Essilorluxottica
EL: XPAR (FRA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
€887.00 | Bnnt | Lttspkv |
Essilorluxottica's Growth Slows in Q4 and Margin Progression Weakens in 2H; Shares Slightly Rich
We are maintaining our fair value estimate for wide-moat Essilorluxottica as the company reported full-year results largely in line with our estimates. Revenue came in 2% higher than our estimates, but operating profit was bang in line as adjusted profitability progression was a bit slower than expected (16.8%, up 70 basis points from 2021 and lower than our 17.2% estimate). Shares look slightly overvalued at current levels.