RBC Revises Model for EssilorLuxottica After 'Reassuring' Q3 Results

03:51 AM EDT, 10/22/2026 (MT Newswires) -- RBC Capital Markets updated its model for EssilorLuxottica (EL.PA), tweaking its earnings forecasts to incorporate the French eyewear manufacturer's third-quarter results. "EL has delivered a reassuring 3Q26 print in our view with healthy +7.2% cFX revenue growth which is broad based across Wearables (+18% cFX) and Core (+6.5% cFX), as well as across channels and regions. 4Q comps remain a near term hurdle after which we believe the setup for EL is compelling in the context of defensive and predictable mid-single digit revenue growth and potential for upside to mid-term implied stable margin outlook supported by improving wearables margins, leverage and more favourable FX," analysts said Wednesday. The research firm noted that third-quarter revenue of 7.49 billion euros came in 2% above market expectations, while the 7.2% constant-currency revenue growth beat the 6.2% consensus estimate. Against this backdrop, RBC affirmed its outperform rating and price target of 190 euros, while lifting its full-year 2027 revenue and EPS projections by 1% each for spot currency results. "With the core business maintaining a revenue growth pace at the upper end of 'mid single digit' and FX turning more favorable, we view EL shares as attractively valued and offering defensive core attributes in a challenging consumer environment," analysts wrote.