EssilorLuxottica SA (ESLX) shares are plummeting as Bernstein analysts flag intensifying competition from technology giants entering the smart-glasses market. The brokerage's research note highlights investor concerns that Apple's potential launch of smart glasses poses a fundamental threat to the traditional eyewear maker's business model, leading to valuation compression. Bernstein maintains a 'Market-Perform' rating with a €250 price target, arguing that competition from Apple, Google, Samsung, and Alibaba could fundamentally reshape the industry.

The firm warns that a shift towards wholesale distribution may increase exposure to direct retail competition from tech companies, weighing on store productivity and growth prospects. Even if smart glasses fail to become the 'next smartphone,' Bernstein believes the structural impact on traditional eyewear markets could be lasting as new competitors emerge.