to this.
Based on the Price/Forward Earnings ratio of 33.92, the valuation of 1EL can be described as expensive.
1EL's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. 1EL is more expensive than 64.71% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of 1EL to the average of the S&P500 Index (23.98), we can say 1EL is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.17 | ||
| Fwd PE | 33.92 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1EL is on the same level as its industry peers.
1EL's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.01 | ||
| EV/EBITDA | 20.98 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1EL does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of 1EL may justify a higher PE ratio.
PEG (NY)5.55
PEG (5Y)2.51
EPS Next 2Y9.47%
EPS Next 3Y10.9%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.45%, 1EL has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.13, 1EL pays a bit more dividend than its industry peers.
1EL's Dividend Yield is slightly below the S&P500 average, which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.45% |
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
1EL pays out 22.97% of its income as dividend. This is a sustainable payout ratio.
The dividend of 1EL is growing, but earnings are growing more, so the dividend growth is sustainable.
DP22.97%
EPS Next 2Y9.47%
EPS Next 3Y10.9%
BIT:1EL (1/12/2026, 7:00:00 PM)
276
-0.7 (-0.25%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners28.97%
Inst Owner ChangeN/A
Ins Owners32.07%
Ins Owner ChangeN/A
Market Cap127.83B
Revenue(TTM)27.24B
Net Income(TTM)2.38B
Analysts81.94
Price Target331.71 (20.18%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.45% |
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)-0.04%
PT rev (3m)14.38%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.1%
EPS NY rev (3m)0.44%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)1.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.17 | ||
| Fwd PE | 33.92 | ||
| P/S | 4.69 | ||
| P/FCF | 38.01 | ||
| P/OCF | 26.01 | ||
| P/B | 3.38 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.98 |
EPS(TTM)6.87
EY2.49%
EPS(NY)8.14
Fwd EY2.95%
FCF(TTM)7.26
FCFY2.63%
OCF(TTM)10.61
OCFY3.84%
SpS58.82
BVpS81.67
TBVpS-5.08
PEG (NY)5.55
PEG (5Y)2.51
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 | 4.16 |
F-Score7
WACC7.71%
ROIC/WACC0.7
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 Y7.24%
EPS Next 2Y9.47%
EPS Next 3Y10.9%
EPS Next 5Y9.6%
Revenue 1Y (TTM)5.45%
Revenue growth 3Y10.18%
Revenue growth 5Y8.8%
Sales Q2Q%5.52%
Revenue Next Year5.99%
Revenue Next 2Y6.94%
Revenue Next 3Y7.45%
Revenue Next 5Y7.56%
EBIT growth 1Y6.6%
EBIT growth 3Y15.34%
EBIT growth 5Y15.84%
EBIT Next Year56.89%
EBIT Next 3Y23.64%
EBIT Next 5Y17.35%
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.
Can you provide the valuation status for ESSILORLUXOTTICA?
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 financial health of ESSILORLUXOTTICA (1EL.MI) stock?
The financial health rating of ESSILORLUXOTTICA (1EL.MI) is 3 / 10.
Can you provide the expected EPS growth for 1EL stock?
The Earnings per Share (EPS) of ESSILORLUXOTTICA (1EL.MI) is expected to grow by 7.24% in the next year.