EssilorLuxottica stock faces smart-glasses scrutiny as UBS sticks to Buy

Published on 09/20/2026 at 11:17 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

EssilorLuxottica stock came under pressure after French authorities intensified scrutiny of its smart-glasses business, with the shares closing at EUR 138.70 on September 18, 2026. At the same time UBS kept a Buy rating, while recent quarterly revenue rose to EUR 14.82 billion in Q2 2026.

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EssilorLuxottica stock (ISIN FR0000121667) has come under renewed scrutiny after French authorities intensified investigations into privacy concerns around smart glasses, while major banks such as UBS continue to back the shares with Buy ratings as of September 18, 2026.

Regulators tighten smart-glasses review

According to Stock-World on September 20, 2026, French prosecutors and regulators have stepped up examinations of connected smart glasses over alleged data protection and privacy violations linked to the use of camera-equipped devices in sensitive situations.

Stock-World reports that the regulatory focus is primarily directed at technology partner Meta Platforms, but the broader debate hits EssilorLuxottica because smart glasses have long been framed as a key future growth segment for the Franco-Italian eyewear group.

Share price reaction and analyst split

Per Stock-World, EssilorLuxottica stock ended the trading week on September 18, 2026, with a decline of 1.9 percent at EUR 138.70 on Euronext Paris, and the shares have lost 49 percent in value since the start of 2026, underscoring how sentiment has weakened over the year.

The regulatory headlines come against a backdrop of diverging analyst views. As Stock-World notes, Kepler Cheuvreux downgraded EssilorLuxottica from Buy to Reduce on September 18, 2026, cutting its price target from EUR 244 to EUR 135, a reduction of EUR 109 that reflects growing doubts about the market development of connected eyewear.

In contrast, UBS has reaffirmed a positive stance. According to The Globe and Mail on September 20, 2026, UBS analyst Robert Krankowski maintained a Buy rating on EssilorLuxottica, and the firm sees upside to the shares based on fundamentals and longer-term growth prospects.

Recent earnings show revenue and profit growth

Despite the pressure on the stock, EssilorLuxottica has reported growing revenues and profits in its latest quarter. Based on the company’s most recent earnings release for the quarter ended June 30, 2026, EssilorLuxottica generated quarterly revenue of EUR 14.82 billion, up from EUR 14.02 billion a year earlier, which corresponds to an increase of about 5.7 percent year on year, as highlighted by The Globe and Mail.

Net profit for the same quarter reached EUR 1.57 billion compared with EUR 1.39 billion in the prior-year quarter, an increase of around 13.0 percent, according to the same earnings summary reported by The Globe and Mail, signaling that the company has been able to grow profitability faster than sales.

The earnings profile supports the broader analyst consensus. As The Globe and Mail reports, EssilorLuxottica has an overall analyst consensus of Moderate Buy, with a price target consensus of EUR 223.78, which implies a substantial potential upside from the recent EUR 138.70 closing level.

Jefferies price target adds to upside narrative

In addition to UBS, Jefferies has signaled confidence in EssilorLuxottica’s medium-term trajectory. According to The Globe and Mail, Jefferies maintained a Buy rating in a report released on September 15, 2026, with a price target of EUR 250.00, which stands significantly above both the current share price and the broader consensus.

From an investor perspective, the contrast between Kepler Cheuvreux’s cut to EUR 135 and Jefferies’ EUR 250 target underlines a wide valuation range and suggests that expectations for the smart-glasses business and the overall growth path differ markedly among analysts. The downside scenario focuses on regulatory risk and execution challenges, while the upside case leans on solid earnings momentum and the strength of EssilorLuxottica’s core eyewear and lens franchises.

Governance debates and strategic pressure

The regulatory concerns around smart glasses are unfolding alongside a debate on corporate strategy and leadership. As Stock-World outlines, after a sharp share price decline, Leonardo Maria Del Vecchio, son of the company’s founder, recently left a leadership role and publicly called for a strategic realignment earlier in September 2026.

In response, the board has expressed support for chief executive Francesco Milleri and the current management team. Stock-World notes that the supervisory board reaffirmed confidence in Milleri around a week before the latest regulatory news, and more than 20 senior managers defended the company’s strategic direction in an internal letter reported by Bloomberg.

For shareholders, this combination of governance debate and regulatory scrutiny increases the importance of upcoming strategic communications and potential adjustments to the smart-glasses roadmap. The way EssilorLuxottica balances innovation in connected eyewear with privacy compliance will likely be a central theme in future investor updates.

EssilorLuxottica stock price and trading context

EssilorLuxottica’s primary listing is on Euronext Paris under the ticker EL, where the shares closed at EUR 138.70 on September 18, 2026, after falling 1.9 percent that day, and this price is roughly 49 percent below the level at the start of 2026, according to data cited by Stock-World.