Ray-Ban Parent EssilorLuxottica hits record High as Smart Glasses Fuel Investor Optimism
PARIS – Shares of EssilorLuxottica, the parent company of Ray-Ban, surged to a record high on Thursday, driven by strong investor confidence in the burgeoning market for smart glasses and the success of its collaboration with Meta. The stock’s sharp rise has outpaced the performance of Europe’s luxury sector benchmark sence the start of the year.
The renewed interest in “face wearables” – a category previously abandoned by tech giants like Google and Microsoft – is largely attributed to the improved functionality and stylish design of Ray-Ban meta smart glasses. Combining enhanced cameras with generative AI capabilities and leveraging the iconic Ray-Ban aesthetic, the glasses have re-ignited competition in the space, with Google, Samsung, and Apple reportedly developing their own models.
Analysts at JP Morgan have identified smart glasses as a “significant growth driver” for EssilorLuxottica, even as the company’s core eyewear business remains robust. Equita analysts have revised their annual revenue estimates for the wearables segment upwards, now projecting a one billion euro impact on group sales for the current year.
“The acceleration in third-quarter revenue and the level of confidence expressed for the fourth quarter and medium-term outlook are an significant indicator of the success of the group’s strategic directions,” Equita analysts concluded in a recent research note.
