EssilorLuxottica (ESLOF) - 54.03% Below 52-Week High: Buy or Wait?

Stock Details

EssilorLuxottica (ESLOF), a prominent company in the healthcare sector within the medical instruments & supplies industry, is based in France and primarily trades on the PNK.Currently, the stock is trading at $173.01. Over the past 52 weeks, it has ranged between $181.40 and $376.38. This places the current price at 46.0% of its 52-week high and -4.6% above its 52-week low. Recent trading volume was recorded at 2,765. The 14-day Relative Strength Index (RSI) stands at 69.38, suggesting neutral conditions. The stock is currently trading below its 50-day moving average of $316.63 by 45.36%. Similarly, it is below its 200-day moving average of $284.78 by 39.25%. The MACD histogram is 2.92, indicating bullish momentum (MACD Line: 7.27, Signal Line: 4.35).

Fundamentals

Valuation Metrics

P/E Ratio (TTM)

31.73

Above market average

PEG Ratio

1.71

Reasonably valued

Price to Book

1.99

EV/EBITDA

17.78

EPS (TTM)

$6.17

Price to Sales

3.07

Beta

0.55

Less volatile than market

Q:How is ESLOF valued relative to its earnings and growth?

EssilorLuxottica trades at a P/E ratio of 31.73, which is above the market average of approximately 20. This premium valuation suggests investors expect above-average growth or the company has competitive advantages justifying the higher multiple. The PEG ratio of 1.71 indicates reasonable value when growth is considered.

Q:What is ESLOF's risk profile compared to the market?

With a beta of 0.55, EssilorLuxottica is less volatile than the overall market. This means when the market moves up or down by 10%, this stock typically moves less than 10% in the same direction. Lower beta stocks are often preferred by conservative investors seeking stability. The price-to-book ratio of 1.99 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Performance & Growth

Profit Margin

8.52%

Operating Margin

15.37%

EBITDA

$5.85B

Return on Equity

6.72%

Return on Assets

3.69%

Revenue Growth (YoY)

5.70%

Earnings Growth (YoY)

12.30%

Q:How profitable and efficient is ESLOF's business model?

EssilorLuxottica achieves a profit margin of 8.52%, meaning it retains $8.52 from every $100 in revenue after all expenses. This represents a solid margin typical of well-run businesses, showing the company can effectively balance revenue generation with cost control. The operating margin of 15.37% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 6.72% and ROA at 3.69%, the company achieves moderate returns on invested capital.

Q:What are ESLOF's recent growth trends?

EssilorLuxottica's revenue grew by 5.70% year-over-year, showing steady progress in growing the business. This positive trajectory indicates the company maintains competitive positioning in its markets. Earnings increased by 12.30% year-over-year, outpacing revenue growth through improved margins. These growth metrics should be evaluated against Medical Instruments & Supplies industry averages for proper context.

Dividend Information

Dividend Per Share

$4.65

Dividend Yield

2.37%

Q:What dividend income can investors expect from ESLOF?

EssilorLuxottica offers a dividend yield of 2.37%, paying $4.65 per share annually. This above-average yield of 2-4% provides meaningful income while still allowing the company to reinvest for growth. It compares favorably to the S&P 500 average and offers competitive returns versus bonds in the current rate environment.

Q:How reliable is ESLOF's dividend for long-term investors?

The dividend sustainability can be assessed through the payout ratio - EssilorLuxottica pays $4.65 per share in dividends against earnings of $6.17 per share, resulting in a payout ratio of 75.36%. This high payout ratio of 60-90% leaves limited earnings for reinvestment. While currently sustainable, there's less buffer for dividend growth or protection during earnings downturns.

Company Size & Market

Market Cap

$90.0B

Revenue (TTM)

$29.28B

Revenue/Share (TTM)

$63.46

Shares Outstanding

459.59M

Book Value/Share

$98.52

Asset Type

EQUITY

Q:What is ESLOF's market capitalization and position?

EssilorLuxottica has a market capitalization of $90.0B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 459.59M shares outstanding, the company's ownership is relatively concentrated. As a participant in the Medical Instruments & Supplies industry, it competes with other firms in this sector.

Q:How does ESLOF's price compare to its book value?

EssilorLuxottica's book value per share is $98.52, while the current stock price is $173.01, resulting in a price-to-book (P/B) ratio of 1.76. This reasonable premium to book value suggests the market values the company's earnings power and intangible assets appropriately. Most profitable companies trade between 1-3x book value. As EQUITY, this represents a specific type of security.

Analyst Ratings

Analyst Target Price

$177.00

2.31% upside potential

Analyst Recommendations

No analyst ratings available

Q:How reliable are analyst predictions for ESLOF?

0 analysts cover ESLOF with 0% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The bearish sentiment could create opportunity if analysts are wrong. The consensus target of $177.00 implies 2.3% upside, but targets are often adjusted to follow price moves rather than predict them.

Q:What is the Wall Street consensus on ESLOF?

Current analyst recommendations:The neutral stance suggests uncertainty or fair valuation at current levels.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

Fundamentals last updated: Aug 16, 2026, 02:42 AM

Technical Indicators

RSI (14-day)

69.38

Neutral

50-Day Moving Average

$316.63

-45.36% below MA-50

200-Day Moving Average

$284.78

-39.25% below MA-200

MACD Line

7.27

MACD Signal

4.35

MACD Histogram

2.92

Bullish

Q:What does ESLOF's RSI value tell investors?

The RSI (Relative Strength Index) for ESLOF is currently 69.38, indicating the stock is showing bullish momentum (60-70 range). The stock has positive momentum without being extremely overbought. This zone often occurs during healthy uptrends where buyers remain in control. Combined with the price being below the 50-day moving average, this shows mixed signals requiring careful analysis.

Q:How should traders interpret ESLOF's MACD and moving average crossovers?

MACD analysis shows the MACD line at 7.27 above the signal line at 4.35, with histogram at 2.92. This bullish crossover suggests upward momentum is building. The wide histogram confirms strong momentum. The 50-day MA ($316.63) is above the 200-day MA ($284.78), forming a golden cross pattern that typically signals a long-term uptrend. Price is currently below both MAs, confirming weakness.

Indicators last updated: Oct 18, 2025, 12:44 AM

EssilorLuxottica (ESLOF) Stock