The Estee Lauder Companies Inc. (EL) has been under pressure in 2024, as it faces significant challenges in its core markets, particularly in the Asia-Pacific region. The company has long been a powerhouse in the global beauty market. Its recent performance showcased concerns related to the global economy, shifting consumer behavior and adverse currency fluctuations. These issues are leading the company to take a cautious approach. With earnings estimates slashed, analysts are showing increased pessimism ab ...

Key Takeaways Shares of beauty products maker Estée Lauder climbed 10% on Thursday, posting one of the day's top performances in the S&P 500. The gains for the stock followed the announcement of an economic stimulus in China, which could boost consumer sentiment and help drive a sales recovery. Concerns about sales in China, where Estée Lauder generates close to a third of its sales, have been a source of pressure on the stock in 2024. Shares of beauty products manufacturer Estée Lauder (EL) surged Thursday ...

China's interest-rate cuts gave the cosmetics company's stock a lift. Shares of Estee Lauder (EL 5.69%), the cosmetics giant, were gaining today in response to news that China's central bank was lowering interest rates to stimulate the economy. China is a key market for Estee Lauder, and the business has been struggling, so it's not surprising to see the stock react positively to the news. As of 12:37 p.m. ET, shares were up 4.1%. Will China bounce back for Estee Lauder? China stocks rose broadly today, esp ...

0, F 100% bez mirisa. Eap bishes Angelance 179 I BalkansCat Around July 2022, I argued that Estée Lauder (NYSE:EL) is "growth at non-reasonable price". Since then, shares have dropped continuously and are now trading about 65-70% cheaper. As the valuation backdrop for EL has changed dramatically, today I am taking a refreshed look at EL shares. In a nutshell, I am upgrading Estée Lauder stock to "Buy", as I continue to like the commercial backdrop of the company, while the shares valuation now looks to be b ...

Baloncici Estee Lauder (NYSE:EL) is one of the world's leading cosmetics and beauty products companies. Shares have plummeted over the past two years, putting EL stock firmly on my radar for a potential comeback. Estee Lauder, along with a few key rivals like L'oreal (OTCPK:LRLCY) and Shiseido (OTCPK:SSDOY), have tremendous market share globally for these product categories. Historically, investors have been drawn to this industry due to fairly limited competition among the major players, high profit margin ...

The Estee Lauder Companies Inc. (EL) exhibited a volatile stock trajectory in recent months, driven by weak consumer sentiment amid high inflation and rising interest rates. The company is also grappling with issues such as market instability in mainland China and Asia travel retail, lower conversion rates, and negative foreign currency impacts. As a result, shares of this New York-based provider of skincare, makeup, fragrance and hair care products have plunged 42.4% year to date compared with a 37.7% drop ...

Summary of Estée Lauder Companies Inc. Conference Call Company Overview - **Company**: Estée Lauder Companies Inc. (NYSE: EL) - **Event**: Barclays 17th Annual Global Consumer Staples Conference - **Date**: September 3, 2024 Key Industry Insights - **Prestige Beauty Market**: The prestige beauty category remains highly desirable and has been growing faster than mass beauty products, attracting new consumers and competitors [4][5] - **Competitive Environment**: Lower barriers to entry have led to increased competition, providing consumers with more choices while challenging established players [5] - **Consumer Behavior**: Consumers are more informed and discerning due to the availability of information online, influencing their purchasing decisions [6][7] Financial Guidance and Performance - **Fiscal Year 2025 Guidance**: Expected net sales growth is between -1% to +2%, reflecting ongoing challenges in China and travel retail [10] - **Market Performance**: Growth is anticipated in markets outside of China, particularly in Japan and emerging markets, while North America is also expected to see growth [11] - **Inventory Management**: The company is focusing on destocking in response to higher-than-expected inventory levels, particularly in Hainan [13] Margin and Profitability - **Operating Margin Outlook**: Adjusted operating margin is projected to expand from 10.2% in fiscal 2024 to between 11% and 11.5% in fiscal 2025, primarily driven by the Profit Recovery Growth Program (PRGP) [17][19] - **Cost Management**: The PRGP is expected to yield net benefits of $1.1 billion to $1.4 billion over two years, with a focus on improving gross margins through better inventory management and reduced discounts [20] Regional Focus and Consumer Trends - **China Market**: Growth in China is expected to stabilize at mid-single-digit rates, reflecting a shift towards a more mature market growth model [23][24] - **Emerging Markets**: Emerging markets are growing faster than the corporate average, with India identified as a key focus area for growth [31][34] - **North America Strategy**: The company is working to revitalize its presence in North America by focusing on derma brands and expanding distribution channels, including online platforms [39][40] Brand and Product Development - **Re-Nutriv Brand**: The Re-Nutriv luxury skincare line is showing promising early results in China, contributing to the overall brand equity of Estée Lauder [30] - **Innovation Strategy**: The company is refining its innovation pipeline to focus on high-potential products while eliminating underperforming SKUs [43] Organizational Changes - **Brand-Led Model**: The company is evolving its brand-led model to allow for more agile decision-making at the market level, enhancing responsiveness to local trends [49][51] Conclusion - **Leadership Transition**: The outgoing CFO, Tracey Travis, expressed confidence in the company's future and the leadership of Akhil, who will take over the finance organization [55][57]

The Estee Lauder Companies Inc. (EL) is facing significant challenges due to a volatile macroeconomic environment. Key issues include market instability in mainland China and Asia travel retail, weak consumer sentiment and reduced conversion rates. As a leading provider of skincare, makeup, fragrance and hair care products, EL's extensive international presence exposes it to risks associated with unfavorable currency fluctuations. Management is cautious about the potential external headwinds impacting fisca ...

Have you evaluated the performance of Estee Lauder's (EL) international operations for the quarter ending June 2024? Given the extensive global presence of this beauty products company, analyzing the patterns in international revenues is crucial for understanding its financial strength and potential for growth. In the modern, closely-knit global economic landscape, the capacity of a business to access foreign markets is often a key determinant of its financial well-being and growth path. Investors now place ...

SEOUL, SOUTH KOREA - August 07: Singer and actress IU attends ESTEE LAUDER pop-up store opening ... [+] event at Lotte Avenel Jamsil in Songpa-gu on August 07, 2024 in Seoul, South Korea. (Photo by iMBC/Imazins via Getty Images) ImaZins via Getty Images Estée Lauder stock (NYSE: EL) has had a tough year so far, with its stock declining 37%, while the broader S&P500 index has risen 18%. The company has been struggling with falling sales and profits lately. For perspective, its adjusted 2024 earnings of $2.59 ...