ESSILORLUXOTTICA (ESL.DE) Fundamental Analysis & Valuation
FRA:ESL • FR0000121667
Current stock price
201 EUR
-5.8 (-2.8%)
Last:
This ESL.DE fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. ESL.DE Profitability Analysis
1.1 Basic Checks
- In the past year ESL was profitable.
- ESL had a positive operating cash flow in the past year.
- Each year in the past 5 years ESL has been profitable.
- In the past 5 years ESL always reported a positive cash flow from operatings.
1.2 Ratios
- ESL has a Return On Assets (3.62%) which is in line with its industry peers.
- With a Return On Equity value of 5.95%, ESL perfoms like the industry average, outperforming 45.90% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 4.95%, ESL is in line with its industry, outperforming 45.90% of the companies in the same industry.
- ESL had an Average Return On Invested Capital over the past 3 years of 4.87%. This is significantly below the industry average of 10.31%.
- The 3 year average ROIC (4.87%) for ESL is below the current ROIC(4.95%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.62% | ||
| ROE | 5.95% | ||
| ROIC | 4.95% |
ROA(3y)3.69%
ROA(5y)3.41%
ROE(3y)5.93%
ROE(5y)5.53%
ROIC(3y)4.87%
ROIC(5y)4.51%
1.3 Margins
- Looking at the Profit Margin, with a value of 8.13%, ESL is in the better half of the industry, outperforming 65.57% of the companies in the same industry.
- In the last couple of years the Profit Margin of ESL has grown nicely.
- ESL's Operating Margin of 11.85% is in line compared to the rest of the industry. ESL outperforms 55.74% of its industry peers.
- ESL's Operating Margin has improved in the last couple of years.
- ESL has a Gross Margin (59.69%) which is in line with its industry peers.
- ESL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.85% | ||
| PM (TTM) | 8.13% | ||
| GM | 59.69% |
OM growth 3Y-2.11%
OM growth 5Y30.95%
PM growth 3Y-2.57%
PM growth 5Y69.02%
GM growth 3Y-1.64%
GM growth 5Y0.64%
2. ESL.DE Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ESL is destroying value.
- ESL has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, ESL has more shares outstanding
- The debt/assets ratio for ESL is higher compared to a year ago.
2.2 Solvency
- ESL has an Altman-Z score of 3.20. This indicates that ESL is financially healthy and has little risk of bankruptcy at the moment.
- ESL has a Altman-Z score of 3.20. This is in the better half of the industry: ESL outperforms 60.66% of its industry peers.
- ESL has a debt to FCF ratio of 3.82. This is a good value and a sign of high solvency as ESL would need 3.82 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 3.82, ESL is in the better half of the industry, outperforming 67.21% of the companies in the same industry.
- A Debt/Equity ratio of 0.25 indicates that ESL is not too dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.25, ESL is in the better half of the industry, outperforming 60.66% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 3.82 | ||
| Altman-Z | 3.2 |
ROIC/WACC0.66
WACC7.49%
2.3 Liquidity
- ESL has a Current Ratio of 0.99. This is a bad value and indicates that ESL is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Current ratio value of 0.99, ESL is not doing good in the industry: 77.05% of the companies in the same industry are doing better.
- A Quick Ratio of 0.70 indicates that ESL may have some problems paying its short term obligations.
- ESL has a Quick ratio of 0.70. This is in the lower half of the industry: ESL underperforms 73.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.7 |
3. ESL.DE Growth Analysis
3.1 Past
- ESL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.90%.
- The Earnings Per Share has been growing by 30.65% on average over the past years. This is a very strong growth
- The Revenue has been growing slightly by 7.48% in the past year.
- The Revenue has been growing by 14.58% on average over the past years. This is quite good.
EPS 1Y (TTM)0.9%
EPS 3Y2.19%
EPS 5Y30.65%
EPS Q2Q%-0.64%
Revenue 1Y (TTM)7.48%
Revenue growth 3Y5.17%
Revenue growth 5Y14.58%
Sales Q2Q%9.45%
3.2 Future
- Based on estimates for the next years, ESL will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.77% on average per year.
- The Revenue is expected to grow by 9.20% on average over the next years. This is quite good.
EPS Next Y11.67%
EPS Next 2Y13.21%
EPS Next 3Y13.54%
EPS Next 5Y9.77%
Revenue Next Year11.86%
Revenue Next 2Y11.51%
Revenue Next 3Y11.11%
Revenue Next 5Y9.2%
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. ESL.DE Valuation Analysis
4.1 Price/Earnings Ratio
- ESL is valuated quite expensively with a Price/Earnings ratio of 29.34.
- Compared to the rest of the industry, the Price/Earnings ratio of ESL is on the same level as its industry peers.
- When comparing the Price/Earnings ratio of ESL to the average of the S&P500 Index (27.50), we can say ESL is valued inline with the index average.
- ESL is valuated quite expensively with a Price/Forward Earnings ratio of 26.27.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of ESL is on the same level as its industry peers.
- Compared to an average S&P500 Price/Forward Earnings ratio of 22.62, ESL is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.34 | ||
| Fwd PE | 26.27 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as ESL.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of ESL indicates a somewhat cheap valuation: ESL is cheaper than 62.30% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.73 | ||
| EV/EBITDA | 16.49 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ESL does not grow enough to justify the current Price/Earnings ratio.
- ESL has a very decent profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as ESL's earnings are expected to grow with 13.54% in the coming years.
PEG (NY)2.51
PEG (5Y)0.96
EPS Next 2Y13.21%
EPS Next 3Y13.54%
5. ESL.DE Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 1.93%, ESL has a reasonable but not impressive dividend return.
- The stock price of ESL dropped by -24.49% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
- Compared to an average industry Dividend Yield of 1.26, ESL pays a bit more dividend than its industry peers.
- ESL's Dividend Yield is comparable with the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.93% |
5.2 History
- The dividend of ESL has a limited annual growth rate of 0.65%.
Dividend Growth(5Y)0.65%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
- 23.63% of the earnings are spent on dividend by ESL. This is a low number and sustainable payout ratio.
- ESL's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP23.63%
EPS Next 2Y13.21%
EPS Next 3Y13.54%
ESL.DE Fundamentals: All Metrics, Ratios and Statistics
FRA:ESL (4/22/2026, 7:00:00 PM)
201
-5.8 (-2.8%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)02-11 2026-02-11/amc
Earnings (Next)04-22 2026-04-22
Inst Owners28.06%
Inst Owner ChangeN/A
Ins Owners32.64%
Ins Owner ChangeN/A
Market Cap93.12B
Revenue(TTM)28.49B
Net Income(TTM)2.31B
Analysts84.85
Price Target321.49 (59.95%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.93% |
Yearly Dividend1.19
Dividend Growth(5Y)0.65%
DP23.63%
Div Incr Years1
Div Non Decr Years4
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)-4.24%
PT rev (3m)-2.51%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.61%
EPS NY rev (3m)-5.98%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.58%
Revenue NY rev (3m)4.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.34 | ||
| Fwd PE | 26.27 | ||
| P/S | 3.27 | ||
| P/FCF | 24.73 | ||
| P/OCF | 17.6 | ||
| P/B | 2.39 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.49 |
EPS(TTM)6.85
EY3.41%
EPS(NY)7.65
Fwd EY3.81%
FCF(TTM)8.13
FCFY4.04%
OCF(TTM)11.42
OCFY5.68%
SpS61.5
BVpS83.94
TBVpS-4.05
PEG (NY)2.51
PEG (5Y)0.96
Graham Number113.743 (-43.41%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.62% | ||
| ROE | 5.95% | ||
| ROCE | 6.52% | ||
| ROIC | 4.95% | ||
| ROICexc | 4.99% | ||
| ROICexgc | 24.01% | ||
| OM | 11.85% | ||
| PM (TTM) | 8.13% | ||
| GM | 59.69% | ||
| FCFM | 13.22% |
ROA(3y)3.69%
ROA(5y)3.41%
ROE(3y)5.93%
ROE(5y)5.53%
ROIC(3y)4.87%
ROIC(5y)4.51%
ROICexc(3y)5.14%
ROICexc(5y)4.76%
ROICexgc(3y)33.36%
ROICexgc(5y)33.03%
ROCE(3y)6.4%
ROCE(5y)5.93%
ROICexgc growth 3Y0.12%
ROICexgc growth 5Y35.81%
ROICexc growth 3Y4%
ROICexc growth 5Y42.45%
OM growth 3Y-2.11%
OM growth 5Y30.95%
PM growth 3Y-2.57%
PM growth 5Y69.02%
GM growth 3Y-1.64%
GM growth 5Y0.64%
F-Score7
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 3.82 | ||
| Debt/EBITDA | 1.47 | ||
| Cap/Depr | 48.99% | ||
| Cap/Sales | 5.35% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 81.54% | ||
| Profit Quality | 162.68% | ||
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 3.2 |
F-Score7
WACC7.49%
ROIC/WACC0.66
Cap/Depr(3y)49.88%
Cap/Depr(5y)48.88%
Cap/Sales(3y)5.71%
Cap/Sales(5y)5.75%
Profit Quality(3y)150.08%
Profit Quality(5y)168.44%
High Growth Momentum
Growth
EPS 1Y (TTM)0.9%
EPS 3Y2.19%
EPS 5Y30.65%
EPS Q2Q%-0.64%
EPS Next Y11.67%
EPS Next 2Y13.21%
EPS Next 3Y13.54%
EPS Next 5Y9.77%
Revenue 1Y (TTM)7.48%
Revenue growth 3Y5.17%
Revenue growth 5Y14.58%
Sales Q2Q%9.45%
Revenue Next Year11.86%
Revenue Next 2Y11.51%
Revenue Next 3Y11.11%
Revenue Next 5Y9.2%
EBIT growth 1Y-2.09%
EBIT growth 3Y2.95%
EBIT growth 5Y50.04%
EBIT Next Year72.88%
EBIT Next 3Y27.92%
EBIT Next 5Y19.38%
FCF growth 1Y12.35%
FCF growth 3Y5.46%
FCF growth 5Y10.35%
OCF growth 1Y8.56%
OCF growth 3Y3.42%
OCF growth 5Y12.38%
ESSILORLUXOTTICA / ESL.DE Fundamental Analysis FAQ
What is the ChartMill fundamental rating of ESSILORLUXOTTICA (ESL.DE) stock?
ChartMill assigns a fundamental rating of 5 / 10 to ESL.DE.
What is the valuation status for ESL stock?
ChartMill assigns a valuation rating of 3 / 10 to ESSILORLUXOTTICA (ESL.DE). This can be considered as Overvalued.
How profitable is ESSILORLUXOTTICA (ESL.DE) stock?
ESSILORLUXOTTICA (ESL.DE) 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 (ESL.DE) is 29.34 and the Price/Book (PB) ratio is 2.39.
What is the earnings growth outlook for ESSILORLUXOTTICA?
The Earnings per Share (EPS) of ESSILORLUXOTTICA (ESL.DE) is expected to grow by 11.67% in the next year.