Bernstein Sees EssilorLuxottica's Governance Issues as a 'Distraction'

05:39 AM EDT, 09/18/2026 (MT Newswires) -- Bernstein views the ongoing boardroom conflict within EssilorLuxottica's (EL.PA) majority shareholder, Delfin, as a "distraction" from the French eyewear manufacturer's strategic challenges. In a Friday note, the research firm noted that tensions at Delfin have led to a rift between Leonardo Maria Del Vecchio, the youngest son of the late founder of Luxottica, and board chairman Francesco Milleri, culminating in Del Vecchio's resignation from his roles as EssilorLuxottica's chief strategy officer and president of Ray-Ban in August. Despite the drama, Bernstein expects Del Vecchio's exit to have a "limited" impact, adding that there is a "low probability" to his "veiled hints" to oust Milleri as chief executive officer of EssilorLuxottica, pointing to the firm support of the company's board. However, analysts said the public spat highlights the strategic uncertainty around the company. "Under Francesco Milleri, EssilorLuxottica is currently in a state of significant reinvention. Visibility on its long-term market position remains limited. Growing reputational risks create an additional concern. At the same time, near-term volatility in opaque top- and bottom-line performance has left investors increasingly frustrated," the note said. Bernstein rates EssilorLuxottica at market-perform, with a price target of 200 euros.